Mahindra Lifespaces Ltd, the realty division of diversified Mahindra & Mahindra Group, has signed a pact to set up an industrial park near here in collaboration with Japan's Sumitomo Corporation for over Rs 400 crore.
The Mumbai-based company formally signed a Memorandum of Understanding with the Tamil Nadu government in the presence of Chief Minister Jayalalithaa.
This will be Mahindra Lifespaces' second project in Chennai, after the Mahindra World City Special Economic Zone in Singaperumalkoil.
"In the joint venture with Sumitomo Corporation, 60 per cent stake would be with us and remaining with Sumitomo," said Sangeeta Prasad, Chief Executive Officer (Integrated Cities and Industrial Clusters), Mahindra Lifespace Developers Ltd.
She was briefing reporters on the sidelines of the valedictory session of the Global Investors Meet here today.
Responding to a query, she said a joint venture company, Mahindra Industrial Park Chennai Ltd, has been formed.
"In the first phase of the project, we are expecting to develop 300 acres of land. We have acquired about 650 acres at Ponneri in the North Chennai area. Investments will be over Rs 400 crore for the first phase," she said.
The first phase is expected to be completed in financial year 2017-18, she added.
Stating that the company would take up the remaining 350 acres of land under the second phase, she said the project would attract about Rs 2,500 crore investments.
Asked whether it would be similar to Mahindra World City, she replied in the negative, saying that the project is spread across 1,500 acres in Singaperumalkoil, while the project at Ponneri is smaller.
