Prestige group agrees to sell certain office, retail assets & 2 hotels to Blackstone for Rs 12K crore

NEW DELHI: Realty agency Prestige Estates Projects Ltd on Saturday stated it has agreed to sell certain workplace, retail and resort properties to world funding agency Blackstone — in an enormous ticket actual property deal estimated at round Rs 12,000 crore.

Prestige group didn’t disclose the deal measurement, however sources stated that the Bengaluru-based agency has signed time period sheets with Blackstone to sell industrial properties for an enterprise worth of round Rs 12,000 crore.

The deal is predicted to be closed by finish of the subsequent month in spite of everything the mandatory approvals together with that of the Competition Commission of India (CCI), sources stated.

In a regulatory submitting, Prestige on Saturday knowledgeable that it has “signed a non-binding letter of intent” with Blackstone for the sale of its curiosity in “certain commercial offices, retail and hotel properties, mall management and identified maintenance businesses.”

Prestige group has offered to Blackstone, exclusivity in relation to the transactions, it added.

The closure of the deal might be topic to completion of due diligence, finalization of the transaction construction, negotiation and execution of the definitive paperwork, satisfaction of the situations precedent in such definitive paperwork and receipt of approvals, if any required.

According to sources, the overall workplace, retail and resort assets to be monetised by this deal might be 15-20 million sq ft each accomplished and underneath development. Two hotels with 336 keys are additionally a part of the deal.

Blackstone and Prestige group spokesperson declined to remark.

Prestige group will utilise the fund raised by this monetisation to partly retire its debt and future enlargement.

US-based Blackstone has invested round USD 8 billion in Indian actual property. It has sponsored two REIT (Real Estate Investment Trust) launched and listed to this point in India — Embassy Office Parks REIT and Mindspace Business Park REIT).

India’s workplace market has been performing properly since previous few years regardless of the general slowdown in the true property sector.

The web workplace area leasing stood at report 45-50 million sq ft in 2019 calendar 12 months that additionally noticed the nation’s first REIT being launched and listed on inventory alternate by Embassy Office Parks.

In August this 12 months, Mindspace Business Parks launched and listed the nation’s second REIT, whereas not too long ago Brookfield has filed doc with SEBI for the third REIT.

Source link

Leave a Reply

Your email address will not be published. Required fields are marked *

%d bloggers like this: