Blackstone-backed Bagmane Prime Office REIT has set its price band at ₹95-100 per unit for its Initial Public Offering to raise ₹3,405 crore. The proposed offering comprises a fresh issue of units aggregating up to ₹2,390 crore and an offer for sale (OFS) of units worth up to ₹1,015 crore by the selling unitholder. According to The Economic Times, the issue is scheduled to open on Tuesday, May 5 and close on Thursday, May 7, with the Anchor Investor bid-offer period set for Monday, May 4. The REIT's portfolio consists of six premium Grade A+ business parks with a total area of 20.3 million sq ft, located in Bengaluru's key office micro-markets including the Outer Ring Road (ORR) and Secondary Business District (SBD City).
The REIT owns a portfolio of six premium Grade A+ business parks with a total area of 20.3 million sq ft, located in Bengaluru's best-performing micro-markets including the Outer Ring Road (ORR) and Secondary Business District (SBD City). As reported by The Economic Times, these markets have consistently remained among the strongest performing office corridors in the country. The portfolio reported a committed occupancy of 98.8% as of December 31, 2025, the highest among Indian office REITs post-listing. CEO Richard Hugh Andrew told Mint that 16.6 million sq ft is leased, with 99% of space leased to global corporations and 89% to GCCs. The tenant base includes global technology and multinational corporations such as Google, Amazon, Nvidia and Samsung, with the REIT hosting marquee global giants in its premium office spaces.
The proceeds will be utilized to acquire Luxor at Bagmane Capital Tech Park spanning one million sq ft as well as part-fund the acquisition of a 93% stake in Bagmane Rio, which owns the 1.1 million sq ft Bagmane Rio Business Park. According to The Economic Times, the company has earmarked up to ₹850 crore for strategic investors. The net offer stands at ₹2,555 crore, with 75% reserved for qualified institutional buyers (QIBs) and the remaining 25% for non-institutional investors (NIIs). Investors can bid for a minimum of 150 units and in multiples thereof. CEO Andrew told Mint that the company has an incredible acquisition pipeline of 47 million sq ft ROFO assets and headroom for third-party acquisitions that will expand the REIT's portfolio substantially.
CFO Ashay Shah told Mint that since the leverage is low, the company intends to distribute nearly all cash flows to investors while funding growth through under-development assets, ROFO acquisitions, and third-party acquisitions. The REIT's net debt as of December 2025 was ₹2,552.8 crore. Andrew highlighted strong pre-leasing commitments for under-construction assets and development of two hotels within the office park in Bengaluru. The REIT has strong pre-leasing commitments for its under-construction assets and is developing two hotels within its office park in Bengaluru. Around 21% of the portfolio is leased to semiconductor tenants, reflecting strong demand from GCCs and high technology requirements for space.
JM Financial Limited, Kotak Mahindra Capital Company Limited, Axis Capital Limited, IIFL Capital Services Limited, SBI Capital Markets Limited, 360 ONE WAM Limited, and HDFC Bank Limited are the Book Running Lead Managers to the issue. As reported by The Economic Times, the IPO comes amid sustained investor interest in income-generating commercial real estate assets, particularly high-occupancy office portfolios backed by global institutional sponsors. The offering will be India's sixth listed REIT and the fourth backed by office assets, positioning Bagmane REIT as a significant addition to the Indian REIT market. According to Mint, India currently has four listed office REITs—Mindspace Business Parks REIT, Embassy Office Parks REIT, Brookfield India Real Estate Trust (Biret) and Knowledge Realty Trust, with Nexus Select Trust being the only listed retail REIT in India.
India's office market continues to chart new highs despite geopolitical uncertainties and anticipated AI-led disruption, with gross leasing reaching 21.5 million sq ft in the first quarter, the highest ever recorded for a January-March period. According to The Economic Times, the units are expected to be listed on the BSE and NSE on May 15. The basis of allotment is expected to be finalized by May 12, with refunds and credit of units slated around May 13. Blackstone's Mohta told Mint that about six existing REIT listings have built strong confidence in the market, with all office REITs reporting growth in net operating income, occupancy, and distributions in the past year, a trend expected to continue driven by demand from GCCs and domestic occupiers.
