NEW DELHI (INDIA): Embassy through its entity Embassy Property Development Pvt Ltd, has entered into an agreement with Taurus Investment Holdings, a Real Estate Private Equity Investment and Development Company headquartered out of Boston, Massachusetts, US to form a joint venture called Winterfell Realty Private Limited to develop an SEZ property in Trivandrum, Kerala.
This will be Embassy’s first project in the State and it will be known as Embassy Taurus World Technology Centre, Trivandrum. Embassy will have an equity commitment of 49% while Taurus Investment Holdings will hold the remaining 51%.
The partnership entails an economic interest of 50: 50 for both entities in the Joint venture. This partnership strengthens Embassy’s Commercial office space portfolio and development of SEZs in key strategic locations.
Embassy Taurus World Technology Centre will be constructed within the existing Techno park primarily on a 10-acre SEZ land parcel, as part of a mixed-use development spread across a total of 20 acres. The office component will encompass 2.3 mn sq feet i.e. 65% of the total area of the larger project, with the rest to be developed as retail and a hotel.
The 1st Phase of office development comprises of 1.4 mn sq feet office space, and is expected to be completed within 24- 30 months. The land parcel will be leased from Techno park for a period of 90 years, with an additional renewal option of another 90 years. The 2nd phase will be launched subsequently based on the leasing velocity, with a projected total completion period of 60 months. Brookfield Financial advised on the transaction.
Commenting on the formation of the Joint venture, Jitu Virwani, Chairman & Managing Director, Embassy, said “The establishment of SEZ in India has been envisaged as an important strategic tool to expedite the growth of international trade and services. We are committed to be a part of this significant growth, with our exclusive SEZ project developments across locations. Our partnership with Taurus Investment Holdings fosters this vision, and marks our foray into the state of Kerala. Embassy Taurus World Technology Centre is strategically located and has tremendous potential, with well-known firms planning major developments in the region. The great synergy we share with Taurus Investment Holdings, will help us nurture a longstanding relationship with them”
Ajay Prasad – Country Managing Director, India – Taurus Investment Holdings LLC said “Taurus has a legacy of more than four decades of successful investments across countries. Real estate is a focused play and we have been on the constant lookout for a suitable strategic partner for this venture. We are excited to begin a new chapter in our history in partnership with Embassy, which is a well-established developer in India with unmatched expertise in office development as well as a class- leading client portfolio. Together, Taurus and Embassy will develop a landmark project in a very exciting new market”