Banerjee, Jalan: Joining hands
Calcutta, July 29: Tata Housing has joined hands with city-based Keventer Group to develop a top-end housing project in Alipore, marking the return of the conglomerate in Bengal after the Singur debacle in 2008.
The Tatas and Keventer have floated a special purpose vehicle to build the Alipore property and look for other residential projects in the state.
The Alipore project will come up on a 3-acre plot that belonged to Keventer, which has interests in dairy, food processing, real estate and infrastructure.
Mayank Jalan, managing director of Keventer, confirmed the development. “This will be our first project together but certainly not the last. Tata Group has many formats and we shall bring them to Bengal,” Jalan said.
Tata Housing will hold a 51 per cent stake in the venture. The land parcel will be transferred to the joint venture and constitute Keventer’s initial investment in the venture.
Sources said the plot had been valued at around Rs 300 crore, or Rs 100 crore per acre, which is close to the circle rate of the area.
The duo expect to set a new benchmark in luxury real estate in Calcutta even though the details are still under wraps.
“Tata Housing has always believed in setting a benchmark in the real estate industry with luxury and ultra-luxury projects,” Brotin Banerjee, managing director and CEO of Tata Housing Development Company, said.
Tata Housing is building several luxury projects across the country, most notably villas on Hailey Road in the heart of Delhi priced at Rs 130-170 crore.
Banerjee said the company believed this was the right time to invest in quality land parcels in the city centres of major metros as the demand would start picking up with an improvement in the economy by the end of this year. The joint venture is in line with Tata Housing’s vision to expand its presence in the fast-growing segment, he added.
Debanjan Mandal, partner of solicitor firm Fox & Mandal, which is the legal adviser to the deal, said Tata Group’s majority partnership in the venture “demonstrates their keenness in the project and overall value proposition in doing business in Bengal”.
Abhijit Das, director of international property consultancy Cushman & Wakefield in the east, said the development would take the realty sector in Bengal to the next level.
“It is good that a big national player is putting fresh money. The city needs few more iconic projects and this promises to be one,” he added.
The Tatas and Keventer had also bid for land offered by Calcutta Tram Company at Tollygunge.
At present, the Tatas are building a large housing project at Rajarhat.