Mumbai Infra Set For Rs 1.03 Lakh Crore Investment As Brookfield Signs MoU With Maharashtra Government At WEF

In a significant boost to Mumbai’s infrastructure development, "Brookfield Corporation," a Toronto-based investment firm, has committed nearly Rs 1.03 lakh crore at the World Economic Forum (WEF) in Davos, reported The Hindu.

According to a statement from the Mumbai Metropolitan Region Development Authority (MMRDA), this substantial investment will be directed toward key urban development projects over the next five to seven years.

The pledged amount marks the highest investment among the over 50 commitments received by Maharashtra at this year’s WEF. 

Following "Brookfield Corporation," Blackstone and Temasek have signed Memorandums of Understanding (MoUs) for $5 billion each. 

The Brookfield investment will be utilised for the expansion and enhancement of critical infrastructure in Mumbai, including metro projects, roads, bridges, urban infrastructure, real estate, Transit-Oriented Development (TOD), Land Value Capture opportunities, and sustainable blue and green infrastructure. 

Furthermore, "Brookfield Corporation" will invest in KSC New Town (323.24 sq. km), Special Planning Areas (SPAs) in northern Mumbai Metropolitan Region (1,006.76 sq. km.), and southern MMR (673.33 sq. km.).

Additionally, the funds will support the development of residential and commercial real estate, "Global Capability Centres"—offshore offices of multinational companies leveraging local talent for global operations—along with logistics hubs and data centres. 

"This initiative will support Maharashtra’s ambition to become a $1 trillion economy and contribute significantly to India’s goal of achieving a $5 trillion economy within the next 3–4 years. The MoU is projected to help achieve a $300 billion economy within MMR and create 3 million additional jobs by 2030," MMRDA was quoted as saying in the official announcement by The Hindu.

According to a recent report by Knight Frank, Mumbai remains the largest recipient of private equity investment in India’s real estate sector, attracting approximately $2 billion in 2024.

This figure is more than twice the size of Bangalore’s $833 million, the second-highest in the country.

Despite this surge in investment, the report highlighted a clear preference among foreign investors for completed projects over under-construction developments. 

More than 80 per cent of private equity investments in real estate have been directed toward fully operational office spaces, while nearly all investments in warehousing have been allocated to ready properties.

This preference is driven by the immediate rental income potential that completed assets provide.

According to the Knight Frank report, key Factors Influencing Investment trends include "government spending, currency fluctuations, inflation, interest rates, and office supply in recent years." 

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