According to press reports,?TPL REIT Management Company Limited (TPL RMC) has been given permission by the Sindh government to develop a residential community covering more than 40 acres in Korangi Creek.
With a projected cost of PKR 200 billion, the gated community project would include several mid- to high-rise residential and commercial structures. The housing complex will reportedly have 3,000 apartments, all of which will be listed on the Pakistan Equity Exchange (PSX), where shareholders would be able to purchase stock.
TPL REIT Management Company Chief Executive Officer (CEO) Ali Asgher stated in a media interview that the initiative will offer a novel remedy to the nation’s real estate industry, which is controlled by large players and investors.
Well raise more equity and debt by holding further funding rounds. The third source of liquidity will be advance sales, he said while referring to the cash generated from property buyers through instalment plans.
Mr. Asgher further emphasised that SSH International, an engineering consultant, had planned the project and that all residential and commercial amenities, including as restaurants, businesses, and residential units along the creek, had been secured for the people. Additionally, it was disclosed that the REIT will first get funding for the project from three key sources, including:
PKR 11.25 billion will be funded through eight commercial banks that will act as anchor investors, with PKR 18.35 billion coming from TPL REIT Fund-I, which reached a financial closure in June, and PKR 7.2 billion coming from TPL Properties in terms of land value under the first asset portfolio.
It’s vital to keep in mind that TPL REIT was among the first minority shareholder real estate investment vehicles to be launched on the PSX for novice stock purchasers. The business sells shares in real estate and vacant land and raises money via stock pooling.