Blackstone to Join Hands with Nagarjuna for Realty Projects

September 20, 2007	(Be the first to rate this story!)  Loading ...
Print This Story   Email This Story Subscribe Newsletter

The Blackstone group, a leading global alternative asset manager and provider of financial services, is planning to foray into Indian real estate with Nagarjuna Construction Company (NCC).

Currently, NCC is working on a 13 million sq ft real estate project while Blackstone may invest $1 billion in Indian realty over the next few years.

Both the companies are scouting for excellent real estate prospects to make it really BIG, says a senior NCC official. Nothing has been finalized as for now, he adds.

Several foreign players have entered into the Indian property market, which have pushed the incoming investments to the mark of $2 billion in the last one year.

One of the factors attracting global players towards the sector is its potential to yield healthy returns. They are around 20-30%, one of the highest in the world property market. NCC Urban has already completed over 12 large scale residential and commercial property projects in cities including Hyderabad, Bangalore, and Kochi.

Blackstone holds 14.5% stake in NCC, which the former picked for Rs 615 crore last month. NCC would use the money for making additional investments in public-private infrastructure projects to expand its capital base.  The company was involved into irrigation projects and has also stepped into power, oil, gas, and metals.

News Published Under:   Banking and Finance |

Comments