Embassy Office Parks REIT, India’s first listed REIT and Asia’s largest office REIT by area, has announced the acquisition of a premium 0.3 million square feet office asset within Embassy GolfLinks Business Park, one of Bengaluru’s most sought-after office hubs. Valued at Rs. 8,520 million, the deal aligns with Embassy REIT’s strategy of disciplined, yield-accretive growth in India’s top office markets.
The transaction marks a third-party acquisition that further strengthens Embassy REIT’s scale and ownership in a micro-market noted for strong leasing demand and premium rental growth.
Fully Leased, High-Quality Asset
The property is a Grade-A office building that is 100% leased to a leading global investment firm, offering long-term tenancy visibility. This acquisition consolidates Embassy REIT’s presence in Bengaluru’s office capital, a city home to influential technology companies and Global Capability Centers (GCCs).
Amit Shetty, CEO of Embassy REIT, said, “This acquisition highlights our commitment to high-quality, yield-accretive investments. Embassy GolfLinks hosts some of the world’s most prominent occupiers. With this fully leased, long-tenured asset, we are enhancing both scale and cash flows while delivering value to our unitholders.”
Transaction Highlights
- Enterprise Value: 8,520 million, acquired at a discount to independent valuations
- Accretive Deal: Supports Distribution per Unit (DPU) and strengthens Net Operating Income (NOI)
- Yield Advantage: The asset delivers 7.9% NOI yield, outperforming the REIT’s Q2 FY26 trading cap rate of 7.4%
- Tenant Profile: Fully leased to a leading global investment firm with long-term commitment
The acquisition is subject to customary conditions precedent and pre-closing actions, ensuring compliance and smooth transfer of ownership.
Expert Advisory and Due Diligence
Embassy REIT was supported by top advisors to ensure a thorough due diligence process:
- PwC: Financial and tax due diligence
- Trilegal: Title diligence
- S&R Associates: Legal advisory
These steps provided confidence in the asset’s quality, legal standing, and financial performance.
Strategic Significance for Embassy REIT
The acquisition reinforces Embassy REIT’s leadership in Bengaluru’s prime office market, the city that continues to anchor India’s corporate real estate ecosystem. By adding a fully leased, high-quality asset, the REIT not only strengthens its portfolio but also enhances cash flow predictability and returns for unitholders.
Bengaluru remains India’s most dynamic office market, with continued demand from technology, GCC, and global investment firms. Embassy REIT’s strategic acquisitions in such micro-markets underline its focused expansion philosophy, picking assets that offer stable tenancy, strong yields, and long-term value creation.
Driving Disciplined Growth
This transaction is a testament to Embassy REIT’s disciplined investment approach, combining rigorous valuation, tenant quality, and yield accretion. By selectively acquiring marquee office assets, the REIT continues to deliver world-class workspaces to occupiers while creating consistent value for investors.
With this acquisition, Embassy REIT further cements its position as a leading office REIT globally, demonstrating the strength of India’s commercial real estate sector and the attractiveness of Bengaluru as a high-growth corporate hub.
