Prestige Group and Arihant Group have entered into a joint venture to acquire a valuable 3.48-acre land parcel in Velachery, a prominent suburb in Chennai. The transaction, valued at ₹361.18 crore, has been executed through their joint entity, Canopy Living LLP. The seller of the land is Rane (Madras) Ltd., which originally held a 4.5-acre plot in the area.
Strategic Location and Development Plans
Velachery has emerged as one of the fastest-growing residential and commercial zones in Chennai, thanks to its strong connectivity to the IT corridor along OMR and its well-developed social infrastructure. The acquired land will be developed into a premium residential project with an estimated built-up area of around 7.5 lakh square feet. The developers expect a Gross Development Value (GDV) exceeding ₹1,600 crore from the proposed project.
Partnership and Transaction Structure
The land acquisition was facilitated by Canopy Living LLP, a strategic collaboration between Prestige Group, headquartered in Bengaluru, and Chennai-based Arihant Group. While 3.48 acres have been sold to the JV for residential development, Rane (Madras) Ltd. will retain the remaining 1.02 acres of the original plot. The retained land is planned to be used for developing a new corporate office campus, as part of Rane’s larger strategy to monetize underutilized assets, reduce corporate debt, and streamline its city operations.
Project Timeline and Execution
According to official statements, the land acquisition is expected to be completed by September 30, 2026. Following the acquisition, construction of the residential project will commence in phases. With increasing demand for luxury homes and the growth of the IT sector in Chennai, especially in areas like Velachery, this development is expected to attract strong interest from both end-users and investors.
Velachery’s Rising Real Estate Appeal
Velachery has long been a preferred location for real estate development in Chennai, owing to its proximity to major business hubs and robust infrastructure. The area offers excellent connectivity to arterial roads, public transport, and key amenities such as schools, hospitals, and retail zones. As demand for premium housing continues to grow in this locality, the Prestige-Arihant project is positioned to cater to this rising demand with high-quality residential offerings.
Industry Impact and Outlook
This acquisition highlights the continued interest of top-tier developers in Chennai’s suburban micro-markets. For Prestige Group and Arihant Group, this marks a strategic move to strengthen their presence in the southern real estate market. For Rane (Madras) Ltd., the transaction supports its financial restructuring and business consolidation efforts. As the project moves forward, it is expected to set a new benchmark for urban residential developments in Velachery.
Also read, Arihant to Launch Premium Residential Project on 3 Acre Land in Perungudi Chennai
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