Ascendas India Trust to invest Rs 506 cr to acquire Hyd proj from Phoenix Grp

New Delhi: Ascendas India Trust will invest Rs 506 crore to acquire an IT-SEZ project from Phoenix Grp.

The project ‘aVance 6’ is located at HITEC City in Hyderabad. Ascendas Property Fund Trustee has signed the agreement with Phoenix Grp in the capacity of ‘Trustee-Manager’ of Ascendas India Trust. 

"The agreements were executed with the shareholders of Phoenix IT Infrastructure India to acquire an IT-SEZ building with a total floor area of approximately 6,39,495 square feet for a gross consideration of 5.06 billion," the company said in a statement.

Around 98.3 percent of the space in the project is already leased to an MNC-Amazon Development Center (India) Pvt Ltd. 

This will be the fifth building acquisition by Ascendas India Trust (a-iTrust) from the Mumbai-based Phoenix Grp. In 2012, a-iTrust had acquired aVance 1 & 2 project having total space of 4,27,700 square feet.

In 2015, a-iTrust had acquired aVance 3 having total space of 6.28,900 square feet. In 2017, a-iTrust had acquired aVance 4 having total space of 3,90,000 square feet.

aVance 5 is under construction right now. “The acquisition will provide a-iTrust an opportunity to scale up our presence in HITEC City and will add Amazon as a tenant to our IT park portfolio," said Sanjeev Dasgupta, CEO, of the Trustee-Manager.