Asipac Projects Ventures into Real Estate Fund, Expands Service Portfolio
Bangalore-based realty marketing and consultancy firm, Asipac Projects, is on the verge of launching a real estate fund in collaboration with several institutional investors. This strategic move aims to broaden the company's service spectrum, marking the beginning of a series of initiatives slated for the upcoming months.
Key Highlights of the Real Estate Fund
- Initial Corpus: The first fund will commence with an initial amount of Rs 50 crore.
- Investment Strategy: The fund will invest in real estate Special Purpose Vehicles (SPVs) across India, with a focus on acquiring a 2-3% stake in specific projects.
- Timeline: The first fund is expected to be in place within six months, as disclosed by Asipac Project's Chairman, Amit Bagaria.
Expansion of Services - Enhancing End-to-End Capabilities
- Investment Advisory Services Group: One of the two new Strategic Business Units (SBUs) to be launched in 2008, aimed at assisting clients in raising funds.
- Construction Management Consultancy Division: The second SBU, focused on reducing material procurement costs for realty firms.
- Client Base: Currently, Asipac Projects represents approximately 18 real estate firms, with plans to extend services to Indian business houses seeking to unlock value from their land holdings.
Quote from Amit Bagaria, Chairman, Asipac Projects
'The first fund should be in place in six months. We intend to invest small amounts into SPVs, picking up a 2-3% stake in specific projects. The idea is to be an end-to-end consultancy services company, helping clients raise funds as well as reduce material procurement costs.'