It is real. And it is happening. After the domestic, the US and the European firms homing in on Chennai to cash in on the city?s real estate boom, it is now the turn of a host of Israeli firms to make a beeline into Chennai, otherwise known for its idlis and vadas and not to mention the cuppa full of kappi. A slew of Israeli firms have lined up mega investment plans in the Chennai real estate market. This is despite the property prices in the city has gone through the roof and ruling at all-time high levels with no signs of fatigue.
According to the Chennai-based real estate advisor, Hemdev International Realty Services, at least a couple of Israeli real estate majors have lined up mega investment projects in the city which include both commercial and residential projects. According to them, Israeli firm Elbit Medical Imaging Ltd has invested close to $135 million in a Chennai property which will have both commercial and residential projects. The company had already acquired land for the hybrid project.
Similarly, PBEL, a consortium consisting of two Israeli firms Property and Building Corporation and Electra Real Estate and Belgium?s Millennium Diamond Holdings and Hyderabad-based Incor Infrastructure is planning to invest $ 1 billion in the Indian real estate market with a focus on Chennai and Hyderabad. The company already has a project running in Hyderabad. It is scouting for close to 125 acres of land in these cities.
Other than Israeli firms, leading real estate companies, both domestic and foreign, are looking for opportunities in the Chennai market. For instance, Singapore real estate giant Far East Organisation is keen to get a toe-hold in the Chennai property market. Similarly, leading property developers from Kolkata are also looking for opportunities in the Chennai market.
According to real estate trackers, the stability in the Chennai property market is one of the major reasons for the real estate firms to make a beeline to the city. The boom in the local economy fuelled spurred by IT and related sectors are a major reason fuelling growth of Chennai property market, they say.