Embassy announces project investments worth Rs 15,000 crores in Karnataka
Signs MoU with Government of Karnataka at the Global Investors Meet (GIM) 2012
Investments spread across four mega projects spanning integrated IT parks for IT/ITES and logistics parks
Embassy Group, a leading Indian property developer, today signed a MoU and shared EoI (Expression of Interest) documents with the Government of Karnataka at the Global Investors Meet 2012, for the development of four mega projects in the State with a projected total investment of Rs 15,000 crores. The projects will span the development of integrated IT parks for IT/ITES with commercial, residential and support facilities and a logistics park, which will mark Embassy Group’s strategic foray into the logistics and warehousing business.
Highlights of some of the key projects are:
|1||ITIR - Doddaballapur SH 207||IT/ITES, BPO, Residential & other facilities||500 acres|
|2||Tarahunise||IT/ITES, BPO, Residential & other facilities||216.04 acres|
|3||Narasapura IInd Phase or Vembgal||Warehouse (Logistics)||200 acres|
|4||Doddaballapur||Warehouse (Logistics)||200 acres|
Commenting on the development on the sidelines of the GIM 2012, Mr. Jitu Virwani, Chairman and Managing Director, Embassy Property Developments Limited, said, “Having developed four business parks in Bangalore in the past decade offering workspace for over 2 lakh people, we are committed to the development of Karnataka and happy to make this announcement at GIM 2012. These projects envision the creation of workspace and infrastructure for close to 1 million people and can have a catalytic effect of creating another one million indirect jobs. The integrated parks will host infrastructure that can significantly help decongest the city as well as improve Karnataka’s contribution to the country’s export potential and international trade.”
While the integrated IT parks will come up in North Bangalore, the logistics park will be developed at Narsapur/Vembgal in the north eastern part of the city. Embassy has partnered with the Maini Group to form a joint venture, christened Embassy-Maini Logistics Bangalore Pvt. Ltd, for the development of this logistics park. This joint venture marks Embassy Group’s first ever foray into the business of logistics warehousing. Embassy and Maini have come together to develop and offer large format, state-of-the-art, ready-to-use, fully-fitted warehouses in major cities across India. Established in 1973, the Maini Group pioneered India’s first electric car “Reva” and has established itself as one of India’s premier design and manufacturing entities. The group has a strong base in material handling equipment and products for the warehouse segment.
Delving further on his company’s maiden logistics project, Mr. Virwani said, “This is a strategic diversification initiative for us. And we are extremely happy to be partnering with the Maini Group. We believe there are valuable synergies in this partnership – while Embassy brings deep experience in developing land, design and construction, the Maini team brings in their rich expertise in design and manufacture of fit-outs and infrastructure for warehouses.”
The rapid growth of retail, manufacturing and related industry segments coupled with changing fiscal and taxation policies will raise the need for modern warehouse infrastructure. The impending unified tax regime in the form of GST (Goods & Service Tax) will allow companies from various sectors to reorganize their supply chain – moving from multiple, state-centred, small format warehouses to fewer, strategically located, large format warehouses. The need to achieve economies of scale will require companies to develop and use modern warehouses that are future-proofed.
About Embassy Property Developments Limited
Embassy Group is one of the leading property developers in India with a track record of over 27 years in real estate development. Embassy has an extensive land bank across the country and has developed over 29.8 million sft of prime commercial, residential and retail space in India along with international operations in Malaysia and Serbia. Embassy’s portfolio of real estate developments spans the commercial, residential, retail and hospitality segments of the real estate industry. While the commercial real estate business includes the development of business parks for the IT/ITeS sector, SEZs and corporate office space, Embassy’s ongoing residential projects include luxury apartments, villas and integrated townships. Embassy’s residential projects are also designed to obtain IGBC Green Homes certification as part of the efforts towards creating sustainable developments.