Mindspace REIT buys Chennai park

Mindspace Business Parks REIT has agreed to buy control of a major Chennai office campus, deepening its bet on the city’s southern tech corridor. (mindspacereit.com) The deal, announced April 14, gives Mindspace a 51% stake in International Tech Park Chennai, Radial Road, at an enterprise value of ₹3,000 crore. Mindspace’s share of the equity check is about ₹1,500 crore, while 360 ONE Asset’s real-assets funds will hold the other 49%. (mindspacereit.com) The campus spans about 2.6 million square feet across two towers of roughly 1.3 million square feet each. Tower 1 is about 87% committed, Tower 2 was completed in September 2025 and was about 28% committed at announcement. (mindspacereit.com) A real estate investment trust, or REIT, is a listed vehicle that owns rent-producing property and passes cash flows to investors. Mindspace said this purchase will lift its gross asset value to roughly ₹48,340 crore from about ₹44,100 crore, subject to approvals and related calculations in its filing. (mindspacereit.com) The Chennai move follows another deal announced on March 31 for Commerzone Pallikaranai, a separate 2.6 million-square-foot office campus on Pallavaram-Thoraipakkam Road. That earlier transaction was valued at about ₹2,541 crore and included 1.4 million square feet completed and 1.2 million square feet under construction, due by March 2027. (business-standard.com) Taken together, the two Chennai campuses give Mindspace about 5.2 million square feet along the same corridor. Mindspace said that footprint would make it the largest portfolio owner in the Pallavaram-Thoraipakkam Road market and place it among Chennai’s top two office asset owners. (mindspacereit.com) Mindspace entered 2026 with a 39.0 million-square-foot portfolio, 275 tenants and 94.5% committed occupancy as of December 31, 2025, according to its investor materials. After the March Chennai acquisition, the company had already projected leasable area of about 41.6 million square feet before adding the new Radial Road stake. (mindspacereit.com, business-standard.com) The seller in the new deal is AIGP2 Chennai 1 Pte. Ltd., a subsidiary of CapitaLand India Growth Fund 2. Mindspace said the park is leased to multinational tenants including a large retailer, a financial-services company and a wind-technology manufacturer that together account for about 70% of leased area. (mindspacereit.com) Ramesh Nair, Mindspace’s managing director and chief executive officer, said in the company statement that recent transactions in the micro-market have closed at about ₹85 per square foot a month, pointing to rent-reset potential in the older tower. The company also said the acquisition would add about ₹241 crore of net operating income on a pro forma basis, with 51% attributable to Mindspace. (mindspacereit.com, economictimes.indiatimes.com) For Chennai’s office market, the immediate effect is concentration: one listed landlord is assembling two large campuses on the same stretch of road within weeks. For Mindspace investors, the next step is execution — filling the newer space, closing the approvals and turning corridor scale into rent growth. (mindspacereit.com, business-standard.com)