Real estate developer Runwal Developers has acquired full ownership of R CITY Mall in Ghatkopar, one of Mumbai's biggest shopping and leisure destinations.
The acquisition involved purchase of the 50 percent stake held by GIC, the sovereign wealth fund for Singapore, which was its joint venture partner of over 17 years, the company said in a statement on May 5.
“GIC exits with over four times returns on their principal investment. Runwal’s objective with this acquisition is to grow their annuity portfolio and become the largest retail player in Mumbai," the company said.
It did not provide financial details of the acquisition.
Runwal Developers was one of the first real estate companies to attract foreign investment in the sector through its joint venture with GIC for its flagship mall in 2006.
“We are proud and humbled to be able to deliver such huge profits to our partners and are excited to embark on the next chapter of complete ownership of R CITY Mall,” said Sandeep Runwal, managing director of Runwal Developers.
Also read: About 21% shopping centres in India are ghost malls: Knight Frank
According to a company official, the acquisition was part of a plan to widen Runwal’s retail footprint. The company also owns malls in Mulund and Thane.
R CITY Mall in Ghatkopar is spread across 1.2 million sq. ft. of retail space including a 24,000 sq. ft. recreational courtyard. It is home to more than 300 Indian and international retailers of fashion, food, beverages and entertainment and has been operational for over 13 years.
GIC formed a joint venture with the Runwal to develop a commercial property in Ghatkopar with a total investment of Rs 250 crore, according to a report by The Economic Times.
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