NEW DELHI: US banking giant Goldman Sachs has invested Rs 610 crore in Gurgaon-based realty developer Vatika Group in a part equity part debt deal, according to Vatika Group's managing director, Gaurav Bhalla. Of this, Rs 245 crore will be used to expedite construction in the first phase of a commercial project located on National Highway 8, while the remaining will be debt facility for Vatika Hotels - the hospitality arm of the group - to enable pre-payment to Piramal Enterprises on the same asset, Bhalla said. “Such debt instruments being extended by mature funds such as Goldman Sachs is the need of the hour, and ensures completion of assets while allowing for partial refinance,” Bhalla told ET, adding that the investment will help in delivering the project on time. The project on NH 8 entails development of 2.2 million sq ft of space in two phases. The first phase of the project is expected to be ready in May this year while the second phase will be completed in 18-24 months, he said. Goldman Sachs had invested Rs 100 crore in 2007 in Vatika Business Park and Rs 255 crore in 2014 in Vatika Hotels.
So far, Vatika Group has delivered 42.3 million sq ft of developed space. Vatika has a range of commercial projects spread across prime locations in Delhi NCR, including MG Road, Golf Course Road, Golf Course Extension Road, Sohna Road, NH-8 and Mathura Road. The group has diversified into residential and commercial projects, townships, hotels, education, and business centres and facilities management. Earlier this month, Vatika leased about 100,000 sq ft of office space to Dentsu Aegis Network, a UK-headquartered media and digital marketing communications company. This standalone commercial building in Sector 44 of Gurgaon is expected to be ready by July 2020. It will accommodate over 1,100 employees as well as support staff. The project will be constructed on a 'build to suit' model with a total investment of Rs 65 crore.
February 14, 2020