CHENNAI: Over the past two years, real estate developers have poured more than ₹2,500 crore into acquiring prime land across 79.9 acres, stretching from Haddows Road in the central city to Chembarambakkam on the outskirts.
Notable transactions include Baashyaam Group’s acquisition of 5.8 acres on Haddows Road for ₹1,212 crore, and a joint venture between Prestige Estate Projects and Arihant Foundations, which secured 16.4 acres in Padi for ₹561 crore. Brigade Group also purchased 5.4 acres in Velachery for ₹441.7 crore. Additionally, Freshworks founder Girish Mathrubootham bought 7.6 grounds in Boat Club for ₹211 crore, while Arihant acquired nine grounds on Anna Salai for ₹100 crore. DRA Homes purchased 4.3 acres in Chembarambakkam for ₹50 crore. Godrej Properties also acquired a 47-acre site in Kattur Village, though the value of this deal remains undisclosed.
Property consultants indicate that this trend reflects a strategic shift. Developers are no longer concentrating on a single growth corridor but are now expanding their reach into established neighborhoods, redevelopment areas, and developing suburban markets. “The south is historically the preferred destination, but large land parcels have become scarce. Development is now shifting westward, particularly due to the Chennai-Bengaluru expressway and planned high-speed rail corridor,” noted a developer.
Areas with redevelopment potential or fast-growing suburbs are clearly the focus. “Land prices are rising more rapidly than apartment prices. While residential values are steadily increasing, large, litigation-free, and development-ready land parcels are becoming increasingly scarce, pushing land values to new heights,” stated Sanjay Chugh, Director (Chennai), Anarock Group.
He added that the nature of development will vary by area. “Prime city locations like Boat Club, Haddows Road, and Anna Salai are ideal for luxury residential or mixed-use projects. In contrast, larger parcels in Padi and OMR can accommodate integrated residential communities, premium apartments, or villas, depending on local demand and planning regulations. Velachery, with its well-established social infrastructure and connectivity, is likely to see premium apartment developments aimed at upper-middle and affluent buyers,” he explained.
Ranjeeth Rathod, managing director of Super Chennai and DRA Homes, pointed out that large land parcels are now available on the outskirts. “People are seeking better lifestyles and amenities. The top ten developers control 75% of the land parcels in the city. Recent investments include ₹80 crore for five acres in Thalambur and ₹51 crore for four acres in Karanai,” Rathod mentioned.
