Starwood to invest $300m in Indian Real Estate

November 24, 2006	(Be the first to rate this story!)  Loading ...
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Leading US based global real estate fund, Starwood Capital will invest as much as $300 million in Indian real estate in the next 18 months, seeking to tap demand for the property in top 20 cities of the country which happens to represent Asia’s fourth largest economy. Of that target, a major portion is likely to be invested in the tier-2 and tier-3 cities.

Wishing to bring its realty world expertise in India, the company is initially geared to fund mid-sized projects ranging between 1-3 million sq ft of space. The first investment will be made in development of the projects that are certain to witness high growth rate including IT parks and residential projects, says the company’s source.

The company is looking at properties across the range which can provide it with the best possible returns on the investment. For that reason, Starwood is also in the process of incorporating its new acquisition with hotel brands in the country - Hotel de Crillon, the luxury brand, ‘I’- the ecotel brand and the budget chain, Campanile. Of these, Hotel de Crillion is on the verge of launch first as a part of a global push.

The company has currently about $2.5 bn in capital under management. It has invested over $5 bn in equity and $14 in debt so far.

Starwood Capital has no plan to enter into ever changing Indian realty sector solely. For that reason, it is in a look out for the partners with whom it can develop a property jointly in addition to investing as a fund.

News Published Under:   Real Estate India, Real Estate Developers |

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