Brookfield India Real Estate Trust Expands Portfolio with Major Bengaluru Acquisition

New Delhi: Brookfield India Real Estate Trust (BIRET) has announced a significant expansion plan by acquiring 7.7 million square feet of commercial assets in Bengaluru. The deal, valued at Rs 13,125 crore, is a strategic move to enhance BIRET's business and market presence. This acquisition will be conducted through a related party transaction and will be done at an arm's length basis, ensuring transparency and fairness.

In a regulatory filing, the Board of Directors of Brookprop Management Services Pvt Ltd, the manager of BIRET, approved the acquisition of up to 100% of the issued and paid-up equity share capital of Arliga Ecoworld Business Parks Pvt Ltd. The acquisition price of Rs 1,31,250 million will be paid to the existing shareholder of Ecoworld SPV, which is part of the Brookfield group.

Alok Aggarwal, the Chief Executive Officer and Managing Director of Brookfield India Real Estate Trust, commented on the acquisition, stating, 'Building on our strong inorganic growth track record, we announced the proposed acquisition of Ecoworld, a 48-acre, 7.7 million square feet office campus located on the Outer Ring Road in Bengaluru. This acquisition will mark our entry into one of India's strongest office markets, expanding the size of our REIT by over 30% and positioning us as a truly pan-India platform.'

This move is expected to significantly boost BIRET's portfolio, which currently manages 10 Grade A assets in key cities such as Delhi, Mumbai, Gurugram, Noida, and Kolkata. The Brookfield India REIT portfolio consists of 29.1 million square feet of total leasable area, including 24.6 million square feet of operating area, 0.6 million square feet of under construction area, and 3.9 million square feet of future development potential.

The acquisition aligns with BIRET's strategy to capitalize on the growing demand for commercial real estate in India's major metropolitan areas. With continued leasing momentum and strong embedded growth prospects, BIRET is well-positioned to deliver value to its unit holders and stakeholders. This expansion is expected to enhance BIRET's market position and contribute to its long-term growth and profitability.