Delhi-based Landmark Land Holdings Pvt. Ltd. has ventured into south India’s real estate market. The investment arm of the Dalmia group has picked up a 25 per cent stake in a special purpose vehicle floated by Prime Textiles, a vertically integrated textile manufacturing company based out of Tirupur. The SPV will develop 20 acres of residential, retail, commercial & hotel development with a built up area of 1.9 million square feet. The financial details of the deal are undisclosed except for that the project is expected to generate revenues of $140 million. This will be Landmark Holdings first investment in south India. It is now looking to aggressively expand its presence in tier-II cities of southern India.
Tirupur, locted in Tamil Nadu, accounts for more than 90 per cent of India’s cotton knitwear export. The city is considered to be the “Manchester of India” and accounts for $3 billion of knitted apparel export. Prime Textiles is involved in manufacturing in textile sector and has recently forayed into real estate sector. The development will comprise residential apartments, office towers, a shopping mall and a four-star hotel and isexpected to be completed in next four years.
According to the press release issued from the company, Landmark group has twenty one ongoing projects in its with a total sales value in excess of $6 billion. It has recently picked up a 10 per cent stake in a SPV floated by Kumar Builders that is developing a 124-acre integrated township and SEZ project at Hinjewadi in Pune.
Landmark, along with US-based affiliate Banyan Real Estate, had picked up a 16.5 per cent stake in Vipul Infrastructure’s Rs 1,200-crore IT SEZ in Gurgaon for Rs 75 crore ($16.6 million). It had also invested Rs 35 crore ($9 million) for an undisclosed stake in Bhubaneswar-based Safari Retreats Pvt Ltd. Landmark had also picked up a 50 per cent stake for an undisclosed sum in a 2 million sq ft residential project of Shipra Estates, a Ghaziabad-based real estate development firm.