Diageo to sell office space to DivyaSree Group

Spirits major Diageo, which bought a controlling stake in India's United Spirits, will sell 30,000 sq ft of prime office space in the iconic UB Tower to DivyaSree Group in Bengaluru. The deal, pegged at Rs 28,000 per sq ft, will be the highest ever fetched in the city's office market. As part of the deal, the British alcoholic beverages company will sell and lease back the space to operate its office from the same premises after the transaction. Bhaskar Raju, MD of DivyaSree Group, confirmed the development. Diageo Plc's India arm owns five floors in UB tower and will only sell four floors as part of the assets disposal plan. UB tower is an iconic luxury commercial-cum-retail property in the heart of Bangalore, spread over 85,000 sq ft. Between 2013 and 2014, UK-based Diageo acquired 54.8 per cent shareholding in United Spirits, making India one of its largest markets. Diageo, a global company, sells its products in more than 180 countries around the world and is listed on both the London Stock Exchange and the New York Stock Exchange.