IKEA to open first store in Noida, to invest ` 5,500 cr in UP

The state government on Friday signed MoU with Swedish furnishing giant IKEA which will open its first store in Noida and invest Rs5,500 crore in UP.

The MoU was signed virtually at the Chief Minister residence in Lucknow in the presence of CM Yogi Adityanath, Industry Minister Satish Mahana, Noida Authority and IKEA officials. The company was handed over land lease deed papers. Ikea has bought 12 acres in Sector 51 of Noida at Rs850 crore and paid stamp duty of Rs56 crore. IKEA’s country property manager David McCausland signed the land papers on behalf of the company. It will be developing integrated commercial projects having shopping malls, hotel, offices, retail areas in 5 lakh sq ft in Noida.

The company officials claimed the construction will begin shortly. The IKEA investment will generate 8,000 direct and indirect employment opportunities to thousands of people.

The CM said it was a golden opportunity for the company to invest in Noida where Asia’s largest Jewar International Greenfield Airport is coming up. He assured company officials all support and hoped the company will further expand and make investment in other cities.

Peter Betzel (in pic), IKEA India CEO said the company plans to set up a mix of large and smaller city centre format stores, with ecommerce facility, in UP over 7 years.

The world’s largest furniture and home product retailer had got approval from India in 2013 to invest Rs10,500 crore to build a supply chain infrastructure and open 25 stores by 2025. IKEA had opened its first store in Hyderabad.