BANGALORE: The Burman family, promoters of the $1-billion FMCG major Dabur, is entering the Indian real estate market through a joint venture with a US-based private equity investor, said multiple sources briefed on the matter.
The Burman's entry into real estate follows a long list of Indian industrial families such as Tatas, Godrej, Mahindras, and Wadias among others, having entered the market to monetize their legacy land holdings across the country.
One of the sources citied earlier said that the Burmans will be kicking off their real estate foray with a mixed-use development on a 70-acre land parcel located along the Dwarka Expressway in the National Capital Region. A formal announcement on their entry into real estate is expected early next week. None from the Burman family were available for a comment.
Real estate analysts have always welcomed the move of industrial houses entering the Indian real estate sector, which carries a taboo of being a murky business that's steeped in controversies.
"Big Indian industrial houses bring with them certain standards of corporate governance that is far better than what exists in the real estate industry. Hence, their entry puts to rest some of the negative perceptions that consumers have about this sector," said a senior real estate analyst at a foreign bank.