Ansal Revives Plan- Launching SEZ in Haryana

News Posted - 2010-02-23

Ansal API, the New Delhi-based real estate player that deferred plans to launch Special Economic Zone (SEZ) projects in the National Capital Region (NCR) due to falling commercial demand in sector, is now launching an agro and food processing SEZ at Murthal in Haryana, spread over 250 acres. The developer is also looking to set up a biotech park in Lucknow across 80 acres, which will house 42 biotech firms. The company would invest Rs 1,000 crore in the unit. In the first phase of the project, Ansal would sell plots in the sizes of 5-10 acres and multiples to companies, which would be operational from early 2011.

The developer has already signed memorandum of understanding (MoU) with five rice exporters and is expecting sales in the range of Rs 600-700 crore from the initial phase. The funds raised from selling the plots would be used to construct built-out units in the subsequent phases, which would be either leased or sold. Ansal officials refused to comment. Last year, Pranav Ansal, managing director of the company, had hinted the company might denotify the SEZ due to delays in getting approvals and also because of global headwinds. In 2008, DLF Ltd, the largest real estate developer in the country changed its earlier plan of building an information technology SEZ in New Delhi and instead launched a housing project called Capital Greens.

That was because DLF expected demand for housing to remain strong. It was able to sell two phases of the project within hours of launch. However, the source added that Ansal has already tied up with several companies to set up operations in the SEZ.“Ansal is selling plots in the first phase, so there is not going to be any major construction cost for them and demand in the agro sector is very strong compared with IT,” the source told DNA. The Murthal SEZ would house companies manufacturing cereals, Basmati rice, dairy products and other agro products and would have warehouses, cold chains and test labs etc.

Source: Indian Realty News 22/2/10