Salarpuria Sattva signs Rs 275-cr JV with Apollo Asia

BENGALURU: Salarpuria Sattva Group and Apollo Asia RE Singapore Pte Ltd ("Apollo Asia Fund") have entered into a joint venture to acquire 100 per cent stake from a group of offshore investors in two real estate projects here and at Vadodara. The deal value is Rs 275 crore ($42 million), Salarpuria said in a statement. It said Apollo Asia Fund's investment was made under the foreign direct investment guidelines.

MUMBAI|BENGALURU: In the largest private equity buyout so far in India’s real estate sector, Xander Group has agreed to acquire 100 per cent interest in Shriram’s Gateway SEZ in Chennai for $190 million, or about Rs.1,220 crore, with further commitment of $160 million to expand commercial component of the integrated township. “It is a long pending transaction. Shriram Properties had also signed term sheet with Ascendas earlier for the same asset,” said a person close to the development.

The IT capital of India has only 3 per cent vacancy in office space, an all-time low, against the top seven cities in the country as strong demand from corporates sucks up space but builders are moving to pre-fabricated buildings and customised offices to stay in business. According to JLL, the average vacancy in commercial real estate stands at 15 per cent, as of the second quarter of 2016.

BENGALURU: Prestige Estates Projects has acquired Red Fort India Real Estate Holdco's 62.54% stake in Bengaluru's Exora Business Park valued at around Rs 1,400 crore. The transaction would be one of the biggest in the commercial real estate sector in the recent past. Irfan Razack- CMD Prestige Group confirmed the deal. As part of the acquisition the company has also got 2.13 mn sft of fully leased office space that generates rental of Rs 135 crore annually," said Razack. Additionally Rs 250 crore worth residential stock was also part of the buyout. ET Reported the transaction on June 5.

In the season of gloom, property investors have one destination that will not disappoint them—Hyderabad.One reason for the ruling Telugu Desam Party (TDP) demanding special-category status for Andhra Pradesh is that it needs funds to develop a new capital, Amaravati. Losing its capital, Hyderabad, to Telagana must have been a big setback to Andhra Pradesh because Hyderabad is growing and how.The capital of Telangana is witnessing a real estate boom—when property is sluggish in the rest of the country. It is the only major city in the country that can give you good return on investment.

NEW DELHI: With the sentiment among corporates across the country improving, net absorption of office space in India expected to be about 31 million sq ft by the end of 2015, according to a joint study by industry body Assocham and property advisory firm JLL. "A total of about 34 million sq ft of office space is expected to become operational in 2015 and India's office stock is likely to settle at 440 million sq ft by end-2015," noted the study, which is titled 'Housing for All: Catalyst for development & inclusive growth'.

MUMBAI/BENGALURU: Real estate private equity investor Milestone Capital Advisors has made an exit from a commercial property in Bengaluru's Electronic City phase I at Rs 150 crore, fetching more than 16% gross internal rate of return. The asset, which achieved rental yields of over 12% for the past five years, has been sold to an ultra high-net-worth individual. IL&FS Milestone Fund II had invested Rs 129 crore in the property E-City Park II in two tranches between 2010 and 2012. The entire eight-storey building with total 3.50 lakh sq ft space was owned by the fund.

MUMBAI: GE Capital Services India is being acquired by Plutus Financials, set up by former GE veterans Pramod Bhasin and Anil Chawla and backed by Aion Capital Partners. The deal value was not officially disclosed but experts said the enterprise value of the business had been pegged at $330 million. Aion Capital is a joint venture between US buyout giant Apollo Global Management and ICICI Venture.