Transcript ANIK DEVELOPMENT CORPORATION AND MAYFAIR HOUSING …

NAVI MUMBAI SPECIAL ECONOMIC ZONE
(NM SEZ)
“ A GLOBAL SEZ”
ANIK DEVELOPMENT CORPORATION
MAYFAIR HOUSING
TATA HOUSING DEVELOPMENT COMPANY LIMITED.
ABOUT SPECIAL
ECONOMIC ZONE (SEZ)
► GOVERNMENT
OF
INDIA
ANNOUNCED SEZ POLICY.
► SEZ - Deemed foreign territory.
► Hassle free, Business Friendly, One-
stop
clearance,
and
Minimum
Inspection business environment.
2
ABOUT SPECIAL
ECONOMIC ZONE (SEZ)
►
Integrated, High-Quality, Reliable Worldclass Infrastructure
►
100% Foreign Ownership and Foreign Direct
Investment for units set up in the SEZ.
►
100% Income Tax holiday to the Developer of
the SEZ as well as to Units operating in the
SEZ.
►
Attractive Tax Incentive provided under
Excise Duty / Customs Duty / Sales Tax
3
ABOUT NAVI MUMBAI SPECIAL
ECONOMIC ZONE (NMSEZ)
► The Government of Maharashtra has
appointed CIDCO for the Developing a
“Special Economic Zone” to be set up
in Navi Mumbai.
► NMSEZ IDENTIFIED BY CIDCO TO
BE DEVELOPED AS SEZ.
4
NMSEZ LOCATION
5
NMSEZ LOCATION
KALAMBOLI
350 ha.
ULWE
RPZ
DRONAGIRI
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INDIA’S BEST LOCATION
► NMSEZ LOCATION IS BEST IN
INDIA / SOUTH ASIA
► NMSEZ
IS
THE
MOST
VALUABLE PIECE OF VIRGIN
LAND IN INDIA
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NMSEZ LOCATION
ADVANTAGE
► Proximity to Mumbai – India’s Financial Centre.
► NAVI Mumbai city – new city developed over
last 25 years.
► Infrastructure of the surrounding area (Navi
Mumbai) to the SEZ already fully developed.
► Touching to JAWAHARLAL NEHRU PORT
TRUST (JNPT).
8
NMSEZ LOCATION
ADVANTAGE
► Well Connected by Train / Roadways with
hinterland
► Abundant highly skilled labour available at
cheap cost
► NMSEZ – PART OF MAHARASHTRA, India’s
leading state in terms of Industry, Trade and
Commerce.
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INTERNATIONAL
STRATEGIC LOCATION
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NMSEZ LOCATION
ADVANTAGE
► STRATEGICALLY LOCATED ON WORLDS
AIR SPACE AND SEA ROUTE
a. more than 60% of world air traffic use
Indian air space.
b. more than 60% of the world sea routes
passes through the Indian Peninsula.
c. NMSEZ is at the hub of the AIR & SEA
Traffic.
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NMSEZ PROJECT SIZE
LOCATION
AREA (HA)
DRONAGIRI
1777
ULWE
400
KALAMBOLI
350
REGIONAL
ZONE
PARK
1850
TOTAL
4377
“ A GLOBAL SIZE SEZ”
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NMSEZ DEVELOPMENT
PHASES
PHASES
AREA
(HA)
COST (U.S. $
MILLION)
ALREADY
DEVELOPED
387
CIDCO.
PHASE – I
400
303
PHASE – II
600
237
PHASE – III
1140
458
PHASE – IV
1850
250 (estimated)
TOTAL
4377
1248
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NMSEZ STRENGTHS
► “GLOBAL SIZE” Infrastructure Project
► A WORLD CLASS INVESTMENT DESTINATION.
► LAND IN POSSESSION/ EARMARKED OF CIDCO.
► Other Infrastructure Projects connected
development of the NMSEZ:Sewri Nhava Transharbour Link
Mumbai International Airport
Worli Nariman Sea Link
JNPT Expansion
to
the
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SCOPE OF INFRASTRUCTURE TO
BE PROVIDED AND QUALITY NMSEZ
► Social
Infrastructure, Essential services,
Utilities, Transport and Trade Logistic
linkages provided
► High Quality, Reliable, Efficient and Cheap
Infrastructure Services
► Infrastructure Planning for SEZ on the basis
of international benchmarks with possibility
of upward scalability.
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BENEFITS TO UNIT
HOLDERS
► No
requirement of minimum net
foreign exchange earning as percentage
of exports;
► Unlimited sales to the Domestic Tariff
Area subject to certain conditions;
► Exemption from custom / excise duty
for import / domestic procurement of
goods for setting up of units;
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BENEFITS TO UNIT
HOLDERS
►
Permission to utilize duty free material over five
years unlike for EOU/EPZ where it is one year;
►
No license required for manufacturing items
reserved for the small-scale sector;
►
Permission to sub-contract a part of their
production abroad, subject to certain conditions
and restrictions;
►
All imports allowed on the basis of selfcertification. Further, no routine examination by
Customs of export and import cargo in SEZ;
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BENEFITS TO UNIT
HOLDERS
►
100 per cent foreign direct investment through automatic
route available for manufacturing units.
►
Retention of 100 per cent of exports earning in Export
Earnings in Foreign Currency (EEFC) accounts;
►
Export proceeds may be brought back within 365 days
rather than the stipulated 180 days for units located
outside the SEZ; and,
►
Permission to retain credit upto 100 per cent of receipts
in foreign exchange.
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BENEFITS TO SEZ
DEVELOPERS
►
Allocation of developed plots to approved SEZ units on a
purely commercial basis;
►
Provision of services like supply of water, electricity, security,
restaurants, recreation etc. on purely commercial lines;
►
Autonomy to develop townships within an SEZ with
residential areas, markets, playgrounds, clubs, recreation centre
etc.
►
Specified goods can be procured from the DTA without
payment of duty; Further, import specified goods can be
procured at concessional rates of duty in certain cases and
►
Entitlements under the Income Tax Act.
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INDUSTRIES TARGETED
The Chosen industries / sectors are
filtered on the basis of:
►Growth potential
►Level of technology required
►Matching of the available skills with the skills required.
►Demand of products
.
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INDUSTRIES TARGETED
► HI- TECH (Bio, Informatics, Pharmaceuticals, BioTech etc)
► IT & ITES (Hardware, Software, Entertainment,
BPO)
► FINANCIAL SERVICES
► LIGHT ENGINEERING
► HI – TECH MANUFACTURING
► AGRO BASED
► GARMENTS AND TEXTILES
► TRADING AND DISTRIBUTION
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SHAREHOLDING
STRUCTURE OF THE
NMSEZ SPV
► SPECIAL PURPOSE VEHICLE (SPV) TO DEVELOP
AND OPERATE THE NMSEZ
STAKEHOLDER
%
Govt.
Of
Maharashtra
(through CIDCO)
Private Sector
26.00
TOTAL
100.00
74.00
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LAND TRANSFER MECHANISM
CIDCO
CIDCO
Long
Long term
term lease
lease &
&
Development
Development rights
rights
Lease
Lease premium
premium and
and
Revenue
Revenue share
share
NMSEZ
NMSEZ SPV
SPV
Sub
Sub lease
lease
Tenants
Tenants
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QUALIFYING CRITERIA
FOR TENDERERS
ELIGIBLE TENDERERS ARE PARTIES
HAVING TANGIBLE NET WORTH OF NOT
LESS THAN US $ 50 MILLION (Indian Rupees
2.50 billion)
AND
DEVELOPED
/
INVESTED
IN
INFRASTRUCTURE PROJECT HAVING
PROJECT COST NOT LESS THAN US $ 20
MILLION (Indian Rupees 1.00 billion).
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PRESENT CONSTORTIUM
MEMBERS
► ANIK
DEVELOPMENT
CORPORATION (See Attached Profile)
www.ajmera.com
► MAYFAIR
HOUSING (See Attached
Profile) www.mayfairhousing.com
► TATA
HOUSING DEVELOPMENT
CORPORATION LTD. (See Attached
Profile) www.tatahousing.com
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ABOUT ANIK
►
Belonging to the Ajmera group - Leading Property
developers in the country
►
40 Year track record
►
Developed several Townships and Mega Housing
Projects in and around Mumbai & Gujarat.
►
Done backward integration by setting up cement and
steel plants.
►
Developed state of art and distinct Multiplex Theaters.
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ABOUT MAYFAIR
HOUSING
►
First to obtain Municipal Reservations (such as roads,
Garden, Schools, Retail Markets, Hospitals etc.) and
obtain Transferable Development Rights in Mumbai city.
►
One of the largest procurers of Transferable Development
Rights in the Mumbai city. 25% of the TDRs issued in
Mumbai city are through Mayfair Housing.
►
One of the few Developers to have composite
organizational set up such as, Architectural, Designing,
Approvals, Liasioning, Finance, Legal, Marketing etc.,
within its umbrella.
►
Extremely good knowledge about urban development
laws and in position to influence the local authorities to
policy making.
27
ABOUT THDC
► From the stable of the TATA GROUP the most ethical
and respected business house in India and number one
business house in terms of Sales and asset base.
► Developed some of the most prestigious and state of the
art complexes all over India.
► The only Real Estate Developer to have nation wide
presence / operations.
► Developed a state of Art Information Technology Park in
Mumbai.
► Possesses a very high Brand Equity and is known for its
astute marketing ability.
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CONSORTIUM CAPABILITIES –
PAST PROJECTS
MEMBER
TOTAL AREA
DEVELOPED
(IN SQUARE
FEET)
ESTIMAT
ED SALE
VALUE
(Rs
in
Millions)
ESTIMATED
NUMBER
OF
UNITS
SOLD
Anik (Ajmera) 1,30,61,500 6,530
28,000
Mayfair
Housing
32,00,000
1,600
1,200
THDC
11,00,000
5,500
1,100
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CONSORTIUM CAPABILITIES –
ONGOING & FUTURE PROJECTS
MEMBER
TOTAL AREA
(IN SQUARE
FEET )
ESTIMATED
SALE VALUE (Rs
in Millions)
Anik (Ajmera)
91,10,000
4555
Mayfair Housing
14,00,000
700
8,70,000
435
THDC
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STRENGTHS OF CIDCO
► CIDCO
a premier town planning and
development agency has been instrumental in
the development of the Navi Mumbai township.
► Expertise
across all disciplines in
development
a. Architecture and Urban Planning.
b. Transportation and Communication.
c. Housing and Urban Infrastructure.
d. Economics & Finance, and
e. Marketing and Town Services.
urban
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STRENGTHS OF CIDCO
► Total Land owned / developed – 450
Sq Kms
► Development Expenditure > USD
833 million
► Annual Turnover > USD 229 Million
32
Work done by CIDCO for
NMSEZ
► Master Planning
McClier (An AECOM Company) of the United
States have prepared the concept plan for the
entire NMSEZ area and initial master plan for
Phase I area.
► Business Plan and Strategic Investor Selection
Consortium comprising Ernst & Young, CRISIL
Infrastructure Advisory Services and Chesterton
Meghraj have prepare the business plan for the
project.
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STRENGTHS OF OUR
CONSORTIUM

Established past track record confirming Financial Credibility
/ Goodwill and dependability for timely completion of
projects.

Strong Leadership and entrepreneurial qualities.

In-house Expertise and capabilities for execution of large
housing, real estate and infrastructure projects.

Strong political contacts.

Operating in the locality for the past several decades thereby
having grip over the local issues, economic and political
scenarios, legal framework thus would be better placed to
address unforeseen project execution issues.
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CIDCO – OFFER TERMS
[SUBJECT TO NEGOTIATION]
► Upfront Premium whose minimum
base price is Rs. 45.24 lakhs per
hectare.
► 10% Revenue Gross Revenue Share
of the SPV
► 26% Cash less Equity
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CIDCO TO EVALUATE
TECHNICAL AND FINANCIAL
CAPABILITY OF BIDDERS
Objective:
To evaluate the Bidders Capability to:
►Finance
►Develop, and
►Market the Project.
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SHORTLISTED BIDDING
PARTIES
►
Eight Parties Short listed for FINAL BID.
►
1. Larsen & Toubro Limited, Chennai.
►
2. 1. G.M.R. Power, Chennai
2. G.M.R. Infrastructure
►
3. 1. Anik Development Corporation, Mumbai
2. Mayfair Housing
►
4. 1. Videocon International Ltd., Mumbai
2. SeaKing Infrastructure Ltd.
3. Hiranandani Constructions Ltd.
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SHORTLISTED BIDDING
PARTIES
► 5. 1. Essar Construction Ltd.
2. Essar Shipping Limited.
► 6. 1. TCG Urban Infrastructure Holdings
Ltd.
2. The Chatterjee Fund Management LP.
3. TCG Developments India Pvt.Ltd.
► 7. 1. Reliance Capital Ltd., Mumbai.
► 8. 1. Insignia Financial Group, Dallas / New York
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BID COMPETITION
► Biggest Competition from Videocon –
Nikhil Gandhi – Hiranandani Combine
► This consortium roping in Singapore
Govt Companies / Organisations
► NMSEZ more suited with participation
of Dubai Government then Singapore
Government.
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WHAT MAKES SEZ A
SUCCESS
►
World Class Physical Infrastructure (Water, Power,
Road)
►
World Class Social Infrastructure (Housing, hospitals,
educational institutions, entertainment, recreation
parks)
►
World Class Telecom Infrastructure – Connectivity.
►
Transportation & Logistics (Rail / Port /Air / Water
Road Connectivity)
►
Friendly Regulations – Labour laws, legislations in
place.
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WHAT MAKES SEZ A
SUCCESS
► STRONG LINKAGE TO DOMESTIC
INDUSTRY (ANCILLARY INDUSTRIAL
BASE).
► Professional, Skilled Manpower with expertise
in Marketing, finance, production
management.
► Master Planning and Integrated development
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SUCCESS OF NMSEZ FROM A
DEVELOPER’S PERSPECTIVE
► Marketing Strengths (Ability to rope in Anchor Tenants
and others)
► Strong Planning, Development and Execution skills
► Financial Strength
► Overall Credibility – Strong Team of partners
► National and International Presence
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OPPORTUNITIES WITHIN THE
NMSEZ
►
RESIDENTIAL
:
10.93 crores sq.ft of constrn.
(global 1 FSI Potential)i.e. 109.30 million sq.ft.
►
OFFICE
:
3.06 crores sq.ft of constrn.
(global 1 FSI Potential)i.e. 30.6 million sq.ft.
►
REGIONAL PARK ZONE (RPZ) AREA : 18 SQ. KM.
a. Golf Course.
b. Leisure Activities.
c. Entertainment city.
d. Disney land / Theme parks.
e. Hotels.
f. Resorts.
g. Health and Fitness centre.
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OUR ASSESSMENT OF THE FINANCIAL
REQUIREMENT FOR THE PROJECT
► The total Project cost (Excluding payment
for land to CIDCO is estimated at Rs.
47885 millions (US $ 1000 million).
► The Phase 1 would cost Rs. 12500
million ($ 300 million).
► Peak Financial Requirement is Rs. 6,000
million ($ 120 millions).
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FINANCIAL STRUCTURE
OF THE NMSEZ SPV
► Considering the Debt Equity Ration of 2:1 the
Financial Structuring will be as follows (Peak
Funds Requirement)
Rs. 6000 million (US $ 120 million)
EQUITY
Rs 2000 million
(US $ 40 million)
DEBT
Rs 4000 million
(US $ 80 million)
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PROPOSED CURRENT EQUITY
TIE-UP STATUS
MEMBER
INDIAN RUPEES
IN MILLION
US $ MILLION
(approx)
520
350
11
07
Power Utility Provider
350
300
07
06
Others
480
09
2000
40
CIDCO
Anik
Development
Corporation
Mayfair Housing
Total
46
PROPOSED DEBT TIE-UP
STATUS
► Advance
Negotiations
with
Financial Institutions / Banks VIZ.
IDFC etc.
► Advance
Talks
Development Fund
with
India
47
ESTIMATED PROFITABILITY
PROJECTION
IRR 20 %
48
FIVE WORLD SCALE
PROJECTS
►
NMSEZ- “A GLOBAL SEZ”
►
SEWRI NHAVA - TRANS HARBOUR LINK
25 km Rail – Road bridge.
►
INTERNATIONAL AIRPORT AT NAVI MUMBAI
Region’s largest Airport.
►
WORLI NARIMAN SEA LINK
Road link above sea.
►
JNPT EXPANSION
5th generation vessel capability development.
►
STRONG WATER CONNECTIVITY
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SEWRI NHAVA TRANS
HARBOUR LINK
►
Required for connecting Mainland to Harbour.
►
25 KM Rail and Road Bridge.
►
Estimated Project Cost approx USD 1250 million.
►
Revenue Model based on Toll Charge Collection.
►
Project Period – 5 years.
►
Feasibility and Environmental Impact analysis completed.
►
Detailed proposal for Environmental Clearance submitted.
►
Bidding for Project Implementation after Environment Clearance.
50
2ND MUMBAI
INTERNATIONAL AIRPORT
►
2nd Mumbai International Airport required due to expected
congestion in existing airport within next 10 years
►
Planned to be located in Navi Mumbai geographically adjacent to
NMSEZ
►
NMSEZ development to provide boost to Airport viability
►
Project Cost approx USD One Thousand Million
►
CIDCO to invite bids
►
Initial feasibility Study completed
►
Awaiting kick-off of NMSEZ Development.
51
PROPOSED CONSORTIUM

GOVERNMENT OF DUBAI (THROUGH EMAAR,
JAFTZA, DUBAI AIRPORT, DUBAI PORT
AUTHORITY or through any of its development arms)
►
GOVERNMENT OF MAHARASHTRA (THROUGH
CIDCO)
►
ANIK DEVELOPMENT CORPORATION
►
MAYFAIR HOUSING
►
TATA HOUSING DEVELOPMENT COMPANY
LIMITED (THDC)
52
WHY THE PROPOSED
CONSORTIUM
► CREATION OF A TRADE BLOC.
► LEVERAGE SYNERGY AND
STRENGTHS OF ALL MEMBERS
► STRONG REASON FOR DUBAI
AND MAHARASHTRA TO
PARTICIPATE TOGETHER
53
WHY THE PROPOSED
CONSORTIUM
 International Credentials
► Marketing Strength (promote Anchor
tenants).
► Experience of Master Planning
► Experience of Property Development
and Management
54
BUSINESS PLAN FOR
DEVELOPMENT OF THE NMSEZ
► Complete
Phase
THREE YEARS.
I
NMSEZ
:
► AFTER THREE YEARS START
PHASE II & REGIONAL PARK
ZONE.
55
BUSINESS PLAN FOR
DEVELOPMENT OF THE NMSEZ
► WITHIN
TWO YEARS
OF PHASE I
OF
OF
LAUNCH
NMSEZ
a. Launch 2nd International Airport.
b. Launch Worli Nariman Point
Link.
c. Launch Phase II & III of JNPT.
56
TOTAL VALUE OF
PROJECTS
57
MUMBAI INTERNATIONAL
AIRPORT
► CIDCO to invite bids from Private Parties for
Development / Operations of Airport
► Initial feasibility Study completed
► Study
recommends Airport
commissioned by 2007 – 2008
should
be
► Awaiting kick-off of NMSEZ Development
58
ANIK DEVELOPMENT CORPORATION
MAYFAIR HOUSING
TATA HOUSING DEVELOPMENT COMPANY LIMITED
Thank you
59