Max Estates, the real estate arm of Max Group had acquired about 4 acres of land in Sector 129 in Noida from Axis Bank for Rs 220 crore in August.
US based mutual life insurance company, New York Life Insurance Co. will be investing Rs 196 crore for a 49% equity stake in a commercial project of Max Estates SPV in Noida.
The land parcels acquired in Sector 129 are neighbouring to Max Square, another office project under-construction being development by Max Estates, in partnership with New York Life Insurance Co.
The acquisition will allow them to create a mix land use campus across 6.6 acres. The total development size including Max Square (0.7 million sq. ft.) for this campus will be 1.5-2.0 million sq. ft.
New York Life Insurance Company has been a valued partner with Max Group and Max Estates and has a long-standing relationship with the group. This transaction will enable Max Estates to expand its CRE portfolio while achieving its aspiration of becoming a leading real estate player in the Delhi NCR region,” said Sahil Vachani, MD & CEO of MaxVIL.
Max Estates will be responsible for the final delivery of the project and will be entitled to a development fee on the same.
“This will not only provide prospective tenants of Max Square an option to expand, but also enable access to an integrated mixed-use campus that will be unique to this micro market. The development will have direct access to Noida-Greater Noida Expressway, offering excellent connectivity to and from Noida, Delhi and broader Delhi NCR via both road and metro,” the company said.
Max Estates is expected grow its real estate business development portfolio and proposes to reach 3 times of its current size by FY23 and for doing so it has acquired two land parcels in Noida for residential development.
Max Estates has embarked on its residential journey with the acquisition of 10 acre land parcel on Noida Expressway in Sector 128 through acquisition of 100% equity in Accord Hotels and Resorts Private Limited, which holds this land as the only asset.
This mixed-use residential led project will have an estimated saleable area of one million sq. ft.
The project is planned to be developed as a boutique luxury residential development with a total sales potential in excess of Rs 1,300 crore. This will cater to the premium end of the residential market with the promise of elevating quality of life through implementation of our LiveWell Philosophy.
The first phase is planned to be launched in first half of next calendar year and expected to be handed over within 3 years of launch.
Max Estates plans to acquire and develop 1 million square feet of premium residential and commercial office spaces each year.