Israel firms in Joint venture for realty project

Property and Building Corporation (PBC) and Electra Real Estate, both Israel based firms, today pronounced plans of developing Rs 4,000-crore real estate projects in Hyderabad, Chennai and Mysore through a recently incorporated Indian joint venture, PBEL Property Development (India), with Hyderabad-based Incor Infrastructure as a 10 percent stake holder.

PBC is a subsidiary of the IDB group whose business interests vary from telecom to real estate with its worldwide assets pegged at over $27 billion while Electra Real Estate is a subsidiary of Elco Holdings of Israel. Both companies hold 90% of the equity in PBEL at equal ratio.

The company has already invested Rs 500 crore in obtaining 110 acres of land for building 4 projects, 2 in Hyderabad and one each in Chennai and Mysore, which together would offer over 10 million square feet of built up space – residential commercial and IT, Meir Boukris, director & founder, PBEL, said.

The company has obtained 58 acres in 2 land parcels in Hyderabad and 42 acres in Chennai for a mixed township project and a 10 acre residential area in Mysore.

While the high growth potential being offered by Hyderabad and Chennai over other cities in India besides their preceding business relations with local cities have played a key role in pronouncing first phase plans from Southern part of India, the company is open to discover opportunities in other parts of the country as well, he said. The company would invest another Rs 4,000 crore on a variety of project in the next 2-3 years time in India, Boukris said.

Executive director of PBEL Anand Reddy said that all four projects are in the process of receiving compulsory approvals.