LIC Housing Finance, the mortgage arm of Life Insurance Corporation of India (LIC), is set to foray into the venture capital arena. It intends to start Rs 500 crore real estate fund by the end of this financial year.
LIC Housing Finance is reportedly scouting for a banking partner for raising capital and will soon approach SEBI to set up an asset management company. To invest in listed companies, companies usually register with SEBI.
Based on the response to the real estate fund, the company will decide on whether it will expand its presence in the venture capital space.
There are at least three major banks in the fray for a tie-up and a memorandum of understanding will be signed soon. While LIC Housing Finance would be the promoter of the real estate venture fund, LIC could also be one of the internal contributors of the fund.
LIC Managing Director Thomas Mathew said the insurer has no plans to directly enter the private equity or venture capital businesses.
The fund proposed by LIC Housing Finance will be used to finance real estate development and about fifty-sixty projects are likely to be funded over twelve to eighteen months.
A large number banks and finance companies have recently entered the venture capital space and the existing players are expanding their footprints.
Sobha Developers, a Bangalore-based realty major focussed on residential space, is looking at diversifying its portfolio through slum redevelopment schemes and special economic zones (SEZs), retail and commercial projects.
Mr. Raghav Menon, Executive director, said that the company would build an SEZ in either Tamil Nadu or Kerala. He said, “We haven’t decided on the place yet. We will also enter retail and commercial project development”. Read More »
By Rajani
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Posted in Property News
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Also tagged Bangalore, Commercial Projects, Crunch, Hyderabad, Investment, Joint Venture, Land Acquisition, Liquidity, Mysore, Orissa, Pune, Residential Space, SEZ, Slum, Special Economic Zones, Tamil Nadu
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Landmark Group declared that it would invest approx four thousand crore rupees in developing twelve properties across the north India in the coming three to four years.
Mr. Amit Kumar, Director, Landmark Group, said,“Currently, our twelve projects are undergoing in the North, which will be completed in the next three to four years. We will be investing about one billion dollar in developing these projects”. Further he added that the company would fund the projects through internal accruals and funds from private equities. Read More »
By Rajani
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Posted in Property News
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Also tagged Accruals, Amit Kumar, Bawal, Budget Hotel, Dharuhera, Gurgaon, Hotel, Hotels, Landmark Group, Ncr, North India, Own Resources, Participation, Private Equities
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Real estate developer Nirmal Lifestyle is planning to develop 20 townships across India.
The company has marked an investment of $5 billion for the first phase, which includes five townships under the brand name of Lifestyle City, a company release said. Spread over 300-1,000 acre, the phase I townships will come up one each in Pune, Indore and Panvel, and two in Mumbai.
The company is looking at generating $10 billion from these five projects in the next 10 years.
Nirmal Lifestyle chairman and managing director Dharmesh Jain told that the houses in these projects would be priced between Rs 20 lakh and Rs 1 crore. He declared, “Houses in Mumbai cost much more than the price we have put to our projects. So we hope to successfully tap this market”. Nirmal Lifestyle, which has built over 50 lakh square feet of residential and commercial space, is one of the top real estate players in the Mumbai market. Read More »
By Rajani
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Posted in Property News
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Also tagged Capital Partner, Commercial Space, Global Property, Indore, Investment, Investment Officer, Lifestyle, Market, Mumbai, Panvel, Price, Property Consultant, Real Estate Developer, Sport
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Goldman Sachs, Deutsche Bank and another financial investor are thinking to make a shared investment of eight hundred million dollar in three special purpose vehicles being created by real estate major Emaar MGF. Each SPV will have one financial investor.
Delhi-based developer is in advanced talks with private equity players and is likely to close three separate deals within 30 days. No comment came from Emaar MGF on this issue. The deals will be the first big fund flow into the real estate firm since February.
Read More »
By Rajani
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Posted in Property News
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Also tagged Current Market, Emaar MGF, Financial Investor, goldman sachs, Indiabulls, Investment, Investor, Market, Real Estate, Real Estate Investment Trusts, Real Estate Sector, Special Purpose vehicle, Spv, Unitech
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Mr. Abhinandan Lodha, Director, Lodha Group (Bloomberg), confidently said in mumbai that their aim are to raise $2 billion over the next two years from private equity investors and an initial sale of shares to fund its growth.
The developer, which has received investments by JPMorgan Chase & Co. and Deutsche Bank AG in the past two years, said that funds sponsored by mortgage lender Housing Development Finance Corp. agreed to invest $54 million in the projects being developed by the group.
Read More »
April 11, 2008 – 12:18 pm
Real estate and textile firm Modern India Ltd said it is in talks with private equity players to dilute the founders’ stake and sell stake in its special economic zone unit.
Mr. V K Jatia, Chairman and Managing Director, Modern India Ltd, said, “We are in talks with 2-3 players, and we will finalize in the next one to one and a half months”.
There could be two different transactions, one for Modern India Ltd and another for the SEZ, he said, adding both transactions may happen simultaneously. Read More »
February 1, 2008 – 1:59 am
Akruti City Limited (ACL) (formerly known as Akruti Nirman Limited), one of the leading real estate developers of India, has stated total income of Rs. 140.02 crores ensuing in a net profit (after tax) of Rs. 72.14 crores (EPS of Rs. 10.81) for the third quarter ended December 31, 2007
“Akruti City continues to register rock-hard growth in all the uprights that we are participating in. Our expansion outside of Mumbai is continuing at a good snip and we have initiated a number of new projects in Maharashtra and Gujarat. With the proposed combination of capital from Private Equity players, the company is well on its way to continue to grow up and convey value to our stakeholders,” said Mr. Vyomesh. M. Shah, managing director ACL.
Akruti has a presence across the full variety of real estate from high-end super luxury complexes, mid-end extra-large residential complexes, commercial complexes, IT parks and SEZ’s spread over hundreds of acres of land, Biotech parks, robotic car parking towers, and townships. Over the past decade, Akruti has rehoused and rejuvenated a considerable number of slum families and repurposed the lands thus released towards developing better, greener, and cleaner cities.
