NEW DELHI: The Phoenix Mills has acquired a land parcel admeasuring approximately 7.22 acre for a total consideration of about Rs 510 crore inclusive of stamp duty along Udhana Magdalla Road, Surat, the company said in a BSE filing.
The land has been acquired through Thoth Mall and Commercial Real Estate (Thoth), an indirect subsidiary of the company. Thoth will develop a retail destination with gross leasable area of approximately 1 million sq ft and currently expects to complete the retail development by FY27.
Shishir Shrivastava, managing director of the company said, “We are pleased to announce our acquisition in Surat for a greenfield retail development project. This mall will be our second retail development in Gujarat, first being Phoenix Palladium Ahmedabad which is expected to commence operations shortly.”
Graceworks Realty & Leisure (GRLPL), which is a PML-GIC joint venture entity, owns 80% equity shareholding in Thoth and the balance 20% equity shareholding is held by Safal Construction (India), the flagship development arm of the Ahmedabad-based BSafal Group (BSafal).
The acquisition of the land parcel has been funded by GRLPL and BSafal in their respective shareholdings as part of their overall equity commitment of Rs. 650 crore in Thoth. The balance equity commitment will be brought in by GRLPL and BSafal in their respective shareholdings in multiple tranches as required.