Bangalore-based Azure Capital Advisors Ltd, a private equity firm for the real estate in India, is planning to invest around Rs 70-75 crore for realty projects worth Rs 200 crore in Gujarat. The company is interested in residential projects and plans to foray into cities like Ahmedabad, Vadodara and Surat.
"We have launched an India Realty Fund One for regions like Gujarat, Maharashtra, Goa, Karnataka, Andhra Pradesh, Tamil Nadu and Kerala. In Gujarat, we are looking at residential projects in Ahmedabad, Vadodara and Surat. We plan to infuse at least about Rs 70-75 crore for projects worth Rs 200 crore," said Alok Kumar Singh, executive director - strategy and head of fund operations, Azure Capital.
Azure Capital proposes to raise Rs 500 crore over the next 4–5 months in multiple closings. The funds will be raised from high net worth individuals, trusts, family offices and institutional investors.
Primarily, the company intends to cater to the knowledge industry including IT sector. "One of our strategies is to follow the knowledge industry which has grown and is growing in these regions. We believe Gujarat is poised for growth as far as real estate industry goes and several leading companies are in the process of setting up offices in various cities of the state," said Singh.
An integrated fund, India Realty Fund One brings the entire eco system capabilities like world class construction partners, program managers and designers. "This not only provides the investors with a more predictable return, it also redefines the way in which home buyers' needs are addressed," Singh added.
Through this fund, Azure Capital expects to exit three years from infusion, with the hope of doubling its return on investment. The company focuses on residential projects located in tier II and III cities with niche focus on the southern and western India.
