Arkade Developers Plans Rs 3,500-4,000 Crore Projects for FY26
Mumbai-based realty developer Arkade Developers is gearing up for a significant expansion in the financial year 2026. The company plans to launch four projects with a combined gross development value (GDV) of Rs 3,500-4,000 crore. This ambitious plan comes after a successful fiscal year 2025, where the company reported a profit growth of 27.7% at Rs 157 crore and a revenue increase of 9.3% to Rs 695 crore. In an interview, Amit Jain, the chairman and managing director of Arkade Developers, provided insights into the company's strategic moves and market outlook.
We are planning four key project launches this fiscal. The most significant among them is our Filmistan project in Goregaon. We have three redevelopment projects in the pipeline, located in Santacruz West, Goregaon West, and Malad West. Collectively, these four launches are projected to have a GDV in the range of Rs 3,500 to Rs 4,000 crore. We have been achieving a 20% growth historically and we will be achieving the same in the years to come. Our revenue is expected to grow 20% in FY25 at about Rs 850 crore.
FY25 marks a year of prominence for Arkade Developers. The company acquired the legendary 4-acre land parcel in Goregaon, leased to Filmistan Pvt. Ltd, with an estimated GDV of Rs 2,000 crore. Additionally, Arkade acquired land parcels and development rights totaling 17.5 acres in the western suburbs, with a projected GDV of Rs 6,790 crore. These locations include Andheri, Santacruz, Borivali, Malad, and Dahisar. Our expansion strategy into the eastern Mumbai suburbs for greenfield projects, alongside a solid pipeline of redevelopment projects in the western suburbs, will serve as key growth drivers. We are leveraging our healthy balance sheet and robust cash flows to align with the market trend towards luxury housing. With accelerating demand, we are well-positioned to maintain a sustainable growth trajectory.
Mumbai’s real estate market has become highly competitive with the entry of big names such as Adani and Prestige, who have aggressive pipelines. However, Amit Jain believes there is enough room for everyone to grow. Not every buyer has a budget of Rs 10 crore and upward. There is a significant demand for 2BHK properties, and the redevelopment of old properties is here to stay. There are approximately 20,000 buildings in the Mumbai Metropolitan Region (MMR) that are due for redevelopment, presenting a big opportunity for Arkade and other players. Despite the land scarcity in the region, there are many land parcels up for grabs. Arkade is in the process of acquiring a major land parcel in Thane and continues to hold talks with other landowners.
Housing sales have been under pressure for the past two quarters, but Amit Jain remains optimistic. Housing is one of the biggest human aspirations, and the ambition to buy a new house or shift to bigger homes is always there. The slowdown is temporary, and the needs of the house will always persist. There are cyclic phases, but they cannot eliminate the industry's growth as a whole.
Real estate prices have sharply increased in recent years, driven by higher construction costs, raw material prices, and the GST levied by government bodies. Land prices have also risen significantly. While the company does not control the prices, market forces do. When the construction cost and land prices come down, the prices of property may follow. However, buyers may become more cautious due to increasing prices, but the requirement for homes will always be there.
