A Singapore property funds Ascendas Real Estate Investment Trust and Mapletree Investments Pvt. Ltd. are planning to invest about $100 million in a Special Economic Zone (SEZ) near Pune, an Indian city. According to sources, funds are negotiating with Indiareit Fund Advisors, a property fund managed by an Indian billionaire, Ajay Piramal and real estate developer Paranjape Schemes to buy a major portion of the Blue Ridge Special Economic Zone (SEZ).
Special economic zones are export oriented zones wherein there is significant exemption from tax to generate employment. Indiareit is a unit of Piramil Healthcare which has assets of $1 billion. It had invested in the 130 acre Blue Ridge project between the years 2006 and 2008. Last year the deal was to be finalized relating to a majority stake in the SEZ project with Tata Realty Fund, but it was unsuccessful.
Indiareit has sold off properties amounting to 7 billion rupees as shown by its website. DLF, an Indian developer has said last month that it along with a joint venture partner had sold another SEZ in Pune for an amount of 8.1 billion rupees to a unit of Blackstone Group. Real estate firms in India are facing severe decrease in sales after the central bank; Reserve Bank of India (RBI) had raised its interest rates 13 times since March 2010.
Special economic zones are export oriented zones wherein there is significant exemption from tax to generate employment. Indiareit is a unit of Piramil Healthcare which has assets of $1 billion. It had invested in the 130 acre Blue Ridge project between the years 2006 and 2008. Last year the deal was to be finalized relating to a majority stake in the SEZ project with Tata Realty Fund, but it was unsuccessful.
Indiareit has sold off properties amounting to 7 billion rupees as shown by its website. DLF, an Indian developer has said last month that it along with a joint venture partner had sold another SEZ in Pune for an amount of 8.1 billion rupees to a unit of Blackstone Group. Real estate firms in India are facing severe decrease in sales after the central bank; Reserve Bank of India (RBI) had raised its interest rates 13 times since March 2010.
This is a fact that if the banks will increase the interest rates then it is obvious that there would be a decrease in the sales of the properties, because the people would not be able to buy the properties as they will get effected from high interest rates either of the banks or of the mortgage companies. Well, its a good thing that Singapore property fund is interested in investing in the SEZ areas of Pune which is also one of the best cities. This would be good for the economic growth of the city.
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