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L&T Realty plans to launch projects with a combined development potential of ₹25,000 crore across Mumbai

ICICIdirect Research 07 Oct 2026 DISCLAIMER

News: L&T Realty plans to launch projects with a combined development potential of ₹25,000 crore across Mumbai, Gurugram and Bengaluru in H2FY27, with three-four launches to be phased across the three markets. The company’s current portfolio has >70msf of development potential and is targeted to scale to ~150msf over the next 4–5 years, with a pipeline providing ~12 quarters of visibility. Residential is expected to remain the core business at ~85% of the portfolio, while commercial will account for ~15%; the company expects ~22msf of commercial development over the next five years, supporting recurring annuity income. Construction costs, which had risen 5–6% at the peak due to higher steel, aluminium, cement and copper prices amid the West Asia crisis, have moderated to ~4%, while L&T Realty maintained pricing without passing on the increase to customers.

View: The ₹25,000 crore H2 launch pipeline provides strong medium-term presales and revenue visibility, while expansion into Gurugram and Bengaluru diversifies L&T Realty beyond Mumbai. The planned scale-up to 150msf and increasing commercial annuity portfolio should support sustained growth and cash-flow visibility.

Impact: Positive

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