The Government of Singapore Investment Corporation, or GIC has formed a joint venture with India’s Vatika Group to develop two residential projects on Dwarka Expressway in Gurgaon.
This is one of premier or hottest property sites in the country.
The projects will meet the demand for high-quality residential units and will be developed by Vatika, said GIC, Singapore’s sovereign wealth fund which is making the investment through its affiliate.
The projects, to be completed by financial year 2018-19, are expected to generate revenues in excess of 2,000 crore rupees.
The projects, with development potential of over 2.3 million square feet, are located within five kilometers of Vatika Express City of 120 hectares and Vatika India Next which has an area of 250 hectares. These are integrated townships where Vatika is already providing extensive social infrastructure including schools, hospitals, retail space, parks and recreational spaces.
Mr. Loh Wai Keong, Co-Head Asia, GIC Real Estate, said “GIC is confident of India’s growth potential over the long term”.
Vatika Group is one of the leading developers in Gurgaon and we are pleased to establish this partnership.
“We have nurtured long-term partnerships with developers across the globe successfully and hope that we will leverage each other’s strengths to grow this venture steadily in the coming years,” said Mr. Loh.
Vatika Group Managing Director Gautam Bhalla said “The Group is happy to partner with GIC, a leading global investment organization with a strong vision and values that are in line with Vatika’s.
“We see this as a good start to a rewarding long-term partnership.”
GIC is a global investor with well over US$100 billion in assets under management. Established in 1981, the firm manages Singapore’s foreign exchange reserves.
In September this year, GIC announced investment in residential projects in southern India in partnership with Brigade Enterprise. GIC and Brigade, a leading Indian developer, have committed joint investment of 15 billion rupees in the projects.
In February, GIC paid 1.06 billion rupees to raise its stake to some 5 per cent in Mumbai-listed Phoenix Mills from 1.5 per cent. Phoenix develops a wide range of properties.