Ask Property Fund: ASK Property Fund announces exit from Gulshan One 29 with IRR of 21% | Tech Reddy

ASK Property Fund (“ASK”), the real estate private equity arm of ASK Group, has exited its investment in Gulshan One 29, Gulshan Homez’s project in Noida.

The fund invested Rs 125 crore in September 2020 and earned an internal return or IRR of 21%.

“We have realized counter-cyclical opportunities in the market for investment in 2020 and have accelerated our efforts to identify opportunities. Noida has been a preferred market for us since 2010 as it has a strong job corridor and is supported by good physical and social infrastructure. Amit Bhagat, CEO and MD, ASK Property Fund, said Gulshan’s focus on efficiency and customer service was the key parameter for us to partner with them during tough times.

ASK Property Investment Advisors, the alternative asset investment arm of ASK Group, has raised over $80 million or Rs 610 crore through the early closing of its sixth real estate fund. The funds will be invested in the residential markets of Mumbai, Pune, Noida, Gurgaon, Bengaluru and Chennai. The company is looking to raise a total of Rs 2,000 crore through this real estate fund (RESOF IV). “We are finalizing some more investments and ready for accelerated deployment with a strong pipeline. We also expect the pace of departures to pick up in 2022-23,” he added.

Residential prices in Delhi-NCR rose 14% to their highest annual value at an average of Rs 7,741 per sq ft during July-September. Another key metric, unsold inventory in the city, fell 11% YoY through Q3 2022, according to recent reports.

“The Covid period was challenging, but the ASK team has a great understanding of the Noida market, which was reflected in their investment approach. Patient capital with a focus on completion has helped us through the most difficult times. I am hopeful that there will be many more opportunities for us to collaborate,” said Deepak Kapoor, Director, Gulshan Homez.

ASK focuses on self-liquidating private equity investments in the middle-income and affordable residential and commercial segments. ASK PIA has raised around Rs 5,000 crore (US$800 million) since 2009 from investors including family offices, ultra high net worth individuals (UHNI), high net worth individuals (HNI) and institutions.

The alternative asset investment firm has received approval for its first real estate-focused fund of funds in GIFT City for offshore investors.

Private equity investment in the real estate sector has continued to grow in the last few years and even in the last two years despite the pandemic situation. Institutional investment in Indian real estate continues to witness fair traction, recording inflows of $3.4 billion in the first nine months of 2022, thus indicating investor confidence in the sector, Vestian noted.