Home / Companies / News /  CapitaLand plans to double AUM in India to $5 billion by 2024

BENGALURU : Singapore-based real estate firm CapitaLand Ltd, which recently acquired property investment firm Ascendas-Singbridge, plans to almost double its assets under management (AUM) in India to S$7 billion (around $5 billion) by 2024, said a top company executive.

Ahead of the merger with Ascendas-Singbridge, CapitaLand had a presence in India through lodging properties or serviced residences. These are a mix of ownership and joint ventures with local developers. Of the three operational residences, two are owned and managed by CapitaLand’s lodging business unit The Ascott Ltd and one is in a joint venture with a property owner. CapitaLand also has seven upcoming residences.

Ascendas-Singbridge has a strong presence in the commercial real estate segment in India with AUM of about $2.6 billion. It owns 17.4 million square feet (sq. ft) of space comprising software parks, industrial and logistics properties in Bengaluru, Chennai, Gurugram, Hyderabad, Mumbai and Pune.

“As far as our development business is concerned, we will focus on four key markets—China, India, Vietnam and Singapore. India is key part of our development and fund management strategy," said Lee Chee Koon, group chief executive, CapitaLand Group.

Over the years, Singapore-based investors and developers have grown their presence in India’s property market with several venturing beyond commercial offices to bet on emerging sectors such as logistics, warehousing and urbanization projects.

GIC Pte Ltd, Xander and Mapletree Investment Pte Ltd are the other prominent investors from Singapore.

CapitaLand also plans to grow its commercial space portfolio from 17 million sq. ft to 40 million sq. ft by 2040. Currently, 80% of its properties are under Ascendas India Trust (a-iTrust) and two private funds—Ascendas India Growth Programme and Ascendas India Logistics Programme, and the rest in its own balance sheet.

CapitaLand would also evaluate opportunities in the co-living or shared accommodation space, Chee Koon said. The company operates around nine co-living properties globally.

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