The New York-based Citigroup Property Investors will invest up to $120 million in Bangalore-based Nitesh Estates' luxury hotels.
Nitesh Shetty, chairman of the Nitesh group, confirmed that Citigroup Properties would partner with Nitesh Estates on its forthcoming hotel properties but declined to give details.
Sources close to the development said CPI has already committed itself to 30 per cent stake in the group's recently announced $100 million five-star hotel property on Bangalore's Residency Road.
CPI, which is among the biggest private equity investors in the Indian real estate, will take up a similar stake in forthcoming properties, sources said.
Nitesh group is planning to build four more hotels in Goa, Chennai, Hyderabad and Kochi. The group is believed to have acquired land in Goa and is in the process of acquiring land in other locations.
CPI has already invested close to $250 million in India and has plans of investing a further $500 million. Of this, around 40 per cent is expected to be invested in hotels and service apartments.
The Nitesh group had earlier received an infusion of $100 million from a Singapore-based fund for its luxury residential property in Bangalore.
