Edelweiss raises Rs. 500 cr to capitalise limited liquidity in real estate

New Delhi: Edelweiss Alternative Asset Advisors Ltd., has announced the final close of its onshore AIF Edelweiss Real Estate Opportunities Fund (EROF or Fund) as of November 2017, at the targeted fund corpus of Rs. 500 crore.

The fund by the company aims to capitalise on limited liquidity in real estate market through multi-strategy approach with focus on top six Tier-I cities in India, namely Mumbai, NCR, Bengaluru, Hyderabad, Pune and Chennai across residential and commercial real estate.

“We believe that residential real estate is poised to bounce back with existing regulation available to protect consumer interest. In addition, limited capital availability creates an ideal opportunity for providers of alternative sources of capital to invest in real estate. Improving business sentiments and a recovery in the demand for office space will lead to further investment opportunities,” said Nitin Jain, CEO, Global Wealth and Asset management, Edelweiss Group.

“Post demonetisation, the market in India has stabilised and RERA has given confidence to the buyers on timely completion of projects. The investments in alternative space in India have picked up significantly over the past year or so,” opined Vibhor Gujarati, Head of Marketing – India, Edelweiss Alternative Asset Advisors Limited.

Edelweiss Private Wealth Management Team (PWM) raised majority of the fund corpus from their client base that includes Family offices, business owners and promoters, UHNIs and corporate treasuries.

However, EAAA manages seven funds catering to global and domestic investors across illiquid strategies in India including collateralised credit, real estate and distressed assets. The domestic real estate fund, EROF is managed by a fund management team headed by Nitin Goel.

Edelweiss group offers asset management and advisory capabilities and currently has Rs. 1, 93,000 crores of assets under management. The group over the years has been offering holistic and end-to end solutions to developer requirements from financing real estate project development, project monitoring, supporting developers in distress situations till the project is completed and assisting in sale of the real estate assets. (ANI)