India's first REIT is here: Embassy Office Parks proposes to raise Rs 52 bn

Embassy Office Parks, a joint venture between US private equity major Blackstone and Embassy Group, is set to file its offer documents with Sebi to raise around Rs 52 billion through the country's maiden Real Estate Investment Trust (REIT) listing.

According to sources in the know, the Bengaluru-based real estate group will on Monday file documents with the regulator to list 33 million square feet of office space.

Once listed, India will join the league of other countries such as the US, UK, Singapore and Japan which have vibrant REIT markets. In square footage term, this will be the biggest office REIT listing in Asia.

REITs own, operate and finance rental yielding real estate properties and are structured like mutual funds. After listing, it enables investors to earn dividend-based returns.

Embassy Office Parks, which will list 33 million sq ft of office space portfolio under the REIT, currently has 24 million sq ft under operations. The remaining is under construction. The real estate group owns and operates office space in cities like Bengaluru, Mumbai, Pune, and Noida, among other cities.