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CapitaLand India Trust (CLINT) has signed a forward purchase agreement with Casa Grande Group to acquire three industrial facilities with a total net leasable area of 0.79 million sq ft at OneHub Chennai, India for a total purchase value of about Rs.268 crore.
The transaction price includes CLINT’s partial funding for the lease of the project land and full funding for the project’s development, said the company.
This follows CLINT’s earlier forward purchase transactions with Casa Grande Group for three industrial facilities at Mahindra World City, Chennai.
Jointly developed by CapitaLand Development, Mizuho Bank and JGC Corporation, OneHub Chennai is about 1,250-acre integrated industrial park with established infrastructure.
Under the arrangement, CLINT will provide funding in three phases and subsequently acquire the facilities upon completion of the construction of each phase, subject to a stabilisation period of six months for leasing. The acquisition of Phase 1 is expected to be completed by the first half of 2025.
“The acquisition will further diversify CLINT’s portfolio and grow our industrial presence in Chennai, which is developing into an important hub for electronics component manufacturers in South India,” said Sanjeev Dasgupta, Chief Executive Officer of CapitaLand India Trust Management Pte—Ltd (the Trustee-Manager of CLINT).
With its forward purchase agreements, CLINT has a pipeline of industrial assets at key locations to capitalise on the growing demand from global companies looking to set up industrial facilities in India.
With the proposed acquisition, the floor area of CLINT’s industrial, logistics and data centre asset classes under its committed pipeline will increase to 30.9 million sq ft from 30.1 million sq ft.
CLINT’s portfolio in Chennai currently comprises two business parks (International Tech Park Chennai and CyberVale), three industrial facilities at Mahindra World City and a data centre under development in Ambattur which is expected to be completed in 2025.
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