DLF to line up ~13,000-crore investment for office spaces
Real estate company DLF is planning to develop nearly 20 million sq ft of office space in the country over the next six to seven years for an estimated ~13,000-crore investment.
Tamil Nadu Chief Minister K Palaniswami unveiled the foundation stone for DLF Downtown, an intended information technology park at the suburb of Taramani. It is estimated to attract around ~5,000 crore over six years. Mohit Gujral, chief executive at DLF, said of the proposed 20 million sq ft of projects, around 11 million will be at Gurugram and around 7 million in Chennai. These will attract ~7,500-8,000 crore and ~5,000 crore, respectively, it is estimated.
DLF office space is currently spread around 32 million sq ft (including those in special economic zones), in the Delhi region, Chennai, Hyderabad, Kolkata, and Chandigarh. With the Taramani project, Chennai will become the second largest market for DLF, after Gurugram.
The company had signed an agreement with the Tamil Nadu government nearly 10 years earlier but the project did not proceed for various reasons, till now. During phase-i, the company will invest ~1,200-1,500 crore to develop 2.5 million sq ft. It aims to finish the other phases in less than six years, said Sriram Khattar, managing director, DLF Rental Business.
He said DLF Cyber City at the Manapakkam suburb was spread around 7 million sq ft and generated annual rental revenue of ~550 crore. The firm invested ~4,000 crore, excluding land, at Manapakkam. The facility has contributed a cumulative export revenue of ~66,000 crore since inception 15 years before. Palaniswami gave numbers on the investment his government’s efforts had fuelled and the expansion of infrastructure in this regard.