Birla Estates raises Rs 420 cr from IFC to finance projects in Mumbai, Pune

Real estate company Birla Estates has raised Rs 420 crore from International Finance Corporation (IFC) to finance its two projects in Mumbai Metropolitan Region and Pune.

Birla Estates Pvt Ltd is a wholly-owned subsidiary of Aditya Birla Real Estate Ltd (formerly Century Textiles and Industries Ltd).

In a regulatory filing on Monday, the company announced signing of agreements for an investment from IFC, a member of the World Bank Group.

"The investment, approximately USD 50 million (Rs 420 crore), will be directed towards two of Birla Estates' key developments: with around Rs 148 crore in Birla Estates' Manjri project (Pune) having around 3.13 million sq ft saleable area and about Rs 272 crore in Birla Estates' Thane project with 6.43 million sq ft saleable area," it said.

The projects will be developed through two Special Purpose Vehicles (SPVs) owned and controlled by Birla Estates. IFC's investment will be made into these SPVs, which will serve as the development platform for both projects.

Under the structure, Birla Estates will hold a 56 per cent economic interest, whereas IFC will hold a 44 per cent economic interest in the SPVs.

Birla Estates MD & CEO K T Jithendran said the investment from IFC will help the company in its mission to reshape urban living through sustainable and high-quality real estate development.

"This investment validates our development philosophy and strengthens our ability to scale responsibly. With IFC's global expertise in sustainable investments and our deep-rooted market insights, we aim to set new benchmarks in Indian real estate," he said.

Imad N Fakhoury, Regional Director for South Asia, IFC, said, Housing is a powerful driver of jobs, resilience, economic growth -- and a key priority for IFC. Our partnership with Birla Estates will bridge the gap in India's housing sector by expanding availability of and access to sustainable, high-quality housing for the country's growing population, with a focus on first-time homeowners."  Birla Estates said the company continues to expand presence in India's most sought-after real estate markets. In the last quarter of 2024-25, the company launched 5 projects across its key markets of NCR, Bengaluru and forayed into the Pune market recording its biggest quarter sales.