DLF lines up Rs 5000cr for Andhra market

Real estate development company, DLF Limited, has lined up investments to the tune of Rs 5,000 crore for further penetration in the retail market of Andhra Pradesh, apart from setting up two special economic zones (SEZs) near Hyderabad.

Chairman of DLF Commercial Developers Limited, A S Minocha, said that the company was developing DLF City "� an SEZ at Gachibowli in Hi-tec City "� at a cost of about Rs 800 crore.

In a joint venture with US-based Hilton group, DLF would construct service apartments and a 100-room hotel in the SEZ. The proposed budget hotel involved an investment of Rs 300 crore.

The Delhi-based company, which is coming out with a public issue of 175 million equity shares of Rs 2 each at a price band of Rs 500 to Rs 550 per share, had just acquired 25 acres land at Poppalaguda near here, for setting up an IT-specific SEZ. This project is estimated to cost about Rs 700 crore.

DLF is also in the process of entering into a tie-up with local partners for the redevelopment of the old premises of Gandhi Medical College in the city as an urban entertainment centre with a 2-million square feet built-up area. The entertainment centre, expected to cost Rs 1,000 crore, will have a multiplex complex, hotel and office towers.

Minocha said that DLF would be launching two luxury malls in the prime localities of Banjara Hills and Jubilee Hills. The company was in the process of acquiring two properties for this purpose.

DLF was also looking at retail development opportunities in Visakhapatnam and Vijayawada.