HDFC Capital Partners with Total Environment for Residential Projects in Bengaluru

HDFC Capital, the real estate private equity arm of HDFC Group, has partnered with property developer Total Environment to establish a ₹1,300 crore platform for residential project development in Bengaluru. This collaboration will add 6.5 million square feet of new residential developments to the ongoing 16 million square feet already under construction by Total Environment.

According to company officials, the newly planned residential projects will have a combined gross development value (GDV) of over ₹10,100 crore. These projects are expected to be delivered over the next four to five years. This marks the fourth investment by HDFC Capital in Total Environment, demonstrating its strategy of working with established developers. Two of the three previous investments have resulted in exits with strong returns, benefiting all stakeholders involved.

Vipul Roongta, Managing Director and CEO of HDFC Capital, stated that the partnership with Total Environment aims to address the demand for sustainable housing for mid-income and upper middle-income households. The collaboration focuses on greenfield residential developments, contributing to the city's housing market by providing planned living spaces.

Kamal Sagar, Founder of Total Environment, noted that the investment strengthens an existing partnership between the two companies. The capital infusion will support the development of large-scale residential communities and will also be used to accelerate the delivery of ongoing projects.

HDFC Capital has been actively investing in residential real estate to support housing development in key urban markets. The platform with Total Environment aligns with the trend of institutional investments in residential real estate, which reflects the sustained demand for housing in India. The initiative also supports the government’s ‘Housing for All’ program, which promotes the development of affordable and mid-income homes.

Additionally, HDFC Capital aims to drive innovation in real estate by supporting the adoption of new technologies. The company has been investing in and collaborating with technology firms to introduce modern solutions in the real estate sector.

Total Environment, established in 1996, has delivered 5.5 million square feet of residential and commercial space. The company is recognized for providing furnished homes with custom-designed interiors. In 2024, Total Environment recorded sales bookings of ₹3,007 crore.

The new partnership is expected to further expand Bengaluru’s residential real estate market, adding to the ongoing development activity in the city. With continued investment from institutional players like HDFC Capital, the focus remains on delivering housing projects that cater to growing urban demand.