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IIFL, the wealth management arm of brokerage firm India Infoline, today said it has raised a Rs 735 crore realty fund.
Piramal Enterprises' private equity fund Indiareit Fund Advisors will be acting as the investment advisor for the IIFL Income Opportunities Fund — Series 'Special Situations', the brokerage firm said in a statement.
"This is a first for us in the domestic market wherein we have agreed to act as an advisor to the IIFL Income Opportunities Fund," Indiareit Managing Director Khushri Jijina said.
An IIFL spokesperson said it has an option to invest an additional Rs 500 crore in the fund because of an option to co-invest under the fund.
The company statement however remained silent on the investor class from whom the commitments have been received.
The fund was launched in August 2013 and is the third one to be registered under the Alternate Investment Funds platform, it said.
It has a tenure of four years and will be investing in structured financing across the residential asset class with appropriate development partners.
It is targeting returns of 22-24% and has a deployment period of 18 months, the statement said.
It can take an equity commitment of up to Rs 75 crore per transaction, it said.
