OBEROIRLTY

Accelerates Land Acquisitions in Mumbai

is stepping up its business development strategy through large-scale land acquisitions and redevelopment projects in Mumbai. Recent deals with MHADA (Andheri West), RLDA (Bandra), and Nepean Sea Road highlight its aggressive expansion. While FY26 pre-sales growth is expected to remain flat, the company’s strong balance sheet and upcoming launches provide medium-term visibility. Recent Developments - MHADA Aram Nagar (Andheri West): Oberoi’s share of free-sale component ~1.72 msf RERA carpet area. - Potential GDV: ₹9,000–10,000 crore (₹50,000–55,000 per sq. ft). - RLDA Bandra land parcel: 11.21 acres acquired for ₹5,400 crore. - Nepean Sea Road redevelopment: Free-sale component ~118,000 sq. ft carpet area. - Balance sheet strength provides flexibility to fund acquisitions and sustain growth trajectory. Sales & Launches - 9MFY26 pre-sales: ₹3,770 crore (+15% YoY), largely from existing projects. - Q4FY26: marginal uptick, but muted due to slower launches. - Sky City Borivali last tower launched (GDV ~₹2,700 crore), but limited contribution expected in Q4 due to large ticket sizes (>₹6 crore/unit). - FY26 pre-sales expected flat at ~₹5,300 crore (Antique Broking). Outlook & Pipeline - Upcoming launches in FY27: Gurugram maiden project, Adarsh Nagar, Pedder Road, and Elysian Tower D. - Micro-markets (Goregaon, Borivali) witnessing price increases, indicating healthy demand. - Focus on achieving right product-market fit in layouts and amenities before new launches. Valuation & Investor Sentiment - Stock down ~13% YTD 2026, reflecting concerns around housing affordability and demand slowdown in MMR and Gurugram. - Near-term: muted pre-sales and affordability worries weigh on sentiment. - Medium-term: strong land bank, redevelopment pipeline, and balance sheet comfort support growth visibility.