This marks the REIT’s first partnership in an under-construction retail project since listing. Both the partners will jointly develop the proposed Nexus Runwal Gardens Mall with a total investment value of over Rs 900 crore.
The development will be undertaken through a special purpose vehicle, with Runwal Enterprises overseeing development and construction, while Nexus Select Trust will lead leasing and asset management.
“Since listing, Nexus has largely focused on completed, income-generating assets, but the Dombivli project marks a shift toward development amid an aggressive inorganic expansion. With this tie-up, we are extending the strategy into a structurally de-risked opportunity, backed by a strong township ecosystem, connectivity, and a rapidly expanding catchment,” said Dalip Sehgal, Executive Director & CEO, Nexus Select Trust.
According to him, the structure allows the REIT to participate in long-term value creation while maintaining capital discipline and full operational control.
“This strategic tie-up reflects our long-term commitment to creating integrated, future-ready communities anchored by strong retail infrastructure…We are looking forward to a long-term partnership with Nexus Select Trust, a Blackstone sponsored REIT, to develop world class projects in India,” said Subodh Runwal, CMD, Runwal Enterprises.
The urban consumption hub, with a planned gross leasable area (GLA) of around 7.3 lakh sq ft, will be located at the entry point of the Runwal Garden City township spread over 250 acres.Over the last one year, Nexus has acquired Vega City Mall in Bengaluru for Rs 913 crore, MBD Complex including 0.3 million sq ft mall plus 96-key Radisson hotel in Ludhiana, for Rs 531 crore, and 60,000 sq ft additional space at Chandigarh’s Nexus Elante mall for Rs 254 crore.
Since listing, it has built a portfolio of 19 Grade-A urban consumption centres across 15 cities, with a total retail GLA of 10.7 million sq ft. The platform also includes three hotel assets with 450 keys and three office properties spanning 1.3 million sq ft. Its retail portfolio already houses more than 1,000 domestic and international brands across over 3,200 stores.
The Dombivli project is expected to draw strength from an embedded residential catchment within the township. Runwal Garden City is planned to comprise around 30,000 residential units, with nearly 5,000 families already residing in the development, providing a ready consumption base for organised retail.
Runwal’s current portfolio spans residential, commercial, retail, and educational developments. It has delivered 15 projects covering 11.14 million sq ft and is executing 25 ongoing projects totalling 17.39 million sq ft.
It also has a pipeline of 32 upcoming projects with a development potential of 28.92 million sq ft, taking the total developable area to 57.44 million sq ft.
The new retail asset is strategically positioned within a rapidly evolving infrastructure corridor in the extended Mumbai Metropolitan Region suburbs. The site is around 100 metres from the upcoming Manpada metro station and is expected to benefit from improved connectivity through the Airoli-Katai tunnel, the proposed Mumbai-Ahmedabad bullet train station within a 2-km radius and the Virar-Alibaug Multimodal Corridor.
According to industry observers, institutional retail platforms are increasingly partnering with established developers to tap into suburban growth corridors, where township developments and infrastructure upgrades are reshaping consumption patterns.
Once operational, the Dombivli mall is expected to anchor retail activity in one of the faster-growing residential pockets of the Mumbai Metropolitan Region, reflecting the continued shift of organised retail towards high-density suburban micro-markets.