The Ascott Group (Ascott) has signed a joint venture agreement with The Rattha Group (Rattha) to acquire its fourth and largest serviced apartment in India. This is part of Ascott’s master development agreement signed with Rattha in August 2006 to acquire and develop seven serviced apartments in India by 2010.

Ascott will invest INR 408.3 million (US$10 million) for a 40% equity stake in the property to be named Citadines Chennai OMR Gateway, with Rattha holding the remaining stake. Ascott will also manage the property for 10 years with an option to renew the contract for another 10 years.

The new property which is targeted to open in 2010, will have about 300 units, the largest number of units among Ascott’s properties in India. The serviced residence is strategically located along Old Mahabalipuram Road, commonly known as OMR or the IT Highway.