Keppel buys Chennai office complex for $352.9M to boost investment in India market

SINGAPORE: Keppel has announced its acquisition of One Paramount, a premier office complex in Chennai, India, for $352.9 million. This strategic purchase aims to attract investors to the burgeoning Indian office market.

One Paramount, a freehold Grade A office complex, boasts a substantial gross leasable area of 2.4 million square feet across three towers. Completed in 2022, the complex also includes ancillary retail and amenity spaces.

Situated along Mount Poonamallee Road, it enjoys proximity to various retail, hospitality, education, and healthcare facilities, making it an attractive location for businesses.

The property is currently leased to a diverse range of multinational corporations and domestic companies operating in sectors such as consulting, chemicals, information technology, and logistics services.

This tenant mix underscores One Paramount’s status as a prime office location in Chennai.

Keppel’s investment in One Paramount is part of its broader strategy to enhance its portfolio in India. The company already has significant investments in the country, including developing a commercial tower in Bangalore and planning to acquire another in Pune.

In addition to these investments, Keppel plans to establish a fund to draw investors to the Indian office market. One Paramount and the commercial tower in Bangalore are expected to serve as seed assets for this fund.

Keppel will also manage One Paramount’s assets, leveraging its in-house sustainable urban renewal (SUR) expertise to enhance the property’s sustainability features. This will include improving energy and water efficiencies and waste management processes.

Keppel also intends to expand the use of renewable energy at the property and implement digital and smart building technologies to optimize its operations. /TISG