ASK Property Fund Eyes Luxury Housing Market with New Fund
ASK Property Fund, a real estate investment arm of Blackstone-backed ASK Group, has launched its first dedicated luxury housing fund in collaboration with India Sotheby’s International Realty. The fund aims to capitalize on the growing demand for high-end
Luxury HousingReal EstateAsk Property FundIndia Sothebys International RealtyInvestment FundReal Estate NewsJan 09, 2025
This new fund aims to tap into the booming luxury housing market in India, a segment that has seen significant growth in recent years.
The fund, which is registered as a category-II alternative investment fund with the Securities and Exchange Board of India (SEBI), has a target corpus of Rs 1,000 crore and a greenshoe option of an additional Rs 500 crore.
ASK Property Fund and India Sotheby’s International Realty will be co-sponsors of the fund, though the specific contributions from each party are not yet known.
Addressing the launch, Amit Bhagat, the Chief Executive and Managing Director of ASK Property Fund, stated, “We are confident that India's robust economic fundamentals and the increasing number of wealthy individuals will continue to drive growth in the country's luxury residential real estate market.”
The fundraising timeline for the new fund is yet to be disclosed, but it is expected to invest in high-end and luxury real estate developments in Tier 1 cities and premium holiday home destinations.
This strategic move comes after ASK Property Fund has already made a few notable investments in the luxury housing market.
One of the recent projects backed by ASK Property Fund is a residential development in Gurugram.
In collaboration with Shapoorji Pallonji Real Estate and the property arm of Kanodia Group, they invested approximately Rs 270 crore (around $31 million at the time) in a luxury housing project being developed by KREEVA, the real estate arm of Kanodia Group.
Another significant investment was made in February when ASK Property Fund announced a Rs 120 crore investment in a project located on Gurugram’s Golf Course Road, developed by TREVOC Group.
These initiatives highlight the company's commitment to the luxury housing market and its potential for growth in India.
India Sotheby’s International Realty, known for its expertise in the luxury real estate segment, brings valuable experience and a strong network to the partnership.
This collaboration is expected to enhance the fund's ability to identify and invest in high-potential luxury real estate projects.
With the Indian economy showing resilience and a growing affluent population, the demand for luxury residential properties is on the rise.
ASK Property Fund's new luxury housing fund is well-positioned to capitalize on this trend and deliver significant returns to its investors.
In summary, the launch of this luxury-focused fund marks a significant step forward for ASK Property Fund, positioning them as a key player in the rapidly expanding luxury housing market in India.
Frequently Asked Questions
What is the target corpus of ASK Property Fund's new luxury housing fund?
The target corpus of ASK Property Fund's new luxury housing fund is Rs 1,000 crore, with a greenshoe option of an additional Rs 500 crore.
Who are the co-sponsors of the new luxury housing fund?
The co-sponsors of the new luxury housing fund are ASK Property Fund and India Sotheby’s International Realty.
What is the focus of the new fund's investments?
The new fund's investments will focus on high-end and luxury real estate developments in Tier 1 cities and premium holiday home destinations.
What is the significance of this new fund in the Indian real estate market?
This new fund is significant as it is India’s first luxury housing-focused investment vehicle, aiming to capitalize on the growing demand for high-end residential properties.
Has ASK Property Fund made any recent investments in the luxury housing market?
Yes, ASK Property Fund has recently invested in a luxury housing project in Gurugram, collaborating with Shapoorji Pallonji Real Estate and the property arm of Kanodia Group, and another project with TREVOC Group in Gurugram.
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