ASK Group Planning to Invest up to Rs 1,500 crore in Indian Real Estate Market

Ask Group, which is one of the Financial Services Firm is now planning to invest up to Rs 1,500 crore with an aim to set up its own equity investment unit for the Indian real estate market in the current year as it seems that that the demand for mid-segment housing projects could increase. In year 2015, the firm has invested more than Rs 600 crore through three equity deals in real estate projects.

Previous Investment of ASK Group:

According to Amit Bhagat, the MD and CEO of ASK Property Investment Advisors, “In the year 2016, our company will deploy from Rs 1,000-1,500 crore as equity investment in the real estate market of India”. For ASK Group the largest investment deal was last month when they invested Rs 365 crore in a housing project of Rajesh Lifespaces at Vikhroli in Mumbai. Apart from that the company has also invested Rs 125 crore with ATS Group in project which is coming up in Noida and Rs 112 crore in project which is coming up in Purvankara, Bengaluru. As per the statement of Amit Bhagat, “Now we are focusing on the equity investment in the mid-income housing projects, which could have the ticket price of Rs 50-75 lakh bracket and we are expecting that real estate market will remain buoyant in this segment”.

In last five years of duration, ASK Group has invested more than Rs 2,500 crore in real estate market of India. Now the company’s main objective is to invest into the mid-income housing projects in five major cities such as; NCR, Bengaluru, Chennai, Mumbai and Pune. According to Bhagat the company is into the process to raise the s 1,500 crore from domestic and offshore investors, however; the fund raising exercise could be completed in next one to two months. The more he added that due to counter cyclical opportunity, now there are many deep-pocket institutional investors and large funds investors are looking for options to invest into the Indian real estate market.

Through its real estate business ASK Group has manage the funds of up to Rs 3,300 crore and it has committed in 19 projects with more than Rs 2,000 crore. ASK Property Investment Advisors is planning to set up the advice real estate dedicated funds.