India's First SM REIT Scheme: Property Share Files for ₹353-cr IPO
Property Share Investment Trust, India's first Small and Medium Real Estate Investment Trust, has filed documents for an IPO of its PropShare Platina scheme, worth up to ₹353 crore.
Sm ReitProperty Share Investment TrustPropshare PlatinaIpoReal Estate Investment TrustReal Estate MumbaiSep 28, 2024
The IPO is a fresh issue, with no offer-for-sale component, and the proceeds will be mainly used for the acquisition of the Prestige Tech Platina asset. According to the draft papers filed on Thursday, the funds raised from the IPO will be utilized to purchase the Prestige Tech Platina building in Bengaluru.
The PropShare Platina scheme includes 246,935 sq ft of office space in the Prestige Tech Platina building, which will be leased to a US-based tech firm for nine years. The rent will increase by 15% every three years. Investors are projected to receive a 9% distribution yield for FY26.
Property Share was founded by Kunal Moktan and Hashim Khan, both with extensive real estate experience. The senior team has a combined experience of 62 years. ICICI Securities is the lead manager, and the units will be listed on the Bombay Stock Exchange (BSE).
SM REITs, a new asset class regulated by the Securities and Exchange Board of India (SEBI), target assets valued between ₹50-500 crore. These trusts are required to distribute 95% of their earnings to investors.
Information
Property Share Investment Trust is India's first Small and Medium Real Estate Investment Trust (SM REIT). The company was founded by Kunal Moktan and Hashim Khan, both experienced real estate professionals.
ICICI Securities is one of the leading investment banks in India, providing a range of financial services, including IPO management.
A ICICI Securities is the lead manager for the IPO.
Frequently Asked Questions
What is the size of the IPO filed by Property Share Investment Trust?
The IPO is worth up to ₹353 crore.
What is the purpose of the IPO?
The proceeds from the IPO will be used to acquire the Prestige Tech Platina asset.
What is the lease period for the Prestige Tech Platina building?
The building will be leased to a US-based tech firm for nine years.
What is the expected distribution yield for investors?
Investors are projected to receive a 9% distribution yield for FY26.
Who is the lead manager for the IPO?
ICICI Securities is the lead manager for the IPO.
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