Chinese construction major CNTC has formed a joint venture with Bengaluru-based Golden Gate Properties to mark its foray into the Indian real estate space, where they will invest over Rs 2,500 crore on two projects to begin with.
The newly formed entity 'Golden Gate-CNTC' plans to invest USD 1 billion in the next two years on realty projects.
"Golden Gate-CNTC will initially embark on two residential projects namely 'The Presidential Tower' with an investment outlay of Rs 1500 crore and 'The Grand Tower' with an investment outlay of Rs 1,000 crore," a company statement said.
The JV plans an investment of USD 1 billion in the next two years, it added.
The joint venture plans to develop more projects that will comprise commercial, residential and mixed use projects.
"We are very excited to enter India through our partner. We have been studying the India market for the last 2 years, before taking the plunge into India," said Shi Hui, Vice Chairman, CNTC.
Stating that Bengaluru has promising opportunities, Shi Hui said: "Through this JV we want to capitalise on this huge opportunity and Bengaluru being a world-class city there will be a lot of growth in the years to come for this city."
Sanjay Raj, co-promoter of Golden Gate, said the partnership would kick-start with two projects.
"Currently, we are experiencing the toughest times of our careers, with slow sales and collections, project delays, impact of demonetisation, and also simultaneously gearing up for RERA and GST. With our new partners this will become easy as they are used to more stringent practices and the integration will be easier," he said.
Beijing-based CNTC is a construction conglomerate. Part of the 15 billion USD Jiangsu Nantong San Jian establishment, CNTC is spread across 35 plus countries and over 120 cities across the world.
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