Already the largest private sector conglomerate in India, Reliance Industries Ltd. (RIL) is developing four million square feet of retail space in North India, plans a 720,000-square-foot, $55 million commercial complex at Alaknanda, is building a mall in South Delhi and has 20 other sites lined up for additional shopping centers in Delhi.
RIL is the flagship company of the Reliance Group, India’s largest private sector enterprise with businesses in the energy and materials value chain. Reliance Group’s annual revenues are over $66 billion, according to the company. Reliance Industries Ltd. is a Fortune Global 500 company.
Although RIL’s core business is petrochemical, refining and oil and gas, the company says it wants to become one of the largest real estate organizations in India as well. Its subsidiary companies cater to textile, retail business, special economic zone (SEZ Development) and telecom/broadband segments.
According to The Ground Report of India, RIL plans to make its real estate business complimentary to its retail segment that will enable it to gain ground in both arenas.
“The company’s foray into the real estate will further enable it to tap a new market and enable it to support its retail business,” states The Ground Report.
According to a company official, RIL will use the land Mukesh Ambani won in a Delhi Development Authority bid for around Rs.400 crore in 2007 to construct its five-story Alaknanda complex. This project is tentatively scheduled for completion by 2014.
It will use two-fifths of the retailing space to house brands owned by Reliance Retail (a subsidiary arm of RIL). The complex will have ground level space and three basement levels, along with parking space for more than 1000 cars and 700 two-wheelers.
While it is waiting for a go-ahead from the Delhi Pollution Control Committee, RIL says it already has the green light from the Union environment and forest ministry for this project.
According to The Ground Report of India, RIL was on a buying spree several years ago when it procured shopping complexes and mall sites in and around 150 cities in India.
Its real estate projects include Reliance Corporate Park in Navi Mumbai that serves also as a convention center and a world-class hospital in Mumbai.
Via : WPC