ASK Property Fund, the real estate private equity arm of Blackstone-backed ASK Asset & Wealth Management Group and India Sotheby’s International Realty (“ISIR”) on January 7 a strategic collaboration to launch India’s first luxury real estate investment platform named ASK Curated Luxury Assets Fund (“the Fund”).
ASK Curated Luxury Assets Fund is registered with the Securities and Exchange Board of India (“SEBI”) as a Category II Alternative Investment Fund under the SEBI (Alternative Investment Funds) Regulations, 2012 (“AIF Regulations”), according to the joint statement.
The company said that the fund will be dedicated exclusively to high-end and luxury real estate developments in Tier 1 cities and premium holiday home destinations. The joint statement reads that the Fund aims to generate superior risk-adjusted returns for investors by investing in high-end residential projects in top cities, holiday homes, and vibrant and sought-after second-home micro-markets, including religious destinations.
Strategy
According to the joint statement, the Fund will raise third-party capital from sophisticated institutional and individual investors by SEBI guidelines. This includes family offices, high-net-worth individuals, insurance companies, pension funds, banks, financial institutions, sovereign funds, multilateral institutions, and other sophisticated and institutional investors.
The statement reads that the ASK Property Fund and India-SIR will commit equal capital to the Luxury Real Estate Fund as co-sponsors. The fund’s initial size is ₹1,000 crore equity with an additional greenshoe option of ₹500 crore.
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“We are confident that India’s robust economic fundamentals and the increasing wealth will continue to drive growth in the country’s luxury residential real estate market. 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. This strategic collaboration creates a win-win for all stakeholders, including landowners and buyers.” said Amit Bhagat, CEO & Managing Director at ASK Property Fund.
ASK Property Fund’s registered entity, ASK Property Investment Advisors Pvt. Ltd is the alternate asset investment arm of the ASK Asset & Wealth Management Group, set up to manage and advise real estate dedicated funds.
The company focuses on private equity investments in self-liquidating residential and commercial segments. ASK Property Fund has raised ₹7,200 crore since 2009, and investors include family offices, ultra-high-net-worth individuals (UHNIs), and high-net-worth individuals (HNIs) and institutions.
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On the other hand, Amit Goyal, managing director of India SIR, said that ASK Property Fund has an outstanding track record and profound investment insights from managing some of the country’s top-performing real estate funds.
“We are confident about the unique value proposition of this strategic collaboration. We offer exceptional and complementary expertise to this pioneering investment platform,” Goyal said.
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Sotheby’s International Realty is present in 83 countries and territories, with 1,100 offices and 26,400 sales associates. In 2023, the company achieved a transaction volume of USD 143 billion. The company has a residential portfolio in Indiawith luxury properties, including farmhouses, villas, bungalows, holiday homes, penthouses, and apartments.
