Ikea India would set up a business centre here with investment of Rs 500 crore, the Telangana government said today.
The company has agreed to purchase 50,000 square metres of land here at the cost of Rs 19.21 crore per acre, a release from the Chief Minister's office said.
The centre would benefit small businessmen in Telangana who supply raw materials, it said.
The centre would provide employment to 500 people directly and hundreds of others indirectly. It would also provide work to hundreds of people who offer related services, it said.
The land purchase deal reflects the land prices and prevailing situation in the city's real estate sector, the release added.