BSE-listed real estate developer Ashiana Housing Limited has entered into an agreement with Escapade Real Estate Pvt Limited, a joint venture (JV) between Arihant Group and JP Morgan Property Fund, to develop Ashiana Shubham, a senior living home, in Chennai. The project is expected to come up with an investment of Rs 180-200 crore. The JV expects revenues of around Rs 350 crore from the project.
Ankur Gupta, joint MD of Ashiana Housing Ltd, said, “We are planning to develop 800 units in Chennai. While we will bring in our expertise in building and managing the project, the land and local support would be from Arihant.”
While Ashiana Housing Ltd will invest in development and marketing of the around One million square feet project comparising primarily of homes for the elderly, residential and various support components, Escapade Real Estate will bring in land as equity to the joint venture.
He said that under the partnership, the company would build and manage the senior living units and has arrived into a revenue sharing model with Escapade Real Estate at the time of sales of the units. E The project is part of Villa Viviana, a 45 acre township in Maraimalai Nagar, in the outskirts of Chennai, near Mahindra World City. The senior living project would be coming up in around 20 acre out of this.
The units will be priced within the range of Rs 25-50 lakh and the works are expected to start in by November, this year, he added.
Ashiana has so far completed around three senior living projects in Bhiwadi in Delhi National Capital Region, Jaipur and Lavasa project in Pune. The company, which has
Escapade Real Estate is a 50:50 join venture between Arihant and JP Morgan Property Fund, in which the equity capital is around Rs 50 crore, said Bharat Jain, director, Arihant Foundations & Housing Ltd.
Ashiana Housing, which has clocked in a revenue of Rs 600 crore during the last fiscal, has five projects in the pipeline for launch in this year. Out of this, two projects are in the senior living space, said Gupta. It also has a subsidiary, Ashiana Maintenance Service, to take care of the maintenance of these retirement homes, he added.