Virtuous Retail South Asia Pte. Ltd. (VRSA) announced an investment of US$ 340 million (Rs 2,400 crore) in a retail-anchored project in the Mumbai Metropolitan Region. The firm has acquired a prime ~20-acre land parcel from Raymond Limited for US$ 100 million and will invest an additional US$ 240 million to develop the site and build a 3.7 million sq.ft. mixed-use city center anchored by a 2.4 million sq.ft. VR retail flagship.
In line with VRSA’s nation-wide expansion strategy through both ground-up development and inorganic acquisitions, this investment bolsters the company’s development pipeline which includes centers currently under construction in locations in South Bengaluru and Delhi NCR, opening in May 2020 and August 2022, respectively. Along with the existing VR flagship centers in Chennai, Punjab, Bengaluru and Surat, VRSA’s pan-India portfolio now stands at ~11 million sqft. This entry into Mumbai also makes VRSA the only retail center developer-owner-operator to have a presence across the top four retail markets in India.
Mumbai is the financial and entertainment capital of India, and one of the most populous metropolitan areas in the world. The acquired land parcel sits in a prime location on an arterial six-lane expressway, within a fast-growing residential catchment popular with home-buyers due to its superior infrastructure and amenities. The Mumbai Metro Line 4 passes by the site and the development will be adjacent to a metro station. In the first phase of development, VRSA will deliver a 2.4 million sq.ft. VR flagship center anchored by top international and national brands spanning the full spectrum of retail, dining, lifestyle, and entertainment offerings.
Upon completion, the center is expected to attract over 20 million customer visits annually, and generate over 4,000 permanent, direct new jobs, in addition to over 7,000 construction jobs over the next four years during the development phase.
Commenting on the acquisition, Sid Yog, Founder and Chairman of the Board, VRSA, said, “Prime land parcels of this size seldomly trade, especially in major metropolitan markets like Mumbai. We have been waiting patiently for the ideal opportunity to expand our award-winning portfolio into the Mumbai region, and are delighted to finally embark on the development of a VR flagship center in the city. We envision a vibrant, 24/7, people-centric development that will draw upon the heritage and history of the region, bolster tourism, create thousands of new jobs, and make a major contribution to the local economy and community.”
Rohit George, Executive Managing Director, VRSA, added, “We see strong demand for a worldclass project that reflects changing consumer preferences, new age lifestyles and communities. VRSA looks forward to working with our retail partners to introduce a fresh experiential destination to the region, bringing in the latest trends in retail and technology.”