NAVI MUMBAI SPECIAL ECONOMIC ZONE

(NM SEZ)
“ A GLOBAL SEZ”
ANIK DEVELOPMENT CORPORATION
MAYFAIR HOUSING
TATA HOUSING DEVELOPMENT COMPANY LIMITED.
 ABOUT SPECIAL
ECONOMIC ZONE (SEZ)
► GOVERNMENT OF INDIA
ANNOUNCED SEZ POLICY.

► SEZ - Deemed foreign territory.

► Hassle free, Business Friendly, One-

stop clearance, and Minimum
Inspection business environment.

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 ABOUT SPECIAL
ECONOMIC ZONE (SEZ)
► Integrated, High-Quality, Reliable World-
class Infrastructure

► 100% Foreign Ownership and Foreign Direct

Investment for units set up in the SEZ.

► 100% Income Tax holiday to the Developer of

the SEZ as well as to Units operating in the
SEZ.

► Attractive Tax Incentive provided under

Excise Duty / Customs Duty / Sales Tax

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ABOUT NAVI MUMBAI SPECIAL
ECONOMIC ZONE (NMSEZ)
► The Government of Maharashtra has
appointed CIDCO for the Developing a
“Special Economic Zone” to be set up
in Navi Mumbai.

► NMSEZ IDENTIFIED BY CIDCO TO

BE DEVELOPED AS SEZ.

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NMSEZ LOCATION

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NMSEZ LOCATION

KALAMBOLI
350 ha.

ULWE

RPZ

DRONAGIRI

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INDIA’S BEST LOCATION

► NMSEZ LOCATION IS BEST IN

INDIA / SOUTH ASIA

► NMSEZ IS THE MOST

VALUABLE PIECE OF VIRGIN
LAND IN INDIA

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 NMSEZ LOCATION
ADVANTAGE

► Proximity to Mumbai – India’s Financial Centre.

► NAVI Mumbai city – new city developed over

last 25 years.

► Infrastructure of the surrounding area (Navi

Mumbai) to the SEZ already fully developed.

► Touching to JAWAHARLAL NEHRU PORT

TRUST (JNPT).

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 NMSEZ LOCATION
ADVANTAGE

► Well Connected by Train / Roadways with

hinterland

► Abundant highly skilled labour available at

cheap cost

► NMSEZ – PART OF MAHARASHTRA, India’s

leading state in terms of Industry, Trade and
Commerce.

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 INTERNATIONAL
STRATEGIC LOCATION

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 NMSEZ LOCATION
ADVANTAGE
► STRATEGICALLY LOCATED ON WORLDS
AIR SPACE AND SEA ROUTE
a. more than 60% of world air traffic use
Indian air space.

b. more than 60% of the world sea routes

passes through the Indian Peninsula.

c. NMSEZ is at the hub of the AIR & SEA

Traffic.

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 NMSEZ PROJECT SIZE
LOCATION AREA (HA)
DRONAGIRI 1777
ULWE 400
KALAMBOLI 350
REGIONAL PARK 1850
ZONE
TOTAL 4377

“ A GLOBAL SIZE SEZ”

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NMSEZ DEVELOPMENT
PHASES
PHASES AREA COST (U.S. $
(HA) MILLION)
ALREADY 387 CIDCO.
DEVELOPED
PHASE – I 400 303

PHASE – II 600 237

PHASE – III 1140 458
PHASE – IV 1850 250 (estimated)

TOTAL 4377 1248

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 NMSEZ STRENGTHS
► “GLOBAL SIZE” Infrastructure Project

► A WORLD CLASS INVESTMENT DESTINATION.

► LAND IN POSSESSION/ EARMARKED OF CIDCO.

► Other Infrastructure Projects connected to the

development of the NMSEZ:-
Sewri Nhava Transharbour Link
Mumbai International Airport
Worli Nariman Sea Link
JNPT Expansion

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SCOPE OF INFRASTRUCTURE TO
BE PROVIDED AND QUALITY -
NMSEZ
► Social Infrastructure, Essential services,
Utilities, Transport and Trade Logistic
linkages provided

► High Quality, Reliable, Efficient and Cheap

Infrastructure Services

► Infrastructure Planning for SEZ on the basis

of international benchmarks with possibility
of upward scalability.

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 BENEFITS TO UNIT
HOLDERS
► No requirement of minimum net
foreign exchange earning as percentage
of exports;

► Unlimited sales to the Domestic Tariff

Area subject to certain conditions;

► Exemption from custom / excise duty

for import / domestic procurement of
goods for setting up of units;

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 BENEFITS TO UNIT
HOLDERS
► Permission to utilize duty free material over five
years unlike for EOU/EPZ where it is one year;

► No license required for manufacturing items

reserved for the small-scale sector;

► Permission to sub-contract a part of their

production abroad, subject to certain conditions
and restrictions;

► All imports allowed on the basis of self-

certification. Further, no routine examination by
Customs of export and import cargo in SEZ;
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 BENEFITS TO UNIT
HOLDERS
► 100 per cent foreign direct investment through automatic
route available for manufacturing units.

► Retention of 100 per cent of exports earning in Export

Earnings in Foreign Currency (EEFC) accounts;

► Export proceeds may be brought back within 365 days

rather than the stipulated 180 days for units located
outside the SEZ; and,

► Permission to retain credit upto 100 per cent of receipts

in foreign exchange.

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 BENEFITS TO SEZ
DEVELOPERS
► Allocation of developed plots to approved SEZ units on a
purely commercial basis;

► Provision of services like supply of water, electricity, security,

restaurants, recreation etc. on purely commercial lines;

► Autonomy to develop townships within an SEZ with

residential areas, markets, playgrounds, clubs, recreation centre
etc.

► Specified goods can be procured from the DTA without

payment of duty; Further, import specified goods can be
procured at concessional rates of duty in certain cases and

► Entitlements under the Income Tax Act.

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INDUSTRIES TARGETED

The Chosen industries / sectors are

filtered on the basis of:

►Growth potential

►Level of technology required

►Matching of the available skills with the skills required.

►Demand of products .

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INDUSTRIES TARGETED

► HI- TECH (Bio, Informatics, Pharmaceuticals, Bio-

Tech etc)
► IT & ITES (Hardware, Software, Entertainment,
BPO)
► FINANCIAL SERVICES
► LIGHT ENGINEERING
► HI – TECH MANUFACTURING
► AGRO BASED
► GARMENTS AND TEXTILES
► TRADING AND DISTRIBUTION

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 SHAREHOLDING
STRUCTURE OF THE
NMSEZ SPV
► SPECIAL PURPOSE VEHICLE (SPV) TO DEVELOP
AND OPERATE THE NMSEZ

STAKEHOLDER %
Govt. Of Maharashtra 26.00
(through CIDCO)
Private Sector 74.00
TOTAL 100.00

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LAND TRANSFER MECHANISM

CIDCO
CIDCO
Long
Long term
term lease
lease &
& Lease
Lease premium
premium and
and
Development
Development rights
rights Revenue
Revenue share
share

NMSEZ
NMSEZ SPV
SPV

Sub
Sub lease
lease

Tenants
Tenants

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QUALIFYING CRITERIA
FOR TENDERERS
ELIGIBLE TENDERERS ARE PARTIES
HAVING TANGIBLE NET WORTH OF NOT
LESS THAN US $ 50 MILLION (Indian Rupees
2.50 billion)
AND
DEVELOPED / INVESTED IN
INFRASTRUCTURE PROJECT HAVING
PROJECT COST NOT LESS THAN US $ 20
MILLION (Indian Rupees 1.00 billion).

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PRESENT CONSTORTIUM
MEMBERS
► ANIK DEVELOPMENT
CORPORATION (See Attached Profile)
www.ajmera.com

► MAYFAIR HOUSING (See Attached

Profile) www.mayfairhousing.com

► TATA HOUSING DEVELOPMENT

CORPORATION LTD. (See Attached
Profile) www.tatahousing.com

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 ABOUT ANIK

► Belonging to the Ajmera group - Leading Property

developers in the country

► 40 Year track record

► Developed several Townships and Mega Housing

Projects in and around Mumbai & Gujarat.

► Done backward integration by setting up cement and

steel plants.

► Developed state of art and distinct Multiplex Theaters.

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 ABOUT MAYFAIR
HOUSING
► First to obtain Municipal Reservations (such as roads,
Garden, Schools, Retail Markets, Hospitals etc.) and
obtain Transferable Development Rights in Mumbai city.

► One of the largest procurers of Transferable Development

Rights in the Mumbai city. 25% of the TDRs issued in
Mumbai city are through Mayfair Housing.

► One of the few Developers to have composite

organizational set up such as, Architectural, Designing,
Approvals, Liasioning, Finance, Legal, Marketing etc.,
within its umbrella.

► Extremely good knowledge about urban development

laws and in position to influence the local authorities to
policy making.

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 ABOUT THDC
► From the stable of the TATA GROUP the most ethical
and respected business house in India and number one
business house in terms of Sales and asset base.

► Developed some of the most prestigious and state of the

art complexes all over India.

► The only Real Estate Developer to have nation wide

presence / operations.

► Developed a state of Art Information Technology Park in

Mumbai.

► Possesses a very high Brand Equity and is known for its

astute marketing ability.

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 CONSORTIUM CAPABILITIES –
PAST PROJECTS
MEMBER TOTAL AREA ESTIMAT ESTIMATED
DEVELOPED ED SALE NUMBER
(IN SQUARE VALUE OF UNITS
FEET) (Rs in SOLD
Millions)
Anik (Ajmera) 1,30,61,500 6,530 28,000

Mayfair 32,00,000 1,600 1,200

Housing
THDC 11,00,000 5,500 1,100

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 CONSORTIUM CAPABILITIES –
ONGOING & FUTURE PROJECTS

MEMBER TOTAL AREA ESTIMATED

(IN SQUARE SALE VALUE (Rs
FEET ) in Millions)

Anik (Ajmera) 91,10,000 4555

Mayfair Housing 14,00,000 700

THDC 8,70,000 435

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 STRENGTHS OF CIDCO
► CIDCO a premier town planning and
development agency has been instrumental in
the development of the Navi Mumbai township.

► Expertise across all disciplines in urban

development
a. Architecture and Urban Planning.
b. Transportation and Communication.
c. Housing and Urban Infrastructure.
d. Economics & Finance, and
e. Marketing and Town Services.

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STRENGTHS OF CIDCO

► Total Land owned / developed – 450

Sq Kms

► Development Expenditure > USD

833 million

► Annual Turnover > USD 229 Million

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 Work done by CIDCO for
NMSEZ
► Master Planning
McClier (An AECOM Company) of the United
States have prepared the concept plan for the
entire NMSEZ area and initial master plan for
Phase I area.

► Business Plan and Strategic Investor Selection

Consortium comprising Ernst & Young, CRISIL
Infrastructure Advisory Services and Chesterton
Meghraj have prepare the business plan for the
project.

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 STRENGTHS OF OUR
CONSORTIUM
 Established past track record confirming Financial Credibility
/ Goodwill and dependability for timely completion of
projects.

 Strong Leadership and entrepreneurial qualities.

 In-house Expertise and capabilities for execution of large

housing, real estate and infrastructure projects.

 Strong political contacts.

 Operating in the locality for the past several decades thereby

having grip over the local issues, economic and political
scenarios, legal framework thus would be better placed to
address unforeseen project execution issues.

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 CIDCO – OFFER TERMS
[SUBJECT TO NEGOTIATION]
► Upfront Premium whose minimum
base price is Rs. 45.24 lakhs per
hectare.

► 10% Revenue Gross Revenue Share

of the SPV

► 26% Cash less Equity

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 CIDCO TO EVALUATE
TECHNICAL AND FINANCIAL
CAPABILITY OF BIDDERS
Objective:
To evaluate the Bidders Capability to:

►Finance
►Develop, and
►Market the Project.

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 SHORTLISTED BIDDING
PARTIES
► Eight Parties Short listed for FINAL BID.

► 1. Larsen & Toubro Limited, Chennai.

► 2. 1. G.M.R. Power, Chennai

2. G.M.R. Infrastructure

► 3. 1. Anik Development Corporation, Mumbai

2. Mayfair Housing

► 4. 1. Videocon International Ltd., Mumbai

2. SeaKing Infrastructure Ltd.
3. Hiranandani Constructions Ltd.

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SHORTLISTED BIDDING
PARTIES
► 5. 1. Essar Construction Ltd.
2. Essar Shipping Limited.

► 6. 1. TCG Urban Infrastructure Holdings

Ltd.
2. The Chatterjee Fund Management LP.
3. TCG Developments India Pvt.Ltd.

► 7. 1. Reliance Capital Ltd., Mumbai.

► 8. 1. Insignia Financial Group, Dallas / New York

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 BID COMPETITION
► Biggest Competition from Videocon –
Nikhil Gandhi – Hiranandani Combine

► This consortium roping in Singapore

Govt Companies / Organisations

► NMSEZ more suited with participation

of Dubai Government then Singapore
Government.

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 WHAT MAKES SEZ A
SUCCESS
► World Class Physical Infrastructure (Water, Power,
Road)

► World Class Social Infrastructure (Housing, hospitals,

educational institutions, entertainment, recreation
parks)

► World Class Telecom Infrastructure – Connectivity.

► Transportation & Logistics (Rail / Port /Air / Water

Road Connectivity)

► Friendly Regulations – Labour laws, legislations in

place.

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 WHAT MAKES SEZ A
SUCCESS
► STRONG LINKAGE TO DOMESTIC
INDUSTRY (ANCILLARY INDUSTRIAL
BASE).

► Professional, Skilled Manpower with expertise

in Marketing, finance, production
management.

► Master Planning and Integrated development

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SUCCESS OF NMSEZ FROM A
DEVELOPER’S PERSPECTIVE

► Marketing Strengths (Ability to rope in Anchor Tenants

and others)

► Strong Planning, Development and Execution skills

► Financial Strength

► Overall Credibility – Strong Team of partners

► National and International Presence

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OPPORTUNITIES WITHIN THE
NMSEZ
► RESIDENTIAL : 10.93 crores sq.ft of constrn.
(global 1 FSI Potential)i.e. 109.30 million sq.ft.

► OFFICE : 3.06 crores sq.ft of constrn.

(global 1 FSI Potential)i.e. 30.6 million sq.ft.

► REGIONAL PARK ZONE (RPZ) AREA : 18 SQ. KM.

a. Golf Course.
b. Leisure Activities.
c. Entertainment city.
d. Disney land / Theme parks.
e. Hotels.
f. Resorts.
g. Health and Fitness centre.

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OUR ASSESSMENT OF THE FINANCIAL
REQUIREMENT FOR THE PROJECT

► The total Project cost (Excluding payment

for land to CIDCO is estimated at Rs.
47885 millions (US $ 1000 million).

► The Phase 1 would cost Rs. 12500

million ($ 300 million).

► Peak Financial Requirement is Rs. 6,000

million ($ 120 millions).

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 FINANCIAL STRUCTURE
OF THE NMSEZ SPV
► Considering the Debt Equity Ration of 2:1 the
Financial Structuring will be as follows (Peak
Funds Requirement)
Rs. 6000 million (US $ 120 million)

EQUITY DEBT

Rs 2000 million Rs 4000 million

(US $ 40 million) (US $ 80 million)
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 PROPOSED CURRENT EQUITY
TIE-UP STATUS
MEMBER INDIAN RUPEES US $ MILLION
IN MILLION (approx)

CIDCO 520 11
Anik Development 350 07
Corporation
Mayfair Housing 350 07
Power Utility Provider 300 06
Others 480 09
Total 2000 40

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PROPOSED DEBT TIE-UP
STATUS
► Advance Negotiations with
Financial Institutions / Banks VIZ.
IDFC etc.

► Advance Talks with India

Development Fund

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ESTIMATED PROFITABILITY
PROJECTION

IRR 20 %

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 FIVE WORLD SCALE
PROJECTS
► NMSEZ- “A GLOBAL SEZ”

► SEWRI NHAVA - TRANS HARBOUR LINK

25 km Rail – Road bridge.

► INTERNATIONAL AIRPORT AT NAVI MUMBAI

Region’s largest Airport.

► WORLI NARIMAN SEA LINK

Road link above sea.

► JNPT EXPANSION
5th generation vessel capability development.

► STRONG WATER CONNECTIVITY

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 SEWRI NHAVA TRANS
HARBOUR LINK
► Required for connecting Mainland to Harbour.

► 25 KM Rail and Road Bridge.

► Estimated Project Cost approx USD 1250 million.

► Revenue Model based on Toll Charge Collection.

► Project Period – 5 years.

► Feasibility and Environmental Impact analysis completed.

► Detailed proposal for Environmental Clearance submitted.

► Bidding for Project Implementation after Environment Clearance.

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 2ND MUMBAI
INTERNATIONAL AIRPORT
► 2nd Mumbai International Airport required due to expected
congestion in existing airport within next 10 years

► Planned to be located in Navi Mumbai geographically adjacent to

NMSEZ

► NMSEZ development to provide boost to Airport viability

► Project Cost approx USD One Thousand Million

► CIDCO to invite bids

► Initial feasibility Study completed

► Awaiting kick-off of NMSEZ Development.

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PROPOSED CONSORTIUM
 GOVERNMENT OF DUBAI (THROUGH EMAAR,
JAFTZA, DUBAI AIRPORT, DUBAI PORT
AUTHORITY or through any of its development arms)

► GOVERNMENT OF MAHARASHTRA (THROUGH

CIDCO)

► ANIK DEVELOPMENT CORPORATION

► MAYFAIR HOUSING

► TATA HOUSING DEVELOPMENT COMPANY

LIMITED (THDC)

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 WHY THE PROPOSED
CONSORTIUM
► CREATION OF A TRADE BLOC.

► LEVERAGE SYNERGY AND

STRENGTHS OF ALL MEMBERS

► STRONG REASON FOR DUBAI

AND MAHARASHTRA TO
PARTICIPATE TOGETHER

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 WHY THE PROPOSED
CONSORTIUM
 International Credentials

► Marketing Strength (promote Anchor

tenants).

► Experience of Master Planning

► Experience of Property Development

and Management

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 BUSINESS PLAN FOR
DEVELOPMENT OF THE NMSEZ

► CompletePhase I NMSEZ :
THREE YEARS.

► AFTER THREE YEARS START

PHASE II & REGIONAL PARK
ZONE.

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 BUSINESS PLAN FOR
DEVELOPMENT OF THE NMSEZ

► WITHIN TWO YEARS OF

LAUNCH OF PHASE I OF
NMSEZ
a. Launch 2nd International Airport.
b. Launch Worli Nariman Point
Link.
c. Launch Phase II & III of JNPT.

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TOTAL VALUE OF
PROJECTS

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MUMBAI INTERNATIONAL
AIRPORT
► CIDCO to invite bids from Private Parties for
Development / Operations of Airport

► Initial feasibility Study completed

► Study recommends Airport should be

commissioned by 2007 – 2008

► Awaiting kick-off of NMSEZ Development

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ANIK DEVELOPMENT CORPORATION
MAYFAIR HOUSING
TATA HOUSING DEVELOPMENT COMPANY LIMITED

Thank you

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