Blackstone-backed Nexus Select Trust, India’s first retail real estate investment trust (REIT), has acquired Vega City Mall in Bengaluru for ₹913 crore. This includes a purchase price of ₹869.75 crore and additional funds allocated for planned capital expenditures, renewable energy initiatives, and closing costs, as published by Hindustan Times.
With this acquisition, Nexus Select Trust now owns four malls in Bengaluru, spanning 1.7 million square feet, and six malls across Karnataka, covering a total of 2.7 million square feet. The company plans to double its mall portfolio within the next five years, it told HT.com.
Nexus Select Trust’s portfolio includes 18 Grade-A shopping malls covering 10.4 million square feet across 14 Indian cities. Additionally, it owns three office assets with a gross leasable area of 1.3 million square feet.
Additionally, it owns two hotel properties with a total of 354 rooms and three office buildings with a gross leasable area of 1.3 million square feet.
Located in South Bengaluru, Vega City Mall is 96% leased to a mix of domestic and international brands.
“We are delighted to complete the acquisition of Vega City Mall, a high-quality urban retail destination in an affluent South Bengaluru neighborhood. This reinforces our commitment to expanding our portfolio with accretive acquisitions of premium assets,” said Dalip Sehgal, executive director and CEO of Nexus Select Trust.
In August 2024, Blackstone sold 33 crore units in Nexus Select Trust through a block deal on stock exchanges for approximately 4,550 crore rupees as part of its strategy to monetize real estate holdings.
The global investment firm, which initially held a larger stake, currently retains a 43% stake in Nexus Select Trust, India’s first retail-focused REIT.