Nexus Select Trust, backed by Blackstone, explores adding R City Mall to REIT portfolio

The Blackstone-sponsored Nexus Select Trust is reportedly expressing interest in incorporating R City Mall in Mumbai into its Real Estate Investment Trust (REIT) portfolio, according to three sources familiar with the matter. Ongoing discussions between the REIT and the mall’s owner, Runwal Developers, have been taking place, though the outcome remains uncertain.
Sources suggest that the potential transaction hinges on Runwal Developers’ willingness to sell the mall. Managing Director Sandeep Runwal responded to inquiries, stating, “No plans whatsoever to sell R City.” In May, Runwal Developers acquired Singapore’s sovereign wealth fund GIC’s 50% stake in the mall for Rs 1000 crore, valuing it at approximately Rs 2000 crore. The acquisition aimed to strengthen Runwal’s annuity business and establish a dominant presence in Mumbai’s retail landscape.
R City, operational for around 13 years, spans 1.2 million square feet of retail space and is one of the largest malls in Mumbai, featuring an Ikea store. Runwal had announced plans to invest in upgrading the mall to enhance foot traffic. The developer already owns three other malls in the city.
Nexus Select Trust, the sole mall-focused REIT in the country, currently owns 17 malls across 13 cities, with Nexus Seawoods in Navi Mumbai being its sole property in the Mumbai Metropolitan Region.