DLF to invest Rs 550 crore to set up Standard Chartered Global Business Services’ campus in Chennai

DLF expects rental income from its commercial projects in Chennai to touch Rs 1,300 crore once its new office campus in Taramani is ready.

DLF is planning to invest close to Rs 550 crore to set up a one million sq ft office building for Standard Chartered Global Business Services’ campus in Chennai which is expected to be up and running by mid-2024, said Sriram Khattar, managing director, DLF on March 14.

The DLF Downtown-Chennai project, spread over 27 acres and comprising a 6.5 million square feet area, is being developed by DLF Cyber City Developers Ltd (DCCDL) with an investment of Rs 5,000 crore.

While the 1 mn s q ft of Standard Chartered Global Business Services’ campus is expected to be completed by mid-2024, the 2.3 mn sq ft currently under construction would be completed by the first quarter of 2023, he said.

The entire 6.5 mn sq ft campus in Tarmani is expected to be ready by 2026, he said.

“An amount of Rs 1,600 crore has already been spent on the project,” Khattar said.

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He was speaking at the foundation stone laying ceremony for Standard Chartered Global Business Services campus in DLF Downtown Taramani Chennai by Tamil Nadu chief minister M K Stalin.

DLF expects rental income from its commercial projects in Chennai to touch Rs 1,300 crore once its new office campus in Taramani is ready. DLF has an operational rental asset, DLF Cybercity, in Manapakkam which is 7.2 million square feet. Phase 1 of Taramani comprising 2.3 million sq ft should be up and running by the first quarter of 2023, officials said.

“Once DLF Downtown is completed and operational, DLF will have a footprint of approximately 14 million sq ft of commercial workspaces in the city, making it the second-largest market after Gurugram. We are optimistic about our investment in the state as Tamil Nadu is fast emerging as a leading global hub for IT/ ITES, manufacturing, and R&D.  A development like DLF Downtown in a location like Taramani should generate an income of  Rs 700- 750 crores when fully functional,” he said.

Phase 1 of the Taramani project will constitute New Age office buildings spread across an area of approximately 3.3 mn sq ft. Of this 2.3 mn sq ft is being built by DLF and preleasing has started for this; 1 mn sq ft is being constructed for Standard Chartered under the built-to-suit model. The remaining 3.5 mn sq ft is part of future phases.

"Leasing for the remaining 2.3 mn sq ft is under discussion and contracts are expected to be signed in the next three to six months," Khattar said, adding the tenants will comprise IT and BFSI companies.

Its landmark development, DLF Cybercity Chennai in Manapakkam, is a 7.2 mn sq ft project and the largest IT SEZ in the state. The rental revenue from this project is presently around Rs 550 crore.

Khattar said the company has a presence in the state for 17 years and operates the largest IT SEZ DLF Cybercity, Chennai at Manapakkam comprising 7.2 million square feet area.

This SEZ has contributed a cumulative export revenue of about Rs 84,000 crore since its inception and around 70,000 professionals are working, he added.

''Once DLF Downtown is completed and operational, DLF will have a footprint of about 14 million square feet of commercial workspaces in the city, making it the second-largest market after Gurugram,'' Khattar said.

DLF has entrusted the globally renowned architectural firm Gensler from the US to design this sustainable and green campus that will feature world-class office buildings with amenities that will be unmatched in Chennai.

Tamil Nadu has the maximum number of factories and industrial workers and is fast emerging as a key destination for IT investments in India. The state introduced the ‘Industrial Policy 2021’ to achieve an annual growth rate of 15 percent in the manufacturing sector while attracting investments worth Rs 10 lakh crore ($137.8 billion). It aims at creating employment opportunities for over 20 lakh people by 2025.

‘’DLF Downtown Taramani is centrally located in the IT Corridor of Chennai and is within a walking distance from the metro station. The project is designed with high-end specifications and has been awarded a Platinum LEED Certification by US Green Building Council,” said Amit Grover, Executive Director, DLF Offices.

“We envision that our largest campus globally at DLF Downtown Taramani will define the future of work with its people-centric design around hybrid work patterns, further enhancing employee wellness, engagement and productivity with sustainable measures,” said Matthew Norris – Global Head, Standard Chartered Global Business Services.

DLF has developed around 153 real estate projects spread across an area of approximately 331 million square feet. DLF Group has 215 msf (approximately) of development potential across the residential and commercial segment. The group has an annuity portfolio of over 35 msf (approximately).

The company is primarily engaged in the business of development and sale of residential properties and the development and leasing of commercial and retail properties.