Raymond forays into commercial realty

Thane: Raymond Realty on Tuesday announced plans to build one million sq ft commercial space here and specified that it will focus on the asset-light joint development of projects going ahead. The company, which de-merged from the textile major parent and has a sizeable tract of inherited land parcel in Thane, will build one million square feet of commercial space. It will include over 8 lakh sq ft of premium space to be rented out to companies, while the remainder will be a high street shopping space, its chief executive Harmohan Sahni said.

Sahni made it clear that the company is not targeting the IT-ITeS sector for the commercial space, but added that there is a lot of scope for getting such space rented out because Thane is the home to talent. The company is eventually aiming to get 20 per cent of its revenues through rent it receives, Sahni said, adding an exit will also be considered over a period of time.

The idea is to create commercial space in a way that propels the demand for residential housing as well, Sahni said while announcing a premium residential unit spread over 1 million sq ft adjacent to it.

It can be noted that ever since shutting down its textile production at the facility, the company is already developing 3 million sq ft residential space, and 70 per cent of the launched space has already been booked.