The next buy-out target of Blackstone-backed Reit is in Kolkata

Copyright © HT Digital Streams Limit all rights reserved. The Blackstone-backed Nexus Reit keeps the Hunt Hunt. The next target is in Kolkata the gap between the demand for mall and available supply that is larger for a third year in 2024. (Mint) Summary Nexus Select Trust is in advanced talks to obtain a mall in Kolkata for £ 500-600, which expands its portfolio of 19 such commercial properties. The company intends to improve its presence in the organized retail sector amid a strong demand for grade A shopping centers in India. Mumbai: Nexus Select Trust, a Blackstone-backed Retail Real Estate Investment Trust (Reit), is in advanced talks to buy Kolkata’s Diamond Plaza for an estimated £ 500-600 crore, contributing to the existing 19 malls, two people who are familiar with the plans of the plans. The move is linked to the focus of the business on the organized and brand consumption segment, where the use per capita still remains low, one of the people quoted earlier said on the condition of anonymity. “They feel that there is a market retail penetration per capita very low and that they are trying to overcome the gap.” The gap between the demand for shopping mall and available supply grew up in 2024 for a third consecutive year. According to the data by Anarock Research, 6.5 million square meters were rented out at a new offer of 1.1 million square meters that reduced vacancies and rent higher, as brands seek the wealthy buyer. The property consultant estimates that more than 16.6 million square meters of new Grade A shopping center will enter the top seven cities during 2025 and 2026 Diamond Plaza, which opened in September 2012, is a mall near North Kolkata. The tenants include pantalons, trends, Max, Reliance Digital, W and Manyavar. A spokesman for Nexus Select Trust said: ‘We do not comment on market speculation. Nexus Select Trust now has no physical presence in Kolkata. ‘Acquisition Spree Nexus Select Trust, recorded in August 2022, is the first in public listed in India. The tenants usually contain international and premium brands such as Zara, H&M, Apple to Lifestyle, Cinepolis, Starbucks. The company already operates shopping malls in Amritsar, Ludhiana, Delhi, Indore, Navi Mumbai, Pune, Hyderabad, Bengaluru and Bhubaneswar. “Our acquisition pipeline remains strong. We have about 10 plus assets in the pipeline across different countries in India. Multiple discussions are underway, both about acquiring assets as well as some discussions on Greenfield development,” said Pratik Dantara, Head of Strategy, Nexus Select Trust. “We are hopeful that as soon as the acquisition of Hyderabad closes, we will be able to close a few more in this financial year.” Typically, Blackstone acquires the assets, which are then added to the Nexus portfolio. The Reit also evaluates various transactions across the East. “There are discussions about a possible buyout of shopping malls and shopping malls in Kolkata, as well as smaller cities such as Ranchi and Jamshedpur,” said the second person in the Know, who did not want to be mentioned. In fiscal 2025, Nexus Select Trust’s income from operations stood at £ 2,282.9 crore, by 19% higher than the previous year. It had a total area of ​​1.1 million square feet with a occupancy rate of 97.2%. These properties house more than 1,000 domestic and international brands in more than 3,000 stores. In February, Nexus announced the acquisition of the MBD Neopolis Mall and its attached Radisson Blu Hotel in Ludhiana for £ 490. It also closed the acquisition of Vega City Mall in Bengaluru for £ 913 crore. In 2024, he announced plans to obtain three Grade A shopping centers in Hyderabad van Larsen and Toubro (L&T) for £ 1,000 crore. Meanwhile, East India, outside Kolkata, has so far seen little interest from investors and grade a mall developers. Nexus Select Trust’s rival Phoenix Mills, which boasts a retail portfolio with 12 operational malls, builds its first property in Kolkata. In July, Blackstone Group acquired the South City Mall in Kolkata for £ 3,250 crore from South City projects in the largest purchase of retail asset in recent years. Catch all the corporate news and updates on live currency. Download the Mint News app to get daily market updates and live business news. More Topics #Retail Read Next Story