Blackstone to take 5th India REIT public; Bagmane Prime Office’s ₹3,405 crore IPO opens May 5

Bagmane Prime Office REIT, backed by global investment firm Blackstone, has filed its offer document to raise up to ₹3,405 crore through an initial public offering (IPO). The Bengaluru-based office REIT to open for subscription on May 5 and close on May 7, with anchor book bidding scheduled for May 4.

The issue comprises a fresh issue of units worth up to ₹2,390 crore and an offer for sale (OFS) of up to ₹1,015 crore by existing unitholders.

The proceeds from the fresh issue will be primarily used to fund acquisitions and strengthen the portfolio. Around ₹1,775 crore will go toward acquiring Luxor at Bagmane Capital Tech Park, while ₹1,025 crore will be used to partly fund the purchase of a 93% stake in another portfolio asset. The remaining funds will be utilised for general corporate purposes, as per the IPO document filed with the Sebi.

Bagmane Prime Office REIT has a portfolio of six grade A+ business parks spread across Bengaluru’s key micro-markets, including the Outer Ring Road (ORR) and the Secondary Business District (SBD). The portfolio has a total area of 20.3 million square feet, with a leasable area of 19.6 million square feet.

As of December 2025, the portfolio reported a committed occupancy of 98.8%, among the highest for listed office REITs in India, reflecting strong demand for premium office assets. Its tenant base includes global technology giants such as Google, Amazon, Nvidia, and Samsung.

In addition to office assets, the REIT’s portfolio includes two under-construction hotels with a total of 607 keys and four solar power projects with an aggregate capacity of 164.4 MW, adding diversification to its income streams, the company said in its IPO filing.

6th REIT IPO; fifth with Blackstone backing

The listing of Bagmane Prime Office REIT is set to deepen India’s growing REIT market, which has gained traction in recent years with multiple successful listings across office and retail assets. While the REIT is sponsored by the Bagmane Group, Blackstone holds a small but strategic stake in the underlying assets. Through its real estate funds, it owns about 7% in Bagmane Developers, the main holding company, and another 7% in one of the portfolio’s key entities.

India currently has five listed REITs on the BSE and NSE. These include Embassy Office Parks REIT, the first and largest office REIT; Mindspace Business Parks REIT; Brookfield India Real Estate Trust; Nexus Select Trust, which focuses on retail assets; and Knowledge Realty Trust.

What stands out is Blackstone’s strong presence. It has backed four of these REITs, making it the most influential investor in India’s REIT space. The only exception is Brookfield India Real Estate Trust, which is sponsored by rival Brookfield Asset Management.

Blackstone was a founding sponsor of Embassy Office Parks REIT in 2019 but exited its stake in 2023. It also backed Mindspace Business Parks REIT in 2020 before exiting in 2022. Currently, it sponsors Nexus Select Trust, India’s first retail REIT, and has also backed Knowledge Realty Trust, a major listing in 2025.

Riding India’s office market growth

The IPO comes at a time when India’s commercial real estate market continues to expand rapidly, driven by demand from global capability centres (GCCs) and multinational corporations. The top seven office markets in India have seen Grade A office stock grow sharply over the past decade, reaching over 900 million square feet.

Bengaluru remains the country’s leading office market and GCC hub, accounting for a significant share of leasing activity. As of December 2025, India hosted nearly 3,000 GCC units, with Bengaluru alone contributing around 30%. The number of GCCs is expected to grow substantially over the next five years, driven by new entrants and expansion by existing players, as per the IPO document.

For the financial year ended March 2025, Bagmane Prime Office REIT reported total income of ₹2,390.88 crore and profit after tax of ₹897.10 crore. Its asset base stood at over ₹7,200 crore as of June 2025.

The REIT was established in May 2025 and registered with the Securities and Exchange Board of India in July 2025. It is sponsored by the Bagmane Group, a leading Bengaluru-based office developer with a strong track record in Grade A+ commercial real estate.

The book running lead managers to the issue include major investment banks such as Kotak Mahindra Capital, Axis Capital, and SBI Capital Markets, among others.