Motilal Oswal's PE arm plans Rs 1,000-cr investment in realty by March

Motilal Oswal Real Estate (MORE), the real estate private equity arm of Motilal Oswal Group, on Wednesday said it has committed investments of Rs 1,200 crore during the last 18 months across various projects and plans to invest Rs 1,000 crore more by March next year.

In a statement, MORE said that the company has cumulatively committed Rs 1,200 crore through its platform post the outbreak of COVID-19.

This amount has been committed across residential and commercial projects in Mumbai, Bengaluru, Chennai, Hyderabad and Ahmedabad.

"These investments have been made with Casagrand Group and Radiance Realty in Chennai, Ashwin Sheth Group and Marathon Group in Mumbai, Puravankara Group, Shriram Properties, Pacifica Group and Casagrand Group in Bangalore and Phoenix Group in Hyderabad," it added.

The real estate projects are a mix of plotted, villa and apartment projects in the affordable/ mid-income residential segment across these cities. There are also a couple of commercial projects in which MORE has invested through this platform.

Over the last 18 months, MORE has secured 9 exits worth Rs 800 crore through its platform.

Sharad Mittal, CEO of Motilal Oswal Real Estate, said, "We believe the current market is in an upcycle, however, capital available still remains scarce to meet the growing requirements. Through our funds, we cater to the capital requirement during the entire project life cycle i.e. land and approval financing, construction finance and last-mile funding.

In addition to the amounts already committed, he said the company plans to commit Rs 1,000 crore more during this financial year.

MORE is currently managing five real estate funds, with cumulative AUM (asset under management) at about Rs 5,000 crore.