Singapore-listed and headquartered company CapitaLand Investment (CLI) has launched the first phase of its 5 million square feet International Tech Park in Chennai. The total investment including Phase 1 and Phase 2 will be Rs 1600 crore, it said.
Located on the Radial Road, the inauguration was done by Tamil Nadu Chief Minister M K Stalin on October 31.
The first phase comprising 1.3 million sq ft has already signed a lease agreement with Vestas Wind Technology India for office space for about 2.5 lakh sq ft. The development of Phase 2 is currently underway and expected to commence operations by the second quarter of 2024.
Phase 1 and Phase 2 of ITPC-Radial Road are being developed by CapitaLand Investment under the newly launched CapitaLand India Growth Fund 2 (CIGF2), with a target fund size of $525 million to invest in Grade A business parks in prime locations across gateway cities in India.
In August 2023, CLI secured $262.5 million from Mitsubishi Estate Co. Ltd for a 50 percent stake in the fund’s first closing. CIGF2 has since acquired a 70 percent equity stake in ITPC-Radial Road as a seed asset from CLI for $95 million and the remaining 30 percent stake is held by CLI. The company said CLI continues to manage ITPC-Radial Road after its divestment.
"It is a proud moment for all of us as CapitaLand Investments is also joining those companies by setting up an office on a 5 million sq ft space today. It has planned to set up office buildings that can accommodate 50,000 IT engineers," the chief minister said at the inauguration.
Commenting on the launch, Sanjeev Dasgupta, CEO of CLI India said, "To date, CLI has invested about $750-$800 million in Chennai and we expect to invest over $500 million in the next five years across multiple asset classes, with a special focus on IT parks, logistics, and data centres. We hope to further contribute to the government’s efforts in enhancing the state's infrastructure."
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