ASK Group is set to invest Rs.1400 cr in next 18-24 months in Indian real estate sector
Announces closure of its Real Estate fund of Rs.1400 cr ($205 million)
Mumbai / Chennai, 24th February, 2016: ASK Group, today announced the closure of its fourth Real Estate fund “ASK Real Estate Special Opportunities Fund II” of INR 1373 Cr ($205 million). The company is planning to invest the same in next 18-24 months in six major cities i.e. Mumbai, Pune, Chennai, Bengaluru, Delhi-NCR and Hyderabad; in midsized residential projects.
This is the largest domestic pure equity real estate fund raised by any player in the industry post global crisis of 2008 and ASK Group has achieved this in just over 14 months; a milestone in itself. With the closure of this fund, ASK Group’s real estate private equity assets under management/ advisory stands at Rs.3500 crores.
While commenting on this Mr. Amit Bhagat, MD&CEO, ASK Property Investment Advisors said, “Investors in the current market conditions see performance track record and strategy. So far, ASK has returned superior risk adjusted returns and focused on partnering with reputed developer, midsize residential projects and top 6 metro cities has earned us almost 2/3rd of repeat investors. 25% of the fund has already been committed in two projects so far.”
Mr. Sunil Rohokale, MD&CEO, ASK Group said, “ASK provides growth capital to the developer partners as we believe in equity returns. This is our third domestic real estate fund raised in the last seven years and previous two domestic real estate funds are fully committed. We have primarily focused on Family Offices/ Ultra HNI investors. We have made five full and seven part exits from the first two funds in just over 4 years.”
In this financial year, ASK Group has invested Rs. 365 Cr in Rajesh Lifespaces’ Vikhroli project, Rs 125 crores with ATS group in Noida project, Rs.112 crore in ‘Purvankara’s’ Chennai project and has exited from three investments while garnering a impressive multiple. The group exited Mumbai’s ‘Rajesh Lifespaces’ investment with a multiple of 2.26 in over three years, and its investments in Pune with Amit Enterprises and Paranjape with a multiple of 2.53 (over 3 years )and 1.80 times (less than 3 years ) respectively.
Additionally, the group has exited from ‘ATS ONE Hamlet’, a project of ATS Group in Noida in (2012) , with a multiple of 2.45 in just over two years and ‘Liviano’, a project by Darode-Jog Developers in Pune in (2010), while returning a multiple of 2.35 in just over three years.
ASK Group through its Real Estate has committed Rs 2000 crore in 19 projects.
