• IBC Knowledge Park II
  • IBC Knowledge Park II
  • IBC Knowledge Park II
  • IBC Knowledge Park II
  • IBC Knowledge Park II
  • IBC Knowledge Park II
  • IBC Knowledge Park II
  • IBC Knowledge Park II
  • IBC Knowledge Park II
  • IBC Knowledge Park II
  • IBC Knowledge Park II
  • IBC Knowledge Park II
  • IBC Knowledge Park II
  • IBC Knowledge Park II
PER SQUARE FEET
  • 31
  • Tenanted Tenanted
  • Core Asset Core Asset
  • Metro Metro
22,392 SF
Bannerghatta Road, bangalore
  • MIN INVESTMENT
  • NO OF INVESTORS
  • RENTAL YIELD
  • RETURN TARGET
  • 100%
Of ₹ 27,75,00,000 Property Value
  • IBC Knowledge Park - Investment Case: Listen to Kunal Moktan, Property Share Co-founder & Chief Investment Officer, speak about how the location, returns, purchase price and quality of the tenant make this property an excellent investment opportunity.

    • HIGH RENTAL YIELD on All-in Price
    • HIGH RETURNS IRR
    • ATTRACTIVE PRICE Per square foot
    • QUALITY High end development by IBC
  • There is an opportunity to purchase a 22,392 square feet floor in IBC Knowledge Park, Bangalore tenanted to LG Electronics and Elements 14 for an all-in cost of Rs. 27,75,00,000 (Rs. 11,350 per sf) implying a 9% yield for pre-book investors and 18.2% IRR.

    IBC is a 2 mn sf Grade A office park in South Bangalore with a blue-chip tenant roster including Accenture, Oracle, LG, Byju’s, Swiggy among others. It is located at the start of Bannerghatta Road, close to the dense residential hubs of Koramangala, Jayanagar and JP Nagar. The property is within walking distance of 2 metro stations on the Red Line of the Metro which is currently under-construction and estimated to be completed by 2022 which is well within the hold period of investment.

    Property Share’s floor is leased to electronics and home appliances major LG Electronics and to electronics component distributor Elements 14.

    We believe the pricing, location (upcoming metro line), rental yield and quality of the development will lead to significant upside over the next 4-5 years.

    • 100%
      INVESTMENT AMOUNT
    • 44%
      RENTS
    • 2%
      INTEREST ON DEPOSIT
    • 61%
      PROFIT ON SALE
    • 207%
      TOTAL
    Return Target : 18.2%
  • ₹ 27,75,00,000
    • Purchase Price
    • Stamp duty
    • Brokerage
    • Legal fee
    • Reserves
    • Purchase Price
    • Stamp duty
    • Brokerage
    • Legal fee
    • Reserves
    All in price

IBC is a 2 mn sf Grade A office park in South Bangalore with a blue-chip tenant roster including Accenture, Oracle, LG, Byju’s, Swiggy among others. It is located at the start of Bannerghatta Road, close to the dense residential hubs of Koramangala, Jayanagar and JP Nagar.

The project is spread over 4 towers. Property Share’s unit is in Tower D on the 11th Floor.

  • ₹ 27,75,00,000
    • Purchase Price
    • Stamp duty
    • Brokerage
    • Legal fee
    • Reserves
    • Purchase Price
    • Stamp duty
    • Brokerage
    • Legal fee
    • Reserves
    All in price
  • ₹20,76,723
    gross rent
  • ₹2,31,250
    property management fee
  • ₹18,45,473
    net rent
Annual Yield : 9%
  • 01 Jan 2017
  • 3 YEARS
  • 01 Jun 2027
  • 22,392 SF
  • ₹ 78
  • 9 YEARS
  • 15%

TENANT DETAILS

Name : South Korean Electronic Major and UK Tech Company

Country : Seoul (South Korea) & Leeds (U.K.)

Office Locations : Worldwide offices

Description : South Korean multinational electronics company (Fortune 200) Distributor of products for electronics system design, maintenance and repair. Both companies featured in Fortune 500 Companies 2018.

  • Highest rental yield on the platform
  • Attractive price of Rs. 11,350 psf
  • Located in Bangalore's Secondary Business District.
  • Bannerghatta road is a well developed mixed use zone with commercial, residential and retail developments and is in close proximity to dense residential hubs of Koramangala, Jayanagar, Sarjapur, Outer Ring Road and HSR Layout
  • At a 10% CAGR on exit, the returns are 18.2% and 2.07x.
  • The property is within walking distance of 2 metro stations on the Red Line of the Metro which is currently under-construction and estimated to be completed by 2022 which is well within the hold period of investment.
  • Tenanted to LG Electronics, a Fortune 200 company and Element14, subsidiary of Avnet, a Fortune 500 company.
DAY 0 Year 1 Year 2 Year 3 Year 4 Year 5
Investment (27,75,00,000) - - - - -
Rents - 2,10,56,461 2,33,89,861 2,38,52,533 2,42,14,930 2,68,98,340
Rent Top-up - 27,75,000 - - - -
Interest on Deposit - 10,89,216 10,89,216 10,89,216 10,89,216 10,89,216
Sale Value - - - - - 44,69,16,525
TOTAL ₹ (27,75,00,000) ₹ 2,49,20,678 ₹ 2,44,79,078 ₹ 2,49,41,750 ₹ 2,53,04,147 ₹ 47,49,04,082
  • Property Share's Detailed Investment Note
  • Detailed Report on the Title diligence of the property by Amarchand Mangaldas
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MOU Signed

25-Jan-2019
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Funding Opened

29-Jan-2019