Mindspace REIT expands Chennai portfolio with strategic acquisition of Commerzone Porur

Mindspace Business Parks REIT on Saturday said it had acquired 0.24 million square feet (msf) of the leasable area at Commerzone Porur, Chennai, for  ₹181.6 crore, including transaction costs. Mindspace Business Parks REIT on Saturday said it had acquired 0.24 million square feet (msf) of the leasable area at Commerzone Porur, Chennai, for ₹181.6 crore, including transaction costs.

This strategic acquisition helps Mindspace REIT consolidate its ownership in the project, per a company statement.

Mindspace REIT, through its Asset SPV, now owns 100 per cent of the project with a total leasable area of 1.1 msf.

“Advanced negotiations are underway with a multinational client for around 45,000 sq.ft. of the acquired area.

“With this acquisition, Mindspace REIT’s total leasable portfolio area grows from 32.1 msf to 32.3 msf…The deal was funded by debt, and no fee is payable to the Manager for this acquisition. The acquisition adds INR 0.36 per unit to the NAV of overall portfolio,” the company said.

Vinod Rohira, Board Member, K Raheja Corp Investment Managers Private Limited, Manager to Mindspace REIT said, “This strategic acquisition aligns perfectly with our overarching strategy to exercise complete and comprehensive control of our assets, enabling holistic planning and decision making across the portfolio.…With a low loan-to-value ratio, Mindspace REIT is well-positioned to explore further inorganic growth avenues as they arise.”