Phoenix Mills and CPP Investments Partner on Kolkata Retail Center

Posted on 05/29/2021

Kolkata (formerly Calcutta) is a prominent business hub in Eastern India Mumbai-based The Phoenix Mills Limited (PML) and Canada Pension Plan Investment Board (CPP Investments) have announced a joint venture to develop a regional retail center in Alipore, Kolkata. CPP Investments will commit to investing approximately INR 5.6 billion (C$93 million) in Mindstone Mall Developers Private Ltd. (Mindstone) in tranches, for an ultimate equity stake of 49%. With the funds invested by CPP Investments and PML, Mindstone will develop a retail center with a potential leasable area of approximately 1 million square feet. The target completion date is for the second half of 2024.

PML and CPP Investments are also extending their commitments to their current joint venture, Island Star Mall Developers Private Limited (ISMDPL). Both parties have agreed to invest collectively up to INR 8 billion (C$133 million) into ISMDPL in tranches as required, in the ratio of their respective shareholdings. The joint venture was formed in 2017 to develop, own and operate retail-led, mixed-use developments across India. Phoenix Marketcity in Whitefield Bangalore served as the seed asset for the alliance. In addition to owning and operating Phoenix Marketcity, ISMDPL owns – and is currently developing – three retail-led, mixed-use developments at Wakad Pune, Hebbal Bangalore, and Indore.

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