DLF to Invest Rs 20,000 Crore in Commercial Real Estate Development

DLF, the nation’s largest realty player, has mapped out its huge expansion plan in the commercial segment with an investment of Rs 20,000 crore. The firm will establish luxury offices and retail estates, increasing the presence in expanding business.

Much of this investment will be done by DLF Cyber City Developers Ltd (DCCDL), the firm’s rental business and joint venture with Singapore’s GIC. DLF has a 67% interest in this joint venture, which owns a substantial portion of the company’s rental properties. Today, DLF has a robust rental portfolio of 44 million square feet with a whopping 93% occupancy rate. In the next few years, this is projected to grow to 73 million square feet, which will lead to increased rental income.

Gurugram is likely to be one of the biggest gainers from this growth. DCCDL has already started building 5.5 million square feet of high-end office space in the next phase of its ‘DLF Downtown, Gurugram’ project. In addition to this, the new DLF Mall of India is also being developed and will cover an area of 20 lakh square feet. Altogether, the company is putting in Rs 6,000 crore in creating 75 lakh square feet of commercial space within the city.

DLF’s growth strategy is underpinned by a strong land bank, providing long-term sustainability. DLF has developed 185 real estate projects over the years spanning 352 million square feet. In the future, it has a development pipeline of 220 million square feet in both residential and commercial segments.

With this enormous investment, DLF is consolidating its leadership in India’s commercial property market. As demand for top-grade office and retail space keeps climbing, the firm’s expansion plans are scheduled to bring robust growth in the coming years.