Watch as Bharti Real Estate's S.K. Sayal explains how Worldmark Global Business District is helping put India on the global map, only on NDTV Profit
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00:00In the ever-evolving landscape of real estate in India, Bharti Real Estate stands out for
00:14its marquee commercial graded developments, be it the world mark Aerocity New Delhi, world
00:21mark Gurugram or the Airtel Centre.
00:23So these addresses are the finest examples of how well real estate can be developed in
00:30the country.
00:31Going forward, Bharti Real Estate has the vision of developing a global business district
00:36around the country's largest airport.
00:39This is going to be a transformational project and also a very ambitious project.
00:44I'm curious to understand the fundamentals of how this will shape up.
00:49Come along with me.
00:53I'm with Mr. SK Sayal, he's the dynamic CEO and Managing Director of Bharti Real Estate
01:17and he's pretty much scripted the success story so far of the company.
01:22He now wears the hat and the leading charge of developing 17 million square feet of prime
01:30real estate around India's largest airport, the Indira Gandhi International Airport.
01:35Now this is going to be a transformational project.
01:39So let's get more details from Mr. Sayal.
01:41Mr. Sayal, thank you very much for joining me.
01:44I'm looking at you and saying you have to wear really big boots and a very strong helmet
01:50to deliver this, isn't it?
01:52It's an ambitious project.
01:53Thank you, thank you, thank you so much Manisha for this interaction and you know when we
01:58speak about doing 17 million square feet of project, this is a total transformation from
02:05what you earlier used to call central business districts, you know.
02:10Central business districts are normally city centers and in New Delhi's context, central
02:16business district is the connaught place.
02:18And if you look at central business district of connaught place in terms of commercial
02:23real estate, you will find very few buildings which are to the international standard.
02:30In today's growing world with the economy growing, with the large corporations coming
02:35into the country, we hardly get to see any area where any corporation for getting 50,000
02:42square feet area, I think they need to speak to 100 people to consolidate that area.
02:46New Delhi being the heart of growing economy of the world is lacking consolidated commercial
02:54spaces and why?
02:57Basically in Delhi, entire commercial development was in the hands of Delhi Development Authority.
03:02Private commercial development was only limited to few lanes in the connaught place area,
03:07your Barakhamba Road, Kasturba Gandhi Marg, Nehru Place is a part of the DDA's plan of
03:14commercialization of Delhi.
03:16So they created hierarchy of commercial districts, district centers, community centers, local
03:21shopping centers, convenient shopping centers and I think in the process, if you go around,
03:27you look around them, we have made a royal mess of what commercial real estate actually
03:34should be.
03:35Taking advantage of this, the suburban cities of Gurgaon on one side, Noida on the other
03:40side I think took advantage, their government was quite proactive to come out with policies
03:46and create development which is more to invite the international players, give them those
03:54kind of spaces.
03:55Earlier requirement of 500,000 square feet area changed for BPO's or for the IT centers
04:03to 100,000 square feet area to 500,000 square feet area.
04:07So I think these people took advantage and created the global class commercial buildings
04:13and you know when we were developing world mark at Aero City in Delhi, we realized that
04:22with the influx of these global companies coming in, here is an opportunity.
04:28All these big agencies like Delhi Development Authority, Dial or Railways or you know Metro,
04:34all these guys whenever they have got commercial real estate, used to segment this into small
04:38small pieces.
04:40So each developer will create independently very nice building.
04:44But if you look at overall ecosystem, I think that was missing.
04:49So we spoke to Delhi International Airport Authority.
04:55It took us some time, one and a half to two years to convince them that hey you have got
05:00one parcel of land which is the only one in the country at this location.
05:05So we convinced them.
05:06Ultimately, they invited for a global bid.
05:08There were three participants including DLF Embassy and Bharati.
05:13And you have already built marquee real estate projects in world mark 1, 2 and 3, isn't it?
05:18That's right.
05:19I mean world mark 1, 2 and 3 actually are the pilot projects for the new one which is
05:24coming in and let me tell you after we did this world mark, we did one world mark in
05:29Gurgaon.
05:30That's world mark 65.
05:31To tell you Manisha, everybody told us that this is at a secondary location and even my
05:37own promoter said that Sayal, are we putting money at the right place?
05:42And I think the power of product, if you want to see, you must go to that place and see
05:47that.
05:48Majority of the developers who have developed their projects around that project today benchmark
05:54with world mark 65.
05:58After the success of this world mark 1, 2 and 3, when we convinced DL for a global bidding
06:05and we won this bidding, it was in mind that we should do something which doesn't exist
06:12in this country.
06:13We went around the globe to see that what is lacking in our commercial centers where
06:19we got to know that there is terminology global business centers.
06:23I was just going to say, you said CBD is a connard place and what we are envisioning
06:30is a GBD or a global business district but CBD is actually a very sexy term still, isn't
06:36it in real estate?
06:37True.
06:38That's what people want to say, we are at CBD.
06:40So the transition to GBD, how did that come about?
06:44Times are changing, with the changing times, with the economy growing, with the technological
06:49advancements, with the digital world coming in, I think the buildings which were part
06:55of the CBD, they were status sold, it's not easy to redevelop them so easily.
07:02So there is a dire need with all the multinational companies and all the larger players coming
07:07into the country where we are going to give them offices.
07:12The only choice is either to create another CBD, but CBD does exist, but is there any
07:19other terminology which is bigger than CBD?
07:21I think GBD.
07:23We went across the globe to see the developments like Canary Wharf, the Hudson Bay, Battery
07:28Park and other global business districts to see that, hey, when we can have the one in
07:35India which will put India on a global map.
07:39And that's where this dream of our chairman, I must say, Mr. Sunil Bharti Mittal, who always
07:45used to say that, Sayal, we don't want to be the biggest and the largest in this field,
07:51but we want to do real market developments, which leaves impression in the commercial
07:56real estate in the global market.
08:00Global business district demand is going to be rising by the day, we see all that in 1.5
08:06million square feet area in World Mark 1, 2 and 3.
08:09Are you occupied?
08:10Yeah, I mean, you look at IMF to IFC to all the top Japanese companies to the big four,
08:16five, everybody's over here.
08:18One day I was talking to one of the big four's CEO and I was asking him that what is your
08:24experience shifting to this place?
08:26He said it has totally changed the way we used to do business.
08:30He said my headquarter was in Gurgaon and my people come from across the country, Bangalore,
08:35Mumbai, Calcutta, Chennai and all these areas.
08:38When they come to Gurgaon, they used to come by morning flight, at 11 they are in office
08:44and at 4 they say that I got flight at 7 and I have to leave.
08:48After we shifted to World Mark at AeroCity, I got two rooms booked at holiday inn.
08:55They come at 8, 9.30 they are in office, 7 o'clock is their flight, they leave at 6.
09:01He said how much productive time is available at end and I think that is changing the entire
09:08paradigm shift in the commercial real estate in terms of connectivity, location, infrastructure
09:13and mind you, this is the only place being capital of the country where top notch infrastructure
09:19is existing and whatever is not existing is going to come by force because government
09:25want it.
09:26The entire government moves from here, it's the pride of the country.
09:32And when you move around AeroCity today and you see a live construction show of our phase
09:38World Mark 2.0 going on, most of the people come to us and they say hey what is going
09:43on on this highway with 20 cranes standing.
09:46I say this is a live construction show going on which you will see next couple of years.
09:50I think next year we are starting delivering in phases the commercial offices.
09:55So give me a break down of it.
09:58We started by saying 17 million square feet, that's what you have the rights to develop.
10:04How much will come, in what shape and form in the next three years because that's what
10:09we will be curious to know.
10:11After this World Mark 1.0, we have initiated the development World Mark 2.0 that is 7 million
10:20square feet area.
10:21And this 7 million square feet area is 3 million square feet of retail which is India's largest
10:27retail development which is entertainment based and around 4 million square feet of
10:33the office area.
10:34We will start delivering by the end of 2025 and we have created, I will take you through
10:41the master plan, we have created a world street through all these areas which I think is going
10:47to become the place for anybody coming to India from across the globe.
10:52So each of the World Mark new towers will have in the same format, retail.
10:58That is true, so let me explain you, you know, unlike any other commercial district where
11:04each building has got their own boundaries, you know, and commercial buildings you get
11:08to the lobbies, rest of the areas are dead around the building.
11:12When we took this in auction, we spoke to the authorities, we told them that if we want
11:17to truly make it as a global business district, we need to allow a composition of retail in
11:22the office area as well, which they did allow.
11:26So when you go to our district of 7 million square feet area, it's a 40 acre of boundary
11:31less development where people can flow from one building to another, going through the
11:36retail areas.
11:37When you come out of 3 million square feet of box retail on the street, you see at ground
11:43entire retailing in the office district as well, which is going to make it as a unique
11:48development.
11:49One security point, once you are in, you are at a destination and there are going to be
11:53close to 8000 car parking spaces which are going to be integrated with retail and office
12:01blocks.
12:02To top it up, you will be surprised that this is the only place where in the center of the
12:06development there is a three metro hub, which we call it as a transit hub, which is going
12:12to be put up by Delhi International Airport Authority.
12:15There is the existing airport express, which is already there.
12:18There is a golden line, which is going on, I think by next year, they should make it
12:22operational.
12:23There is a third one, which is Namo Bharat, that RRTS, which is going to be go three level
12:29down.
12:30The consolidation of three is going to be there in that transit hub, which again, when
12:35we go abroad, when we say that, hey, one train is coming from this direction, that
12:38direction, you know, if, if we can see that in our country, I think this will be the first
12:43place where you see that kind of development happening.
12:46So a very, very fluid ecosystem, very thriving, that's what I'm hearing when it comes to the
12:52largest mall, the office spaces, the retail spaces, the way they've been planned, and
12:58a multi-modal hub.
13:00That's true.
13:02So you can travel from the airport to your meeting in literally, if you want to come
13:08straight from the flight in five to seven minutes.
13:11Absolutely, absolutely.
13:12And another one I was telling you, the metro.
13:13Now I'm getting a sense of what price you can command.
13:17Right.
13:18So, yeah, so when I was telling you that we are going to have a transit hub of three metros,
13:22you'll be surprised.
13:23You must have read in the paper, you know, that Dial is proposing to have their own APM.
13:29They call it as an all-people mover, going from one terminal to the another.
13:33Again, I mean, in any global airport, we see that each terminal is connected by their monorail.
13:39So our monorail is going to loop through our development.
13:42So they are currently deciding on number of sessions they should have.
13:46And I think by the time we have a transit hub, that should also be the reality.
13:50So we've spoken about 7 million square feet, and these look like very interesting plans.
13:56And what about the rest of the 10 million square feet mouth-watering development opportunity?
14:03Do you want to give us a glimpse of what you have in your vision document?
14:07Sure.
14:08We have already started conceptualization of world mark 3.0, which is additional around
14:155 million square feet area.
14:17And the rest of the 5 million square feet area is still on the drawing board.
14:21Okay.
14:22So 2025 onwards, you're saying?
14:26This total project of 17 million square feet area is going to take around 7 to 8 years' time.
14:307 to 8 years' time.
14:31That's right.
14:32My God, that's a long runway.
14:35And from that long runway also comes a huge responsibility.
14:38So yes, a global business district that the country has never seen before, which will
14:44also put India on a global map.
14:47What about the carbon footprint?
14:49Construction has to come with a lot of responsibility.
14:53Let's talk about the sustainability parameters of the new development of GBD right after the break.
14:59Stay with me.
15:23Welcome back.
15:24I'm in conversation with the MD and CEO of Bharti Real Estate, Mr. S K Seyal.
15:30Now, we are also recording this interview at a time when our cities are seeing rising
15:36heat.
15:37And we are all very cognizant of the fact that we have to build very, very responsibly.
15:42So tell me, how will you walk that very, very fine balance between development and sustainability?
15:53Today, with this changing world, ESG is the buzzword.
15:56Sustainability is in each and every process of construction, development, planning, or
16:03even in operations, what we do.
16:05Maybe it's about energy.
16:08I think today we are tying up or having a triple P agreement with the clean energy companies
16:15so as to have the lowest carbon footprint.
16:19Today we are going to have solar system on all of our roofs, the buildings we are putting in.
16:26Today we are looking at the technologies to cut down on water uses.
16:32So in the entire ecosystem of development, Manisha, today, if we don't do this, I don't
16:38think all these global companies, which are ahead of us in this ESG and sustainability
16:43index are going to come and have their offices.
16:46And the testimony of that is the World Mark 1, 2, and 3.
16:49In the recent past, you must have seen that Brookfield has come in and taken these assets.
16:54For them, ESG and sustainability audit is one of the most important aspects before making
17:00any investment.
17:01And the kind of clients, the kind of companies who are going to get into the global business
17:04district, I think this is going to be one of the most prime requirements.
17:10And we are cognizant of that fact.
17:13That's how we are doing our development.
17:15Agreed.
17:17Any large multinational global corporation, I think, has now a longer form on ESG to be
17:21filled up than a rate negotiation, right?
17:25I mean, that's literally the basic thing that you have to get right.
17:30But what about net zero?
17:32You're talking about clean energy, but can we get to net zero energy, at least one of
17:37the parameters in some of these projects?
17:39You know, all the processes which I told you we are using for sustainability in each and
17:45every aspect, right from the planning, construction to the operation stage, are going to lead
17:50us to the net zero, what even our government is aiming at.
17:54So all our buildings are going to be zero discharge projects.
17:58Okay.
17:59So zero discharge energy as much as you can pull in clean energy, right?
18:04That is true.
18:05Also, you will need that source of supply in terms of where you can get it.
18:09Now a lot of companies are coming in.
18:11You see the solar parks are being created.
18:13Several companies are investing in that.
18:15So we are tying up with that clean energy.
18:18And we are in the advanced stage of signing the power purchase agreement with these clean
18:23companies for users in our buildings.
18:25Fair enough.
18:26And I'll be watching this very closely, because this is something so close to my heart.
18:32Now, Mr. Sayal, as a leader who has seen the industry through many ups and downs, and written
18:40a book on it as well, Inside Unreal Estate, what is your vision with this project and
18:50overall for the sector, looking at India's growth potential?
18:57With the Indian economy, we all keep on saying that in the next five years or in 10 years,
19:02we are going to be the world's top third economy.
19:06That's going to be only possible when all these global companies come in.
19:10Where we are going to house them.
19:12Our own population is now, I mean, if you look at per capita income of India is growing,
19:19the middle class is growing, they need more housing, 43.5% is the urbanization, we have
19:24packed that, from where this 78 million houses will come in.
19:28And I think this real estate is going to play a very major role in this next one decade
19:35in the entire GDP of the country.
19:38So huge potential.
19:40It's for us to seize, for the right players to seize this opportunity.
19:45As a leader, how does your team describe you?
19:48Or if I were to ask you, how would they describe you, your leadership style?
19:52I think Manisha, after four decades of working at different levels and now coming to this
19:57position, I want to give back whatever I learned.
20:02And I think that is like a life coach to them.
20:06That I keep on narrating whatever my life journey, one is through this inside unreal
20:11estate.
20:12And second is by giving them this mantra that
20:24My way or highway is not the right way.
20:27And humility is the biggest characteristic of a human being.
20:31So I think most of my leadership team have started practicing this.
20:37And now they come to me and say that they have seen the results.
20:41It gives you happiness.
20:42And that produces great results.
20:44Patience and humility.
20:45Absolutely.
20:46All right.
20:47These are two.
20:48Patience, tolerance and ignorance.
20:49I think these are the things you should see.
20:50Some level of ignorance.
20:51To let things go by.
20:52True.
20:53Till they naturally arrive at a destination or a result.
20:54Absolutely.
20:55I have interacted with Mr. Mittal quite closely in his early days as a first generation entrepreneur.
21:06Making the brand Bharti or putting it as one of the top brands in telecommunications in
21:13India.
21:14Real estate was a big decision I am sure for him.
21:18What is your working relationship with Mr. Bharti?
21:21Nisha, if I can say in the Indian business leadership, if any true visionary is there,
21:29he is Sunil Bharti Mittal.
21:31In my last one decade of interaction with him while doing these projects, we only give
21:37him the business plan and there is 100% independence to do whatever we do.
21:43I have not seen in the last four decades of my career working with anyone so far.
21:49That's the mounted trust.
21:50Absolutely.
21:51Once the blueprint and the vision is defined.
21:53True.
21:54Alright, Mr. Sihal, thank you very much.
21:57This industry needs a lot more corporate players who are literally transforming the country's
22:04real estate landscape.
22:05All the very best.
22:06Thank you.
22:07Thank you so much for this interaction Manisha.
22:08This is your business district.
22:09Thank you.
22:10Great.
22:11Thank you.
22:12Thanks sir.
22:13Thanks.
22:18Thank you.