On Friday, Property Share, a small and medium real estate investment trust (SM REIT), submitted its draft documents to the Securities and Exchange Board of India (SEBI) for an initial public offering (IPO) worth ₹353 crore.
The primary purpose of the IPO is to fund the acquisition of the Prestige Tech Platina asset through Platina Special Purpose Vehicles (SPVs), with any remaining proceeds being used for general corporate purposes.
This IPO will consist solely of a fresh issue of Platina units, with no offer for sale. ICICI Securities Limited will act as the sole lead manager, while Cyril Amarchand Mangaldas will serve as Indian Legal Counsel for Property Share Investment Trust and the Investment Manager for the PropShare Platina. KFin Technologies Ltd has been appointed as the registrar, Axis Trustee Services Limited as the Trustee, and PropShare Investment Manager Private Limited as the Investment Manager for the offer. The units will be listed on the Bombay Stock Exchange (BSE).
Hashim Khan, Director of Property Share, commented, “With the launch of SM REITs, the regulator has introduced a new asset class for public investors. We believe PropShare Platina, India’s first SM REIT scheme, provides an opportunity to invest in a Grade A pre-leased commercial property, with investments starting from ₹10 lakhs.”
About PropShare Platina:
PropShare Platina comprises 246,935 square feet of office space within the LEED Gold-certified Prestige Tech Platina building on Bangalore’s Outer Ring Road (ORR). This space will be fully leased to a US-based tech firm under a new 9-year lease, featuring a 4.6-year weighted average lock-in period and a 15% rent escalation every three years. The projected distribution yield for investors is estimated at 9.0% for FY26.
The Outer Ring Road is Bangalore’s largest office market, representing 34% of the city’s total office space and housing major global companies such as Amazon, Google, Adobe, and CISCO. Developed by The Prestige Group, the property is strategically located near an upcoming metro station connecting ORR to the airport.
For this scheme, PropShare Investment Manager Private Limited has waived all management fees for FY25 and FY26, including investment and property management charges. Starting in FY27, a nominal fee of 0.25% will be introduced, increasing to 0.30% in FY28. Property Share will also invest 5% of the scheme’s units, totaling ₹17.6 crore, from its own capital.
