Hotel Leelaventure and builder Prestige Estates will jointly develop luxury apartments on land adjacent to Leela's Bangalore hotel, fetching the luxury hotel group Rs 90 crore in revenue as per a report in ET by Sobia Khan.

Prestige will have a 60% stake in the project, which is expected to generate revenues of Rs 240 crore. Hotel Leelaventure will own the remaining 40% of the project, which will come up on a 2.3-acre plot attached to Leela Palace hotel on the old airport road in the city. The move is a part of Leelaventure's strategy to realign properties to raise funds as it struggles with rising debt. 

"The joint venture was signed on Thursday. The company had earlier planned to expand its Bangalore property by adding a further 144 rooms," the source said. Leelaventure had taken a debt of Rs 3,000 crore to develop properties in Delhi, Chennai and Jaipur, in addition to buying land in Agra, Pune and Hyderabad. The Goa property was also renovated and one at Kovalam, Kerala, bought four to five years before.