Venture capitalist Milestone Capital Advisors Invests in Green Housing Chennai
Posted on: June 7, 2008 - 9:13am
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Venture capitalist Milestone Capital Advisors Invests in Green Housing Chennai
Venture capitalist Milestone Capital Advisors would invest up to Rs 1,200 crore in Tamilnadu to build green housing units that are affordable too.
Set up by Ved Prakash Arya, the objective of Milestone Capital was to facilitate investment in various areas of the Indian economy. Chennai and other cities like Coimbatore and Madurai in Tamilnadu offered big opportunity for real estate investment in the country.
This was borne out by the fact in a recent survey of property markets by consulting firm Ernst & Young in which Tier-II cities like Madurai and Coimbatore featured among the top 50 destinations in the country. ‘Chennai itself was ranked as third best market ahead of cities like Bangalore and Hyderabad,’ said Prakash Arya, managing director of Milestone Capital Advisors.
He pointed out in the last few years Chennai has become one of the sought after destinations by foreign investors, looking to make substantial presence in India.
When compared to other metros like Delhi, Mumbai and Bangalore, Chennai still offered the lowest cost of living.
Chennai property markets have shown remarkable growth in recent years, with property prices rising two fold in a three-year period. Demand for office space remained strong and it was estimated that the demand for office space would be in the region of 25 million sq ft for the next two to three years ‘The trend in real estate indicates the economic prospects of Chennai remain excellent. We believe this will also fuel a demand of residential space to the tune of 15-20 million sq ft over the next two to three years,’ he said.
He pointed out that Chennai has become a favoured destination of many global players in property development who were coming up with large projects in the city which further boost industrial growth. These include not only investors and developers from the US, Europe and Far East, but even from countries like Israel.
All these underscored the potential of the real estate market in the city. ‘However the explosive growth is also likely to raise property prices further. As more developers concentrate on building luxury apartments to cater to the well off, there is likely to be a scarcity of affordable housing in the city. It is this under-served market that our investments will target,’ he said.
Talking about green housing, Prakash Arya said Chennai was the first city in the country to make rain water harvesting (RWH) compulsory for new residential projects.
‘While eco-friendly housing today has become the buzzword, we believe the real wave of green housing will start from Chennai. That is why we have actively sought out such projects for our investments.’
Milestone has so far raised over Rs 3,000 crore from the domestic and offshore markets.
The company has one of the highest deployment ratio in the sector having so far signed investment deals of over 60 per cent of the fund raised. Milestone was in the process of raising Rs 1,000 crore for its domestic fund called Milestone Domestic Scheme II.
The company provides a wide choice of real estate investment products to suit individual needs of clients. Milestone leveraged its background of its constituents to invest in India.
Many IT buildings have come up which had incorporated green features in their structures like Olympia Tech and CII building at Velacherry
Set up by Ved Prakash Arya, the objective of Milestone Capital was to facilitate investment in various areas of the Indian economy. Chennai and other cities like Coimbatore and Madurai in Tamilnadu offered big opportunity for real estate investment in the country.
This was borne out by the fact in a recent survey of property markets by consulting firm Ernst & Young in which Tier-II cities like Madurai and Coimbatore featured among the top 50 destinations in the country. ‘Chennai itself was ranked as third best market ahead of cities like Bangalore and Hyderabad,’ said Prakash Arya, managing director of Milestone Capital Advisors.
He pointed out in the last few years Chennai has become one of the sought after destinations by foreign investors, looking to make substantial presence in India.
When compared to other metros like Delhi, Mumbai and Bangalore, Chennai still offered the lowest cost of living.
Chennai property markets have shown remarkable growth in recent years, with property prices rising two fold in a three-year period. Demand for office space remained strong and it was estimated that the demand for office space would be in the region of 25 million sq ft for the next two to three years ‘The trend in real estate indicates the economic prospects of Chennai remain excellent. We believe this will also fuel a demand of residential space to the tune of 15-20 million sq ft over the next two to three years,’ he said.
He pointed out that Chennai has become a favoured destination of many global players in property development who were coming up with large projects in the city which further boost industrial growth. These include not only investors and developers from the US, Europe and Far East, but even from countries like Israel.
All these underscored the potential of the real estate market in the city. ‘However the explosive growth is also likely to raise property prices further. As more developers concentrate on building luxury apartments to cater to the well off, there is likely to be a scarcity of affordable housing in the city. It is this under-served market that our investments will target,’ he said.
Talking about green housing, Prakash Arya said Chennai was the first city in the country to make rain water harvesting (RWH) compulsory for new residential projects.
‘While eco-friendly housing today has become the buzzword, we believe the real wave of green housing will start from Chennai. That is why we have actively sought out such projects for our investments.’
Milestone has so far raised over Rs 3,000 crore from the domestic and offshore markets.
The company has one of the highest deployment ratio in the sector having so far signed investment deals of over 60 per cent of the fund raised. Milestone was in the process of raising Rs 1,000 crore for its domestic fund called Milestone Domestic Scheme II.
The company provides a wide choice of real estate investment products to suit individual needs of clients. Milestone leveraged its background of its constituents to invest in India.
Many IT buildings have come up which had incorporated green features in their structures like Olympia Tech and CII building at Velacherry