 "IL&FS to partner with Jerry Rao's VBHC for affordable housing projects")
Infrastructure development and financing group IL&FS will partner with Jaithirth Rao’s VBHC Value Homes to develop affordable housing projects across various states, according to a top official.
IL&FS announced its entry into the affordable housing segment in April this year. “In the first phase, we are developing affordable homes in land parcels that are in our possession or very credible parties like value & budget housing, etc,” said Hari Sankaran, vice-chairman and managing director for IL&FS. The company will look at a joint development model for these projects.
For IL&FS group, Sankaran added renewable energy and affordable housing will be the two main focus areas going forward. As part of its housing entry, the group plans to look at states like Gujarat, Andhra Pradesh, Rajasthan, Tamil Nadu and Karnataka. “These are the early markets for joint development projects where we see that the affordable housing business model is working," he added.
An email query sent to VBHC on Monday did not elicit any response. VBHC Value Homes was incorporated in July 2008, with Jaithirth Rao also known as Jerry Rao as one of the founders.
“Urban India today houses 377 million people, constituting 32 per cent of the country’s population, with an annual addition of 8 million as per Census 2011. This is further estimated to increase to 40 per cent with a population of close to 600 million living in the urban centres by 2030,” according to JLL report in March 2018.
Sankaran added the group will limit its real estate focus to affordable housing and not expand to commercial and other property developments at present. The JLL report added affordable housing reflected a growth of 27 per cent between January and September 2017 year-on-year compared to an overall residential housing contraction of 33 per cent. Part of its affordable housing entry, IL&FS, overall looks to develop one million homes in the next five years time.
Sankaran added the group will limit its real estate focus to affordable housing and not expand to commercial and other property developments at present. The JLL report added affordable housing reflected a growth of 27 per cent between January and September 2017 year-on-year compared to an overall residential housing contraction of 33 per cent. Part of its affordable housing entry, IL&FS, overall looks to develop one million homes in the next five years time.
One subscription. Two world-class reads.
Already subscribed? Log in
Subscribe to read the full story →*Subscribe to Business Standard digital and get complimentary access to The New York Times
Smart Quarterly
₹900
3 Months
₹300/Month
SAVE 25%
Smart Essential
₹2,700
1 Year
₹225/Month
SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months
Super Saver
₹3,900
2 Years
₹162/Month
Subscribe
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Exclusive premium stories online
Over 30 premium stories daily, handpicked by our editors
Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share
Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor
Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements
Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app
SAVE 25%