• Investment World
• eWorld
• Brand Line
• Mentor
• Life
• Canvas
• Praxis
• Urban Pulse
• Brand Quest
• The New Manager

Stocks

• Quotes
• SE Diary
• Scoreboard
• Open-End Mutual Fund

Cross Currency

• Rates
  
  

Shipping

• Ports
  
  

Archives

• Yesterday
• Datewise
• Resources
• In Focus
• In Depth

Group Sites

• The Hindu
• The Hindu ePaper
• Business Line
• Business Line ePaper
• Sportstar
• Frontline
• The Hindu eBooks
• The Hindu Images

Our Bureau

Mumbai, July 18 Kotak India Alternate Opportunities Fund, a fund that focuses on real estate and allied opportunities has raised a corpus of over Rs 1,600 crore for its second domestic realty fund. The fund will invest in diverse Indian real estate classes across commercial, residential, retail, logistics, warehousing and hospitality properties. The corpus has been raised from domestic investors and will be managed by Kotak Mahindra Investments Ltd.

The fund has the flexibility to invest in both FDI and non-FDI compliant investment opportunities. The fund will invest through the distressed debt route, joint ventures, proprietary deals and infuse equity at an enterprise level in real estate and allied projects.

“The realty sector in India is undergoing a dose of healthy correction, after the initial euphoria of over 18 months. While correction is not an across the board phenomenon, there are still areas of short supply and financing constraints which will provide the fund with attractive investment opportunities,” said Mr V. Hari Krishna, CIO, Kotak Realty Fund.

Mr S. Sriniwasan, CEO, Kotak Realty Fund, said a 10-15 per cent downside in residential prices in real estate was expected.

The second fund will look at increasing opportunities in the tier-II cities of Pune, Kolkata, Chennai and Hyderabad along with tier-I cities.

Kotak Realty manages another fund with a corpus of Rs 457 crore which has been fully committed. In addition to this, Kotak is advising an offshore fund, registered in Mauritius, which is expected to close very soon.

Kotak Alternative Asset Management currently manages four funds including two funds in the real estate space with assets under management at $754 million. It has targeted and AUM of $1 billion by the end of the current year.

More Stories on : New Fund Offer | Real Estate & Construction | Mutual Funds

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Kotak Mutual launches realty fund

Copyright © 2007, The Hindu Business Line. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu Business Line