| When launched earlier this year, the Urban Infrastructure Opportunity Fund had raised around Rs 2,200 crore (around $500 million) and if the additional raising goes through, the fund will be nudging the $1 billion mark. |
| Sources close to the development indicate that this second round is a distinct possibility, while Jain himself was not available for comment. |
| The fund will look at investing in the retail explosion in the country given the enormous investment potential that SEZs represent. |
| A major focus of this fund will be to invest in Reliance Retail's expansion across the country, besides looking at its SEZ plans as well. |
| "A majority of this fund will be funnelled into Reliance's plans while Jain will also be looking at other properties as well," sources indicate. |
| Jain joins a list of global behemoths looking at investing substantially in the Indian real estate market. |
| Jain's $1 billion fund follows Tishman Speyer Properties, which has formed a joint venture with ICICI Ventures, and plans to invest around $1 billion in the market. |
| These list of investments are eyeing the around 600 new shopping centres that will be set up in the country by 2010. |
| "India's growing middle class will drive up nominal retail sales by 10 per cent per annum until 2010. |
| "At the same time, organised and traditional unorganised retail is becoming more important. At present organised retail accounts for a mere 3 per cent of the total, by 2010 this share will already have reached 10 per cent," notes a research report from Deutsche Bank. |
| According to industry information, the majority of this investment is likely to channelled into Reliance Retail's expansion in south, especially in Hyderabad, Chennai and Bangalore. |
| "Besides retail operations, there is also a possibility that Reliance will invest in a township in one of these cities," an industry source noted. |
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