CapitaLand, one of Asia's largest diversified real estate groups, on Tuesday said the company will invest capital in India to more than double its assets under management to 7 billion Singapore dollar (Rs 36,200 crore) in next five years.
The group's current assets under management (AUM) stand at 3.3 billion Singapore dollar (Rs 17,000 crore), a company statement said.
"To achieve the target, CapitaLand will invest capital to grow development pipeline and work with capital partners to grow fund management business in the next five years," CapitaLand said.
The announcement was made by CapitaLand Group CEO in Bengaluru at the group's first media conference in India since the completion of CapitaLand's combination with Ascendas-Singbridge on June 30, 2019.
At present, CapitaLand has 17.4 million sq ft of commercial space comprising business and IT parks, industrial and logistics properties in Bengaluru, Chennai, Gurgaon, Hyderabad, Mumbai and Pune.
80 per cent of its portfolio is under Ascendas India Trust (a-iTrust) and two private funds -- Ascendas India Growth Programme and Ascendas India Logistics Programme, while 20 per cent is under its balance sheet.
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CapitaLand's business parks in India have an occupancy rate of over 95 per cent, catering to both multinational corporations and local companies that employ over 120,000 skilled professionals.
"With India's growing young workforce, e-commerce, IT and IT-enabled services (ITES) sectors and demand for high-quality logistics facilities, the target is to double CapitaLand's business and IT parks, industrial and logistics properties to about 40 million sq ft by 2024," the statement said.
In India, CapitaLand also has a network of more than 1,500 units across 10 lodging properties owned and/or managed by its wholly-owned firm The Ascott Ltd.
Three properties are operating in Chennai and Mumbai, and seven serviced residences are to be opened by 2022. It includes Ascott Ireo City Gurugram, the first serviced residence in India under the luxury Ascott The Residence brand, Citadines Paras Square Gurugram, and Citadines Sri City, all slated to open in 2020.
"CapitaLand's integration of Ascendas-Singbridge portfolio since July 2019 has strengthened our competitive edge globally and in India, one of our strategic markets for growth where we have fully integrated capabilities," CapitaLand Group CEO Lee Chee Koon said.
Headquartered and listed in Singapore, CapitaLand owns and manages a global portfolio worth 129.1 billion Singapore dollar as of 30 June 2019.