News: DLF, Al Nakheel to invest $ 24 b in Mumbai, Delhi

(PTI 26/03/2007) New Delhi - DLF, India's largest real estate firm, is planning to invest about $24 billion for developing two townships over a period of six years in collaboration with Dubai-based Al Nakheel. "DLF and Nakheel have floated a 50:50 joint venture for the investment,"a company official said. The JV plans to set up two townships of 20,000 acres - one around Delhi and the other near Mumbai. The first phase will be completed in the next three years with an investment of about $10-12 billion. Work on the project will start this year, and is expected to be completed by about 2013, the official said. "Some of the land needed for the township would come from the existing land bank of DLF, while the rest is being bought directly from farmers." DLF is planning to raise about Rs 13,600 crore through its initial public offering for which it is awaiting approval from Sebi after it had filed a draft red herring prospectus in January this year. This is the second major partnership for the firm after its agreement with US-based hospitality giant Hilton for its foray into hotel business.