Prestige Estates Projects shares recovered 3.6% from intraday lows and were trading 0.7% higher at ₹1,492.40 following the Bombay High Court's significant ruling on the Turf View project dispute. According to CNBC TV18, the Bombay High Court set aside a MahaREAT order concerning the Turf View project in Mumbai's Mahalaxmi area and restored earlier regulatory orders. The High Court's order dated September 29, 2026 restored the September 2, 2022 order de-registering the Turf View Project, along with the October 29, 2021 order/note approving the change of promoter. As per CNBC TV18, all concerned parties have now duly settled their respective disputes and claims relating to the matter, providing clarity on the regulatory position.
According to reports from CNBC TV18, Prestige Estates Projects issued a corporate guarantee of up to ₹750 crore to secure a loan being availed by its subsidiary, Prestige Falcon Mumbai Realty Private Ltd, from ICICI Bank. The guarantee was provided on an arm's-length basis and in compliance with applicable provisions of the Companies Act, 2013 and SEBI listing regulations. The company stated that the promoter and promoter group do not have any interest in the transaction.
As reported by CNBC TV18, Prestige Estates characterized the corporate guarantee as a contigent liability for the company. Since the guarantee has been provided on behalf of a subsidiary that forms part of the consolidated group, there is no immediate impact on the company. The disclosure was made under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
According to CNBC TV18, Turf View, also referred to as DB Turf View or Orchid Turf View, is a proposed project in Mumbai's Mahalaxmi area that was originally launched as a residential development but later shifted towards commercial development. The dispute dates back to bookings made in 2007, with the project having 27 allottees who paid around half of the consideration but had not received executed agreements for sale or possession. In July 2021, the promoter sought approval for a change of promoter under Section 15 of the Real Estate (Regulation and Development) Act, along with changes to the project plan, citing consent of more than two-thirds of the 27 allottees. In January 2022, Turf Estate Joint Venture LLP applied to MahaRERA for de-registration of the project, which was allowed on September 2, 2022, with MahaRERA noting that 21 of the 27 allotments had been cancelled and amounts refunded with 9% interest.
Separately, as reported by CNBC TV18, Prestige Estates announced on Wednesday, September 30 that CPP Investments will invest ₹3,000 crore in Prestige Hospitality Ventures, acquiring around 27% in the company. The majority of the capital will be used to support its expansion, marking a significant strategic investment in the company's hospitality ventures division.
