Bengaluru: Equinox India Developments Ltd, formerly Indiabulls Real Estate Ltd (IBREL), has launched its first project in suburban Mumbai under the ‘Embassy’ brand name, after the company was recapitalized earlier this year, said a top company executive.
IBREL was renamed as Equinox India, when Bengaluru-based developer Embassy Group, global asset manager Blackstone Real Estate Fund, UK-based investment firm Baillie Gifford & Co and other investors infused ₹3,911 crore into the company through a preferential allotment of shares.
Embassy Group, Blackstone and Baillie Gifford are now the three largest shareholders in Equinox.
Mumbai-based Equinox's first Embassy-branded project - Embassy One - is a residential development in Thane, with 186 apartments, priced at ₹1 crore and above. Equinox has struck a trademark licence agreement with Embassy to use the latter's brand name.
“We are excited with our new residential launch in Thane, the first under the Embassy banner. We have received good response to the product. We have upcoming project launches lined up across Mumbai Metropolitan Region (MMR), Bengaluru and Chennai, with gross development value in excess of ₹12,000 crore,” Sachin Shah, CEO and executive director, Equinox India, told Mint.
In MMR, Equinox plans to launch premium housing projects in Worli, Juhu, and in Alibaug, a coastal town and a popular second-home market known for its high-end residences. The projects are currently in different stages of design and approval.
The Worli and Alibaug projects will be developed on land which Indiabulls owned. The Juhu land is owned by Embassy, and Equinox will do a development management agreement with the former, to develop the project.
Meanwhile, the much-awaited merger of Indiabulls Real Estate with Embassy Group is still to be approved by the National Company Law Apellate Tribunal (NCLAT). The deal has been in the making for five years now.
In the most recent hearing of the matter on 13 November, the NCLAT reserved its judgment, said Shah.
“We are waiting for NCLAT's decision,” said Jitu Virwani, chairman and managing director of the Embassy Group.
The launch of the Thane project marks the first residential project under the Embassy brand in Mumbai. The developer currently has office properties managed by Embassy REIT (real estate investment trust) in the city. In recent years, multiple developers from Bengaluru such as Prestige Group and Puravankara Ltd have entered India's most valuable property market. Gurugram-based DLF Ltd is also set to launch its first project in Mumbai in the coming months.
“MMR is a brand-conscious market, with a focus on quality. It is less price-sensitive than Bengaluru, and more end-user driven compared to NCR,” said Anuj Puri, chairman of property advisory Anarock Group.
So, any new developer would have to create a brand identity and brand value when it enters the Mumbai market, Puri added.
