Ascendas Property Fund Trustee Pte. Ltd., the Trustee-Manager of Ascendas India Trust (a-iTrust), is pleased to announce that it has entered into a forward purchase agreement with the Casa Grande Group (the Transaction) to acquire two industrial assets (Casa Grande – Phase 2 or the Phase 2 Project) located at Mahindra World City, Chennai. a-iTrust will also provide funding for the development of the Phase 2 Project as part of the forward purchase arrangement.
This is in addition to the earlier forward purchase transaction announced on 5 March 2021 for a 0.42 million square feet fully leased industrial facility (Casa Grande – Phase 1) within the same micro-market. The acquisition of Casa Grande – Phase 1 was completed on 27 May 2022.
About the Phase 2 Project
The Phase 2 Project consists of two industrial facilities with net leasable area totaling 0.31 million square feet. a-iTrust proposes to fund the development of the Phase 2 Project and subsequently acquire both facilities. The construction of Casa Grande – Phase 2 is expected to be completed by the second half of 2023 and acquisition will be completed after a stabilisation period of 12 months for leasing.
Mr Sanjeev Dasgupta, Chief Executive Officer of the Trustee-Manager said, “The full leasing of Casa Grande – Phase 1 validates our assessment of the demand for industrial assets in this location. The proposed Casa Grande – Phase 2 acquisition provides an opportunity to increase exposure to the industrial sector and expand our presence in Mahindra World City, a prime industrial corridor in Chennai.”