MUMBAI: Realtor Hiranandani Group is looking to ramp up its commercial portfolio by 10-15% annually over the next five years through new projects. The Mumbai-based developer will be adding five million sq ft in the two years ending December 2017 in Mumbai Metropolitan Region (MMR) and Ahmedabad. The group is also planning to develop a 250-acre industrial township in Talegaon in Pune and a 160-acre park in Chennai.
“We believe in the Prime Minister’s vision of ‘Make In India’, which will boost both industrial and commercial activity in India and therefore initiating the new industrial space building and growing the commercial footprint from our side. Apart from commercial development, we are also going to focus on industrial townships. We will be developing an industrial township on 250-acre land in Pune and 160 acres in Chennai,“ said Niranjan Hiranandani, CMD of Hiranandani Group of companies.
The company has already started the first phase of construction for the industrial township in Pune spread over 50 acres and is expected to be completed in four phases. It has also completed acquisition of 160-acre land for a similar project in Chennai. Currently, the group is developing nearly six million sq ft of commercial properties, including two million sq ft in Panvel and 3.5 million sq ft in Thane. A four-lakh sq ft project in GIFT SEZ in Gandhinagar is the latest addition to this portfolio.
“We have already leased 30% of Hiranandani Signature tower in GIFT City and hope to increase the occupancy to 85% by September. There are seven prominent banks which have shown interest in picking up office space. Demand for space here is high, given the tax benefits being offered,“ said Hiranandani.
The (BSE and Kotak Mahindra Bank are the anchor tenants at Hiranandani Signature tower with first and second floors, respectively. BSE Brokers Association has also picked up an entire floor spread over 28,000 sq ft. Revenues from businesses operating out of this tower will be tax free, except for a levy of minimum alternate tax (MAT) of 9%.
In 2016, the company concluded India’s largest commercial space transaction for the year with two million sq ft built-to-suit office leased to software major Tata Consultancy Services (TCS). It also concluded the largest commercial space divestment deal to a private equity when it sold 4.5 million sq ft office and retail space to Canada-based Brookfield Asset Management for $1 billion.
Credits ET Realty