New Delhi, Oct. 8 -- HDFC Capital, the real estate private equity arm of the HDFC Group, and industrial and logistics real estate player Godwitt Group have set up an institutional workforce housing platform focussed on India's manufacturing and industrial hubs, the companies said in a statement.
The platform will develop, own and operate more than 100,000 beds across key manufacturing centres and industrial corridors. It will provide professionally managed accommodation for frontline manufacturing and industrial workers
Financial details of the platform were not disclosed.
"Through our experience in industrial real estate development, we have witnessed firsthand the challenges employers face in providing quality housing for their workforce," said Nirav Kothary, promoter, Godwitt Group.
"Workforce attrition resulting from long commutes, inadequate accommodation and poor living conditions continues to impact operational efficiency across manufacturing clusters. This platform addresses a critical gap by developing professionally managed workforce housing, prioritising safety, hygiene and functional comfort," he added.
Vipul Roongta, chief executive officer of HDFC Capital, said organised workforce housing for both men and women is an essential component of social infrastructure that enables workforce mobility, economic participation and inclusive industrial growth.
"Access to safe, dignified and quality housing is a fundamental human need and is critical to improving quality of life, promoting decent work, and creating more resilient and sustainable communities," he said
The companies expect the government's National Manufacturing Mission, which aims to raise manufacturing's contribution to GDP to 25% by 2035 while creating 143 million jobs, to provide a tailwind for the workforce housing segment.
HDFC Capital has a presence across the affordable and mid-income housing segments, with a focus on rental housing platforms spanning senior living and student housing. "Workforce housing is a natural extension of this vision," Roongta said.
HDFC Capital has assets under management of about $5 billion and focuses on affordable and mid-income housing development. It also invests in and partners with technology companies to promote innovation and technology adoption in real estate.
In July, HDFC Capital teamed up with Primus Senior Living Pvt Ltd, a Bengaluru-based company backed by General Catalyst and Zerodha co-founder Nikhil Kamath, to set up a Rs 2,000 crore ($207 million then) investment platform to develop senior living communities across India.
Previously, it partnered with Bengaluru-based Curated Living Solutions Pvt Ltd to establish a Rs 1,000-crore rental housing platform in India.
Meanwhile, Godwitt Construction has delivered more than 3.5 million square feet of industrial facilities and has another 3 million sq ft under development. It has also set up the IKOI platform as a separate business to develop institutional-grade workforce housing across key industrial and manufacturing corridors in India.
Published by HT Digital Content Services with permission from VC Circle.