The deal may exclude a large 1 million sq ft office complex in Gurugram that the Singh brothers are developing.
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Blackstone Group is in advanced talks with Ranbaxy’s Singh brothers and Dhillon family to buyout their real estate portfolio of over Rs 1,000 crore, according to a report by The Economic Times.
Their real estate portfolio, which is spread over 1 million sq ft office properties, includes six commercial buildings across four key cities, Mumbai, Delhi, Noida and Ahmedabad.
The deal may exclude a large 1 million sq ft office complex in Gurugram that the Singh brothers are developing, two people aware of the development told the paper.
“The deal is likely to be concluded in a few weeks from now as the due diligence, which is in an advanced stage, is expected to close any time soon. Given their recent liquidity issues, the proposed deal is expected to provide much-needed relief to the Singh brothers,” one of the people mentioned above told the paper.
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Moneycontrol could not verify the report independently.
According to the report, the global private equity major is negotiating the deal directly with Singh brothers and Dhillon family. The New York-based equity firm is planning to acquire these assets on its own and not through any of its existing joint investment platforms with Indian real estate developers.The commercial property spread over 2.50 lakh sq ft at Saket in New Delhi is expected to fetch maximum valuation given the size, location and large tenants such as law firm Cyril Amarchand Mangaldas, IIFL Wealth and H&M.
The property in Noida includes three office buildings, spread over around 4.5 lakh sq ft, that are 70 percent leased. In Mumbai's Vile Parle, the brothers have a commercial property spread over nearly 1 lakh sq ft. This is also fully occupied, while the property in Ahmedabad is relatively smaller in size.
In the past few years, Blackstone has been picking up properties across major cities in deals in India that are turning out to be benchmarks in the sector. As of now, the firm owns India’s biggest portfolio of income-producing office assets that accounts to over 110 million sq ft space across key property markets of Mumbai, Noida, Pune and Bengaluru.