Just as Tamil Nadu prepares to raise curtains over a Global Investors Meet, issue of land scarcity brews backstage

CHENNAI: Just as Tamil Nadu prepares to raise curtains over a Global Investors Meet scheduled in May, a nagging issue of land scarcity brews backstage. While opening the door for biggies on one side, land scarcity is stalling MNCs Ford and Capgemini from setting up what can be 2.5 million sq. ft of offices in Chennai.


Ford, which employs 11,500 people in the country, wants parcels of about 20 acres to set up a new campus that will bring its Chennai workforce in one campus.

It plans to build a minimum of 1.5 million sq. ft of offices and hold the rest of the land for possible expansion in the future.

Presently, its staff are spread across business parks in the city, making short commutes necessary for meetings. sary for meetings.

Ford, which makes its cars at a Rs 1,700-crore factory 45 km off Chennai, also runs IT units that serve global Ford sites on a host of services For the IT workforce, it is interested in an SEZ run by SNP Infrastructure not far from its current offices. In an official response to ET, Ford said: “With a workforce of over 11,500 people presently in India, Ford is committed to provide the best working environment to its employees.'' Refusing to comment on what the company found as “speculations“ when asked about not getting the land required, Ford said, “Our operations in India already include Global Business Services, with office space across RMZ Millenia Business Park in Chennai along with Coimbatore and Gurgaon.“

A top executive in the company did confirm that the effort to bring Chennai employees under one roof is ongoing since last year.

The company had even floated a Request For Proposal with real estate developers five months ago.

Capgemini, the French outsourcing major, also wants to develop one million sq. ft through a thirdparty office space builder for a new set-up.

A senior official working with the company told ET: “We had floated the Request For Proposal four months back... the developers are working on it.“