WSB Real Estate Partners: A Rs 800 Crore Investment Strategy in Mumbai's Real Estate
WSB Real Estate Partners, a prominent fund manager, has invested Rs 300 crore in three Mumbai property developers. The firm is now planning a Rs 500 crore investment in FY26, capitalizing on the post-Covid recovery and robust infrastructure development.
Real EstateInvestmentMumbaiProperty DevelopersInfrastructureReal Estate NewsFeb 26, 2025
These investments are part of a broader plan to capitalize on the city's real estate market, which has shown a robust recovery post-Covid-19.
The fund manager focuses on early-stage pre-approval deals, a niche that banks and non-banking financial companies are not permitted to enter, but alternative investment funds like WSB are.
Vimal Jangla, managing partner at WSB, revealed that the funds have been raised from multiple investors, underscoring the confidence in the market.
WSB has invested in Notandas Realty, Vijay Khetan Group, and Bagasrawala Corporation, all prominent players in the Mumbai real estate landscape.
These structured equity deals are designed to yield an internal rate of return (IRR) of over 25%, reflecting the high potential of these projects.
Looking ahead, WSB is planning to invest Rs 500 crore in the fiscal year 2026.
The firm is currently in the process of identifying the next round of funding opportunities, further solidifying its commitment to the Mumbai market.
According to Jangla, the post-Covid real estate sector in Mumbai is on a sustainable upward trajectory.
“Infrastructure development is expected to provide a significant boost to quality housing.
We see numerous opportunities in pre-approval stage funding, which is a critical phase for many projects,” he said.
The returns from these investments are back-ended, meaning they are realized by the investment manager only after the projects are constructed.
This structure ensures that the investments are aligned with the performance and success of the projects.
Jangla also highlighted the positive impact of recent tax concessions in the Budget.
These concessions are expected to benefit mid-market housing projects in cities like Bengaluru, where the average housing price is Rs 1 crore, and Mumbai, where it is Rs 2.2 crore.
“Any surplus in income will add to net savings and improve affordability for potential homebuyers,” he added.
Virendra Gala, a board member and sponsor of WSB India, emphasized the underlying strength of Mumbai’s economy.
“Mumbai’s robust economy, characterized by a growing GDP, continues to attract businesses and individuals, fuelling real estate demand.
The city remains a hub of opportunity, with strong economic growth driving the real estate sector,” Gala said.
WSB Real Estate Partners is well-positioned to capitalize on these opportunities, leveraging its expertise and strategic approach to drive growth and deliver value to its investors.
Frequently Asked Questions
What is WSB Real Estate Partners' 'Mumbai Opportunities Strategy'?
The 'Mumbai Opportunities Strategy' is a newly-launched investment strategy by WSB Real Estate Partners, focusing on early-stage pre-approval deals in the Mumbai real estate market.
How much has WSB invested in Mumbai property developers so far?
WSB Real Estate Partners has invested over Rs 300 crore in three Mumbai property developers: Notandas Realty, Vijay Khetan Group, and Bagasrawala Corporation.
What is the expected internal rate of return (IRR) for WSB's investments?
The structured equity deals by WSB are designed to yield an internal rate of return (IRR) of over 25%.
What is the significance of back-ended returns in WSB's investment deals?
Back-ended returns mean that the investment manager realizes returns only after the projects are constructed, ensuring alignment with the projects' performance and success.
How are tax concessions expected to impact the real estate market in Mumbai and other cities?
Tax concessions are expected to benefit mid-market housing projects, improving affordability and adding to net savings for potential homebuyers in cities like Mumbai and Bengaluru.
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