Piramal Finance plans to invest around Rs10,000 crore in the hospitality sector in the next three years.Published on : Friday, March 23, 2018
Piramal Finance plans to invest around Rs10,000 crore in the hospitality sector in the next three years.
The West India state Mumbai-based firm, a unit of Piramal Enterprises, is also expanding investments in affordable housing said Khushru Jijina, managing director of Piramal Finance and Piramal Housing Finance Ltd.
After inking two deals totalling around Rs1,200 crore across four hospitality projects in 2018, Piramal Finance is working on seven-eight transactions to be closed during the year.
Jijina said Piramal also plans to spend more in affordable housing, given various government incentives and tax benefits in India for both low-cost and middle-income projects.
In February, Piramal Finance said it will focus on affordable and mid-income housing projects across major cities with an initial investment of Rs3,000 crore. Piramal intends to scale it up and invest around $2 billion in such projects by 2020.
Apart from the GM Infinite deal, affordable housing firm Mahaveer Group has also raised Rs380 crore from Piramal Finance for five of its projects in South Indian state Bengaluru.
The 27-acre Global Techies Town project is part of a 124-acre mixed-use development project. The starting price for a two-bedroom apartment is around Rs40 lakh.
GM Infinite is also acquiring land for a 70-acre township project on Sarjapur Road and Piramal is planning to partner with the developer for it. On its new housing finance business, that was launched in Mumbai in 2017, Piramal Housing Finance has already crossed Rs1,000 crore of loans in a span of six months.
Tags: Hotel Industry, housing, Indian hotel, Piramal, Piramal Finance, South Indian state Bengaluru