HDFC Capital, Eldeco partner to develop ₹11K-cr small-town homes
HDFC Capital Advisors Ltd, HDFC Group’s real estate investment arm, has joined hands with Eldeco Group to invest ₹1,500 crore in a residential development platform targeting India’s tier II and III cities. The platform, in which HDFC Group and Eldeco Group are equal partners, plans to develop 18 residential projects with total revenue potential of ₹11,000 crore. These developments will be spread over over 10 million square feet in high-potential towns like Panipat, Sonipat, Ludhiana, Rishikesh, Rudrapur, and Kasauli.
This strategic collaboration aims to respond to the increased need for affordable, quality housing in smaller towns, which are being increasingly connected to and absorbed into larger urban corridors through enhanced infrastructure and connectivity. The emphasis is in tune with the government’s vision of increasing urbanization and facilitating the aspirations of India’s aspiring middle class.
Eldeco, with a record of completing more than 200 projects spanning 60 million square feet, will bring its operating know-how and intimate knowledge of local markets. HDFC Capital, which runs a $4.2 billion platform for mid-income and affordable housing, contributes capital support and strategic guidance to the partnership.
This investment supports HDFC Capital’s long-term vision to fill India’s housing deficit through sustainable and inclusive growth. The partnership will spur Eldeco’s expansion in under-penetrated markets while providing homebuyers and investors with access to high-growth real estate in emerging towns. Overall, the project is a major milestone toward transforming India’s real estate landscape beyond metropolitan cities.
