DUBAI — NBCC (India) Limited, the state-owned construction and infrastructure company, has formally entered the UAE real estate market with the acquisition of a plot in Dubai for AED 15 million (Rs 34 crore).
The transaction, announced on Wednesday, marks the Indian public sector undertaking’s (PSU) first direct real estate development outside India. The acquisition was executed through its wholly owned subsidiary, NBCC Overseas Real Estate LLC.
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Project specifications
The company stated in a regulatory filing that the acquired plot spans 14,776 square feet and is designated for a mixed-use development. The project will feature a built-up structure comprising a ground floor, two podium levels, and eight upper floors, with a total gross floor area (GFA) of 51,718 square feet.
NBCC projects the development will generate revenue of approximately AED 60 million (Rs 135 crore) upon completion. The move aligns with the company’s broader strategy to expand its operational footprint in the Middle East and North Africa (MENA) region.
Strategic expansion
Historically focused on project management consultancy and redevelopment within India, NBCC’s entry into Dubai leverages the growing demand for residential and commercial inventory in the emirate. The company recently established its Dubai subsidiary to facilitate these overseas operations.
“This acquisition is a significant milestone,” the company noted in its disclosure to the stock exchanges. “It represents our commitment to establishing a tangible presence in key international markets.”
Market context
The entry of an Indian government-backed entity into Dubai’s freehold property market comes amidst a sustained boom in the sector. Indian nationals remain the top foreign buyers of real estate in Dubai, according to recent data from the Dubai Land Department.
NBCC’s shares on the National Stock Exchange (NSE) reacted to the announcement, reflecting investor interest in the PSU’s diversification strategy. The timeline for construction and completion of the Dubai project has not yet been disclosed.
