Embassy REIT signs deal to acquire Bengaluru office space for US$ 94 million
- IBEF
- December 4, 2025
Embassy Office Parks REIT has signed off on the deal to acquire a top-quality office space measuring 0.3 million sq ft at Bengaluru's Embassy GolfLinks Business Park for Rs 852 crore (US$ 94 million). The entire property is already leased long-term to a premier global investment firm, providing the REIT with an additional stable and secure revenue stream. According to Embassy REIT's management, this acquisition is being made at a crucial time for Bengaluru, where leasing activity is intense, particularly from large tech companies and Global Capability Centers (GCCs). The Embassy REIT portfolio is now made up of 50.8 million sq ft across several metropolitan areas in India, including Bengaluru, Mumbai, Pune, NCR, and Chennai, and serves as the home to 274 global tenants.
Embassy REIT has stated that this transaction adds to their DPU and NOI growth, with a 7.9% yield that is higher than their Q2 FY2026 trading cap rate of 7.4% and also below independent valuation, allowing them to acquire more yield-enhancing properties in India’s rapidly growing office market. Bengaluru remains the dominant office market in India, driven by strong demand for high-quality Grade-A properties. The acquisition further strengthens Embassy REIT's strategy of acquiring high-quality, cash-flow-producing properties that support advancing long-term demand and growth trends. The transaction is a clear indication that Embassy REIT is dedicated to a continued disciplined approach to capital deployment and, as such, is a leading competitor within the commercial real estate sector in India.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
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