Blackstone Acquires South City Mall in Kolkata for ₹3.25 Billion: A Major Real Estate Milestone
American private equity firm Blackstone has completed the acquisition of South City Mall in Kolkata for ₹3,250 crore, marking the largest real estate deal in the city's history. The mall, known for its extensive brand lineup and impressive footfall, is set to benefit from Blackstone's operational expertise and scale.
Real EstateBlackstoneSouth City MallKolkataRetailReal EstateJun 17, 2025
South City Mall, spread over one million square feet, is a premier shopping destination featuring a diverse array of brands including Zara, Tommy Hilfiger, Armani, Calvin Klein, Benetton, Adidas, Puma, and Skechers. The mall boasts an expansive food and beverage footprint with 10 restaurants and a 1,400-seater food court, which is touted as the largest in the region.
The mall generates an annual turnover of ₹1,800 crore, underscoring its significant economic impact on the region. Asheesh Mohta, head of real estate acquisitions - India, Blackstone, emphasized the mall's role as a community hub. “South City Mall is a place where the community comes together – it’s the definitive destination in Kolkata for shopping, dining, leisure, and entertainment,” Mohta stated. “We are committed to continuing South City Group’s wonderful work and positioning South City Mall for long-term success, benefiting from our scale, operational expertise, and deep experiences in the retail sector, particularly in India where we own one of the largest retail portfolios.”
Anarock, the sole transaction advisor, highlighted the significance of the deal. “This transaction is the largest real estate deal in Kolkata and the largest in the mall space in eastern India,” said Soumendu Chatterjee, regional director – land, Anarock Group. “Kolkata’s real estate market currently faces a supply constraint in Grade-A malls, with most leases happening on main streets.” The mall’s high footfall, ranging from 55,000 to 60,000 daily visitors, surges to 75,000-200,000 during weekends and festival seasons, further attesting to its popularity.
Launched in 2008, South City Mall was developed by six Kolkata business families: Emami Group, Merlin Group, Park Chambers Group, Shrachi Group, Jugal Kishore Khetawat, and Rajendra Kumar Bachhawat. Sushil Mohta, chairman of the Merlin Group and director of South City Projects Ltd, expressed his satisfaction with the transaction. “This acquisition represents more than just a business deal; it’s a vote of confidence in eastern India’s retail ecosystem,” Mohta said.
Blackstone’s acquisition of South City Mall is part of a broader strategy in the Indian retail sector. Earlier, through Nexus Select Trust, the firm acquired Citywalk mall in Delhi’s Saket for ₹6,200 crore, which is the country's most expensive mall deal. In 2020, Blackstone also acquired the mall business of Bengaluru-based Prestige Estates Projects for $1,237 million.
As part of a combined transaction, Blackstone has also acquired unsold inventories in the Sri Lankan residential project Altair from the South City Group, bringing the total deal size to ₹3,400 crore. Prakash Bachawat, a key stakeholder in South City Projects, noted that the investment would accelerate the growth trajectory of both assets while maintaining their premium market positioning.
Key statistics about South City Mall include:
- Daily visitors range between 55,000 and 60,000, surging to 75,000-200,000 during weekends and festival seasons.
- The mall spans one million square feet.
- It features a 1,400-seater food court with 10 restaurants, the largest in the region.
- The mall generates an annual turnover of ₹1,800 crore.
- Major brands include Zara, Tommy Hilfiger, Armani, Calvin Klein, The Collective, United Colours of Benetton, Adidas, PUMA, MAC, and Skechers.
This acquisition marks a significant milestone in the Indian real estate market, highlighting the continued interest of global investors in premium retail assets.
Frequently Asked Questions
What is the transaction value of Blackstone's acquisition of South City Mall in Kolkata?
The transaction value of Blackstone's acquisition of South City Mall in Kolkata is ₹3,250 crore.
Who were the developers of South City Mall?
South City Mall was developed by six Kolkata business families: Emami Group, Merlin Group, Park Chambers Group, Shrachi Group, Jugal Kishore Khetawat, and Rajendra Kumar Bachhawat.
What is the annual turnover of South City Mall?
The annual turnover of South City Mall is ₹1,800 crore.
What is the significance of this acquisition for Blackstone in the Indian retail sector?
This acquisition is part of Blackstone's broader strategy in the Indian retail sector, marking the largest real estate deal in Kolkata and one of the largest in the mall space in eastern India.
What other major retail properties has Blackstone acquired in India?
Blackstone has also acquired Citywalk mall in Delhi’s Saket for ₹6,200 crore and the mall business of Bengaluru-based Prestige Estates Projects for $1,237 million.
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