Shriram Properties and ASK Property Fund have signed a memorandum of understanding for setting up an investment platform for acquisition of residential real estate projects.
Under the platform arrangement, Shriram and ASK will co-invest in plotted and residential developments projects in Bengaluru, Chennai, and Hyderabad.
Aggregate commitments towards the platform will be up to Rs 500 crore and the committed capital is expected to be deployed over the next 12 months. ASK will invest through its managed Category II AIF.
Shriram and ASK have already committed their first investment under the new platform for a plotted development project in North Bengaluru.
The platform will invest up to Rs. 125 crores towards acquisition and development of this project that already has necessary approvals and also partially completed infrastructure development. The proposed project is to be launched during Q3 FY23, with saleable area of approx. 8 lakh sq ft.
ASK Property Fund (ASK Property Investment Advisors) is the alternate asset investment arm of the ASK group set up to manage and advise real estate dedicated funds. ASK PIA has raised around Rs. 5,000 crore since 2009