India's property market is buzzing, and ASK Group's real estate investment arm is making its move in the luxury housing sector. After dipping their toes in the market with a few select deals last year, they've now gone all in, partnering with India Sotheby's International Realty to create a fund exclusively for luxury homes. This sets the launch of India's first-ever investment vehicle focused solely on high-end real estate, tapping into a segment that's seen impressive growth.
The new investment fund, registered as a category-II alternative investment fund with the Securities and Exchange Board of India (SEBI), is aiming to raise INR 1,000 crore, with an additional greenshoe option of INR 500 crore. ASK Property Fund and India Sotheby's International Realty are teaming up as co-sponsors for the fund, though the details of how much each will contribute to the total corpus remain under wraps.
“We are confident that India's robust economic fundamentals and the increasing number of wealthy, will continue to drive growth in the country's luxury residential real estate market,” said Amit Bhagat, CEO & Managing Director at ASK Property Fund, in the press release. “We are excited to collaborate with India SIR, leveraging its strong brand presence and deep expertise in the luxury real estate segment, to launch India’s first luxury residential opportunity-focused fund.”
According to the two entities, the fund is designed to invest in luxury residential projects across India. Its goal is to deliver risk-adjusted returns for investors by focusing on premium properties in major cities, holiday homes in popular second-home markets, and locations near religious destinations that continue to draw interest.
Amit Goyal, Managing Director, India SIR, stated, “We are confident about the unique value proposition of this strategic collaboration. Together, we offer exceptional and complementary expertise to this pioneering investment platform."
ASK Property Fund is the real estate investment arm of ASK Asset & Wealth Management Group, created to manage and advise funds dedicated to the sector. The fund primarily focuses on private equity investments in residential and commercial spaces that offer strong returns. Since its inception in 2009, ASK Property Fund has raised around INR 7,200 crore, attracting a diverse range of investors, including family offices, ultra-high-net-worth individuals (UHNIs), high-net-worth individuals (HNIs) and institutions.
Born from the rich heritage of Sotheby’s Auction House, Sotheby’s International Realty (SIR) is an iconic global brand, with a legacy of quality service and unmatched expertise. The SIR network is present in 83 countries and territories with 1,100 offices and 26,400 sales associates, achieving a transaction high volume of INR 12.2 lakh crore ($143 billion) in 2023.