Merrill Lynch arm buys stake in Delhi-based realty major

Leading global investment banking firm Merrill Lynch is betting big on Indian real estate. The firm's proprietary real estate arm has made its first move in north India, reports CNBC-TV18. There is no stopping the flow of foreign money in to Indian real estate. Merrill Lynch's India real estate investment arm, India Global Commercial Real Estate - has made its first investment in north India. The investment banking firm has picked up an equity stake in Delhi-based real estate development company, Business Park Town Planners' IT park in Gurgaon for close to Rs 218 crore. Both companies are tight lipped and did not wish to comment on the JV. However, sources said, the investment is a mix of plain and preference equity. The IT park is being built on the Gurgaon Expressway on five acres of land and will have a built up space of 6.25 lakh sq ft. The deal has been marketed by international property consultancy, Jones Lang Lasalle. Gurgaon has emerged as a favoured destination for IT/ITeS companies. However, supply of commercial space in Gurgaon is fast drying up and an A-grade IT development here will command a premium. Source://moneycontrol.com