TCG Real Estate Secures Significant Funding from SBI for Pioneering World Trade Centre Project in Gurugram

In a major development in the commercial real estate sector, TCG Real Estate has successfully secured a funding of Rs 714 crore from the State Bank of India (SBI) for the development of its ambitious World Trade Centre project located off NH-8, Sohna Road in Gurugram. This funding marks a pivotal step in the progression of this vast project, which aims to span a substantial 7.94 acres of land. 

Project Overview and Development Goals 

The proposed World Trade Centre in Gurugram is set to become a cornerstone for business in the region, featuring an impressive total leasable area of approximately 1 million square feet divided into office and retail blocks across four towers. The office segment will cover around 940,000 square feet, while the retail space will account for approximately 72,407 square feet. 

The funding, detailed in documents accessed by CRE Matrix, a prominent real estate analytics firm, outlines the specifics of the loan. The capital, amounting to Rs 714 crore, is allocated over a tenure of 72 months, with an interest rate of 9.6% per annum, highlighting the financial commitment and the anticipated returns on this large-scale development. 

Strategic Impact and Economic Implications

The strategic location of the World Trade Centre, along with its significant scale, underscores its potential to significantly influence the local economy by attracting major businesses and retailers. The project is not only expected to serve as a hub for commerce but also to elevate property values within the vicinity, contributing to Gurugram's reputation as a thriving business district. 

The financial arrangement for this project was secured through a deed of Hypothecation executed in favor of SBICAP Trustee Company Limited. This underscores the strong backing and the confidence in the project's success by major financial institutions. 

Construction Timeline and Financial Terms 

Scheduled for commercial operation by October 2027, the World Trade Centre project is projected to cost a total of Rs 1211.86 crore. With a construction period set for 48 months followed by a 12-month moratorium period, the terms of the loan are designed to accommodate the extensive development period. Additionally, the financial structure includes conditions for penal interests on delayed payments, ensuring strict adherence to payment schedules and project timelines. 

This significant financial infusion from SBI into TCG Real Estate’s project is a testament to the growth potential of the Gurugram region as a commercial hub. As construction progresses, this project is expected to create substantial employment opportunities and foster economic development in the area. The real estate community and potential investors are keenly watching as the World Trade Centre Gurugram promises to reshape the landscape of commercial real estate in Northern India. 

Image source- wtcgurugram.com