Prestige Estates enters JV to develop luxury home project in Hyderabad

Hyderabad:   Leading international real estate consultants Jones Lang LaSalle India has successfully closed a transaction involving 5.8 acres of prime land located at Hitec City in Madhapur, Hyderabad. The plot has been given on a joint development by the promoters of KL Hitec secure Print Ltd. to Prestige Estates Ltd., which intends to develop a 1.2 million square feet luxury residential project in this high-end location.

"The IT boom has had massive implications on real estate development in Hyderabad," says Mayank Saksena, Managing Director – Land, Jones Lang LaSalle India, who further adds, "The city has been transformed into the focal point of growth for the IT/ITeS sector in Andhra Pradesh. Hitec City is at the very epicentre of this growth. Because of the high pay scales and concurrent aspiration levels associated with the IT/ITeS industry, there is a massive demand for luxury residential spaces in this location. Land parcels here are scarce and therefore command premium price tags."

The rising demand of commercial office amidst the depleting good quality supply is steadily driving up commercial rents in Hyderabad. This has resulted in a high level of consumer confidence in residential projects in the city. The current prices of apartment developments at Hitec City are currently upwards of Rs. 5000-6000 per square foot and will rise exponentially as residential demand continues to outstrip supply in this area.

Prestige Estates Ltd. intends to launch its luxury residential project at this prime location in the third quarter of this year. "We are extremely pleased with the acquisition of this plot on the competitive terms secured for us by Jones Lang LaSalle India," says Irfan Razzack, CMD - Prestige Estates Ltd. 

"We are attuned to the immense market potential for a luxury project in this location. Hitech City at Madhapur has the highest concentration of IT/ITES establishments in Hyderabad. It is a nexus of national and international corporate offices, and we are calibrating the offerings of this luxury residential project to suit the buyer profile of this catchment, " Irfan further said.

Some of the existing landmark commercial projects driving residential demand in this catchment include Jayabheri Silicon County, Google Campus, Satyam, SMR Technopolis, TCS, Cognizant and Godrej CII. Thanks to its high profile, Hitec City has become a textbook case of planned infrastructure developments. It also has excellent connectivity with the financial district, Outer Ring Road to the elite residential area of Jubilee Hills. Some of the key residential projects in the vicinity include Aparna Towers, Meenakshi Sky Lounge, Jayabheri Towers, Ramky Towers and Aditya Towers.