Emaar Lines Up $1.85 Billion For India Realty With Eye On Mumbai; Launches Villas In Alibag
Of the Rs 14,000 crore in investments, more than Rs 2,500 crore to Rs 3,000 crore will be invested in Mumbai, said Kalyan Chakrabarti, chief executive officer of Emaar India.
Representative image. (Photo source: Emaar India website)
Emaar India Ltd., the arm of Dubai-based real estate major, said it has committed to invest around $1.85 billion in developing mid-to-upscale luxury projects across India over the next five to six years.
The company is eyeing projects across India and expects the boom in economy and rising purchasing capacity of buyers to help them to replicate the legacy of Dubai style infrastructure—defined by buildings like Burj Khalifa and Dubai Mall—in India as well.
Of the Rs 14,000 crore in investments, more than Rs 2,500 crore to Rs 3,000 crore will be invested in Mumbai, said Kalyan Chakrabarti, chief executive officer of Emaar India. He stressed on the company's plans to participate in development of high-rise buildings, while also looking at redevelopment projects in Mumbai.
Alibag Luxury Project
Emaar India, headquartered in Gurugram, came to India in 2005. However, its entry into Maharashtra comes nearly two decades later with the launch of its first Rs 400-crore ultra luxury project in Alibag, called Casa Venero. The project will have 85 villas stretched over 25-acre land in Alibag and will be 20 minutes from the Mandwa Jetty.
The average price of the mid-scale villa will be Rs 9 crore, and the same will rise to Rs 15-16 crore for upscale villa.
"With the new airport in Panvel, the Atal Setu and RORO ferry service has projected Alibag as a satellite city of Mumbai and we are hopeful the city will be the first choice of buyers looking for a weekend home and even for first time buyers," Chakrabarti told reporters in Mumbai.
"We believe the wealth and aspirational value of Mumbai will drive the growth of luxury segment in and around the city," Chakrabarti said.
The company plans to deliver the project in three years' time from the launch and expects mostly home buyers who plan to use these villas as their weekend home or even as first-time buyers to own these villas. "The demand is there from the who's who of Mumbai and the neighbouring areas," Chakrabarti added.
The company is not looking at an initial public offering or REIT as it has no major need for funds and believes it can source the required funds from its parent.
The company is analysing various other deals in and around Mumbai, and is open to partner with others for redevelopment projects as is the norm in Mumbai, given the saturation of space, Chakrabarti said.
Emaar, that was earlier Emaar MGF in India, demerged in 2016 and has been operating as an individual company since then.
