K Raheja Corp Homes, the residential vertical of developer K Raheja Corp group, has taken its luxury brand ‘Vivarea’ to Bengaluru with a project in Koramangala with a revenue potential of ₹1,700 crore.
Built on a 8.25-acre land parcel owned by group company Chalet Hotels, the luxury project has nine towers and 300 apartments.
The apartments are fairly large going up to around 3500-4000 square feet and configurations ranging from 3 to 5 bedrooms and a price ticket of over ₹6 crore. The average rate is around ₹26,000-27,000 per sq ft.
“The Koramangala market with limited greenfield land prospects, make this project highly aspirational,” said Ramesh Ranganathan, the chief executive officer of K Raheja Homes.
While the bulk of the area is occupied by residences there will also be a commercial development within the premises.
Industry circles said that there is limited housing stock in Bengaluru and the current inventory will likely be exhausted in a year or so, providing a favourable opportunity for builders in terms of demand. Availability of land is also a constraint especially in central Bengaluru.
K Raheja Corp’s plan is to build at least 2-3 more luxury projects in the city as well as some semi-premium residences in specific locations. While the central part of the city is a preferred location, it is looking at opportunities in other micro markets as well.
Pune and Hyderabad are the other cities where it is looking to take the luxury brand.
Earlier this year the company had launched Raheja Modern Vivarea in Mumbai, an even more upscale version of the brand, and the project created a near-record by fetching pre-sales revenue of ₹1,100 crore in less than three months of its launch. The houses were priced at around ₹90,000 a sq ft.
The demand for luxury homes that started just after the end of the Covid pandemic continues unabated. While the pandemic impoverished many, a lot of wealth was also created by others especially in the equity markets, and this wealth is being channelised into the real estate market.
The demand for residences is not just about owning a home, but also about having more space. People are upgrading and buying larger residences with more amenities.