New Delhi, UAE realty firm Al Fajer Properties has announced plans to invest up to $1 billion to develop commercial and townships projects in India through joint venture route.
The Dubai-based company is in talks with two Indian developers to form a joint venture for the investment, the media reports said.
“We have looked at several locations – Gurgaon, Gujarat, Hyderabad, Mumbai and Chandigarh – for investments up to $1 billion through a joint venture,” Al Fajer CEO Shahram Abdullah Zadeh said.
"We will be entering the Indian market once the deal is finalised with the right project at the right time."
With a portfolio of more than 1.5-billion-dollars worth of projects in Dubai, Al Fajer is among the growing number of companies from UAE showing interest in Indian real estate.
Al Fajer's plans to enter the Indian property market come soon after Dubai-based Nakheel tied up with Indian real estate major DLF. Another UAE firm, Emaar Properties, formed a joint venture with Indian real estate developer MGF in 2005.
The company had received inquiries from small investors from India keen on investing in Dubai projects since it offered an attractive proposition to maximise returns with projected rental yield in excess of 20% per annum.
"Our decision to create an Indian small investor-focused Al Fajer real estate fund is in direct response to this demand," Zadeh added.