IPO-bound Bagmane Reit eyes acquisitions, bets on strong GCC demand

The IPO, which opens on 5 May, comprises an issue of fresh shares worth ₹2,390 crore and an offer for sale (OFS) worth up to ₹1,015 crore by a Blackstone affiliate. The proceeds from the new shares will be used to part-fund the acquisitions of Luxor at Bagmane Capital Tech Park, a million sq ft completed asset, and a 93% stake in Bagmane Rio Business Park, a 1.1 million sq. ft leased building.

“This is the sixth Reit coming to the market, and there is a level of stability in interest from institutional and retail investors. It is a 20 million sq. ft portfolio of prime real estate, of which 16.6 million sq. ft is leased. Of this, 99% of space is leased to global corporations and 89% to GCCs,” Andrew told Mint in an interview.

Growth pipeline

“We have a strategic partnership with Blackstone, and have leveraged their brand and global experience. We have an incredible acquisition pipeline of 47 million sq. ft ROFO assets and headroom for third-party acquisitions that will expand the Reit's portfolio substantially,” Andrew added.

In Reits, ROFO or right of first offer is a contractual clause granting the trust the first opportunity to purchase assets from its sponsor or promoter before they are offered to third parties. It acts as a pipeline for growth, allowing the Reit to expand its portfolio.

Bagmane REIT’s chief financial officer Ashay Shah said, “Since our leverage is low, we intend to distribute nearly all cash flows to investors while funding growth through under-development assets, ROFO acquisitions, and third-party acquisitions." The REIT’s net debt as of December 2025 was ₹2,552.8 crore.

“A successful IPO like this will give confidence to the wider REIT market. Commercial office space remains attractive because it delivers stable rent and cash flows,” Asheesh Mohta, head of real estate in India at Blackstone, told Mint. “India remains a long-term opportunity for us and we will continue to look at new investments and exits based on the nature of our funds."

According to the Indian Reits Association (IRA), the five Reits had a combined gross asset value of more than ₹2.3 trillion as of February. All the office Reits have reported growth in net operating income, occupancy, and distributions in the past year, a trend that is expected to continue, driven by demand from GCCs and domestic occupiers.

Andrew said the Reit has strong pre-leasing commitments for its under-construction assets. It is also developing two hotels within its office park in Bengaluru. "There is very good demand from GCCs, and high technology requirements for space. Around 21% of our portfolio is leased to semiconductor tenants,” Andrew said.

Madhurima Nandy

Madhurima is Senior Editor at Mint and tracks and writes on real estate, urban issues and infrastructure. Besides news stories, she also writes longform stories. She has over two decades of experience in journalism, and has tracked India's real estate sector closely. Real estate in India is complex and fascinating, and she is one of the few journalists who has tracked the sector over the years and mapped critical events—from the Lehman impact in 2008, to the NBFC-led liquidity crisis, to the boom cycle after the 2020 pandemic. She is a Bengaluru-based business journalist but is always looking forward to travel wherever a story takes her. It could be Ayodhya or Jewar to witness the rise of new property markets, or Goa and Hyderabad to experience the changing real estate landscape. Real estate can be a tricky subject, so her aim is always to dig beneath the surface and tell a story as accurately as possible for the readers.She has worked in newsrooms across Mumbai, Bengaluru and Kolkata. She has a Masters degree in English Literature and a postgraduate diploma in journalism from Symbiosis, Pune.

Mansi Verma

Mansi Verma is a senior correspondent covering private capital in India for Mint. Think of strategy shifts, private equity and venture capital deals, the companies trying to go public, and occasionally, the ones falling apart.She moved into this beat in 2022, and has been following it closely since. Prior to Mint, Mansi worked at Moneycontrol, where she covered jobs and edtech, reporting extensively on the 2022–2024 startup and IT layoffs cycle. Her work during this period focused on what happens to fast-growing companies when capital dries up, combining financial reporting with human-interest stories.Mansi reported closely on Byju’s during a critical phase in its unravelling, and has since built a strong understanding of edtech businesses, particularly unicorns, and the deeper structural challenges in education that many of them have struggled to solve. At Mint, she follows the flow of capital across VC and PE deals, exits and IPO pipelines, while also tracking large investment firms, and the financial services sector.Outside of the newsroom, Mansi spends time exploring how technology is changing the way people think and work, while actively attempting to build a critical thinking human brain in the age of short-form everything.She holds a Master’s degree in journalism and has moderated industry discussions on financial services and investments.