Singapore-headquartered and listed CapitaLand Investment (CLI) is all set to double its portfolio in India. The India portfolio was currently at 25 million sq ft, including 12 business parks, eight industrial and logistics parks, seven service apartment projects and three data centres. CLI would be adding another 25 million sq ft in the next three to four years with around 15 million sq ft under development and another 10 million sq ft would be added soon. After a successful pilot run in Bengaluru, the company is also venturing into the co-working space in India under the brand Bridge Plus brand.
CapitaLand in India has a portfolio of 30 properties across seven cities, with total assets under management at Rs 24,700 crore. Around 80% of the portfolio is under the CapitaLand India Trust REIT.
Gauri Shankar Nagabhushanam, CEO, India Business Parks, CLI, said what they bring to India was patient capital and they were not interested in trading their assets and were under no pressure to exit. “We would like to keep assets as long as we can,” Nagabhushanam said. The Internal Rate of Return of 20 years was high in the country with 5-6% escalation built into the contracts in India, which does not happen in other markets, Nagabhushanam said.
CLI commenced operations at its latest business park in Pune at the International Tech Park Pune, Kharadi (ITPP) with an 80% leasing commitment from leading multinational companies. Among them were Deloitte, Hewlett Packard Enterprise, NielsenIQ, PTEC Technology Solutions, SAP Labs, Sulzer, Tablespace, Whirlpool India, ZS Associates, 315 Work Avenue, Acuity Knowledge Partners and Bharti Airtel.
ITPP-Kharadi has been developed under CLI;s Ascendas India Growth Programme[1] with GIC as its principal investor. The total project cost of ITPP-Kharadi was ` 1,705 crore. ITPP-Kharadi, which is designed with green and sustainable features, has secured a `1,300 crore green loan from HSBC India.
The 16.5-acre IT campus will see a development of three million square feet. The second phase of 1.5 million sq. ft is expected to be completed by 4Q of 2023 and house 30,000 IT service professionals. CLI already has two business parks in Pune – the International Tech Park Pune, Hinjawadi and aVance Business Hub, Hinjawadi. aVance is a brand created in India and houses all six properties acquired from other developers. The 1.5 million aVance in Pune was acquired from Paranjape Developers and they are soon acquiring 1.4 million sq. ft. in the second phase.
