CapitaLand India Trust (CLINT) CY6U has entered into a forward purchase agreement with Casa Grande Group to acquire three industrial facilities at OneHub Chennai, India for an estimated INR2.68 billion ($43.2 million).
The facilities represent a total net leasable area of 0.79 million sq ft. The transaction purchase price includes CLINT’s partial funding for the lease of the project as well as full funding for the development.
CLINT will provide funding in three phases, subsequently acquiring 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 transaction follows CLINT’s earlier forward purchase transactions with Casa Grande Group for three industrial facilities at Mahindra World City, Chennai.
With the proposed acquisition, the floor area of CLINT’s industrial, logistics and data centre asset classes as a percentage of its committed pipeline will increase approximately from 12% to 14%. CLINT’s total floor area under its committed pipeline will also increase by 2.6% from 30.1 million sq ft to 30.9 million sq ft.
CapitaLand India Trust Management CEO Sanjeev Dasgupta says the acquisition will further diversify CLINT’s portfolio and grow its industrial presence in Chennai, which is developing into an important hub for electronics component manufacturers in South India.
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“It will also enable us to offer our tenants high-quality facilities at OneHub Chennai, an established industrial township with plug and play infrastructure. With our forward purchase agreements, we have a pipeline of industrial assets at strategic locations, allowing us to capitalise on the growing demand from global companies looking to set up industrial facilities in India,” he adds.
Units in CLINT closed 3 cents higher or 2.8% up on Feb 2 at $1.09.
