The 28-year-old actor, who shared screen space with actresses like Alia Bhatt, Nargis Fakhri, Ileana D'Cruz, Huma Qureshi among others in his previous outings, said he sees Shraddha on top of her game in the next five years.
"I think she has got a very bright future. She is improving as an actor and dancer. She is so beautiful. For Shraddha, the sky is the limit and she drives me to doing better and I want to work with her. After five years I would see her on the top," he told PTI.
"She is my childhood friend. We knew each other before we became actors. The chemistry with her in 'ABCD 2' is very different. I don't think I have shared such a chemistry with any other actress because probably I am the most comfortable with her," Varun added.
The actor said he learnt the tricks of dance by watching greats like Michael Jackson and Prabhudheva.
"As a kid, I used to watch Michael Jackson's dances on CDs and on television when the dancing star was on world tours. After Youtube came, I watched NTR Junior and Prabhudheva... And picked up a few nuances of dancing," he said.
Varun opined that his another 'ABCD 2' co-star Prabhudheva is the best dancer and everybody else, including Hrithik Roshan and Allu Arjun, comes after him.
"Prabhudheva is the best in dancing. After him comes everyone... Hrithik Roshan, NTR Junior and Allu Arjun are outstanding," he said.
Heaping more praise on the choreographer, who is reprising the role of Vishnu sir in the dance drama, he said, "Prabhudheva is a legend. He is just extraordinary. He is around 50 years old. Look at the way he dances.... Better than any other young dancers. His discipline, passion, his humbleness... I am truly a fan of his," he said.
The 'Badlapur' star said he signed the sequel because he liked the first one. "I signed the sequel after I liked the first. I became a fan of ABCD," he said.
Varun also expressed his desire to work with his director father David Dhawan again.
"There is something we might do next year. It would be a David Dhawan kind of film - full of comedy. He is a brand in himself and he doesn't want to disappoint his loyalists."