Embassy & Kirloskar buy AstraZeneca’s 12 acre property

BENGALURU: Realty major Embassy Group and the Kirloskar family have jointly acquired a 12-acre land parcel near Hebbal from drug maker AstraZeneca for Rs 290 crore. Chairman of the Embassy Group, Jitu Virwani, confirmed the transaction but did not share other details.

The project marks the entry of second generation from both families to enter into business partnership. The project will be executed by Karan Virwani, son of Jitu Virwani, and Manasi Kirloskar, the sole heir to the Toyota Kirloskar empire. “Kirloskars and Virwani have known each other for the last three decades (and) now, the second generation from both the families is extending the partnership to develop office park on the recently acquired land,” said two people having direct knowledge of the deal.

“The land was acquired at Rs 24 crore per acre from the British company, which is unlocking real estate after shutting down the R&D centre in Hebbal in Bengaluru,” said one of the person quoted above. AstraZeneca was involved in the development and drug discovery research of tropical diseases.

Embassy also has a joint venture for a residential project with the Kirloskar family in Bengaluru. “Embassy is developing a high end residential apartment in Hebbal, where it is a majority shareholder, while Kirloskars have 37% stake,” he said.

Bengaluru remains one of the robust commercial office markets in India. The northern fringe of the city has seen commercial property prices rise in the last few years due to launch of large number of commercial and high end residential projects.

For instance, Singapore-based Ascendas recently signed a deal to develop a 2 million sq ft business near Hebbal and iPhone maker Apple picked up office park in north Bengaluru.

Credits ET Realty

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