Arnya and Supreme Universal Raise ₹1030 Crore for Mumbai-Focused Real Estate Fund
Real estate projects require substantial capital, including both debt and equity, at various stages of their life cycle. However, the sources of capital for residential developers remain quite limited. Arnya Real Estates and Supreme Universal have stepped in to bridge this gap with a significant capital raise of ₹1030 crore.
The capital raised includes around ₹220 crore of equity committed by the two sponsors. Arnya Real Estates will manage the fund, while Mumbai-based Supreme Universal will handle the development of the projects. The fund, named Arnya Real Estate Fund-Equity, is a Sebi-registered Category II Alternative Investment Fund (AIF).
In November, the two partners announced the launch of a residential real estate platform aimed at developing housing projects in Mumbai and Pune. The total target corpus for the fund is ₹1,250 crore. The fund will focus on society redevelopment projects in Mumbai, a segment that has seen a significant surge in recent years. The platform is expected to encompass around seven to eight projects, with each receiving an investment of ₹80-200 crore.
Sharad Mittal, founder and CEO of Arnya Real Estates Fund Advisors, highlighted the critical need for capital in the real estate sector. “Equity investments in residential real estate are hardly happening. Yet, the requirement for capital is huge because developers are expanding. Real estate projects need capital, including debt and equity, at various stages of their life cycle. However, the source of capital for residential developers is quite limited,” Mittal told Mint.
Mumbai’s residential redevelopment segment is seen as one of the most scalable and structurally resilient business models in Indian real estate. “Through this fund, we are providing investors with a structured and transparent vehicle to participate,” Mittal added.
The fund is currently evaluating its first two transactions, both involving Mumbai redevelopment projects. Sunny Bijlani, Joint Managing Director of Supreme Universal, emphasized the importance of quality and structured capital in the evolving real estate sector. “Institutional partnerships such as this bring discipline and transparency into redevelopment projects,” he said.
Arnya's equity fund follows the launch of its real estate debt fund. In 2024, it launched its maiden real estate fund—Arnya Real Estate Fund-Debt—aiming to raise ₹1,000 crore. So far, ₹425 crore has been committed across seven transactions in Mumbai, Pune, Bengaluru, and Chennai.
“Our objective is to build a focused, institutional real estate asset management platform led by experienced real estate investment professionals, ensuring disciplined capital allocation,” Mittal added.
Despite the challenges, the real estate sector continues to attract significant attention. According to property advisory Knight Frank India, private equity (PE) investments in real estate fell 29% in 2025 to $3.46 billion due to lower inflows of funds in housing and warehousing projects. The residential segment, individually, attracted $576 million last year, down from $1,177 million in the preceding year, as private equity investors turned cautious.
Arnya Real Estates was set up by Mittal, a former executive director and CEO of real estate funds at Motilal Oswal Alternates, to offer a range of real estate investment products. The company aims to capitalize on the growing demand for structured and transparent investment vehicles in the Indian real estate market.
