GIC, US firm in tie-up for India project

The WaveRock office project, located in Hyderabad, the capital of Telangana state in South India, will have a total area of 2.5 million sq ft upon completion, and house more than 20,000 professionals.
The WaveRock office project, located in Hyderabad, the capital of Telangana state in South India, will have a total area of 2.5 million sq ft upon completion, and house more than 20,000 professionals.PHOTO: GIC

Singapore's sovereign wealth fund GIC yesterday said it has partnered New York-based real estate firm Tishman Speyer to jointly own an upcoming office project in Hyderabad, India.

The partnership will be a 50-50 joint venture.

Located near the high-growth financial district in the capital of South India's Telangana state, the total area of the project will be 2.5 million sq ft upon completion, and it will house more than 20,000 professionals.

"GIC is confident in Hyderabad's future as one of the fast-growing cities in India," said Mr Loh Wai Keong, managing director and co-head for Asia at GIC Real Estate.

The new investment will be an "accretive income asset" in GIC's portfolio, he said.

GIC declined to disclose the amount of its investment.

The first two phases of WaveRock, as the project is called, were completed in 2010 and last year.

The existing 1.5 million sq ft office space is fully leased to global technology, industrial and services giants such as TCS Accenture, DuPont, Cap Gemini, BirlaSoft and other high-growth multinational firms.

The final phase is expected to be completed over the next two years.

"GIC has been one of the world's most successful institutional property investors for many years," said Tishman Speyer senior managing director Michael Spies.

"We are very confident this will be a successful collaboration and that WaveRock will continue to be the cornerstone of our firm's growing presence in India," he added.

"With a young, internationally exposed and growing professional workforce, corporates are demanding and choosing best-of-class office environments that are institutionally owned and asset-managed," said Mr Avnish Singh, managing director and country head (India) for Tishman Speyer.

A version of this article appeared in the print edition of The Straits Times on October 23, 2015, with the headline 'GIC, US firm in tie-up for India project'. Print Edition | Subscribe