Real estate giant DLF Ltd. plans to invest approximately ₹20,000 crore in the medium term to expand its commercial real estate portfolio, focusing on office and retail developments, as published by Hindustan Times.
In a corporate presentation filed with stock exchanges, DLF outlined its growth strategy for its rental business, emphasizing significant capital expenditure. “Significant growth capex being committed for growth,” the company stated, highlighting an incremental capital expenditure of around ₹20,000 crore planned over the medium term.
These commercial projects will be developed both within DLF Ltd. and through joint ventures, including DLF Cyber City Developers Ltd. (DCCDL).
DLF currently holds an operational rental portfolio spanning approximately 44 million square feet, with an occupancy rate of 93%. The company aims to expand this portfolio to 73 million square feet in the coming years. DCCDL, a joint venture between DLF and Singapore-based sovereign wealth fund GIC, owns the majority of DLF’s rental assets, with DLF holding a 67% stake in the partnership.
“High-quality owned land bank available for sustainable long-term growth,” the company noted in its filing. The annuity business encompasses rental operations under DLF, DCCDL, and Atrium Place, as well as DLF’s hospitality ventures and asset management services.
Industry sources indicate that DLF’s rental arm, DCCDL, will invest approximately ₹6,000 crore to develop 7.5 million square feet of prime office and retail space in Gurugram. This includes 5.5 million square feet of Grade A-plus office space in the new phase of its ultra-premium commercial project, DLF Downtown, Gurugram. Additionally, DCCDL has commenced construction of the DLF Mall of India, Gurugram, which will span 2 million square feet.
DLF is primarily engaged in the development and sale of residential properties (Development Business) and the development and leasing of commercial properties (Annuity Business). Since its inception, the company has completed more than 185 real estate projects, covering over 352 million square feet. It also holds a development potential of approximately 220 million square feet across both residential and commercial segments.