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Social Media Tech Giant Facebook Leases 2 Lakh Sq Ft to DLF.

Ipshita Ray
2020-03-17
Commercial
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DLF is leasing out a massive space of 2 Lakh Sqft to Facebook at Cybercity. Facebook is expanding at a great speed and so it reached out to the most trusted realty partner of India - DLF. A company which has created a legacy over the past 75 years and has created some of the magnificent structures in India. Their core mission has always been to provide the highest experience. They have a diverse portfolio including real estate, management and investment services. This 2 lakh sq ft which Facebook has taken lease in DLF Atria is located on NH8. The rental they will receive from Facebook will be Rs 120 per square feet. The company is also developing an 11-million-sq-ft project named DLF Downtown, in Gurgaon under this will be a joint venture between DLF and GIC. GIC is a Singapore based international firm with an experience of 40 years, manages Singapore’s foreign reserves. GIC is a global long-term investor with well over US$100 billion in assets in over 40 countries. GIC holds 33.34% of stake in DLF rental arm known as DLF Cyber City Developers Ltd worth Rs 9000 Crores. The balance that is 66.66 % is still with DLF as they are masters at leasing. To monetise its commercial assets, DLF had 2 years back entered into a joint venture with GIC when DLF promoters sold their entire 40 per cent stake in DLF Cyber City Developers Ltd (DCCDL) for nearly Rs 12,000 crores. Besides developing big projects for multinationals DLF is also leasing space in the existing buildings, which is being vacated by existing customers. DLF has a very vast development plan. They have a future development pipeline of 20 million sq ft across India. Out of this, construction of 5.5 million sq ft is already underway. This will augment the company’s existing 32 million sq ft rental portfolio and it plans to take the national portfolio to over 50 million sq ft once new projects are completed. We can see many changes in the cities and surroundings in the next 10 years. The property consultant Knight Frank has reported that NCR has a record of very good growth of 17% over last year. Corporates like Good year Tyres, KPMG, CampUs, One Culture, Concentrix, Google, Oyo taking up substantial spaces. DLF Cyber Hub, Aerocity, Golf Course and Extension road are going abuzz. On an average 50,000 sqft of space has been leased out. DLF is also going to raise Rs 2000 crore revenue by monetisation of commercial land parcels to existing joint venturers or new partners. These will reduce their debts to 50%. DLF has a rental portfolio of about 36 million sq ft, of which around 32 million sq ft is office space and rest is retail properties. It earns an annual rental income of over Rs 3,000 crore from these leased assets.