EMBASSY OFFICE PARKS REIT FILES FOR SHARE SALE
Ten years, many consultation papers and countless relaxations in norms later, the first real estate investment trust (REIT) in India may be close to reality.
On Monday, Embassy Office Parks, sponsored by Blackstone Group Lp and Embassy Group filed the offer document with market regulator Securities and Exchange Board of India (Sebi) to raise over ₹5,000 crore through a REIT listing.
The REIT is likely to be listed early next year, said two people familiar with the development, who didn’t wish to be named.
The portfolio, which includes Blackstone’s own assets as well as those in partnership with Embassy, comprises 33 million sq. ft across Mumbai, Pune, Bengaluru and Noida, of which 24 million sq ft is completed and 95% leased. This includes 11 assets seven office parks and 4 buildings. The aim is to raise ₹5,000 crore with an option to raise up to 25% more. In July 2017, Embassy Office Parks REIT was registered with Sebi, making it the first such realty trust in the country to be accorded registration by the market regulator.
Embassy Office Parks is an investment partnership between Jitu Virwani-promoted Embassy Group and Blackstone, along with other stakeholders.
Mike Holland, who is currently CEO of Embassy Office Parks, will take over as the CEO of the new entity, while Vikaash Khdloya, MD with Blackstone Group, will be deputy CEO and CEO, said the first person.
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