Real estate firm Puravankara is exploring the coliving and warehouse segment to expand its business. The company will be launching its first co-living space, which will be spread across 350,000 sq ft in Goregaon, Mumbai.
Anticipating the change in the buying behaviour of millennials, the company is now deciding whether to expand their own brand or tie-up with an external operator, said MD Ashish R Puravankara.
The company plans to double its retail and commercial portfolio by 10 Mn sq ft by 2023. The developer has acquired land in various cities like Hyderabad, Bengaluru, Pune and Mumbai for this purpose. It plans to launch 11.06 Mn sq ft of affordable housing over the next 12-15 months.
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The coliving market has become a new trend in the real-estate business to generate more rental income, especially in Tier 1 cities and IT hubs. The market is at an initial stage with only a few players available. According to a report in Economic Times, American giant of co-living spaces WeLive is also expected to venture into the Indian market by the end of this year.
Another player, Salarpuria Sattva Group brought 50% stakes in the Bengaluru-based startup CoLive, which provides ready to move-in homes to single professionals and young couples. Co-Live will be expanding its presence in Hyderabad, Mumbai and Pune.
Meanwhile, Puravankara is also trying to set foot in the warehouse market. The company had partnered with Morgan Stanley’s real estate investment to jointly fund and develop the real-estate market in Chennai, Mumbai and Bengaluru. The company’s first joint project of an industrial park spread across 43 acres will be coming up in Chennai.
Morgan Stanley is an arm of the Morgan Stanley Real Estate Investing, has been into real estate for over two decades. It manages around assets worth $471 Bn globally.