Singapore's Ascott says in $220 mln Indian joint venture

SINGAPORE, Aug 24 (Reuters) Singapore's Ascott Group , the biggest serviced-apartment operator in Asia, said on Thursday that it had entered a 0 million joint venture to buy and develop seven properties in southern India by 2010.

The firm, 67-percent owned by Southeast Asia's top developer CapitaLand , said it had signed an agreement with Rattha Group, a privately held Indian conglomerate.

The two partners are still finalising the purchase price of the properties, but Ascott said it would take a 40 percent stake in the first property, located in Chennai, for million.

The properties are located in the four southern Indian states of Tamil Nadu, Andhra Pradesh, Karnataka and Maharashtra.

Under the agreement, Ascott will run the properties for a period of 10 years with an option to renew the management contract for another 10 years.

The seven properties will have at least 1,000 serviced-apartment units and form part of Ascott's overall target of 2,000 units in India by 2010.

Ascott has close to 17,000 serviced-apartments in 44 cities around the world.

REUTERS DKS ND1712