Rs 750 crore in ten weeks raised by IDFC Real Estate Yield Fund
IDFC Real Estate Yield Fund has raised Rs 750 crore from domestic investors in ten weeks. This fund is a focused debt fund with a medium term horizon and has already committed Rs 123 crore across two residential projects in Pune and Bangalore. The fund is targeting residential projects which are under development across the cities like Delhi, Mumbai, Chennai, Bangalore, Hyderabad and Pune.
The IDFC real estate yield fund will try to grab opportunities available in the market by targeting on the debt deals that generate high yields, while making sure downside protection and adequate security cover. The aim of fund is developing a high-quality portfolio by focusing on famous developers and brown field residential projects which help to produce good returns for the fund’s investors by employing a balanced risk-return strategy.
Mr. M K Sinha, managing partner and chief executive officer, IDFC Alternatives, says that this is their first real estate fund and they are optimistic about its performance. The real estate sector is going through a bad period and most of the developers are stretched with reduced cash flows. This period is right period invest into the sector and structure transactions that will provide high returns.
Source: The Times of India
Bangalore, Chennai, Debt, Delhi, domestic investors, IDFC Alternatives, IDFC Real Estate Yield Fund, M K Sinha, Mumbai, Pune, Real Estate Sector, Real estate segment
