Blackstone, the prominent private equity behemoth, has recently indicated its intention to acquire the Express Tower located in Mumbai. With an impressive asset portfolio estimated at $210 billion, it stands as the largest private equity firm globally. While the firm is primarily recognized for its various investments across India’s residential real estate landscape, it appears to be diversifying by venturing into the commercial sector.
Reportedly, Blackstone has shifted its focus to Express Towers, postponing earlier negotiations concerning the Mantri Mall in Bangalore, which were previously in discussion with Mantri realtors. This represents a strategic pause in their intended acquisition in Bangalore.
Over the past few years, Blackstone has committed more than $1 billion to the Indian real estate market and is currently considering further investments to strengthen its portfolio. Located on the fifth floor of Express Towers, Blackstone’s Indian headquarters are situated in this prime commercial space. The estimated value of the tower exceeds ₹850 crore, encompassing around 4 lakh square feet of constructed area spread across 25 stories.
The project is co-owned by the Indian Express Group and ICICI Ventures, with these entities holding the majority of shares; however, several minor investors hold nominal stakes in the venture. Having been established nearly four decades ago, this iconic structure has stood the test of time.
In a move that underscores their commitment, Blackstone officials have already provided a project brochure to the Embassy Group, a realty firm based in Bangalore, who are expected to conduct a walk-through of the property soon. Blackstone has previously engaged in joint investments alongside the Embassy Group.
Sources with entrenched knowledge of Blackstone’s transactions have hinted that the firm is keen on finalizing the purchase of this tower, which offers a stunning view of the Arabian Sea, potentially valuing the property at around ₹850 crore, as indicated by insider information.
Although spokespersons for both Blackstone and the Mantri Group have refrained from commenting on this development, attempts to reach Vishakha Mulye, the Managing Director and CEO of ICICI Ventures, have been unsuccessful. Notably, it’s been disclosed that ICICI Ventures has enlisted Jones Lang LaSalle India to pursue potential buyers, yet this real estate consulting firm has also not offered any comment regarding the ongoing discussions.