Israeli company to invest in Mumbai''s real estate

Mumbai: Israeli company, Jerusalem Economic Corporation (JEC), is to buy land worth USD 330 million in Thane, near Mumbai, in real estate investments.

"For the first time, we`re investing in India, which the company views as a strategic goal in its development. The company aims to locate opportunities for the sake of future growth," Chief Executive of JEC, Oded Shamir, was quoted by daily `Ha`aretz` as saying.

This will be Eliezer Fishman real estate group`s first foray into the Indian real estate market, it said.

JEC announced that the investment will be through its subsidiary in India which will be buying agricultural land in thane and hopes will be able to change its zoning designation to be able to build houses, commercial and office space, specifically for hi-tech, on 770,000 square meters.

However, the company said that there is no certainty that it can effect the zoning reclassification and pursue its development plans, the report said.

The Indian subsidiary in question is actually owned by three Eliezer Fishman companies, Jerusalem Economic, Industrial Building Corporation and Darban Hashkaot.

Eliezer Fishman himself owns 10 per cent of the Indian firm. Israel`s ministry of industry and trade recently published a study predicting that FDI in India 2006 and 2007 will amount to $8 billion of which 26.5 per cent will be in real estate.