The Mapletree Investments which is a Temasek-owned real estate asset manager purchased Chennai’s IT park for worth Rs.2400 crores. This is the largest ever single realty asset transaction in India and the IT Park bought by the company is known as the SP Infocity in Chennai.
The SP Infocity was jointly-owned by the Canada Pension Plan Investment Board (CPPIB) and Shapoorji Pallonji Investment Advisors. The officials of these companies said that the deal is finalized and an announcement regarding same will be made soon.
In October it was reported that the Mapletree Investment has emerged as the highest bidder for the property and will soon acquire it. This deal is said to be the biggest commercial transaction in India till now as the DLF-GIC deal worth $1.9 billion and the $1-billion Hiranandani-Brookfield deal of assets are now the things of past.
Mapletree left GIC-K Raheja Corp alliance behind in the final bidding round. Apart from them, Blackstone Group, Brookfield Asset Management, Xander Group and Ascendas-Singbridge Group also showed interest in purchasing the Chennai IT Park.
The SP Infocity alias the Chennai IT Park has a widespread area of 2.7 million sq. ft. area and nearly 99% of which is occupied by the tenant companies like Amazon India, World Bank, HSBC and BNP Paribas. Earlier in 2015, SPREP Pvt Ltd., a joint venture of Shapoorji Pallonji Investment Advisors and CPPIB bought this property for nearly $220 million.
This joint venture between Shapoorji Pallonji and Canada Pension Plan Investment Board [CPPIB] was inked in the year 2013 with the sole purpose to invest in office buildings major metro cities of India. CPPIB has 80% with an initial equity commitment of $200 million and is being advised by Shapoorji Pallonji Investment Advisors. This company aims to own, operate and sell income producing office properties.