Dubai-based developer Limitless said on Thursday it is reviewing the status of a $12 billion residential and commercial project in India because authorities there have not yet bought the required land.

Limitless and India's DLF won the bid to build the project in Bidadi, near Bangalore, in October 2007. "Under the agreement, government agencies are responsible for the land acquisition," a company spokeswoman said in a statement.

"Unfortunately, after 18 months, the land acquisition has not advanced. As a result, Limitless and DLF have notified the government that they are reconsidering their position," the spokeswoman said.

"Limitless remains optimistic about India as a future market, and will continue to explore viable opportunities there."    
The developer said on Wednesday it cut seven percent of its workforce and delayed a key contract on its $61 billion Arabian Canal project due to the global economic downturn.

The 38 redundancies follow thousands already slashed in Dubai's once-booming real estate sector, as property prices fall and developers slow or cancel projects.

Limitless' cuts are the latest to hit its parent company Dubai World. Nakheel, famous for developing offshore islands, cut 500 jobs in November, while Istithmar World, the company's investment division, reduced its workforce by 10 percent in January. - Reuters