Tishman Speyer and Axis CRE Team Up with Kasturi Housing for Rs 1,700 Crore Pune Office Development

Global real estate investment, development, and management firm Tishman Speyer and Axis Commercial Real Estate Fund have entered a strategic partnership with Kasturi Housing to develop a commercial and information technology office project worth Rs 1,700 crore in Pune’s Balewadi area.

This partnership between the New York-headquartered Axis Commercial Real Estate Fund and the developer will develop around 1 million sq ft of premium office space, with Tishman and Axis holding a combined 50% stake and Kasturi Housing holding the remaining.

“We are expanding our presence in India with Kasturi Housing and Axis AMC,” said Parvesh Sharma, MD & country head, Tishman Speyer India. “The Pune project fits into our broader plan to scale our commercial portfolio across major office markets and follows the approach we are taking with similar developments in the country.”

The project is part of a larger layout including commercial and residential development. Besides being an equity partner, Tishman will be managing the development, while Kasturi Housing owns the land and has secured approvals.

“With ongoing infrastructure development in Pune, this project aligns with the city’s evolving growth corridor,” said Chetan Shah, head of real estate, Axis AMC.

Pune remains a strategically important market within the fund’s broader commercial development plan, and this investment reflects the intention to build a presence across key office hubs, Shah said.

“This collaboration represents the next phase of our commercial development plans. We will work closely with Tishman Speyer and Axis AMC to develop the project and align it with current market requirements,” said Bharat Agarwal, chairman, Kasturi Housing.

JLL Capital Markets, Pune, was the exclusive real estate consultant for the transaction, facilitating the partnership between Tishman Speyer, Axis, and Kasturi.

Pune has more than 360 global capability centres, which continue to drive occupier demand. The city remains one of the most active and preferred office markets in India for technology, engineering, and financial services occupiers, said Sanjay Bajaj, senior MD, JLL Pune.

This marks the second investment from the Axis Commercial Real Estate Fund, a strategic alliance between Tishman Speyer and Axis that invests in commercial real estate development projects across India’s top eight property markets.

Institutional capital continues to play a larger role in shaping India’s office market, with both global and domestic investors increasing allocations to income-generating and development-stage assets. The trend is being driven by sustained occupier activity from global capability centres, BFSI players, and technology firms, along with improving transparency and regulatory frameworks in the sector.

Industry experts said long-term investors are increasingly viewing India as a stable, yield-driven market compared to global regions experiencing softer demand or capital value corrections.

Real estate continues to attract growing interest from pension funds, sovereign wealth funds, private equity firms, and domestic investment managers seeking scale and long-term returns with several large platforms already operating across key cities.