US-based real estate developer Royal Indian Raj International Corporation (RIRIC) will invest $6 billion in India over the next seven years to develop hotels and residential resorts.
"Initially, we would develop three types of projects in India - Royal Garden City, Royal Garden Villas as well as hotels chains, for which we have planned an investment of $6 billion," Manoj C Benjamin, CEO of RIRIC, said.
There is huge shortage of hotels and housing infrastructure and this needs to be addressed, he said.
According to a study, India's hotel sector is facing a shortage of 1,10,000 rooms. The government has allowed 100% foreign direct investment in the hotel sector.
"Institutional investors have shown interest in funding our projects in India and we are planning an IPO in New York or London. The projects would be funded both through debt and equity," Benjamin said.
RIRIC has commenced work on some of the projects.
"We have acquired 3,000 acre of land for Royal Garden City in Bangalore and contracted 4,000 acre for Royal Garden Marina City and Financial Harbour in Mumbai," he said.
RIRIC has completed Phase I of the Royal Garden Villas and Resorts project in Bangalore. Phase II and III would be undertaken in the third quarter of 2007.
US realty firm to invest $6bn for hotels in India
Press Trust of India / New Delhi Apr 12, 2007, 18:19 IST
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