K Raheja Corp’s Mindspace Business Parks REIT has received commitment worth Rs 1,125 crore from institutional investors including GIC, affiliates of Fidelity Group, Capital Group and Fullerton Group.
With this, the proposed REIT has already received response for 25 percent of the issue size by strategic investors.
Total REIT units proposed to be subscribed by strategic investors will be 4.09 crore and allotted to them at Rs 275 per piece.
Apart from K Raheja Corp, US private equity Blackstone Group is also a stakeholder in the company and both will dilute their respective holdings in this issue.
India’s second REIT is looking to raise Rs 4,500 crore through a fresh issue of Rs 1,000 crore and an offer sale worth Rs 3,500 crore. The issue is scheduled to open on 27 July 2020 and close on 29 July 2020.
Mindspace REITs’ portfolio includes a total leasable area of 29.5 million sq ft with five integrated business parks and five independent offices across Mumbai Metropolitan Region (MMR), Pune, Hyderabad and Chennai.
It comprises 23 million sq ft of completed area, 2.8 million sq ft under construction and 3.6 million sq ft future development space, as on 31 March 2020.
It has leased additional seven lakh sq ft to tenants across various properties since 1 April 2020, including pre-committed 42,567 sq ft area in its under-construction asset in Chennai, Tamil Nadu.
Rents achieved from these new leases are higher than the market rents estimated for the vicinity. As per the revised filing with SEBI, it has completed additional 3.3 million sq ft new offices since its previous filing in 2019.