Ascendas-Singbridge to raise capital for India office projects

Singapore-based Ascendas-Singbridge Group plans to raise capital from thirdparty investors, to invest in office park projects in India, and aims to ramp up its own IT office development portfolio, said a top company official.

Ascendas-Singbridge will raise around $300 million from mainly offshore institutional investors as well as commit a certain amount of its own, and manage the fund’s investments. The new fund will look at greenfield and brownfield projects that are in the land stage or have all approvals in place.

The Singapore firm has two existing India-focused private funds — Ascendas India Development Trust and Ascendas India Growth Programme — totalling around Singapre $800 million ($575 million).

“Ascendas-Singbridge, which has been fairly conservative in its approach, is focused on growing its fund management business as well as significantly expanding the office development portfolio while retaining the high quality of assets and staying true to its India strategy. While we are cautious about the office sector, demand for space is high and tenants are taking up additional space in our office parks which is a healthy sign,” said Sanjay Dutt, CEO, India operations, AscendasSingbridge India, the local arm of Ascendas-Singbridge Group.

In India, Ascendas-Singbridge has around 12.4 million sq. ft of IT office space under operation across key cities. Another 2.5 million sq. ft is currently under construction. Its assets under management (AUM) are about S$2.2 billion (around ₹10,000 crore)

In a bid to diversify its portfolio, last week, Ascendas-Singbridge Group said it has formed a joint venture with real estate firm Firstspace Realty to enter India’s industrial logistics and warehousing market.