You are here : home >News

DLF strikes deal with value in excess of Rs 12000cr :

As the largest private sector real estate transaction with potential value creation in excess of Rs. 12,000 crores, DLF Ltd. has entered into an agreement to acquire a project consisting of 38 acres of land from DCM Shriram Consolidated Ltd. "DSCL" & Lohias Group for Rs. 1,675 crores (approx). The property was a landmark known as Swatantra Bharat Mills and DCM Silk Mills. As per internal estimates of DLF, this acquisition coupled with the previous acquisition of contiguous plots, will add Rs. 4,000 crores to its NAV. It will also increase the NAV of the existing IT SEZ project by Rs. 1000 crores, thereby the total cumulative NAV increasing by Rs. 5,000 crores.

Another DLF Group company already owns 25 acres in an adjoining piece of land. Recently, DLF had also contracted to purchase another adjoining parcel of land measuring 2 acres from Pure Drinks Ltd.. With the latest acquisition DLF is strongly positioned to leverage the efficiency of the contiguous parcels of land to build a truly world class community.

With this current acquisition, DLF will have the potential to build 3 msf of IT SEZ offices, 2 msf of Shopping mall and 5 msf (approx) of residential units, totaling around 10 msf of saleable/leasable area. The development will be nestled by a huge 121 acre city park making it one of the most picturesque and environmentally friendly projects - involving rain water harvesting, water re-cycling and use of sewage water for landscape greenery. These eco-friendly measures will ensure that the development will not cause any strain on the existing civic services in the area. It will be DLF's endeavor to make the project a benchmark for the urban re-generation programs in the inner city areas of the Capital city of New Delhi.

Project Description

The properties would be developed as an integrated community of 200 acres offering a healthy combination of modern city infrastructure and ideal business / residential environment. The project will be built around a 121-acre green belt belonging to DDA. The development will offer modern workspace to IT/ITES companies, clubbed with residential, retail and recreational developments.

The area would have approximately 5 msf of built up area of an up-market residential apartments with not just an inspiring ambience but top-notch amenities as well. The retail mall of 2 msf will be strategically located in the community to cater to the premium catchment area consisting of more than 5 million residents of Delhi. The development will also offer state of the art workspace of 3 msf to leading corporates; software majors and IT enabled service companies who value world class infrastructure, for which DLF has received approval from the Ministry of Commerce to set up an IT/ITES SEZ.

Location and Accessibility
The land parcels are located at Shivajimarg Road in West Delhi. Its has strategic location (proximity to the heart of Delhi, 5 km from CBD) and is well connected with major roads and the Delhi Metro. Robust infrastructure support already exists for such a developmentand above all limited supply of quality space in the vicinity will provide superior investment returns to DLF.

The area has an excellent catchment from certain prominent residential localities nearby such as Punjabi Bagh and Rajouri Garden.

The said land parcels are located along Shivajimarg and are connected to Rohtak Road along its southern borders. Due to its centralized location, the area is easily accessible by all forms of public transport - Metro, buses and private cabs, connecting it to not only the whole of Delhi but also the NCR region.

Sourced From: Concept Public Relations India Pvt Ltd

DLF makes most costly land buy :

DLF Ltd has paid a whopping Rs 1,675 crore for 38 acres of land in west Delhi from DCM Shriram Consolidated Ltd (DSCL) and the Lohia Group.
This is the most expensive land deal in the country so far. It surpasses the Rs 1,582 crore rival Unitech paid for 300 acres in Noida last year.
DLF has shelled out a whopping Rs 44 crore an acre for the land which is located about 5 km from the Connaught Place central business district.
The property, better known as Swatantra Bharat Mills and DCM Silk Mills, was owned by SBM Land Redevelopment Project. DCM Shriram Consolidated and the Lohias had a 50:50 right to the land.
DCSL said it received its share of Rs 837.50 crore on signing the agreement with DLF today. The Lohias did not offer any official comment, but a source in the family said that S P Lohia (of Indonesia-based PT Indo Rama) was the owner of the land.
DLF, the country’s largest real estate developer, is looking to realise around Rs 12,000 crore from development at the site. A senior executive of DLF said the sale as “not a land deal, but a project deal on perpetual lease basis.” The company said it funded the deal through internal accruals.
SBM Land Redevelopment had earlier forfeited 74 acres, nearly double the land it sold today, to the Delhi Development Authority on the orders of the Supreme Court orders.
Ajay Shriram, chairman and senior managing director, and Vikram Shriram, vice chairman and managing director, said: “The sale represents a well considered exit option at a satisfactory price. We intend using the cash realised from this transaction to part fund our expansion plans and new initiatives, while simultaneously enhancing the quality of our balance sheet.”
DLF earlier acquired 27 acres in the vicinity of this newly-acquired land. Two acres were bought from Pure Drinks.
The company plans to develop 3 million sq ft of office space in its infotech special economic zone, 2 million sq ft of retail and approximately 5 million sq ft of high-end residential units, which totals to about 10 million sq ft of saleable and leasable area.
According to internal estimates, today’s acquisition together with the contiguous plots acquired earlier, will add Rs 4,000 crore to DLF’s net asset value (NAV). It will also increase the NAV of the existing IT SEZ project by Rs 1,000 crore. This new development will be surrounded by a 121-acre greenbelt, which DLF is hoping will increase its asset value. It also has an excellent catchment from certain such prominent residential localities as Punjabi Bagh and Rajouri Garden.

August 17, 2007 Source : Business Standard

New User
Forgot Password?

Courtesy & Obligation
Powered by Gicl