Oberoi Realty Ltd. is planning to set up a real estate investment trust to list part of its existing and upcoming commercial portfolio, Livemint reported, citing an interview with Vikas Oberoi, chairman and managing director of the company.
The Mumbai-based real estate development company's assets include one retail mall and two commercial office buildings in the city, while two malls spanning roughly 1.7 million square feet are in the development pipeline. Oberoi told the publication these properties are likely to deliver rental income of approximately 10 billion Indian rupees over the next three years.
The chairman added the company does not intend to raise funds through private equity partnerships.
The March 7 report noted that Oberoi Realty will join other large firms that are increasingly focusing on commercial real estate as demand rises for retail and office properties.
As of March 6, US$1 was equivalent to 64.88 Indian rupees.
