DLF plans to invest Rs 10,000 crore in the current and upcoming fiscal year to develop high-end office spaces and shopping malls aimed at increasing its rental income, according to a senior official from the company. DLF Group possesses 45 million square feet of commercial properties, which consist of 41 million square feet of office space and 4 million square feet of retail space, generating an annual rental income exceeding Rs 5,000 crore.
“India’s Grade A++ commercial real estate has become a global value proposition, providing world-class quality at a more competitive cost,” stated DLF Vice Chairman and Managing Director (Rental Business) Sriram Khattar in an interview with PTI. To capitalize on this opportunity, DLF Group, which has a substantial licensed land bank, is significantly expanding its portfolio of income-generating commercial properties and is constructing office and retail complexes in Gurugram, Chennai, Delhi, and Noida, driven by strong demand from businesses and retailers.
“Following the post-COVID recovery, DLF has concentrated on broadening its commercial presence in key urban centers within Delhi-NCR and Chennai. With an annual capital expenditure and approval allocation of around Rs 5,000 crore for FY26 and FY27 across its joint ventures with GIC, Hines, and its own financial resources, DLF is developing some of the most prestigious commercial properties in the country,” Khattar remarked.
DLF Group maintains the majority of its commercial assets through its joint venture company, DLF Cyber City Developers Ltd (DCCDL). In this joint venture, DLF possesses a 66.67 percent stake, while the Singapore sovereign wealth firm GIC holds a 33.33 percent share.
Additionally, DLF Group has partnered with the US-based firm Hines to construct a 3 million square feet office complex in Gurugram, in which DLF has a 67 percent stake. Of the total 45 million square feet in the Group’s operational portfolio, approximately 43 million square feet are managed by DCCDL. To enhance its commercial portfolio, DLF Group is planning and developing an area of 28 million square feet. Out of this planned area, over 17 million square feet are currently under construction, with more than 6 million square feet anticipated to be completed within the current fiscal year. DLF is also developing two large shopping malls located in Gurugram and Noida.
Office complexes are being constructed in Gurugram and Chennai, while a data center is being established in Noida. Recently, DLF announced that DCCDL achieved an 11 percent annual growth in office rental income, reaching Rs 3,874 crore during the previous financial year. DCCDL’s rental income from retail real estate properties increased by 6 percent to Rs 880 crore last fiscal year, up from Rs 828 crore in the 2023-24 financial year. In light of DCCDL’s robust financial and operational performance, Khattar noted that Crisil has upgraded its rating to ‘AAA’ with a stable outlook.
“This is likely one of the very few non-listed entities in the country to receive an AAA rating. Concurrently, ICRA has raised our rating from AA+ with a stable outlook to AA+ with a positive outlook,” he stated, expressing hope that the rating would further improve following the results of the fourth quarter of the last fiscal year. DLF stands as India’s largest real estate company by market capitalization.
Since its establishment, DLF has successfully developed over 185 real estate projects, encompassing more than 352 million square feet of area.DLF Group has 280 million square feet of development potential across residential and commercial segments, including current projects under execution and the identified pipeline.
DLF is primarily engaged in the business of the development and sale of residential properties (the Development Business) and the development and leasing of commercial and retail properties (the Annuity Business).
DLF Group has 280 million square feet of development potential across residential and commercial segments, including current projects under execution and the identified pipeline.
DLF is primarily engaged in the business of the development and sale of residential properties (the Development Business) and the development and leasing of commercial and retail properties (the Annuity Business).
