India’s Major REIT Prepares for Initial Rupee Bond Issuance Worth $181 Million

In India, Real Estate Investment Trusts (REITs) have become increasingly popular as significant capital flows into the country's thriving commercial property sector.

Knowledge Realty Trust, recognized as the largest REIT in India, is aiming to secure up to 16 billion rupees, equivalent to $181 million, by entering the domestic bond market. According to sources familiar with the transaction, this marks the REIT's inaugural bond offering.

According to insiders who preferred anonymity while sharing sensitive details, the trust, with backing from notable developers, is set to roll out a debt instrument with a three-year maturity. The bonds will feature an interest rate of 7.2%, with payments occurring every three months. The entire bond issuance process is being coordinated by a specific financial institution.