Texmaco to make forays into housing development

K.K. Birla Group company Texmaco Ltd will soon make a foray into real estate development in the national capital. HT reports.

K.K. Birla Group company Texmaco Ltd will soon make a foray into real estate development in the national capital.

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The company would be developing a residential-cum-commercial unit opposite Delhi University to begin with.

Speaking to reporters after the company’s annual general meeting on Thursday, Texmaco chairman Saroj Poddar said the Supreme

Court had recently allowed Texmaco Ltd to develop one-third of a 31-acre plot opposite Delhi University.

The said land earlier belonged to Birla Mills and had been engaged in a legal tangle for some time.

The remaining two-thirds of the plot opposite the university would lie with Delhi Development Authority (DDA), the Delhi government’s developmental agency, which will share half the revenue received from any development with the company.

Poddar added that currently the finer aspects of the project are being studied with the DDA and would be finalised very soon.

He also pointed out the futility of setting up more wagon making units in the country when the ones operated by the private sector are not used to their optimum capacity.

It may be mentioned that Union Railway Minister Mamata Banerjee had announced setting up four wagon-making units while presenting the Railway Budget for 2010-11.

Texmaco has recently de-merged its core wagon making and steel foundry business to Texmaco Rail and Engineering Ltd retaining the real estate business with itself.

The de-merged entity is planning to venture into a new business of setting up logistics for the Railways via foreign collaboration, Ramesh Maheshwari, executive vice chairman, said without giving any further details.