ASK Property Fund, India Sotheby’s Launch Rs 1,000-Crore Luxury Real Estate Fund

ASK Property Fund and India Sotheby's International Realty announced the launch of a Rs 1,000-crore fund aimed at investing in luxury housing projects across major cities on Tuesday. The joint initiative, named the ASK Curated Luxury Assets Fund, is India’s first luxury real estate investment platform, combining the expertise of both organisations.

The fund will have an initial size of Rs 1,000 crore, with an additional green shoe option of Rs 500 crore. ASK Property Fund and India Sotheby's International Realty, acting as co-sponsors, will make an equal capital commitment to the fund, though the exact amount of their joint investment was not disclosed.

ASK Property Fund, the real estate private equity arm of Blackstone-backed ASK Asset & Wealth Management Group, and India Sotheby's International Realty, a leading luxury real estate consultant, have teamed up to tap into the growing demand for high-end residential properties.

The ASK Curated Luxury Assets Fund is registered with the Securities and Exchange Board of India as a Category II Alternative Investment Fund under the SEBI (Alternative Investment Funds) Regulations, 2012.

The purpose of this fund is to invest in residential projects in India in the luxury segment, the statement said.

The fund's objective is 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, it added.

The fund will raise third-party capital from institutional and individual investors in accordance with 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.

"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. We are excited to collaborate with India Sotheby's International Realty, leveraging its strong brand presence and deep expertise in the luxury real estate segment, to launch India's first luxury residential opportunity-focused fund," said Amit Bhagat, co-founder, CEO & Managing Director at ASK Property Fund.

Amit Goyal, Managing Director of India Sotheby's International Realty, said, "ASK Property Fund comes with an outstanding track record and profound investment insights from managing some of the top-performing real estate funds in the country. We are confident about the unique value proposition of this strategic collaboration."

So far, ASK Property Fund has raised around Rs 7,200 crore since 2009, and investors include family offices, ultra-high-net-worth individuals, high-net-worth individuals, and institutions.

(With Inputs From PTI.)