Country Club acquires A'bad's Goyal Water Park

Earmarks Rs 150 cr for Gujarat.

Hyderabad-based leisure and infrastructure company Country Club India Ltd (CCIL) has earmarked an investment of Rs 150 crore for the state.

Of this, the company has already spent Rs 30 crore on acquiring properties in Ahmedabad, Vadodara and Surat with a cumulative area of over 1,40,000 sft.

Prominent of these acquisitions is the Goyal Water Park in Ahmedabad, a theme park owned by city-based Goyal and Co, at a cost of Rs 7 crore. Spread across an area of over 40,000 sft., the park had been slipping into oblivion, say sources.

According to CCIL chairman Y Rajeev Reddy, the company will refurbish the property to bring it to the five-star club category and will feature high-end brands of CCIL like Moksha - The Health Club, Spice restaurant and Pulse, a party lounge.

The other properties acquired in the state include clubs in Ahmedabad, Vadodara and Surat at a cost of Rs 5.5 crore, Rs 12 crore and Rs 5.5 crore respectively.

"Gujarat is a significant market for the company since it hosts more than one upcoming tier-II and III cities. We are, therefore, launching a concept of basic clubbing under the brand 'CK-27' in the country for the first time at Ahmedabad, and later at Vadodara and Surat. Unlike the flagship club, which are located on the outskirts, CK-27 will be located in the city," said Reddy.

A shorter version of the flagship club, CK-27 will be spread across an average area of 15,000-20,000 sft.

CK-27 will not have outdoor facilities like swimming pools, gymnasiums and open-air party plot but will only feature basic club amenities like conference hall and library, said Reddy.

"Of the earmarked amount, Rs 75 crore will be spent on refurbishing the acquired properties and bring them to the Country Club standards. Our internal research of Gujarat suggests that the state is witnessing rising disposable incomes and growing penchant for leisure, fitness and entertainment among the citizens," added Reddy.

The company had raised Rs 486 crore through a recently completed GDR/QIP issue, priced at Rs 770 per share. Global investment institutions such as Fidelity Investment International picked up 9.88 per cent equity in the company, while Goldman Sachs International and New Vernon picked up 6.59 per cent and 4.94 per cent equity respectively.

CCIL owns and operates over 150 properties across the country.