Gujarat builders bet big on SEZs

Gujarat-based Ganesh Housing, Agarwal Estate Organisers and JP Construction are pitching hard to join the bandwagon of IT developers in the state. However, the state government's new IT policy has been pending for two years.

As the state IT department is facing shortage of land, construction majors like DLF and Raheja are mulling the option of setting up SEZs in JV with the local developers, sources said.

"We have submitted a proposal to the state government for setting up an IT park and have sought SEZ status for it. We aim to invest about Rs 400-500 crore," said Praveen Kotak of J P Construction.

The proposed park, under the brand of Isckon Park, will come up in the Jagpur Charodi area near Swaminarayan Gurukul School on SG Highway and will be spread over 60 acres. We had talks with DLF. However, nothing has been finalised, he added.

Meanwhile, there is a talk that the government will come out the IT policy within 15 day. Ganesh Housing is setting up an IT park, Million Minds, in 123 acres of land near Nirma.

"We have about 125 acres of land which we plan to develop into an IT park. The investment will be around Rs 500-600 crore," said Bhavin Mehta, head-business development, Ganesh Housing. The company has also applied for the SEZ status for the park.

Agarwal Estate Organisers is, however, waiting for the state to declare its IT policy. The earlier IT policy expired a year ago and the new policy has been drafted but not yet declared.

"We are keen to set up an IT park here. However, we are waiting for the state to declare its new IT policy," said Sanjay Agarwal of Agarwal Estate Organisers.

A ceiling on the number of SEZs to be set up in a state is likely to come up soon. This will increase the chances of JVs between local and the national players, the sources further said.

"We are keen on exploring Gujarat but are awaiting new IT policy," said an official of Tech Mahindra.

"The IT policy is in the final stage and will soon be declared. Under the new policy there will be over 50 per cent addition in the existing FSI areas where the parks will come up," said Raj Kumar, secretary, department of science and technology, Gujarat.

The FSI near the Vaishnavdevi area, which is about 1.2 falling in the R2 zone, will be relaxed to 3.5-4 with a ground coverage of 60 per cent, the sources said.

"We have received two proposals from local developers to build IT parks on S G Highway. The developmental construction of each of the proposed SEZs will take about 16-18 months," Raj Kumar added.