CHENNAI: The city-based KG Builders is sharpening its expansion strategy with a planned entry into Bengaluru and a foray into hospitality, even as it doubles down on emerging micro-markets within Tamil Nadu amid an infrastructure-led real estate upswing.
“We’ve been around for more than 45 years with over 10,000 customers. While Chennai remains our core, we are now looking beyond. Coimbatore, Madurai and Bengaluru are our key focus markets,” said Haresh Kishor, managing director, KG Builders.
The company is preparing to launch its first project in north Bengaluru, close to the airport, within the current year. In parallel, it is entering hospitality through a mixed-use development in Medavakkam, where it plans an 80 to 90 key hotel tied to a larger office project. “We would be looking to tie up with an operator over the course of this year,” he said in an interaction with DT NEXT.
“The focus initially is pan-south, but we do see ourselves moving towards a national presence over time,” Kishor added, underlining that scale and new geographies will drive the next phase of growth.
Back home, KG Builders is riding a wave of infrastructure-led transformation across Chennai. North Chennai, in particular, is emerging as a high-growth corridor. “There is a Rs 6,000-crore infrastructure push, metro connectivity, and large land parcels becoming available. It is hardly 15 minutes from the city centre now. We are already launching our third project there,” Kishor said, adding that buyer acceptance has significantly improved.
We are planning an 80-90 key hotel in our mixed-use development project in Medavakkam. We are looking at tying up with an operator over the course of this year– Haresh Kishor, MD, KG Builders
West Chennai is another key focus, especially for plotted developments along the Poonamallee-NH4 belt. The real estate player has recently launched multiple projects across locations such as Velappanchavadi and Kuthambakkam, with a combined gross development value (GDV) of around Rs 400 crore, as part of a larger 120-acre push.
KG Builders is also active across other micro-markets including Porur, Madhavaram, Sholinganallur, OMR and select stretches of ECR. “OMR continues to be the largest market in terms of employment and housing, while even the second half of ECR is now seeing residential acceptance,” he noted.
The company currently has a development pipeline with a GDV of about Rs 3,200 crore, spanning plotted developments, apartments and commercial assets, and is targeting a five-fold increase in revenues from the current Rs 350 crore over the next four years.
Kishor emphasised that Chennai remains a “location-driven market”, though buyer preferences are evolving. “Consumers today want all amenities within the project, from supermarkets to clinics. That reduces the need to be next to external infrastructure and improves affordability,” he said.
He also pointed to a structural demand shift: apartments are largely end-user driven, while plotted developments attract investors. “Plots are not just a passing trend; they are here to stay, especially with more organised players entering the space,” he added.
On the regulatory front, Kishor acknowledged improvements in TN’s approvals process. “The move to online systems has reduced surprises and improved transparency. Timelines are now more predictable,” he said, while calling for higher permissible FSI to enhance affordability.
However, key challenges persist. “Availability of land with clear title is the biggest constraint today. Funding and approvals come next,” he noted.
Despite rising land costs and near-term input pressures, KG Builders remains bullish. “North Chennai will likely see the highest appreciation over the next five years due to simultaneous infra completion,” Kishor said.