New Delhi, August 29: Real estate developer Max Estates Limited has announced its entry in the lucrative Delhi NCR market by acquiring a 84 acre land parcel in Najafgarh, Delhi via a preferential share swap agreement. This includes allotting 70.33 lakh shares valued at ₹420.23 crore to nine land owning SPVs, with no cash component involved.
The estimated Gross Development Value (GDV) is in the range of ₹10,000-12,000 sq feet, with a development potential of 4 million to 6 million sq ft.
With this, Max Estates enters the high value Delhi residential market, expanding its portfolio beyond Noida and Gurugram. It has also meant increasing the paid up equity shares by 4.12% post the swap to 17.05 crore shares.
With such an agreement, Max Estates has got a highly favourable transaction without involving interest and leverage costs that come with cash based acquisitions. This move addresses the critical industry challenge of land scarcity while keeping its balance sheet light.
“This is a landmark transaction for Max Estates. It gives us our first foothold in Delhi — the one core NCR market we did not yet have a presence in — at a fraction of prevailing land values elsewhere in the region, and without deploying a rupee of cash. The land parcel sits at the heart of Delhi’s westward urban expansion under Master Plan 2047, with strong land-pooling momentum and improving connectivity via UER-II, Dwarka and IGI Airport. At this scale, the parcel gives us a multi-year, phase-able pipeline that directly addresses the land-bank visibility, while remaining significantly accretive for all our shareholders.” Mr. Sahil Vachani, Vice Chairman & Managing Director, Max Estates, said in a press release.
