DB Realty and Prestige Group Ink Mega Deal
After redefining the skyline of Mumbai, DB Realty, one of India’s leading realty firms, is all set to recreate the same magic in Delhi. As a part of its expansion plan, the realty firm has tied up with Prestige Group to construct a mega project in the national capital. According to a Joint Venture Agreement, which was recently signed between DB Realty and the Prestige Group, the two companies will be constructing a hospitality-led mixed-use project in Aerocity which is home to numerous five star hotels. The project covers an area of a whopping 7.7 acre.
DB Realty’s project partner Prestige Group is a Bangalore-based real estate company and has numerous prestigious projects to its credit. The company has already made a presence in the National Capital Region and is currently working on a mid-income housing project. However, the latest project, which is a 50:50 Joint Venture with DB Realty, will enable the company to establish a firm footing in the real estate market of the National Capital Region.
The mega hospitality-based project includes a hotel, convention centre and office space. On completion, the hotel will be the largest of its kind and will comprise 932 rooms. The office space and the convention centre will cover an area of 2 million square feet and 6.45 lakh square feet respectively.
The total cost of the high-premium project will be approximately Rs 2,000 crore. Since it is a 50:50 joint venture, both companies will contribute Rs 355 crores each in the project. The rest of the cost will be taken care of by bank loans. The land was initially under the control of Delhi International Airport Limit. However, with an aim to construct a mega project, DB Realty had acquired the land in 2009 from DIAL.
The project, which is estimated to be completed in 2022, is expected to prove beneficial to both the companies. It is estimated that the hotel and convention centre will bring in a net operating income of around Rs 300 crores, while the NOI of the office space will be approximately Rs 170 crore.
Founded in 2007, DB Realty has emerged as a leading real estate player in Mumbai and Pune within a short span of 12 years. The company has numerous prestigious projects to its credit ranging from residential and commercial properties to redevelopment projects. Some of its current projects include Ocean Towers, Marine Line; One Mahalaxmi, Mahalaxmi; Rustomjee Crown, Prabhadevi; Ten BKC, BKC and many others. The company’s completed projects are Orchid Surburbia, Kandivali; and DB Woods, Goregaon East.
Every project of DB Realty exemplifies professional, innovation and architectural excellence. On the back of these qualities, the company has made a mark in the real estate sector of Mumbai and Pune and has attracted a huge client base. Delhi continues to be a lucrative market for developers all over the country. With DB Realty and Prestige Group joining hands for a mega hospitality-based project, the NCR real estate market is all set to become more competitive.
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