Canada's Brookfield buys commercial properties worth $2bn in India
20 October, 2020
Brookfield Asset Management will buy an Indian developer’s commercial properties for $2 billion, the largest property deal in the South Asian nation.
The Canadian asset manager is acquiring 12.5 million square feet of rent-yielding offices and co-working spaces from RMZ, the privately held developer said in a statement on Monday. The Indian firm said it has zero debt following the transaction and will utilize the money to expand its portfolio.
Large foreign investors are buying into the Indian office market recently. Since 2011, the segment has garnered $15.4bn of equity investments, according to property research firm Knight Frank. Blackstone last week signed a non-binding agreement to get some assets, a deal Bloomberg News previously reported could be worth $2bn.
RMZ said it plans to expand its real asset portfolio to 85 million square feet over another six years from 67 million sq ft. A number of the clients in RMZ’s technology and business parks include Accenture, Google and HSBC. It really is selling properties in the southern Indian cities of Bengaluru and Chennai.
A representative for Brookfield confirmed the contents of RMZ’s statement. The choice asset manager, which says it owns and operates 22 million sq ft of office properties in India, has picked banks for an initial public offering of its India owning a home trust that could raise at least $500 million, Bloomberg reported in July.
Source: www.thenationalnews.com