ASK and Sotheby's Launch ₹1000 Crore Ultra-Luxury Real Estate Investment Fund
ASK Property Fund and India Sotheby's International Realty team up to launch a dedicated ₹1000 crore fund focused on ultra-luxury residential real estate in Tier 1 cities and holiday destinations.
Real EstateLuxury HousingInvestment FundUltraluxuryHighnetworth IndividualsReal EstateJan 09, 2025
This pioneering initiative, the ASK Curated Luxury Assets Fund, is endowed with a staggering ₹1,000 crore equity and aims to invest in Tier 1 cities and holiday destination luxury home markets.
According to Amit Bhagat, Co-founder, CEO & Managing Director at ASK Property Fund, the initial fund is expected to close in the next 2-3 months.
The fund plans to invest approximately ₹400-500 crore in two or three deals across 2025 and 2026.
The investment scope will encompass not only major metros such as Mumbai, Delhi, and Bengaluru, but also scenic coastal towns and hill stations across India.
“ASK and Sotheby’s are co-sponsors to the fund, with both entities contributing 5% of the fund size equally.
Additionally, key members will contribute an additional amount to bolster the capital,” Bhagat explained.
The fund’s primary goal is to generate returns on equity over the next 5-6 years.
It will target ultra High Net Worth Individuals (HNIs), HNIs, family offices, and other high-profile investors, leveraging Sotheby’s extensive client base.
Bhagat noted, “The luxury real estate market in India has seen a significant boost post-Covid, with a notable shift towards serviced residences among ultra HNIs and HNIs, moving away from traditional villas and farmland purchases.”
To illustrate the market's potential, ANAROCK data reveals that in 2024, the value of 59 ultra-luxury homes sold (worth over ₹40 crore) in the top 7 metro cities amounted to ₹4,754 crore, compared to ₹4,063 crore for 58 homes in 2023.
Of these 59 homes, 52 were sold in Mumbai, with 16 of them priced over ₹100 crore, including 14 apartments in prime locations like Worli, Malabar Hill, and Pali Hill, and two bungalows in Cuffe Parade and JVPD.
“HNIs and ultra-HNIs are acquiring these trophy residences for both personal use and investment,” commented Anuj Puri, Chairman of ANAROCK Group.
He further stated that prominent Grade A developers are increasing their ultra-luxury inventory to meet the growing demand.
The new fund will specifically invest in curated luxury units, targeting each unit priced at ₹8-10 crore and above, focusing on residential zoned lands acquired from reputable developers.
Bhagat emphasized, “We already have a robust pipeline of projects; the next step is to swiftly raise the necessary funds and initiate deployment.”
ASK Asset & Wealth Management ASK Asset & Wealth Management, backed by Blackstone, is a leading real estate investment and asset management firm.
It specializes in creating and managing high-quality real estate investments, focusing on delivering exceptional returns to its investors.
India Sotheby’s International Realty India Sotheby’s International Realty is a premier luxury real estate brokerage firm, part of the Sotheby’s International Realty network.
It offers a wide range of premium real estate services, including buying, selling, and managing luxury properties across India.
Frequently Asked Questions
What is the ASK Curated Luxury Assets Fund?
The ASK Curated Luxury Assets Fund is a dedicated real estate investment fund focusing on ultra-luxury residential properties. It is a joint venture between ASK Property Fund and India Sotheby's International Realty, with an equity of ₹1,000 crore.
When is the fund expected to close?
The initial fund is expected to close within the next 2-3 months, with plans to invest ₹400-500 crore in 2025 and 2026.
Which cities and regions will the fund target?
The fund will target major metropolitan cities such as Mumbai, Delhi, and Bengaluru, as well as coastal towns and hill stations across India.
Who are the primary investors for the fund?
The fund aims to attract ultra High Net Worth Individuals (HNIs), HNIs, family offices, and other high-profile investors by leveraging Sotheby’s extensive client base.
What is the pricing range for the luxury units in the fund?
The fund will focus on investing in curated luxury units, targeting each unit priced at ₹8-10 crore and above.
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