Japan's Mitsubishi Corporation will invest Rs 180 crore to acquire 70 per cent stake in Shriram Properties' residential project at Chennai, marking its maiden investment in the Indian real estate sector.
Shriram Properties and an investment arm of Mitsubishi Corporation have signed definitive agreements for partnership in an ongoing large residential development project in Chennai, the realty firm said in a statement.
As per the agreement, Mitsubishi arm is investing about Rs 180 crore towards 70 per cent stake in an ongoing residential project named 'Shriram Park 63'.
The project has over 1,450 residential units and 2 million square feet of saleable area. Shriram has already pre-sales of over 25 per cent of the project that has revenue potential of over Rs 1,000 crore in next 3-4 years.
Commenting on the transaction, Shriram Properties MD M Murali said: "Mitsubishi is another significant addition to the list of marquee partners of Shriram Properties' projects. With positively changing industry landscape and improving market outlook, timing is appropriate for accelerating the development and leveraging best of both companies towards creating sustainable value for stakeholders."