Financial Times

Browns plans mega property development on prime land
The new owners of the Browns group are finalising plans to develop the company’s two high value properties in Colombo to an apartment and a commercial complex, bring in debt products into the market using Lanka Orix Leasing (LOLC) as a hub and restore the company’s image to its past glory.

Shankar Somasundaram, appointed as the deputy chairman of the company last week, said they are planning a high rise apartment complex at Devanampiyatissa Mawatha, off Darley Road and are in the process of finalising a commercial complex in Darley Road, next to HNB, due to start construction by the end of next year. The Darley Road property is worth Rs.4 million per perch and Devanampiyatissa Mawatha is estimated at Rs.1.5 million per perch.

“The commercial complex has not been decided yet, but we feel the land near HNB appropriate for such a venture,” Somasundaram said after a new investment group took over Cooray family-controlled Browns.
Ishara Nanayakkara, CEO, LOLC and Ishara Traders, who funded the sale for Rs.509 million together with Somasundaram and Ajith Devasurendra, CEO, Taprobane Fund Management, said that he invested in Browns, because of its brand name and the large asset base.

“Ishara Traders has a very large land base and I saw a great potential in Browns’ lands,” he said, adding that the team will be leveraging the brands of the company and the brand name Browns has developed for the last 120 years to restore it to its former glory. Nanayakkara said the company also has land in Nawalapitiya and Ampara, which they are looking at, but has not finalised any plans.

“We are refurbishing the Yala Safari Lodge which was heavily damaged during the tsunami and will be developing it into an eco friendly concept,” Devasurendra said. He said the company will bring in a lot of debt products next year, leveraging LOLC’s expertise and the Browns’ brand name.

Back to Business