Israel firms in JV for Rs4,000cr realty proj

Property and Building Corporation (PBC) and Electra Real Estate, both Israel based firms, today announced plans of developing Rs 4,000-crore real estate projects in Hyderabad, Chennai and Mysore through a newly incorporated Indian joint venture, PBEL Property Development (India), with Hyderabad-based Incor Infrastructure as a 10% stake holder.
PBC is a subsidiary of the IDB group whose business interests range from telecom to real estate with its global assets pegged at over $27 billion while Electra Real Estate is a subsidiary of Elco Holdings of Israel. Both companies hold 90% of the equity in PBEL at equal ratio.
The company has already invested Rs 500 crore in acquiring 110 acres of land for building four projects, two in Hyderabad and one each in Chennai and Mysore, which together would offer over 10 million square feet of built up space - residential commercial and IT, Meir Boukris, director & founder, PBEL, said.
The company has acquired 58 acres in two land parcels in Hyderabad and 42 acres in Chennai for a mixed township project and a 10 acre residential neighborhood in Mysore.
While the high growth potential being offered by Hyderabad and Chennai over other cities in India besides their previous business relations with local cities have played a key role in announcing first phase plans from Southern part of India, the company is open to explore opportunities in other parts of the country as well, he said. The company would invest another Rs 4,000 crore on various project in the next 2-3 years time in India, Boukris said.
Responding to a question on raising funds for phase one projects, Boukris said that would be decided during the course of working on each of these projects, which according to him, would be completed during the year.
All four projects are in the process of receiving necessary approvals, Anand Reddy, executive director, PBEL, said.

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