German insurer Allianz SE said it had partnered with Indian conglomerate Shapoorji Pallonji Group to set up a $500 million real-estate fund aimed at the office market in India.
Allianz will own 50 percent of the rupee-denominated closed-ended fund, SPREF II, while long-term institutional investors will hold the rest, it said on Thursday.
The deal forms part of Allianz's plan to allocate about 5 percent of its global real-estate portfolio to the Asia-Pacific region, Allianz said.
The venture, which will be supported locally by Shapoorji Pallonji Investment Advisors team, aims at building long-term, cash flow producing office portfolio by buying a mix of assets in Mumbai, Bengaluru, Hyderabad, Pune, Chennai and Delhi.