Mahindra Lifespace buys 12-acre land parcel in Gurgaon from IREO

By Anuradha Verma

  • 26 Feb 2014

Mahindra Lifespace Developers Ltd, the realty arm of Mahindra and Mahindra Group, has acquired a 12-acre land parcel in Gurgaon for Rs 472 crore (around $76 million) from real estate-focused private investment cum property development firm IREO Management Pvt Ltd.

The news, first reported by The Economic Times, was confirmed by Mahindra Lifespace, which did not, however, comment on the transaction size. 

The project will be developed through the joint venture called Watsonia Developers Private Limited, in which Mahindra Lifespace and Standard Chartered Real Estate, a PE unit of Standard Chartered Bank, hold equal stake, the paper said. 

In July last year, Mahindra Lifespace had forged the JV (Watsonia Developers) with SCM Real Estate (Singapore) – the investment arm of Standard Chartered Real Estate – to develop residential projects in India. The projects to be developed by this JV will be marketed under the Mahindra Lifespace brand. 

With its footprint in nine cities across the country, Mahindra Lifespace currently has 11.3 million sq ft of ongoing and upcoming projects in pipeline, including 1.55 million sq ft that will be developed by Watsonia Developers through its first two premium projects in Gurgaon and Bangalore. 

Founded in 2004, IREO—which is engaged in the development and financing of real estate projects in India—has 19 million sq ft of residential and 4 million sq ft of commercial projects at various staged of development across locations like Punjab, Maharashtra, Haryana, Tamil Nadu and the National Capital Region, with a total 4,500-acre land bank.

(Edited by Joby Puthuparampil Johnson)