TATA Realty & Infrastructure Ltd.

The Real Estate market in India is in the recovery phase after seeing a significant hit during the Pandemic. It is expected to grow at more than 15% CAGR by 2027. TATA Realty & Infrastructure Ltd., a subsidiary of TATA Sons Pvt. Ltd is ruling the realm of Real Estate.

It is one of the fastest-growing Real Estate Companies in India today, with a significant presence in Residential, Commercial, and Infrastructure verticals and a highly credible portfolio of projects in multiple cities across India.

Founded in 1984 by Late JRD Tata, TATA Realty & Infrastructure Ltd. has grown to 20,000+ customers. Its corporate Head Office is in Mumbai, and their Regional Offices are in Gurugram, Bengaluru, Chennai, and Kolkata, with a total employee count of 600+

The company is inexplicably thriving under the compelling Leadership of Mr. Sanjay Dutt, the Managing Director & CEO of TATA Realty & Infrastructure Ltd.

He has over 27 years of experience in the Real Estate Development & Consulting sector with extensive experience in Strategic Planning, Development, Leasing, Acquisitions & Asset Management. In his professional trajectory, he played iconic Leadership roles in Global IPCs and industry forums.

Mission And Vision

As a brand, TATA Realty & Infrastructure Ltd. aims to deliver future-ready spaces responsibly. It aims to provide excellence and comfort with a touch of fairness and transparency.

Products Portfolio

Its key products can be classified into three categories:

Residential: TRIL sells high-quality residential spaces with top-class amenities, serving customers from affordable to premium segments. It has delivered various Residential products, viz. apartments, villas/row houses, and plotted developments.

Commercial: TRIL offers Grade-A office spaces to the world’s leading companies, with operational Commercial spaces located in Chennai, Gurugram, and Mumbai.

Infrastructure: TRIL also works on developing several infrastructure projects, viz. ropeways, rapid transit (metro rail), NHAI road projects, etc.

The Real Estate sector in India is slated to grow by 10x to US$1 Trillion between 2017 and 2030, led by strong economic fundamentals. The industry, including its sub-sectors: Housing, Commercial, Retail, and Hospitality is expected to contribute around 13% to India’s GDP by 2030.

India’s demography, consisting primarily of a young population and socio-economic profile, is highly attractive for the Real Estate sector. Regulatory reforms, including RERA and GST, will help the industry in the long run, significantly benefiting organized/ established developers.

Tata Realty & Infrastructure Ltd. is among the few brands operating across the Residential, Commercial, and Infrastructure verticals of the Real Estate industry. Within the Commercial vertical, “Intellion,” focuses on the needs of different businesses, with differentiated sub-brands based on project type and scale.

What Makes the Brand Stand Out

TATA Realty & Infrastructure Ltd. is highly responsible and fair with all its stakeholders, including Government bodies, investors, vendors, customers and others. It operates with full integrity and transparency and strive to deliver high-quality products and services to all their customers/clients.

Success for TATA Realty & Infrastructure Ltd.

TATA Realty & Infrastructure Ltd. defines success as ensuring high customer satisfaction and maintaining strong credibility with all its stakeholders. It achieves this by delivering excellent products and services, which generates profits for its investors and shareholders.

Key Recognitions in Recent Years

TATA Realty & Infrastructure Ltd. has many accolades and recognitions to its name over the years. Some of the most recent ones are:

• Master of Risk 2022, Compliance 10/10 Symposium & Awards 2020 & 2021

• Top 5 Most Purposeful Non-FMCG Brands of the Year 2021 by Kantar Report

• Brand Excellence in Real Estate - World Leadership 2021 - TATA Housing

• ‘Great Places to Work’ certified two consecutive years in a row

• Technology Senate Award 2022 by Indian Express

• Digital CIO Excellence Award 2022 by TechSure Media

• CSO 100 2022 by IDG Communications

• Winner of CIO 100 Awards 2021 by IDG Communications - The Futuristic 100

• Winner of CIO 1000 Award 2021 in Asia Region by Enterprise IT World

• Winner World CX Awards 2022 by Trescon Global - Top 100 CX Organisation

• Marketing Campaign of the Year- ‘Wow is Now’ Campaign - World Leadership 2021

• Innovative Launch Campaign of the Year – ‘Happy Place Called Home’ - World Leadership 2021

Realty Plus Awards 2021

• IT Park Project of the Year - Intellion Park

• Most Environment-Friendly Commercial / Office Space - Intellion Park

• Developer of the Year - Commercial (TATA Realty & Infrastructure Ltd.)

ET Realty Awards 2020

• Developer of the Year (Commercial) - Tata Realty®

• Developer of the Year IT Business Park - Intellion Park Gurugram

• Employer of the Year Real Estate - Tata Realty ®

• Green Building project of the Year - Intellion Edge Gurugram

• Winner Greentech Awards in 2019 & 2020

From the CEO’s Lens

Hurdles Along The Journey

Talking about the inception of his entrepreneurial journey, Sanjay Dutt mentions he owned a startup early in his career, which meant doing most of the things himself and doing them right every time.

The biggest challenges he encountered were introducing concepts, establishing credibility, building up the organization, setting up the infrastructure, and managing the scalability. It was very demanding, but what worked wonders was ground planning, modest goals, and ensuring a tactical plan around strategy was being implemented.

Mr. Dutt says, “The biggest hurdle was cash flow for a startup and maintaining balance between client relationship and customer satisfaction with service. I ensured we addressed these on ground.

I invested a lot of my time and energy in comprehensive mentoring of the young staff with lots of on-the-job training; as they learned and grew with the organization, I could concentrate more aggressively on the organizational growth.”

He implemented a Unique Service Point as a key strategy, primarily an international-bound aggregator role, with a license to foreign transactions and tie-ups. His alliance partner in London helped him build more business for India.

All the challenges and failures along the way carved his niche and paved way for TATA Realty & Infrastructure Ltd. He believes ardently in customer expectations, market alignment, cashflow management, and financial discipline as key determinants of unparalleled growth and success.

What Led To The Coining Of The Idea To Join The Industry?

The ideation behind joining the industry started during Mr. Dutt’s college years. He decided to pursue export-related and logistic-related summer jobs during his graduation. He underwent thorough learning and exposure during his summer jobs across different companies over three years. In his words, “I believed in myself. Specialization and focus at a very young age with no deviation helped me level up.”

Revenue Model

Residential projects generate revenue from the sale of the developed Residential products, realized in multiple installments across the product lifecycle.

Commercial projects generate monthly rental revenue from tenants in operational commercial properties.

The Investors Kitty

Tata Realty & Infrastructure Limited entered a landmark joint venture platform with Canada Pension Plan Investment Board (“CPPIB”) to develop and own world-class sustainable Commercial office spaces across India. The total aggregate Equity value of the joint venture will be INR 5,300 Crores, with a CPPIB Equity commitment of INR 2,600 Crores.

The platform kicked off with CPPIB acquiring a stake in two TRIL projects valued at INR 8000 Crores in Chennai and Gurugram. Further, the joint venture would pursue Grade-A Commercial developments in key gateway cities in India, with an Equity allocation of INR 2,000 Crores.

Cities under consideration include Mumbai, Delhi, Pune, Bengaluru, Hyderabad, and Chennai, collectively contributing most of India’s total Grade-A office space stock and demand.

In 2016, TRIL and Actis (a global investment firm) came together to set up a joint venture platform to develop and own Grade A commercial developments in key cities across India.

The platform invested in a ~0.8 Million Sq Ft completed IT building in Mumbai Western Suburbs, ~3.5 Million Sq Ft green field SEZ development in Gurugram and a ~47 acres mixed use development in Navi Mumbai.

Of the three investments, Actis has successfully exited its investment in the completed IT building in Mumbai, selling their stake to TRIL in September 2021. The other two projects (i.e. SEZ in Gurugram and mixed-use development in Navi Mumbai) are currently under development.

Major Milestones Along The Journey

• 1984 - Late JRD Tata founded TATA Housing Development Company

• 2005 - The Government of India permitted Foreign Direct Investment; TATA Sons decided to start Development Real Estate Fund

• 2006 - Company was revived to form a holistic Real Estate Developer

• 2009 - TRIL decided to begin its Infrastructure business

• 2010 - TATA Housing launched TATA Value Homes, a 100% subsidiary, to cater to affordable housing

• 2010 to 2017 - They built several iconic landmark projects across India

• 2018 - TATA Housing and TATA Realty were merged to create world-class residential and commercial properties

Fundamental Values Or Guiding Principles

Mr. Dutt mentions, “The organization’s guiding principles are encapsulated in the phrase ‘Let’s BUILD,’ where BUILD is an abbreviation of the following cultural tenets:

(B) Be Responsible

We will be accountable for our actions. We will empower people and practice sustainability.

(U) Unite to Lead

We will be leaders in the industry by being an agile, innovative, and collaborative team.

(I) Inspire Trust

We will be fair and transparent.

(L) Lead Through Excellence

Excellence will be at the heart of everything we do.

(D) Delight Customers

We will provide an exceptional customer experience and superior products at a great value.”

These values are implemented daily by focusing on people (periodic orientation and guidance by Senior Leadership on values to ensure adherence to values), processes (ensuring the processes are created in alignment with our values, documented, made available to all, and adhered to by putting in place the right controls) and technology (right technological solutions to ensure transparency, access to accurate data).

Future Scope

The Real Estate sector has gone through significant disruptions through various reforms. The Government of India and several State Governments have implemented RERA, IBC, and other such laws to make the sector transparent.

Opportunities for corporate developers increased the brand’s credibility, while simultaneously building a fantastic internal talent pool boosted becoming world-class. According to Mr. Dutt, in the next five years, he foresees significant growth across Residential and Commercial businesses and opportunities to launch new verticals like Warehousing and Logistics.

Road Map

• Grow multi-folds in Residential as well as Commercial portfolios

• Pursue acquisitions of new land parcels and assets to bolster presence in focus cities

• Reach 4,500+ Cr annual Residential sales by FY27

• Grow to a 25mn+ completed Commercial portfolio by FY27

• Enhance profitability by improving efficiency and productivity across different functions

An Advice From The Visionary To Young Entrepreneurs

Sanjay says, “Opportunities create strategies. Demonstrate personality traits that require focus, confidence, courage, and the belief that you can do it. Research your subject properly, gain knowledge and insight and implement timely. Even if you fail, the learning gains will outdo and put you ahead for the future.” He emphasizes, “Think but also act!”