Mumbai-based Build Capital, a real estate-focused asset manager investing in the city’s market, has wrapped up fundraising for its maiden investment vehicle, the company said on Wednesday.
The asset management firm has raised about Rs 40 crore for the maiden vehicle, Build Nivesh LLP, in line with its target corpus.
The fund, a category-II alternative investment fund registered with the Securities and Exchange Board of India (SEBI) in 2020, will focus on investing in the realty projects launched by Mumbai-based developer, Labdhi Lifestyle Ltd.
“Build Nivesh will form part of our larger Real Estate Asset Management business currently being incubated under the BUILD brand. The fund plans to partner with Labdhi Lifestyle Limited to invest in four to five projects, focusing exclusively on the Mumbai Metropolitan Region (MMR) by acquiring significant minority stakes,” said Kuldeep Jain, the chief executive and co-founder of Build Capital.
Labdhi Lifestyle was founded in 2015 and has, so far, completed residential projects in Mumbai in areas including Wadala and Neral.
According to Rupesh Somani, the co-founder of the asset management firm, Build Capital will announce the first investment from the fund soon, without disclosing the exact timeline.
Jain and Somani are both founding members of Mumbai-based Rank Group.
Among other recent fund launches in the real estate sector, two former executives of cloud computing firm Citrix Systems and Standard Chartered Bank have joined hands to float a real estate private equity fund to invest in commercial and residential real estate through their asset management firm Arca Alternatives.
In another such launch, Arka Investment Advisory Services, a real estate asset manager sponsored by a subsidiary of Kirloskar Oil Engines Ltd, rolled out its second investment vehicle in September, but first in the real estate space, in partnership with a Pune-based developer.