In a significant move, ICICI Prudential Asset Management Company (AMC) has acquired an entire commercial tower in Mumbai’s Santacruz area for over Rs 315 crore. The property was purchased from real estate developer Kalpataru’s subsidiary, Ixora Properties. The office tower, part of the Kalpataru Infinia project, covers an area of over 60,000 square feet and comprises a ground plus 12-storey structure along with three basements. This acquisition gains further significance as it reflects the industry trend of leasing office spaces instead of outright purchase. The trendy and spacious commercial tower will most likely serve as the new head office for ICICI Prudential AMC, which had average assets under management of Rs 8.03 lakh crore as of June 2024. With its convenient location in the western suburb of Santacruz, the commercial tower is just a five-minute drive away from ICICI Prudential AMC’s current corporate office in Bandra-Kurla Complex. The property also offers the advantage of 114 vehicle parking slots.
Expanding Presence: This recent purchase adds to ICICI Prudential’s expanding real estate portfolio in Mumbai. The company has not only acquired office space in Santacruz but also secured 252,000 square feet of office space in Mumbai’s Malad West suburb. The latter deal represents ICICI Prudential’s largest back-office facility. These moves reflect the sustained growth and demand in India’s office sector, despite the global economic turbulence. The country’s top seven office markets witnessed a net absorption of a record-breaking 41.97 million square feet in 2023, surpassing the levels seen in 2019 and underlining the resilience of India’s commercial real estate segment.
Shifting Operations: Having acquired the spacious Santacruz office tower, ICICI Prudential AMC plans to relocate its corporate office from Bandra-Kurla Complex to this new property. The process of fitting out the office is expected to start soon, with the goal of commencing operations at the new location by next year. ICICI Prudential’s decision to move to a larger and strategically located space reflects its desire to accommodate business growth and explore new opportunities. By consolidating its operations under one roof, the asset management company aims to enhance efficiency and offer a more cohesive experience for its employees and clients. It’s worth mentioning that Kalpataru Group is renowned for delivering high-quality real estate projects and has an enviable track record for completing projects within stipulated timelines. This acquisition further highlights ICICI Prudential’s commitment to providing its employees and investors with the best infrastructure and facilities. Moving forward, industry observers will keenly watch the impact of this purchase by ICICI Prudential AMC on the overall commercial real estate market in Mumbai. Additionally, this latest development signifies the company’s constructive approach and foresight regarding future growth and market conditions. As the demand for commercial office spaces continues to grow, fostering long-term business relationships between developers and corporates, the market is set for exciting opportunities and endeavors.
