WS Retail Opportunity, Chennai
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₹25 Lakhs
Min. Investment
8.49%
First-Year Rental
12.97%
Targeted IRR
NRO/NRE
Invest via
This is a rare find. Opportunity usually finished within 2-3 Days
Investment & Return
How can an investor exit?
Investors can sell in the secondary market to an existing investor of this property or a new investor which will be facilitated by the partner.
Taxation
User receives monthly rental payouts and at the time of sale of asset:
- Rental payouts are taxed at investor’s tax slab in India
- Gains at the time of sale of asset are taxed at 10%
Investor Lock-in
6 months
Exit Load
1% before 12 months
Why Invest ?
Retail: A Booming Opportunity
As India transitions from a low income to a middle income economy in the coming decade, the retail sector is expected to nearly double in the coming years.
Chennai - An Economic Heavyweight
One of India’s oldest metropolitan cities, Chennai is an economic heavyweight powered by its automotive,manufacturing, and IT industries. The city has a highly educated and growing workforce attracted by its diverse opportunities and affordable cost of living.
Overview
This is an opportunity to invest in an upcoming retail space in Chennai, Tamil Nadu. The asset spans 21,000 sq. ft. and is leased to a leading apparel brand. The asset is valued at ₹ 32.5 Cr. with a long lease tenure and excellent growth prospects.
Tenancy
Tenant Overview
The tenant is a listed retail company and part of one of India’s oldest conglomerates TATA Trent (Westside) . The company has over 400 outlets across the country dealing in fashion, lifestyle, technology, sporting goods, and food.
The asset will host an outlet of the company’s flagship brand. The outlet will offer branded fashion apparel, footwear and accessories for women, men and children, along with a wide range of home furnishings & decor.
Tenant Credentials
HQ: Mumbai
Employees: ~10,000
Revenue: ~₹ 2,700 Cr (FY21)
Brands: 8
Presence: 100+ Cities
Brand is focused towards the young, aspirational upper-middle class Prefers standalone stores over malls Focuses on prominent stores with striking windows and displays
Lease Overview
Monthly Rent
98.6 per sq. ft.
Escalation on base rent
15% every 3 years
Security Deposit
6 months
Acquisition Details
Gross Purchase Price
₹ 31,20,00,000
Stamp Duty & Registration
Borne by the seller
Acquisition Fee (one-time)
₹ 93,60,000
Legal Fees
₹ 15,00,000
Reserves (refunded on sale)
₹ 21,40,000
Net Acquisition Cost
₹ 32,50,00,000
