Diageo

In Bengaluru, Diageo sells 30,000 sq. ft. space to DivyaSree Group in UB Tower

Bengaluru News

Diageo the world’s largest producer of spirit and holder of stakes in the company of Vijay Mallya’s United Spirits has sold office space in UB towers to the DivyaSree group.

The company sold 30,000 sq. ft. office space in a deal of Rs. 28,000 per sq. ft. the highest ever finalized deal in Bengaluru’s property market.

Sumeet Chawla, Vice-President of DivyaSree group said that the Diageo firm will sell and lease the land for the operations of its office from the same premises even after the transaction.

The Indian office of Diageo has five floors in the UB Tower and sold four of them as a part of the asset disposal plan.

In Bengaluru, the UB Tower is a premium office space and the company is selling the same property that they have acquired in the settlement with the UB Group in 2016.

Spread in more than 85,000 sq.ft. area, the UB Tower is a luxury commercial-cum-retail asset in the city. Indian businessman Vijay Mallya also used to operate his business from here. Both, his private and family offices are located on the top floor of this building.

The sources feel that Diageo is looking forward to monetize its non-core assets to cut down its debt.

Chawla, Vice-President of DivyaSree group said that the deal is closed and Diageo has the option to stay operational from this premise for three years.

He further said that DivyaSree group plans to convert this property into a co-working space else will rent it as an office property.

Diageo acquired 54.8% shares in United Spirits, Vijay Mallya’s company in 2013-14.