The Singaporean sovereign wealth fund, GIC, has formed a joint venture partnership with the New Delhi-headquartered developer DLF to invest in residential projects. GIC will be investing INR19.9 billion (€266 million; $300 million) via the partnership.
GIC and DLF, via its subsidiary DLF Home Developers, will be investing in two residential development projects in the capital city of Delhi.
“We hope that this investment is the beginning of a new relationship with GIC at the project level. We look forward to working with GIC in many projects, both residential and commercial,” Saurabh Chawla, senior executive director, finance at DLF, said in a statement.
“Going forward, such project-level investments shall lead to unlocking of embedded value in many of DLF’s development projects.”
“GIC is confident in India’s long-term growth potential and we look forward to partnering with DLF, a leading real estate developer in India, to tap into the attractive opportunities of India’s real estate sector,” said Loh Wai Keong, managing director and co-head Asia, GIC Real Estate. “We hope to leverage our mutual strengths to grow this partnership with DLF and to collaborate on more projects in the future.”
GIC has been actively investing in India with a number of joint venture partnerships with property developers. End of last year, it set up a partnership with the Gurgaon-based developer Vatika Group to invest in residential properties in Gurgaon, a financial district on the outskirts of Delhi. It also has a JV with the Bangalore-based Brigade Group for residential and mixed-use development projects, via which it first invested INR 15 billion in September last year.