The Mumbai-based developers Omkar Realtors and Piramal Realty are likely to continue their joint venture for a new project in Mahim.
According to the sources, both the companies are in the final stage of discussion to jointly develop a 5-acre prime sea-facing property in Mahim. This will be the second joint venture between these realty giants after the successful completion of iconic Dhobi Ghat redevelopment project at Mahalaxmi that is spread over 12 acre.
Prior to this, the Omkar group stepped into a joint development agreement with L&T Realty for a redevelopment project in Parel that is named as Crescent Bay and is spread across 17-acres. Apart from this, the company also went into a joint venture with Godrej Properties to develop a 4.25 acre property in the tony Bandra West area.
The sources said that the project is being undertaken under the slum rehabilitation scheme and Omkar and Piramal will jointly develop the property.
The sources further informed that the deal involves Omkar to develop the slum rehabilitation component whereas Piramal will handle the commercially saleable component that has a luxury residential development. The project is being planned to launch in the current financial year.
The experts feel that the Omkar group is shifting its focus on joint development model so that the firm can leverage its expertise along with industry’s other players.
A real estate expert said that recently we have seen a lot of consolidation and we will see a lot more. Currently, in the MMR region, just 20-22 developers control half of the market and we think in the next few years their pie will jump to 90 percent. The expert also hinted that the real estate market can witness many more joint venture in the current fiscal.