Tata Realty frontrunner to buy Chennai land for Rs 500 crore.
Publish on : 2018-10-31 13:05:24
BENGALURU|MUMBAI: Tata Realty and Infrastructure Ltd (TRIL) has emerged as the frontrunner to acquire a
22-acre land parcel in Chennai from Xander Investment Management and Realvalue Promoters for about Rs 500
crore, two people aware of the development told ET.
If TRIL clinches the deal, it will be the first large transaction that the company will have undertaken after it
reorganised its operations. “The company is conducting due diligence on the property located on Thoraipakkam
road in Chennai, an upcoming IT corridor. While TRIL is the frontrunner, a local Bengaluru-based builder is also
in the race,” the persons cited earlier said, requesting not to be named.
Email queries to Xander Investment Management and Tata Housing Development Company remained
unanswered till the time of going to press on Monday. Xander Investment Management had invested about Rs
220 crore as debt four-five years ago in a residential project by Realvalue, but the project failed to take off.
“Realvalue has defaulted on many projects and now the fund is looking to recover its money by divesting the land
parcel,” said one of the persons cited earlier, requesting not to be named.
In a bid to simplify structures and leverage synergies, Tata Sons had recently announced the reorganisation of its
infrastructure and real estate businesses— TRIL and Tata Housing Development Company. “The company has
been actively looking for growth opportunities, including joint developments and outright land deals, to support its
future growth,” the person cited earlier said.
Source :- Economic Times