Mumbai-based fractional ownership startup hBits on Monday said it has secured Rs 20 crore (around $2.6 million) as a part of its fresh angel funding round from a host of investors including Nirmal Jain (founder and chairman at IIFL Group), InCred Capital, Jayesh Parekh (Former managing partner at Jungle Ventures) and Awdhesh Krishna (Former managing director at Snow Leopard and Global head of HR, wholesale corporate banking at Nomura Services Limited).
The firm will use the fresh funds to further scale up in acquisition of new assets under management and expand its business footprint.
Founded by Shiv Parekh in 2019, hBits is a real estate startup which offers fractional ownership (FA) to investors in Grade A properties. It claims to have assets under management at Rs 150 crore from its eight assets.
“Fractional ownership is gaining momentum with new players joining the band. Investors are taking up opportunities in a day for Grade A assets. With RBI raising rates and all other forms of investments losing sheen, fractional ownership can further impetus to investing in real estate assets,” said Parekh.
“Shiv’s focus over the past two years has led to an impressive track record, sound economics and the necessary technology infrastructure to accelerate the building momentum,” said Chris Kolenaty of Snow Leopard.
Commercial real estate has historically generated better returns compared to the residential market, making it an attractive asset class for investors.
In April, VCCircle reported that neo-realty investments platform Myre Capital, a subsidiary of Morphogenesis Reality Pvt Ltd, launched a real estate alternative investment fund (AIF) worth Rs 500 crore ($65.5 million), as it has been witnessing a surging demand in commercial real estate investment from HNIs, family offices, institutional and retail investors.
