Hyderabad’s Real Estate Market Set for a ₹700 Crore Transformation
Hyderabad-based real estate firm Meenakshi Group is set to shake up the city's property market with its new financial services arm, Meenakshi Alternates, aiming to raise ₹700 crore through its maiden real estate fund.
Real EstateMeenakshi GroupHyderabadAifInstitutional CapitalReal Estate NewsJun 02, 2025
The fund, which is a Category II Alternative Investment Fund (AIF), has received SEBI approval and aims to channel institutional capital into prime real estate assets. While the focus is not restricted to just Hyderabad, it will also target other Tier-I cities.
The launch of this fund highlights the growing appetite for AIFs in the real estate market and underscores the confidence these funds have in the sector’s ongoing boom across the country. Employing a hybrid strategy that blends debt and equity investments, the fund will target self-liquidating assets that generate steady cash flows while offering long-term capital appreciation.
With a six-year investment horizon, the fund plans to invest in 6 to 8 high-conviction deals, with each deal receiving up to ₹70 crore. This initiative is expected to inject fresh institutional capital into Hyderabad’s real estate sector, which is characterized by rapid urbanization, IT-driven growth, and increasing demand for both commercial and residential spaces.
By backing Tier I developers and market leaders in strategic micro-markets, Meenakshi Alternates aims to support high-quality projects that will contribute meaningfully to the city’s evolving skyline. “Hyderabad has been one of India’s fastest-growing real estate hubs, but it requires structured, large-scale capital flows to sustain this momentum,” said Mahesh Katragadda, CEO of Meenakshi Alternates. “Our fund will play a critical role in bridging that gap by providing developers with flexible capital solutions and investors with access to stable, institutional-grade real estate assets.”
With a legacy of delivering over 13 million sq. ft. of real estate and leading major infrastructure projects in the region, Meenakshi Group has a strong foundation in Hyderabad. The launch of Meenakshi Alternates and its debut fund aligns with the group’s broader vision of accelerating urban development while delivering consistent returns to investors.
Industry analysts suggest the entry of a well-capitalised, professionally managed fund focused on Hyderabad could pave the way for more structured financing models in the city. This, in turn, could improve project execution standards, enhance transparency, and stimulate growth in underserved micro-markets—ultimately promoting more balanced urban expansion.
With three deals currently in due diligence and early commitments secured from Meenakshi Group and its network, the fund is poised for rapid capital deployment, marking a significant new chapter in Hyderabad’s real estate journey.
Frequently Asked Questions
What is the Meenakshi Real Assets Fund?
The Meenakshi Real Assets Fund is a Category II Alternative Investment Fund (AIF) launched by Meenakshi Alternates, a financial services arm of Meenakshi Group. It aims to raise ₹700 crore to invest in prime real estate assets.
What is the investment strategy of the Meenakshi Real Assets Fund?
The fund employs a hybrid strategy that blends debt and equity investments, targeting self-liquidating assets that generate steady cash flows while offering long-term capital appreciation.
Which cities will the fund target?
While the fund will focus on Hyderabad, it will also target other Tier-I cities in India.
What is the investment horizon of the fund?
The fund has a six-year investment horizon and plans to invest in 6 to 8 high-conviction deals, with each deal receiving up to ₹70 crore.
What is the role of Meenakshi Group in this initiative?
Meenakshi Group, a leading real estate construction firm in Hyderabad, has launched Meenakshi Alternates to manage the Meenakshi Real Assets Fund. The group has a strong legacy in delivering major real estate and infrastructure projects in the region.
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