Property Share Trust REIT IPO
The key pointers for the Property Share Trust REIT IPO date are:
- Bidding Opening Date: December 2, 2024
- Bidding Closing Date: December 4, 2024
- Allotment Date: December 5, 2024
- Initiation of Refunds (in case of less or no allotment): December 6, 2024
- Shares Credited to Your Demat Account: December 6, 2024
- IPO Listing Date: December 9, 2024
- Listing on Exchange: NSE and BSE
Property Share Trust REIT IPO valuation is set at approx ₹352 crores with only the fresh issue component.
Here are the key details of Property Share Trust REIT IPO:
- Property Share Trust REIT IPO
Price Band: ₹10 lakhs to ₹10.5 lakhs per unit - Face Value: NA
- Lot Size: 1 Share
- Total Issue Size and Amount: 3,361 shares (amounting to ₹352.91 crores)
- Fresh Issue Size and Amount: 3,361 shares (amounting to ₹352.91 crores)
WHY SMC
- 20 Lac+ unique clients
- 33+ Years of Serving
- Advance Technical Analysis
- Free Demat Account
Property Share Trust REIT IPO proceeds will be used for the following purposes:
- Up to ₹339 crores for the acquisition of Project Platina by Platina SPVs (Special Purpose Vehicles) as commercial office spaces. It is also used for the reimbursement of the payment of statutory charges to the Investment Manager for this proposed acquisition. The way is to lend and subscribe to the equity and debt instruments of Platina SPVs.
- Remaining for general corporate purposes.
Property Share Trust REIT IPO
- For Institutional Investors: Not more than 75% of the net offer
- For Non-Institutional Investors: Not less than 25% of the net offer
Property Share Trust REIT IPO
| Applicant Type | Lot Size | Maximum Bid |
|---|---|---|
| Institutional Investors | 1 | In multiples of 1 Platina Unit, not exceeding the size of the Net Offer |
| Non Institutional Investors | 1 | In multiples of 1 Platina Unit, not exceeding the size of the Net Offer |
The REIT is involved in making investments or re-investments in completed and revenue-generating real estate properties under different Schemes through SPVs and other routes. Property Share Investment Trust’s first launched scheme is PropShare Platina.
This scheme provides investors an opportunity to invest in 6 floors of Prestige Tech Platina. It is a high-quality commercial office space, situated on Outer Ring Road, Bengaluru
(India’s one of the largest office markets). For FY25, the projected distribution yield of this scheme is set at 9%, for FY27 it is 8.7% and for FY28, it is 8.6%.
Property Share Trust REIT’s key operating metrics are as follows:
| Project Name/ Proposed Assets | Floor | Leasable Area (Square feet) | Occupancy Rate (%) | Projected NDCF for FY26 (in ₹ crores) | Market Value As of September 1, 2024 (in ₹ crores) |
|---|---|---|---|---|---|
| Prestige Tech Platina | Ground Floor | 34,991 | 100% | ₹4.6 | ₹50.1 |
| 1st Floor | 37,075 | 100% | ₹4.5 | ₹53.1 | |
| 2nd Floor | 43,717 | 100% | ₹5.3 | ₹62.6 | |
| 3rd Floor | 43,717 | 100% | ₹5.3 | ₹62.6 | |
| 4th Floor | 43,717 | 100% | ₹5.7 | ₹62.6 | |
| 5th Floor | 43,717 | 100% | ₹5.5 | ₹62.6 | |
| Total/ Weighted Average | 2,46,935 | 100% | ₹30.7 | ₹353.7 |
- All the leaseable area of the 6 floors of Prestige Tech Platina has a proposed occupancy rate of 100%.
- The weighted average projected NDCF (Net Distributable Cash Flow) of the project is ₹30.7 crores for FY26.
WHY SMC
- 20 Lac+ unique clients
- 33+ Years of Serving
- Advance Technical Analysis
- Free Demat Account
Property Share Trust REIT is exposed to various risk factors that can affect its investor’s bidding status and listing price:
- Revenues and cash flow from operations can be affected by the low occupancy rate and rent of the commercial office spaces.
- Future proposals to level up existing projects are exposed to the risk of uncertainties which can affect the business.
- Tenant leases are subject to the risk of default, non-renewal, early termination, and regulatory or legal changes thereby impacting the income.
- Risk is related to acquiring ownership interests in properties that are part of a larger development or that have common areas.
- The downfall in the Indian real estate market can affect the business and cash flows.
For inquiries related to the Property Share Trust REIT IPO
Principal Place of Business: 16th Floor, SKAV Seethalakshmi, 21/22, Kasturba Road, Bangalore 560001, India
Email: compliance.officer@propertyshare.in
Company Website: http://www.propertyshare.in/
Property Share Trust REIT IPO
Registrar Name: KFIN Technologies
Phone: 91 40 6716 2222
Email: propshare.ipo@kfintech.com
For all the insights on Property Share Trust REIT IPO
FAQs
1. What are the top 10 REITs in India?
Nexus Select Trust, Mindspace Business Parks, Embassy Office Parks, and Brookfield India Real Estate Trust are some of the top REITs in India.
2. Is it a good time to invest in REITs?
The good time to invest in REITs is dependent on interest rates, real estate industry performance, taxation rules, occupancy ratios, etc.
3. Which is the first REIT to be listed in India?
Embassy REIT is the first listed REIT IPO in India, which came in 2019.
References:
https://www.sebi.gov.in/filings/sm-reit-issues/nov-2024/property-share-investment-trust-propshare-platina_88713.html
SMC Global Securities Research Team
Author: All Content is verified by SMC Global Securities.
WHY SMC
- 20 Lac+ unique clients
- 33+ Years of Serving
- Advance Technical Analysis
- Free Demat Account
