Axis Asset Management Company Limited (Axis AMC) and global real estate developer Tishman Speyer have announced their inaugural investment in India, marking a significant milestone for the Axis Commercial Real Estate Fund. The fund has successfully acquired a prominent 1.5-acre plot located in the burgeoning Fintech City, Nadambakkam, Chennai, through a competitive bid-cum-e-auction process facilitated by the Tamil Nadu Industrial Development Corporation (TIDCO).
This acquisition represents the first deployment of capital from the Axis Commercial Real Estate Fund, which recently closed its fundraising round in June 2024 with a total corpus of approximately INR 550 crore. The Axis Commercial Real Estate Fund is a Category II Alternative Investment Fund (AIF) strategically positioned to invest in the development phase of commercial real estate projects. The fund focuses on creating high-quality office spaces in key urban markets, aligning with the growing demand for modern and sustainable workspaces. The Fintech City project, envisioned by the Tamil Nadu government as a premier infrastructure hub for the financial technology sector, will see the transformation of the newly acquired plot into a sustainable Grade A office building spanning approximately 400,000 square feet.
This development is slated to be completed within the next three years, with Tishman Speyer overseeing the design, development, leasing, and property management aspects as the exclusive development manager. The partnership between Axis AMC and Tishman Speyer brings together the financial expertise of Axis AMC with the global development expertise of Tishman Speyer. This collaboration is expected to drive the successful execution of the Fintech City project and contribute to Chennai’s growth as a global fintech hub. The acquisition of this prime land parcel in Chennai marks a significant step forward for the Axis Commercial Real Estate Fund, demonstrating its commitment to investing in high-quality commercial real estate projects in India. As the fund continues to deploy its capital, it is poised to become a key player in the Indian commercial real estate market.
