Nuvama-C&W JV Acquires One Paramount in Chennai, Reflecting Strong Domestic Interest in Office Assets

Nuvama Asset Management and Cushman & Wakefield India’s joint venture, Prime Offices Fund, has acquired One Paramount, a Grade-A office complex in Chennai, from Singapore’s Keppel Group for approximately ₹2,500 crore. Spanning 2.4 million square feet on Mount Poonamallee Road, the tech park houses prominent global tenants including Genpact, Maersk, UPS, VMware, and Hitachi Energy. The development underscores growing domestic investor interest in India’s premium office markets.

Completed in 2022, One Paramount is part of a 12.6-acre development within a well-established office corridor. According to sources, the deal reflects the property’s institutional-grade quality and high occupancy levels, with estimated rental yields of around 7–7.5%, significantly above standard market rates.

The acquisition follows Prime Offices Fund’s earlier investments in Delhi, including Prius Platinum and another 300,000 sq ft asset in Saket District Centre, each fully leased and ESG-upgraded. These moves highlight the fund’s strategy to acquire strong, rent-yielding office assets in high-growth micro-markets across India.

Prime Offices Fund, a 50:50 venture between Nuvama Asset Management and Cushman & Wakefield India, targets premium office real estate in key cities including Mumbai, Bengaluru, the National Capital Region, Pune, Chennai, and Hyderabad. The fund raised ₹1,700 crore in its first close in January and aims to scale up to ₹3,000 crore, potentially leveraging up to ₹6,000 crore through debt facilities.

Chennai’s office market has experienced robust growth over the past two decades. From less than 1 million sq ft in the late 1990s, office leasing exceeded 76 million sq ft by mid-2024, with gross absorption reaching 10.5 million sq ft in 2023 alone. Emerging corridors such as Radial Road, Tambaram, Ambattur, and Madhavaram are witnessing strong demand, driven by IT firms, global capability centres, banking, finance, insurance, and life sciences companies.

The One Paramount acquisition represents a significant milestone in domestic investment in high-quality office assets, offering both capital appreciation potential and predictable income streams. With such strategic moves, Nuvama-C&W’s Prime Offices Fund is poised to shape India’s commercial real estate landscape in the years to come.