Motilal Oswal invests Rs 450 cr in Shapoorji Pallonji Real Estate

Takes exposure to two projects--one commercial, the other a residential township

Motilal Oswal Alternates (MOA), the alternative investment arm of the Motilal Oswal Group, has made its first investment of Rs 450 crore in Shapoorji Pallonji Real Estate, against two of developer group's projects.

One project is a partially completed, leased and operational commercial project in Manesar. The other is a residential township launched in 2021.

The investment, which has been made through structured debt instruments, will be used for working capital, repayment of debt and achievement of financial closure, said the company.

MOA currently manages five real estate funds and multiple standalone NCD investments. Its cumulative assets under management in real estate currently stand at more than Rs 6,000 crore. MOA has made more than 100 investments in over 135 real estate projects, and has secured 50 complete exits.

Sharad Mittal, CEO of Real Estate Funds, MOA, said, “We have recently concluded a transaction with Shapoorji Pallonji Real Estate on our platform. This marks our first investment with SP Real Estate, one of India's leading developers. The investment is in line with our strategy to partner with established and credible developers for their-mid income housing projects. We hope this investment forms the foundation of a long-standing partnership with Shapoorji Pallonji Real Estate.”

The Shapoorji Pallonji Real Estate (SPRE) group has over 155 years of legacy. With a development potential of over 113 million sq ft, SPRE has made inroads into most Indian cities—Mumbai, Pune, Bengaluru, Gurugram, and Kolkata—with a variety of developments, from luxury apartments and opulent residences to aspirational homes for mid-income homebuyers as well as one of the largest mass housing projects in India.

“We appreciate the investment made by Motilal Oswal Alternates in our projects. This exemplifies the company’s strong trust in our brand. The additional funding will strengthen our growth story even more by adding significant value to our project pipeline,” said Venkatesh Gopalakrishnan, CEO of Shapoorji Pallonji Real Estate.