Trump plans widening its presence in India

US real estate major Trump now plans to expand their presence in India. The group plans to develop two luxury housing projects in Mumbai and NCR.
Trump plans to expand its presence in India.

Trump plans to expand its presence in India.

Trump, the real estate major of USA, is set to enter India. Its India-representative revealed that the group is looking to expand to India now. The US based real estate developer has already entered into talks with some top developers of the country.

The group plans to develop projects in Mumbai and in NCR. Two Trump-branded housing projects will be developed in these areas, said the representative.

The group’s first project is being developed in Pune. Trunk is developing this ultra-luxury project in collaboration with Panchshil Realty. Their Pune project marked their entry into the Indian realty market. Now, they move ahead with the plan to expand their presence in India, especially to Mumbai and NCR.

Their first project ‘Trump Towers Pune’ was launched in 2012. The project is considered as a project which marked the new arrival of elegant luxury in to the subcontinent.

Mumbai-based Tribeca Developers is appointed as India-representative. The group will find out more projects which could be developed under their brand.

Trump to develop two ultra-luxury housing projects

Trump to develop two more ultra-luxury housing projects in India.

They show keen interest on Indian realty market.  It was the first of its kind tie-ups of Trump which plans to make India one of their top markets, outside North America.

Tribeca will help the American firm to find out suitable project sites. Besides, it will also help them find reputable developers of the area who can join with the American real estate major.

Trump’s development arena is not limited to ultra-luxury residential projects. Their development is extended to hotels, mixed-use projects and Golf Course projects. All these will be developed in India too or they plan to do so.

Kalpesh Mehta, Tribeca Developers Managing Partner, said that the group is in advanced talks with some domestic developers. He added that the firm hopes to develop two ultra-luxury projects in NCR and Mumbai within a period of six months to a year.

“India is a top focus for Realty Moghul” says Trump Scion.

Trump’s eponymous real estate group expects to sign multiple deals for Indian residential projects and hotel contracts over the next five years, despite a market riddled by regulatory uncertainty and bureaucratic red tape.

“India, among other emerging markets, is the biggest push for our organisation,” Donald Trump Jr, an executive vice president of The Trump Organization, said on Wednesday.

Trump, whose portfolio includes projects in South Korea and Turkey, in addition to hotels and skyscrapers in the United States, is close to signing a couple of deals with Indian developers, the younger Trump said without providing details.

“Equity investment will depend on individual projects and partnerships but first we would like to form relationships which allow us to understand the processes and spectrum better,” the 34-year-old said on the side-lines of a hotel conference.

The developer entered India last year with a joint venture partnership with Rohan Lifescapes to build a 45-storey luxury residential tower in Mumbai.

However, work on the tower, which will bear the Trump name but involves no equity from the U.S. developer, has been halted for about nine months since authorities said it lacked the necessary permits, a common problem in an industry wrapped in red tape.

Indian developers are often hit by changing regulations. In Mumbai, for example, the scrapping of a rule granting extra floor space in exchange for providing public parking facilities has meant many projects must reapply for clearances.

But Trump, whose father is worth an estimated $2.9 billion, according to Forbes, says the lure of an emerging India outweighs the regulatory headaches.

“The Indian market is starved for a good luxury product and it needs a brand like ours,” he said.

“I like the regulatory changes I am seeing. It may slow things down a bit but will create a level playing field and will help in eliminating the unknown for an outside investor coming in,” he said.

The company plans to focus expansion in the country on luxury residences and hotels, and would look at cities including Mumbai, Delhi, Bangalore and the state of Goa.

Some local players such as privately held Lodha Developers and Godrej Properties are emerging as strong brands in India’s luxury housing space, but the market remains fragmented.

And despite a slew of interest rate hikes that have cooled India’s overall property market and hit luxury developers particularly hard, Trump is bullish.