ASK Property Investment Advisors has raised Rs 535 crore for its seventh real estate fund from domestic high networth individuals. The fund has a total corpus of Rs 2,000 crore.
This is the first domestic property fund raising by any fund manager this year.
The fund, named ASK Real Estate Special Situations Fund-I,could also tap offshore investors, said Amit Bhagat, managing director (MD) and chief executive officer at ASK Property Investment Managers.
“The objective of this fund is to provide flexible and patient capital. Currently, developers’ balance sheets as well as individual projects are facing a cash crunch. The fund will focus on investing in mid-segment and affordable residential projects, and generating sustainable risk-adjusted returns,” Bhagat said.
ASK’s fund comes at a time when developers are grappling with slowdown, the new Real Estate Regulation & Development Act (Rera) and the goods and services tax.