Prestige Estates Gains as JV Acquires 3.48 Acres in Chennai's Velachery
On June 30, 2025, the share price of Prestige Estates Projects rose slightly by ₹8.60, or about 0.52%, to reach ₹1,675.30 on the BSE. This came right after the company announced a major land purchase in Chennai's Velachery area through a joint venture with Arihant Group. The move broke a short two-day losing streak and showed growing investor trust in Prestige's long-term plans.
- What Happened: Prestige Group and Arihant Group teamed up under a new company called Canopy Living LLP. This joint venture has acquired 3.48 acres of land in Velachery, a fast-growing part of Chennai known for its IT hubs, schools, malls, and excellent road and rail links.
- Who Sold the Land: The land was sold by Rane Madras (RML), a well-known auto component firm. The sale helped RML reduce its debt and focus on its core business, and its share price also rose by 6–9% after the announcement.
- Deal Value: The joint venture paid ₹361.18 crore for the plot, showing how valuable the location is.
- Who Helped Close the Deal: Real estate consultant CBRE helped facilitate the transaction, adding to its credibility.
- Total Buildable Area: About 7.5 lakh square feet
- Estimated Project Value (GDV): Over ₹1,600 crore
- Target Buyers: Professionals, families, and NRIs looking for luxury homes in the city
The project is expected to include modern apartments, smart features, open green spaces, and lifestyle amenities. If all goes as planned, construction should begin in early 2026 and finish in stages by late 2027.
Velachery is one of the most active real estate zones in Chennai today. It connects well to major roads like OMR and GST Road and offers easy access to the MRTS rail line. Schools, hospitals, offices, and malls are all nearby, which makes the area attractive for both end-users and investors.
There are not many new large-scale housing projects in this part of the city, so this upcoming development is expected to do well in terms of sales.
This is not Prestige's only project in the city. Just a few days earlier, the company launched Prestige Pallavaram Gardens, a massive 21.84-acre township near the Pallavaram–Thoraipakkam Radial Road. That project includes over 2,000 apartments with 2, 3, and 4 BHK layouts.
While Pallavaram Gardens targets mid-income buyers and growing families, the Velachery project will focus more on luxury buyers who want to live closer to the heart of the city.
Both projects are part of Prestige's larger plan to expand in Chennai and reach different types of customers.
Prestige has set an ambitious goal to sell ₹27,000 crore worth of property in FY26. The Velachery project will play a key role in helping the company meet this target.
The company also has a market capitalization of around ₹71,789 crore, making it one of the biggest real estate players in India. Even though its share price is still about 15% below its 52-week high, the recent increase shows that investors are optimistic about Prestige's new developments.
By partnering with Arihant, Prestige can reduce its own financial risk while still growing its footprint. This helps the company manage debt while adding new projects to its pipeline.
The rise in Prestige's stock price after the Velachery deal shows that investors believe in the company's strategy. The ₹361 crore land purchase, with an expected project value of over ₹1,600 crore, gives Prestige a strong boost in Chennai's housing market.
With both Prestige Pallavaram Gardens and the new Velachery launch, the company is building for different buyers—but with the same focus on quality, community living, and long-term value.
For homebuyers, this means more choice in fast-growing areas. For investors, it means Prestige is serious about its growth plans—and the market is taking notice.
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