LIC calls bids to consolidate real estate biz

New Delhi: India’s largest life insurance firm, Life Insurance Corp. of India (LIC), on Wednesday said it plans to consolidate its real estate portfolio across the country.

“Expression of interest is being invited from professional consultancy organizations for consolidating our real estate portfolio,” LIC said in an advertisement.

The consultancy involves feasibility study, including techno-economic viability assessment of expected growth potential, and investment opportunities in sectors such as commercial, housing and retail for fresh acquisition, it said.

Besides, making fresh acquisitions of land, the insurer also intends to develop existing vacant plots and redevelop old properties. LIC is interested in acquiring properties in tier I and tier II cities for own use and for investment purposes, it said.

For development of unencumbered plots at places such as Kolkata, Jaipur, Chennai, Kanpur and Ahmedabad, some new locations might be added in future, the advertisement said.

LIC had ventured into real estate business in 2005, in a bid to get more returns from its properties.
The last date for submission of bids is 25 January.

LIC, which was formed in 1956 with the Union government contributing the capital, had valuation surplus of Rs15,127 crore for the year ended 2006-07. The state-run insurer has more than 2,040 branches and offices in Fiji, Mauritius and the UK.