Brookfield REIT to Acquire Business Park for Rs 13,000 Cr

New Delhi, Nov 4 (PTI) Brookfield India Real Estate Trust (BIRET) on Tuesday said it is planning to acquire 7.7 million sq ft of commercial assets in Bengaluru for Rs 13,125 crore to expand business.

This will fall in related party transaction and is proposed to be done at arm length basis, the company said.

In a regulatory filing on Tuesday, the company said the Board of Directors of Brookprop Management Services Pvt Ltd, which is the manager of BIRET, approved the acquisition of up to 100 per cent of the issued and paid-up equity share capital of Arliga Ecoworld Business Parks Pvt Ltd at an acquisition price of Rs 1,31,250 million from the existing shareholder of Ecoworld SPV.

The existing shareholders of Ecoworld SPV are BSREP III New York FDI I (DIFC) Ltd (including its nominee, BSREP III New York II (DIFC) Limited), forming part of the Brookfield group.

"Building on our strong inorganic growth track record, we announced the proposed acquisition of Ecoworld, which is a 48-acre, 7.7 million square feet office campus located on the Outer Ring Road in Bengaluru," said Alok Aggarwal, the chief executive officer and managing director of Brookfield India Real Estate Trust.

"This acquisition will mark our entry into one of India's strongest office markets, expanding the size of our REIT by over 30 per cent and positioning us as a truly pan-India platform.

"Our embedded growth prospects remain strong with continued leasing momentum, making us well-positioned to deliver value to our unit holders," he added.

BIRET manages 10 Grade A assets in Delhi, Mumbai, Gurugram, Noida, and Kolkata.

The Brookfield India REIT portfolio consists of 29.1 million square feet of total leasable area, comprising 24.6 million square feet of operating area, 0.6 million square feet of under construction area and 3.9 million square feet of future development potential.