Real estate competitors ally to jointly develop projects

The joint ventures (JV) are entered into for purchase and development of projects as valuations soar across major metros

Collaborate rather than compete. More real estate players are joining hands to tap the highly competitive market jointly and see it as an ideal way to enter new cities. The joint ventures (JV) are entered into for purchase and development of projects as valuations soar across major metros. Such JVs help real estate players get more access to land banks. Being a partner also helps us to speed up the process.

In May this year, Arihant joined hands with the Bengaluru-based Prestige Group to collaborate and jointly develop real estate projects in Chennai. The two companies will explore opportunities across various real estate segments, including residential, commercial, retail, and hospitality developments. The first project in the JV will be joint development of a 3.5-acre residential project in Chennai with a revenue potential of more than ₹1,600 crore. The land in Velachery, Chennai belonged to Rane (Madras).

This is an alignment of having a local partner with ground knowledge and expertise, good resources and alignment of both partners makes it a win-win for both, said Bharat Jain, Director, Commercial, Arihant Foundations & Housing Ltd. In the past, Arihant has also entered into such partnerships with Delhi-based Ashiana Housing.

In February, Hiranandani and Krisala Developers announced Joint Development of Gross Development Value ₹7,000 crores in Pune. The total investment for the land asset of 105 acres.

Strategic partnerships

Niranjan Hiranandani, Chairman, Hiranandani Group, said, “We remain open to evaluating potential JV opportunities across markets, including Chennai, to drive growth and create value through strategic partnerships.” The JV between two heavy-weight developers accelerates project timelines, reduces risks through shared responsibilities, and fosters business growth by optimizing resources, achieving economies of scale, and ensuring sustainable competitive advantage in a dynamic real estate landscape, he added.

VS Sridhar, Executive MD, Tamil Nadu & Kerala & Head GCC Advisory- Operations, Cushman & Wakefield, said, there is a clear resurgence of JVs in India’s real estate market. “With land costs rising and regulatory cycles lengthening, such JVs offer capital efficiency, faster footprint expansion, and de-risked entry into new markets,” he said. “Going forward, we will also see increased adoption of asset-light models, where developers license their brands while local partners execute, along with a rise in ESG-compliant, platform-led developments driven by institutional capital’s demand for transparency and sustainable practices,” Sridhar said.

This could be a good start for pan-India developers to use the location / city expertise to expand across the country especially in residential projects, said Siva Krishnan, Senior Managing Director at JLL India.

Published on July 3, 2025