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New York Life Insurance Company, a mutual life insurance company based in the United States, has proposed an investment of Rs 290 crore for a 49% equity stake in a Max Estates SPV commercial project in Gurgaon.
Max Estates Limited has acquired Acreage Builders Private Limited’s remaining 2.39% equity share capital. Max and New York Life will own 51:49 of ABPL, which has a license to develop a commercial project on 7.15 acres of land on Golf Course Extension Road in Gurugram.
The transaction is worth Rs 322.5 crore in total. The total leasable area available after construction will be 1.6 million square feet, with an annual revenue potential of Rs 160-200 crore.
The completed office projects of Max Estates, Max Towers, and Phase 1 of Max House are 100% leased at a 25-30% premium to the micro market.
The company intends to launch a residential project in Noida by the mid-financial year 2023. This will be a boutique development with a gross development value of Rs 1300 crore, according to a statement from the company.
The estimated saleable area of this mixed-use residential-led project is one million square feet. In addition, the company has received approval from creditors and shareholders for the composite scheme of amalgamation in which MaxVIL will merge with Max Estates Limited, with a second meeting with NCLT expected in May 2023.
The company reported revenue of Rs 850 million in 9 months of financial year 2023, an increase of 18% year on year. Max Estates intends to acquire and develop 1 million square feet of premium residential and commercial office space each year.
The company completed three land transactions in the last six months, acquiring approximately 22 acres for Rs 850 crore. One of these lots will be developed for residential purposes, while the others will be used for commercial purposes. In addition, Max is acquiring more land for residential development along the Dwarka Expressway in Gurgaon.
Source- ET
