Construction major Nila Infrastructures Limited said it has received a contract to build a public services building for Dholera Industrial City Development Limited (Dholera ICDL) at a cost of Rs 46.21 cr.
The building, to be constructed in the Dholera Special Investment Region (Dholera SIR), has to be completed in 545 days, and is the first to be received by the company from the nodal agency creating India’s first true modern and green city.
The building to be constructed will be used to for providing various city services, including those related to information, communication and IT and power.
Dholera, one of the most prominent sites of the Indus Valley Civilization 5000 years ago, is being developed as a free trade zone with the help of Japan, and many Japanese conglomerates are scheduled to invest in the region, part of the Delhi-Mumbai Industrial Corridor project.
Situated 100 km south of Ahmedabad in Gujarat, Dholera is also part of the 1,500 km Multi-modal High Axle Load Dedicated Freight Corridor between Delhi and Mumbai.
The projects are being implemented by Dholera ICDL, a special purpose vehicle formed by National Industrial Corridor Development and Implementation Trust (NICDIT) and Dholera Special Investment Region Development Authority (DSIRDA). Nila said it received its contract from DICDL.
“The Service Area building shall adequately house the electrical, mechanical and ICT equipment required to provide reliable service throughout the Dholera Activation Area. It will include explicit provision for intended Cellular towers, distribution transformer, power main distribution board, Feeder pillars for street lights and surveillance cameras and ICT Tier-1 and Tier-2 facilities.
“This will make the walkways free from all the sophisticated equipment planned and will provide pedestrians continuous space for commuting.”
The Dholera SIR is functionally the first investment region to be implemented under DMIC project.
Itis also envisioned as a model of sustainable development, with a high degree of importance given to emission control, recycling and greenery.
The contract for the Service Building could be a precursor to several more contracts as part of the upcoming project.
“We are delighted to secure our first order from Dholera ICDL for its critical infrastructure,” said Deep Vadodaria, COO of the Nila.
“With this, we further our continual quest to be the first-mover in the uncharted territories.”
Vadodaria said the focus on such projects will also reduce the company’s revenue as well as client concentration risks. Private sector construction activity has slowed down drastically in India due to uncertainties over fund flows as well as higher risk aversion among private companies.
To compensate, Government of India has stepped up spending on large infrastructure projects, which could benefit players like Nila Infra, with their focus on this segment.
“This is only a modest beginning, and economic outlook of such potential opportunities in short-to-long term appears absolutely promising as an area of about 920 sq km encompassing 22 villages of Dholera Taluka of Ahmedabad District are planned for sustainable development vide this ambitious initiative. We are confident to accurately execute and deliver this project within stipulated parameters,” Vadodaria said.
Incorporated in the year 1990, Nila Infrastructures Limited is promoted by first-generation entrepreneurs Manoj and Kiran Vadodaria.
The company gets most of its revenue from building contruction, and has a strong presence in the government and civic sector.
It is a pre-approved contractor with various civic bodies as well as established corporate real estate players, especially in Gujarat and Rajasthan.
Among its clients are Ahmedabad Municipal Corporation (AMC), Ahmedabad Urban Development Authority (AUDA), Government of Rajasthan, EPIL and Adani Group.