Nexus Select Trust, a retail REIT sponsored by Blackstone Inc., has announced a tie-up with Mumbai-based developer Runwal Enterprises for an under-construction 7.3 lakh sq ft shopping mall in Dombivli, near Mumbai.

Under the agreement, Nexus Select Trust will acquire a 50% stake in the upcoming property for ₹434 crore as part of its expansion strategy. The company said the transaction marks its first-ever strategic partnership involving an under-construction retail development.

According to a regulatory filing, the company has agreed to acquire a 50% stake in the upcoming Nexus Runwal Gardens Mall in Dombivli, part of the Mumbai Metropolitan Region (MMR), to be operated in partnership with Runwal Enterprises.

“The proposed mall will span ~7.3 lakh sq ft gross leasable area (GLA) and is located at the gateway of the 250-acre Runwal Garden City township. This transaction marks Nexus Select Trust’s first under-construction partnership since listing and signifies a strategic evolution of its platform from a decade of disciplined portfolio expansion, scaling from two malls to 19 best-in-class assets across India to a structurally de-risked development opportunity, underscoring its long-term commitment to India’s rapidly growing consumption story,” the company said in a statement.

The development will be undertaken through a special purpose vehicle, leveraging Runwal’s development expertise and deep insights, along with Nexus Select Trust’s retail experience and asset management strength, the company said.

“With this tie-up, we are extending the strategy into a structurally de-risked opportunity, backed by a strong township ecosystem, transformational connectivity and a rapidly expanding catchment. Importantly, the structure allows us to participate in long-term value creation while maintaining prudent capital discipline and full operational control,” said Dalip Sehgal, Executive Director and Chief Executive Officer, Nexus Select Trust.

“We see this as more than a mall. It is an opportunity to establish a benchmark for how large-format retail can anchor emerging urban corridors and create sustainable, long-term value for brands, consumers and our unitholders. As India’s consumption story deepens beyond Tier I city cores into high-density suburban markets, Nexus Select Trust intends to be the institutional partner of choice in shaping the next generation of urban consumption centres,” Sehgal said.

“This strategic tie-up reflects our long-term commitment to creating integrated, future-ready communities anchored by strong retail infrastructure. The scale of Runwal Garden City, combined with transformational connectivity across metro, high-speed rail and multimodal corridors, positions this development to serve one of the fastest-growing consumption corridors in the region. 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, Chairman and MD, Runwal Enterprises.