Development in the Indian

Following the development of the telecommunications market in India, Russia's AFK "System" has decided to pay attention to the local commercial real estate. Now a company is considering a proposal to acquire 40 hectares of land in New Delhi, which can be built hotels and other commercial facilities. The deal has not closed and is under discussion, but the company notes a good location of the site and a profitable selling price. Analysts say the high potential of Indian real estate market, which are able to evaluate international investors. Of the Russian players "System" will be the first. JSC "AFK" System "owns and manages a variety of enterprises in real estate and construction (" Sistema-Hals "), tourism (" Intourist ") and Commerce (House" Children's World "), in telecommunications, electronics, finance, and oil companies ¬ tehimicheskoy industry in Bashkiria. The main shareholder - Vladimir Yevtushenko (62.13 percent), the London Stock Exchange turns 19 percent of the shares. The value of assets - more than 24.2 billion dollars net profit for the third quarter of 2007 - 228.2 million dollars, the consolidated revenue - $ 3.7 billion after the acquisition of a controlling stake in Indian telecom operator Shyam Telelink representatives AFK "System" is not repeatedly noted that in the future may expand its presence in India by entering the real estate market, construction of roads and infrastructure, development hotel business. Yesterday at the opening of a representative AFK "System" in New Delhi CEO Alexander Goncharuk said the first proposed development in the field of development. According to Mr. Goncharuk, AFK "Sistema" has an interesting proposal to buy land in New Delhi. Lot size is 40 hectares, and it can take a company building commercial space, including hotels. In a conversation with RBC daily, Mr. Goncharuk said that while talking about the numbers of the project is premature: "We only see this site. But it really is very attractive, including the ratio of costs and profits. " According to analysts, given the zoning of India on this site may be elevated 600-800 ths. m of commercial real estate. Market experts called the developer's plans for "System" in India, expected: "It is not surprising that the company assessed the potential of one of the segments of the economy, saw a lot of prospects in other sectors, including real estate market", - says Managing Director of «Century 21 West "Eugene Skomorovsky. He adds that the real estate in New Delhi and Bombay demonstrates multiple growth over the past few years, and predicts that in the next few years growth rates continue. In an international ranking of DTZ's 2007 real estate office in New Delhi on the 30 th place with the cost of renting a single location about 11.4 thousand dollars (one thousand dollars per 1 sq. km. M of office space). For comparison, the ranking of 2006 in New Delhi took 51st place (8.2 thousand dollars per seat). The growth of the tourism market up to 12 percent per year guaranteed demand for hotel space. "The BRIC countries - Brazil, Russia, India and China - are estimated by us as the most profitable in terms of commercial real estate development" - says managing partner of Knight Frank Russia & CIS Jeremy Oates. According to Mr. Skomorovsky in India have already come to international investment funds: "For example, Trikona Capital, in partnership with companies such as IL & FS, Uppal, Fortis, Pipavav Shipping and Phoenix Mills, has invested 1.4 billion dollars in infrastructure, construction of residential, office and commercial complexes. Every year, they plan to invest $ 1 billion mainly in transport infrastructure and warehouse real estate. " The expert adds that the holding in New Delhi Commonwealth Games in 2010 and the opportunity for the summer Olympics in 2020 also raises the prospects of building offices and hotels in the city.