Bengaluru-Based RMZ Corporation to Develop Realty Projects Worth $25 Billion in Next Five Years
Bengaluru-based real estate developer RMZ Corporation plans to invest $7 billion in equity over the next five years to develop over 125 million square feet (mn sq ft) of space in various projects worth $25 billion. These projects will be located across major cities, including Mumbai, Bengaluru, Delhi, and Hyderabad.
Investment Across Various Segments
The investment will be made in projects across different segments, such as uber-luxury housing, office spaces, hospitality, industrial and logistics, and mixed-use projects. RMZ Corp, owned by Raj Menda and Manoj Menda, has so far been involved in the development of Grade-A office complexes. The company has now decided to diversify into other segments of real estate, including luxury living, mixed-use, office spaces, industrial and logistics, and hospitality.
New Leadership to Spearhead Growth Plan
The company has also announced the appointment of Arshdeep Sethi as President of RMZ Real Estate to spearhead its growth plan. Sethi stated, “We will invest $7 billion in equity to develop roughly over 125 million square feet of space across hospitality, ultra-luxury residential, office space, industrial and logistics, and mixed-use projects worth $25 billion in the next five years.” The investment will be funded through internal accruals and by setting up an investment platform with global institutional investors.
Equity Investment Allocation
Half of the equity investment will be dedicated to the mixed-use and office segments, while the remaining half will be allocated to the other three segments: residential, hospitality, industrial, and logistics.
Expansion Plan Details
As part of the expansion plan, the company will develop over five ultra-luxury residential projects by 2028-29 with an investment of close to $0.6 billion. These ultra-luxury residential projects will be launched in Mumbai, Gurugram, and Delhi. The company is in the process of acquiring a land parcel for the same in Gurugram.
RMZ Corporation also plans to launch 10 business and leisure hotels. Business hotels will be launched in cities like Mumbai, Delhi, Bengaluru, and Chennai, while leisure hotels will be developed in Goa and Rajasthan. These hospitality projects would be worth $3.1 billion.
RMZ Corporation intends to develop 62 mn sq ft of industrial and warehousing space worth $3.6 billion. The company is planning to develop its logistics parks in Bengaluru and Chennai.
New CEO Appointments
RMZ Corp has appointed chief executive officers (CEOs) for its various asset classes. Thirumal Govindraj is now the CEO of RMZ Office, Avnish Singh is the CEO of RMZ Mixed Use, Saandip Kundu is the CEO of RMZ Living (ultra-luxury residential offering), and Avinash Sule is the CEO of RMZ Industrial and Logistics and RMZ Hospitality.
Raj and Manoj Menda, Chairs of the Supervisory Board of RMZ Corporation, said in a statement, “This strategic transformation underscores the family’s unwavering commitment to growth and expansion within alternate investment classes. We are deeply focused on investing in high-growth opportunities across geographies that lay the foundations for a sustainable global economy.”
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