Bengaluru-based real estate giant, Prestige Group, is set to embark on a significant expansion, aiming to develop 28 million sq ft of office space in Bengaluru within the next five years. The company’s CEO, Juggy Marwaha, shared plans to develop a total of 40 million sq ft across India, projecting annual revenues of Rs 3,000 crore.
Currently, Bengaluru has about 15 million sq ft of under-construction inventories, and Prestige Group aims to add an additional 10 million sq ft in the next two financial years. Marwaha revealed that within the 40 million sq ft pipeline, Mumbai will host 7 million sq ft, Pune 1 million sq ft, Delhi 0.5 million sq ft, and Hyderabad and Chennai 2 million sq ft each.
The strategic locations for development include north Bengaluru, Outer Ring Road, east Bengaluru, and the central business district (CBD), focusing on areas like Hebbal, Bellandur, Whitefield, and Varthur.
Marwaha emphasized that 60-70 percent of the pipeline will consist of large business parks, with the remaining being standalone office spaces in CBD areas.
In a notable move last year, Prestige Group entered the data center sector, signing a Rs 400-crore deal for a data center in north Bengaluru with a capacity of 100 mw. Two additional deals for data centers with 50-60 mw capacity are expected to close this year.
Marwaha highlighted the resilience of the office sector, surpassing pre-Covid leasing levels, particularly driven by the global capacity centre (GCC) sector. Bengaluru witnessed growth in the IT/ITeS sector, along with increased demand from the Banking, Financial Services, and Insurance (BFSI) and manufacturing sectors.
While acknowledging challenges such as traffic issues and infrastructure concerns in parts of Bengaluru, Marwaha pointed out the positive impact of the new metro line in Whitefield, contributing to increased transactions in that area.