Ascendas India Trust (a-iTrust), a realty investment firm managed by Singapore-based Ascendas, has acquired an IT office building named aVance 3 in Hyderabad for Rs 294 crore (approximately $46 million), according to a press release.
This is the third building that a-iTrust has acquired from the developer Phoenix Infocity Pvt Ltd. Earlier in February 2012, it had acquired aVance 1 & 2, totalling 427,700 sq ft for an undisclosed amount.
aVance 3 is a multi-tenanted IT office building with total floor area of 682,900 sq ft located in aVance Business Hub in Hyderabad. aVance 3’s anchor tenants include United Healthcare Group and ValueLabs.
As at July 30, 2015, aVance 3 has attained a leasing commitment of 94 per cent.
“aVance 3 is a high quality addition to our portfolio and increases a-iTrust’s total floor area to 8.8 million sq ft. Acquiring aVance 3 deepens our presence in Hyderabad, a key gateway city for global companies looking to set up offshore IT operations,” said Sanjeev Dasgupta, chief executive officer of Ascendas India Trust.
This acquisition will support our income growth going forward, he added.
Last December, a-iTrust had agreed to acquire phase II of Pune-based IT/ITES SEZ christened BlueRidge, which is currently under-construction, for up to Rs 640 crore ($100.5 million) in a two-tiered conditional deal.
a-iTrust acquires income-producing real estate used primarily as business space in India. According to information available on its website, a-iTrust may also develop and acquire land or uncompleted developments primarily to be used as business space, with the objective of holding the properties upon completion