Indian real estate firms have realized that better synergy can be achieved through partnerships and mergers. Adding to the growing list of tie-ups are Trammel Crow and the Uppal Group which entered into fresh alliances early this week.
The merger of Trammel Crow Meghraj and Jones Lang LaSalle was formally
announced on Tuesday, creating India’s largest real estate consultancy firm with a 35% market share.
JLL-Meghraj, the new entity, will have 44 million sq. ft under its management, bringing together Indian properties spanning 21 million sq. ft of JLL and 23.2 million sq. ft of Trammel Crow.
The merger aims to reach a turnover of USD 70 million figure by 2009.
With more demands from the growing Indian real estate market,
JLL-Meghraj proposes to start new divisions for hotels, capital markets,
asset and shopping mall management.
Likewise, the Uppal and Luxor groups have come together to form
a Special Purpose Vehicle with Trinity Capital (PLC), an investment
banking and restructuring firm based in the US. The two companies have
parted with a partial shareholding in the SPV to Trinity.
The SPV will develop a multi-product SEZ on 10 million sq. ft
on a 67 acre plot.The notified SEZ, likely to commence construction
in the latter half of 2007 would devote 6.5 million sq. ft to
IT, adding to the existing 7.9 million sq. ft of IT space in the NCR.
Demand for real estate by IT companies is expected to reach 16 million
sq. ft by 2008. Support infrastructure like housing, restaurants,
entertainment zones, schools, and hospitals would also be provided for
in the project.
