Merlin Group Plans Rs. 100 bn Expansion Across Indian Cities
ECONOMY & POLICY

Merlin Group Plans Rs. 100 bn Expansion Across Indian Cities

Kolkata-based Merlin Group plans to invest about Rs. 100 bn over the next five years across residential, commercial, retail and mixed-use developments. The expansion will support a development pipeline of nearly 20 mn sq ft planned for launch over the next two to three years in West Bengal, Maharashtra and other Indian cities.

The developer is targeting sales of approximately Rs. 7 bn and profit of at least Rs. 1.2 bn in FY27, compared with sales of about Rs. 5 bn and profit of Rs. 1 bn in FY26. Merlin currently invests between Rs. 10 bn and Rs. 12 bn annually and expects this spending to rise by 15 to 20 per cent each year.

The pipeline includes major projects in Kolkata and Pune, along with redevelopment opportunities being evaluated in Mumbai and a residential development of approximately 1 mn sq ft in Bhubaneswar. In Kolkata, the company is developing a 4 mn sq ft World Trade Center featuring IT and global capability centre offices, a five-star deluxe hotel and food and beverage retail space.

The first phase of the World Trade Center, covering about 600,000 sq ft, is nearly fully sold or leased. The second phase spans approximately 1.5 mn sq ft, while the third covers about 1 mn sq ft. Merlin also plans to launch at least one additional phase during 2026 and is developing a 400,000 sq ft mall in Joka.

Its Pune portfolio includes a 1.8 mn sq ft office project in Koregaon Park, a 2 mn sq ft residential development in Tathawade and an 800,000 sq ft mixed-use project in Wakad. The company acquired about 3 acres in Koregaon Park for approximately Rs. 3 bn and plans a 1.3 mn to 1.4 mn sq ft commercial tower there. Merlin currently earns about Rs. 600 mn in annual rent, primarily from Homeland Mall and Acropolis Mall, while the Joka mall is expected to add another Rs. 500 mn once operational. Construction costs have risen by around 20 per cent during the year, putting pressure on margins, particularly for units already sold under existing bookings.

Kolkata-based Merlin Group plans to invest about Rs. 100 bn over the next five years across residential, commercial, retail and mixed-use developments. The expansion will support a development pipeline of nearly 20 mn sq ft planned for launch over the next two to three years in West Bengal, Maharashtra and other Indian cities. The developer is targeting sales of approximately Rs. 7 bn and profit of at least Rs. 1.2 bn in FY27, compared with sales of about Rs. 5 bn and profit of Rs. 1 bn in FY26. Merlin currently invests between Rs. 10 bn and Rs. 12 bn annually and expects this spending to rise by 15 to 20 per cent each year. The pipeline includes major projects in Kolkata and Pune, along with redevelopment opportunities being evaluated in Mumbai and a residential development of approximately 1 mn sq ft in Bhubaneswar. In Kolkata, the company is developing a 4 mn sq ft World Trade Center featuring IT and global capability centre offices, a five-star deluxe hotel and food and beverage retail space. The first phase of the World Trade Center, covering about 600,000 sq ft, is nearly fully sold or leased. The second phase spans approximately 1.5 mn sq ft, while the third covers about 1 mn sq ft. Merlin also plans to launch at least one additional phase during 2026 and is developing a 400,000 sq ft mall in Joka. Its Pune portfolio includes a 1.8 mn sq ft office project in Koregaon Park, a 2 mn sq ft residential development in Tathawade and an 800,000 sq ft mixed-use project in Wakad. The company acquired about 3 acres in Koregaon Park for approximately Rs. 3 bn and plans a 1.3 mn to 1.4 mn sq ft commercial tower there. Merlin currently earns about Rs. 600 mn in annual rent, primarily from Homeland Mall and Acropolis Mall, while the Joka mall is expected to add another Rs. 500 mn once operational. Construction costs have risen by around 20 per cent during the year, putting pressure on margins, particularly for units already sold under existing bookings.

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