Ascendas Property Fund Trustee, the trustee-manager of Singapore listed Ascendas India Trust (a-iTrust), announced that the company is buying an Information Technology SEZ building in Hitech city Hyderabad for the INR 500 crores from Phoenix IT Infrastructure Group.
The building acquired by the company, aVance 6, has a carpet area of 639,495 square feet, of which about 98 per cent has been given on lease to Amazon Developer Center India Pvt. Limited. It is the 5th acquisition of the building of the Ascendas Trust from the Phoenix group. In February 2012, it acquired aVance 1 and 2, totalling 427,700 sq. feet area.
In July 2015, it acquired aVance 3, about 682,900 sq. ft, and in April 2017, aVance 4 of 390,000 sq. feet. aVance 5 is under construction.
Sanjeev Gupta, Chief Executive Officer of the Trustee-Manager, said that the “Proposed acquisition would allow the company to scale up our presence in HiTech City, Hyderabad, and add Amazon as a tenant to our IT Park Portfolio. The ongoing improvement work in connectivity and enhancement of the HiTech City would benefit our renters in the future. We have also started seeing some leasing traction, with US-based MNC having executed a letter of intent to lease aVance 5.”