Property Share REIT IPO Day 3: Check subscription, price band, and other details

The REIT IPO of Property Share Investment Trust (PSIT) was fully subscribed on the final day of bidding with 119% subscription by 05:00 PM. Property Share Investment Trust is India’s first registered small and medium real estate investment trust.

The IPO received 437% bids in the other investors’ category and 13% bids in the institutional investors’ segment. The issue opened for subscription on December 2 and will be available for bidding till December 4.

Property Share is launching a REIT IPO for PropShare Platina, which is the first scheme under PSIT. Small and medium REITs are a new asset class regulated by the Sebi as a sub-class within the REIT framework for assets valued between Rs 50-500 crore.

The offer proceeds are proposed to be utilized primarily for the acquisition of the Prestige Tech Platina asset by the Platina SPVs with the remaining for other general corporate purposes.

Property Share SM REIT IPO: Key dates

The IPO opened on December 2 and will close on December 4. The share allotment for the same will be finalised on December 5.

Property Share REIT IPO will debut on BSE with a tentative listing date of December 9.

Property Share SM REIT IPO: Price band

The price band for the REIT IPO is fixed at Rs 10 lakh to Rs 10.5 lakh per unit.

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About Property Share SM REIT IPO

PropShare Platina spans 246,935 sq. ft. of office space within Prestige Tech Platina, a LEED Gold-certified building situated on Bangalore’s Outer Ring Road (ORR). The property is set to be fully leased to a leading US-based tech firm under a fresh 9-year lease, featuring a weighted average lock-in period of 4.6 years and a 15% rent escalation every three years.

The scheme projects an FY26 distribution yield of 9%. Outer Ring Road, Bangalore’s largest office market, accounts for 34% of the city’s total office stock, according to Jones Lang LaSalle. The area hosts prominent multinational corporations, including Adobe, Amazon, Google, Samsung, CISCO, JP Morgan, Morgan Stanley, and Wells Fargo.

For its inaugural scheme, PropShare Investment Manager will waive all annual management fees for FY25 and FY26, charging a nominal 0.25% fee in FY27 and 0.3% from FY28 onward.

As a commitment to the offering, Property Share will invest at least 5% of the scheme’s units, amounting to Rs 17.6 crore, as its investment manager (IM) contribution. The IPO exclusively consists of fresh Platina units with no offer-for-sale component.

ICICI Securities serves as the sole lead manager for the offer, while KFin Technologies is the appointed registrar.

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(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)

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