Realty developer Prestige Estates Projects has made two strategic acquisitions to attain complete ownership of two key projects in central Mumbai’s Bandra-Kurla Complex (BKC) and South Mumbai’s Mahalaxmi locality by picking up balance stake from DB Group for a total consideration of over Rs 1,176 crore. Both the projects are currently under construction and are expected to be completed within the next 3- 4 years.
"These are two important strategic acquisitions,” said Venkat K Narayana, Group CEO, Prestige Estates Projects. “These acquisitions help us consolidate our holdings in these marquee assets at key locations. We are confident that the increased stake will substantially enhance the value we bring to our annuity rental portfolio.
Acting through its wholly owned subsidiary, Prestige Falcon Realty Ventures, the company has entered into agreements to increase its stake to 100% from 50% by acquiring the remaining securities of Prestige (BKC) Realtors from DB Group and its subsidiaries for Rs 978.70 crores.
Prestige (BKC) Realtors is developing a project with a potential gross leasable area of 2.79 million sq ft Grade A office space in Mumbai's Bandra Kurla Complex. Prestige Falcon Realty Ventures also entered into a pact to acquire the remaining 50% partnership interest in Turf Estate Joint Venture LLP from DB Realty for a consideration of Rs 197.79 crores.
Through this acquisition, Prestige Group will now hold 100% partnership interest in this project. Turf Estate Joint Venture LLP is developing a project, known as The Prestige, with a potential gross leasable area of 2.9 mn sq ft of Grade A office space in Mahalaxmi. Bengaluru-based Prestige Group has diversified business model across various property segments including residential, offices, retail, hospitality, property management and warehouses with operations in more than 12 major.
The group has so far completed 281 projects spanning a developable area of 166 million sq ft and has 57 ongoing projects across segments, with a total developable area of 77 million sq ft. In addition to this, the company is planning 44 projects spanning 97 million sq ft and holds a land bank of over 680 acres as of March end.
