The Singapore-based real estate developer Assetz Property planned to invest a $250-million fund in India’s residential market.
Akshay Dewani, chief executive officer, Assetz property said that the company is reasonably institutionalized and has the ability to offer transparent and good returns to the investors. The fund-raising for the same will be completed in one year.
These funds will be initially used to purchase land parcels for the development of 15 million sq. ft. of residential projects in Bengaluru. Apart from this, the company will also venture into Pune, Chennai and Hyderabad.
A fund will partially be used for the construction of properties between Rs 3,700 and Rs 5,500 per sq. ft. and a major part of funds will be used in Bengaluru. Dewani also said that many companies are looking at venturing into the Indian real estate sector.
Till now, Assetz Property has raised Rs. 900 crore from financial institutions that include Altico Capital, HDFC Bank and Aditya Birla Finance. Other than this, the company also raised funds from investors like Equis Funds Group, Apollo Global Management, JLL Segregated Funds.
Earlier, a report published showed that, the IT city Bengaluru along with Mumbai topped the real estate market growth chart in the first quarter of the year 2018. These places are ranked on the first two positions while considering the new property launch and the sale of properties including commercial, residential and retail land/plot. All these sales are assessed in terms of sales volumes.