Mumbai: Indiabulls Asset Management Company (IBAMC) Tuesday said it has launched its first real estate fund, which aims to raise Rs 1,000 crore.
Indiabulls Real Estate Fund, a close-ended scheme, also marks IBAMC's entry into the alternative investment fund (AIF) space.
The proposed target size of the fund is Rs 500 crore with an option of raising an additional Rs 500 crore.
The fund will be targeting investments in residential projects in top five cities. It intends to invest in geographies with proven market depth, high inherent demand, pricing stability and projects with low execution risk, the company said here.
The investment focus shall be to capture growth opportunities across life-cycle of investee companies through primary, secondary and co-investment opportunities.
The investments shall be structured in the form of fully secured non-convertible debentures with a well-defined exit strategy and periodic returns on a quarterly basis.
"It is the first real estate fund from IBAMC which targets to collect Rs 1,000 crore and we have lined up multiple funds falling under this category in future too.
"Thus, we plan to raise a total of Rs 10,000 crore under the category within a period of five years from now," IBAMC Chief Executive Officer (Alternative Investment Funds) Ambar Maheshwari told PTI.
AIFs have been established or incorporated for pooling in capital from Indian and foreign investors for investing in accordance with a well-defined policy.