CHENNAI: Axis Asset Management Company Limited (Axis AMC) and global real estate developer Tishman Speyer have announced the inaugural investment of the Axis Commercial Real Estate Fund.
The fund has successfully acquired a prominent 1.5-acre plot located in the burgeoning Fintech City, Nadambakkam, Chennai, through a competitive bid-cum-e-auction process facilitated by the Tamil Nadu Industrial Development Corporation (TIDCO). The acquisition represents the first deployment of capital from the Axis Commercial Real Estate Fund, which recently closed its fundraising round in June 2024 with a total corpus of approximately INR 550 crore.
This Category II Alternative Investment Fund (AIF) is strategically positioned to invest in the development phase of commercial real estate projects, focusing on creating high-quality office spaces in key urban markets. The Fintech City project, envisioned by the Tamil Nadu government as a premier infrastructure hub for the financial technology sector, will see the transformation of the newly acquired plot into a sustainable Grade A office building spanning approximately 400,000 square feet.
This development is slated to be completed within the next three years, with Tishman Speyer overseeing the design, development, leasing, and property management aspects as the exclusive development manager. A spokesperson from Axis AMC remarked, “The Chennai investment epitomises our fund’s strategic approach. We have acquired a well-titled land parcel in a city-centric location through a transparent bidding process. This aligns perfectly with TIDCO’s vision for Fintech City and our fund’s investment strategy.”
Tishman Speyer’s spokesperson added, “We are thrilled to be involved in the Axis CRE Fund’s first investment. Chennai’s rising prominence as a business hub, especially within the BFSI sector, makes this project highly promising. We are keen to apply our global expertise to this development.” TIDCO’s spokesperson affirmed, “Our goal for Fintech City is to establish a dynamic environment that nurtures innovation in the financial technology sector. We are confident that the collaboration between Axis AMC and Tishman Speyer will attract leading multinational firms and strengthen Chennai’s position as a global fintech centre.”
