Ivanhoé Cambridge, Mapletree form platform to invest over Rs 15,400 crore in tech-led offices realty
Global real estate firm Ivanhoé Cambridge and Mapletree, property development, investment capital and property management company have formed a strategic partnership to develop, own and operate technology-sector-focused workplaces in India.
The new joint investment platform will have an investment capacity of over Rs 15,403 crore (Canadian $ 2.5 billion). Both the partners have already identified properties and projects to meet this investment target.
“We are particularly pleased to find such great alignment with Mapletree for India, on our values, ESG ambitions and their 15-year experience in India. This partnership continues our growth plans for the APAC region, bringing diversification to our portfolio and resilience to our returns,” George Agethen, Co-Head Asia-Pacific, Ivanhoé Cambridge.
The investment strategy for the venture will focus on both stabilised, and development of Grade A office assets in key economic hubs in India, which are benefiting from the exponential growth in technology led innovation activities anchored by global capability centres, as well as large domestic and international technology services corporations.
“There is a considerable synergy in this strategic partnership as it pools together leading expertise across the real estate value chain from two globally recognised firms. It will allow us to strengthen our presence in India, and expand our portfolio in the commercial sector efficiently, which we believe has good growth potential in the coming years,” Quek Kwang Meng, Regional Chief Executive Officer, India, Mapletree.
Mapletree, with its global track record in developing and managing high-quality Grade A assets, will lead all real estate development, project management, leasing, and operations.
Ivanhoé Cambridge will bring in its expertise and experience as an institutional investor in sectors and assets that are shaping the urban fabric in a sustainable manner in the most dynamic cities, globally.
The investment portfolio of the platform will meet industry benchmarks on sustainability credentials, aligning with Ivanhoe Cambridge and Mapletree’s commitments to achieve net zero operational carbon by 2040 and 2050, respectively.
This partnership allows both Ivanhoé Cambridge and Mapletree to strengthen their exposure to India’s knowledge, technology and innovation workplace sector, which is supported by long-term fundamentals and a high-quality talent pool.
Against the backdrop of an ongoing policy overhaul, rising investor confidence, enhanced transparency, and sustained growth in demand for grade A commercial office space, experts believe the investment momentum in the Indian real estate sector will continue to rise.
Ivanhoé Cambridge and Mapletree’s partnership for investments indicates the appetite for Indian real estate assets among global institutional investors continues to be strong.
In addition to large and established domestic investors, global funds like Blackstone Group, Brookfield Asset Management, GIC, Xander, Ascendas, CPPIB, Warburg Pincus and Goldman Sachs are expanding their investments in the sector.