Mumbai: Property advisory firm JLL India on Tuesday said it is selling its residential services business to the company’s former India head Anuj Puri, who recently left the organization to start his own venture, for an undisclosed sum.
JLL’s residential business employs around 200 brokers and 250 support staff in eight cities. “It’s a profitable business and handles both primary and secondary markets with large focus on primary,” Puri told Mint over the phone. He, however, declined to comment on the financial details of the transaction.
The former chairman and country head of JLL India, who quit on 28 February, said he is currently setting up his new office at Mumbai’s Bandra Kurla Complex (BKC) where he has recently bought 13,000 sq.ft at One BKC building for around Rs40 crore.
In a statement, JLL said Puri has worked closely with JLL India and Asia Pacific leadership teams to complete the acquisition of Jones Lang LaSalle Residential Pvt. Ltd (JLLR). While the residential brokerage arm will be under new ownership, it will continue to provide consulting, advisory, valuation, research, property management, project and development services, and capital markets services for residential developers, the statement added. The company’s India business is estimated to be around Rs3,000 crore.
JLL India’s new chief executive officer (CEO) and country head Ramesh Nair said selling the residential business is a strategic move to focus on new growth areas in the Indian real estate market. The company’s other businesses include office, retail, industrial, hotels, logistics and land sectors. It is currently present in 11 cities in India with around 9,000 employees.
“With his impeccable track record in Indian real estate and his passion for the residential sector, Anuj is exactly the right person to continue to build this business…This has been a smooth and well-planned process as he transitions to his new ventures,” Nair said.
Talking about the new venture, Puri said his firm would be a technology-led residential business brokerage platform where digital would play a big role in creating leads and demand.
“Unlike other real estate portals, the fulfilment of those leads and demands will be done by our own brokers. We would not be selling the lead to third party brokers. So, customer experience and delivery of service is completely under our control. It is a model which combines digital technology to bring in the demand and lead generation and the offline channel to fulfil those demands and leads,” he said.
His new venture is currently in the process of acquiring two more businesses in the real estate sector, one of them related to the private equity space. He, however, declined to provide further details about them.