Nexus Select Charts New Course in India Retail market With Strategic Mall Acquisitions

Nexus Select Trust, the retail arm of the esteemed Blackstone Group, is on the brink of a significant expansion in India's retail sector. With plans to acquire a collection of malls totaling 1 million square feet in Hyderabad from L&T Metro, the deal is poised at an impressive ₹1,100 crore. This ambitious acquisition includes key properties such as the E-Galleria Mall in Moosarambagh, the L&T Metro Mall in Punjagutta, and the Next Galleria Mall near Irrum Manzil.

Finalizing the Deal

After months of careful evaluation, Nexus Select Trust has finalized the letter of intent for the acquisition of these three malls. The deal's culmination is anticipated in the upcoming months, following formal approval from the Telangana government, for which Nexus has already applied. This move signifies a major step forward in Nexus Select Trust's strategy to bolster its retail portfolio in India.

Awaiting Government Green Light

The acquisition is currently pending approval from the Telangana government, with expectations high for a positive decision within weeks. Upon receiving the necessary endorsements, Nexus Select Trust plans to proceed with the formal signing and execution of the deal. Both Nexus Select Trust and Blackstone have refrained from commenting on the matter.

Expansion and Growth in the Indian Market

Nexus Select Trust has shown a consistent commitment to expanding its retail footprint in India, evidenced by its acquisition of the Select City Walk mall in New Delhi last year, ahead of its real estate investment trust (REIT) listing. Since FY16, Nexus has successfully incorporated 17 shopping malls into its portfolio and shows no signs of slowing down its inorganic growth strategy.

Despite global economic fluctuations, India continues to shine as a beacon for the retail industry, attracting significant interest from retailers looking to establish new ventures, expand, and upgrade existing stores. The retail sector witnessed a record-breaking 7.1 million square feet of leasing across six cities in 2023, marking a substantial 47% increase, according to property consultancy CBRE.