Plaza Centres, a subsidiary of Elbit Medical Imaging, an Israeli company will be investing Rs 5000 crore to set up 50 entertainment and commercial centers in India in the coming five to seven years.
Some of its initial projects will come up at places like Pune, Hyderabad and Bangalore. Yoram Barak, Executive Director, India Real Estate said, “At present the Indian operations are run through a team of 10 people. The count through the year may go up to 40. We will soon have offices in Mumbai and Delhi.” The company said that it will have pan-India operations that will span tier 1, tier 2 and tier 3 cities as well. Its project in Pune, which will be completed in the next one and half years, will spread across an area of 1.1 million square feet.
The officials said that while the size of the shopping properties will differ, all of them will have a similar look and feel. The company will operate in properties, which it will first acquire. It will also hold management control for all the centers that it develops. It would lease its properties to tenants. Some of its international tenants are Carrefour, Tesco, Hugo Boss, Zara among others
The group has created 42 entertainment and commercial centers across nine countries in Europe and intends to replicate its global model in India.
Elbit Medical Imaging has also acquired and developed six hotels in five countries and may look at venturing in this space in India later as well.
According to the A.T.Kearney 2007 Global Retail Development Index, India’s retail sector is expected to grow from a size of $350 billion to $ 427 billion by 2010 and further to $ 635 billion by 2015.