Arvind SmartSpaces, a leading real estate developer, has announced an exciting new venture in the Mumbai Metropolitan Region (MMR). The company has entered into a joint development agreement with Sach Developers to create a massive 92-acre township near Khopoli, Mumbai. This new project is expected to generate substantial revenue, with a projected potential of Rs 1,500 crore.
A Significant Milestone for Arvind SmartSpaces
This development marks Arvind SmartSpaces’ first major project in the MMR market, which is one of the most sought-after real estate regions in India. The company, which has largely focused its efforts on Gujarat, Karnataka, and Pune so far, is now expanding its presence in Maharashtra. The partnership with Sach Developers will enable Arvind SmartSpaces to tap into the growing demand for plotted and villa developments in the region.
The 92-acre township, located near Arvind SmartSpaces Khopoli, will be a large-scale, multi-use project, designed to offer a wide range of amenities, including a golf course, which will be a key highlight of the development. This project will also cater to the increasing need for luxury housing and spacious homes in and around Mumbai, a city known for its high-density living spaces.
Joint Development Agreement for Lower Capital Intensity
The township will be developed under a joint development agreement, where Arvind SmartSpaces will hold a 70.5% share of the revenue. This approach helps the company keep capital expenditure low while maximizing its returns from the project. With this revenue-sharing model, Arvind SmartSpaces is poised to benefit from the success of the development without bearing the full financial burden of the project.
This model is particularly advantageous for large projects like the one in Khopoli, as it allows developers to maintain a balance between risk and reward. The joint development structure also opens up opportunities for other real estate developers to partner on similar large-scale ventures, increasing the overall competitiveness and dynamism of the market.
Strategic Diversification Across Key Markets
Kamal Singal, the Managing Director and CEO of Arvind SmartSpaces, expressed excitement about the company’s foray into the Mumbai market. He emphasized that this move aligns with the company’s strategy of geographic diversification, which already includes strong operations in Gujarat, Karnataka, and Pune.
Singal noted, “We are optimistic about the large opportunity the MMR plotted and villa market presents. Entering the Mumbai region reinforces our strategy of balanced geographic diversification.” He also mentioned that, with this acquisition, the company’s cumulative new business development topline potential has reached Rs 2,500 crore for the current year.
Arvind SmartSpaces is looking to build on this momentum, with plans to expand further into the Mumbai market and other key regions such as Ahmedabad and Bengaluru in the near future. The company is aiming to add more projects in the upcoming quarters, solidifying its presence in some of India’s most lucrative real estate markets.
What This Means for the Mumbai Real Estate Market
The launch of this 92-acre township represents a major shift in the type of real estate developments emerging in the Mumbai Metropolitan Region. Known for its vertical skyscrapers, MMR is now seeing a rise in horizontal, large-scale township projects that offer more spacious living options such as villas and plots.
The addition of high-end amenities, like a golf course, indicates that Arvind SmartSpaces is targeting the premium market, catering to individuals and families seeking more luxurious living spaces away from the city’s congested urban areas. This development, near Arvind SmartSpaces Khopoli, could become a model for future projects in the region, highlighting the growing demand for low-rise developments with extensive green spaces and modern facilities.
