Bharti Realty, the real estate arm of Bharti Enterprises, is looking to expand its presence in Delhi and Gurugram markets and is in talks with land owners as well as other developers for joint ventures to build new projects worth over Rs 1,000 crore each, a top company official said.
Bharti Realty, the real estate arm of Bharti Enterprises, is looking to expand its presence in Delhi and Gurugram markets and is in talks with land owners as well as other developers for joint ventures to build new projects worth over Rs 1,000 crore each, a top company official said. Bharti Realty currently has around 15 completed projects, having nearly 5 million sq ft of fully leased Grade-A commercial space, in Delhi-NCR and some other cities. It has almost completed a 7 lakh sq ft office building at Gurugram and will soon start the leasing process.
“We are looking to add new projects in Delhi and Gurugram. We are being approached by land owners and other real estate developers for partnerships. We are actively considering it,” Bharti Realty MD and CEO S K Sayal told PTI. The company would continue to focus on the national capital region market, he said.
Sayal said the size of the projects would be over Rs 1,000 crore each and the deal could be finalised in next few months. To foray into the housing segment, Bharti Realty had in 2015 formed a JV with Eros group to develop a residential project at Surajkund in Haryana. Asked about the status of this 52 acre-project, Sayal said the construction work has not yet started because of a pending legal case in the National Green Tribunal (NGT).
The company has got all regulatory approvals from the central as well as the state government to start this project, comprising 2,300 units and around Rs 2,000 crore of investment, he said. Sayal expects that the company would soon get approvals from the NGT and the National Capital Region Planning Board (NCRPB) to develop this project.
The housing project at Surajkund will be vertical smart city where apartment price will be in the range of Rs 1.25 crore to Rs 4 crore. On the commercial project that it bagged from the Delhi International Airport Ltd (DIAL), Sayal said the construction work would start in 6-8 months’ time as the project is being conceptualised and the overall master plan of the commercial hub ‘Aerocity’ near airport is being approved.
The development of this 23-acre commercial project, having about 2.5 million sq ft of leasable area, mostly retail, would require an investment of about Rs 1,500 crore. In January 2017, DIAL — which operates the aerodrome in the national capital — had given the contract to Bharti Realty to develop an area of nearly 2 lakh sq metres of retail space near the airport here.
This contract, decided through bidding process, involved an upfront payment of Rs 315 crore as well as licence fee equivalent to 20 per cent of revenue with minimum guaranteed payments, GMR had said last year. DIAL is a subsidiary of GMR Infrastructure. Bharti Realty already has 2-3 properties in ‘Aerocity’, named ‘Worldmark Aerocity’, comprising fully-leased 1.5 million sq ft area.
On the overall real estate market, Sayal said the sentiments are low and housing demand is subdued. “The dynamics in real estate market have changed post demonetisation, new real estate law RERA and the GST. Forward trading has stopped. There is lot of sanity in the market and the consumers will be beneficiary of these reforms,” he noted.
The Bharti Group has presence in telecom, agri-business, financial services, retail and real estate among others.