Property Share raises funding from Japanese firm Asuka and existing investors
BENGALURU: Property Share, a Bengaluru-based startup that enables fractional property ownership, has raised an undisclosed amount in a funding round that was led by Japanese asset management firm Asuka, and existing investors Pravega Ventures and Singapore-based venture capital fund Beenext.
The startup plans to spend the funds mainly on technologically upgrading the product and recruitment across areas such as investment, operations and technology.
Founded by IIM-Ahmedabad alumni Hashim Khan and Kunal Moktan, the platform manages commercial and residential properties worth Rs 50 crore. It is aiming to manage properties worth Rs 250 crore by the end of 2017.
"We have about 15 properties under management," said Moktan. "We try to find properties that are likely to make 15-20% returns per year for investors in real estate. We have about $4 million in assets under management (AUM). Our current listing, which is a commercial office property in Bengaluru, is a $4-million listing, which is going to double our AUM."
Moktan said a Japanese asset management firm like Asuka will bring in institutional capital, acting as an anchor in investments in the long term. The minimum ticket size for investments in fractional property ownership on the platform is Rs 10 lakh. A large number of its customers are employees at mid-level positions in IT companies in the 30 to 50-year-old age group. According to Khan, the most challenging part lies in acquiring users to invest.
Individuals usually invest about Rs 10 lakh in the beginning and then build it up between Rs 30 lakh and Rs 60 lakh.
The startup plans to spend the funds mainly on technologically upgrading the product and recruitment across areas such as investment, operations and technology.
Founded by IIM-Ahmedabad alumni Hashim Khan and Kunal Moktan, the platform manages commercial and residential properties worth Rs 50 crore. It is aiming to manage properties worth Rs 250 crore by the end of 2017.
"We have about 15 properties under management," said Moktan. "We try to find properties that are likely to make 15-20% returns per year for investors in real estate. We have about $4 million in assets under management (AUM). Our current listing, which is a commercial office property in Bengaluru, is a $4-million listing, which is going to double our AUM."
Moktan said a Japanese asset management firm like Asuka will bring in institutional capital, acting as an anchor in investments in the long term. The minimum ticket size for investments in fractional property ownership on the platform is Rs 10 lakh. A large number of its customers are employees at mid-level positions in IT companies in the 30 to 50-year-old age group. According to Khan, the most challenging part lies in acquiring users to invest.
Individuals usually invest about Rs 10 lakh in the beginning and then build it up between Rs 30 lakh and Rs 60 lakh.
