Global investment firm Blackstone has acquired South City Mall in Kolkata for Rs 3,250 crore ($380 million), in one of the largest single-asset retail real estate transactions in India.
Developed by South City Projects, a consortium of six Kolkata-based real estate firms, South City Mall spans over 1 million square feet and houses over 150 stores, including international and Indian brands such as Zara, Shoppers Stop, Tommy Hilfiger, M.A.C, Calvin Klein, Armani, and Fab India.
The mall has an average annual turnover of Rs 1,800 crore and daily footfall ranging between 55,000 and 60,000, peaking at over 200,000 during festive seasons.
A report by JLL Research reveals that a development pipeline of 46.5 million sq. ft. of proposed and under-construction mall supply is to be completed between 2025 and 2030. If this incremental supply of shopping malls becomes operational per the scheduled timelines, this decade may witness nearly 60.9 million sq. ft. of new mall space, representing the largest infusion of real estate for the organised retail sector ever.
Other real estate investments by Blackstone in India include Embassy Office Parks REIT and Global Village Tech Park.
According to an April report by Anarock cited in The Economic Times, the real estate sector accounted for the largest share (15%) of cumulative net AIF investments in India, with Rs 73,903 crore deployed in real estate out of Rs 5,06,196 crore across all sectors.
