The Mumbai-based real estate developer, Lodha Group, announced on Thursday its receipt of a ₹250 crore investment from an HDFC-sponsored real estate fund, specifically designated for one of its special purpose vehicles (SPV) in Hyderabad. Through the arrangements of this transaction, the HDFC funds are set to acquire a 45% stake in Lodha’s SPV, which is tasked with overseeing the development of the group's luxurious residential and commercial project in Hyderabad. This investment marks the fourth occasion that private equity funds have directed their resources towards the group, contributing significantly to the total investment figure exceeding ₹2,400 crore. The sole advisor for this transaction was Trustcap, an investment banking firm based in Mumbai.
Mr. Abhinandan Lodha, director at Lodha Group, commented, "We have been on an aggressive growth path and this partnership combines HDFC’s vision with our expertise. This significant partnership will further strengthen our relationship with HDFC, who are India’s financial institution in real estate."
Late last year, the Lodha Group successfully acquired 12.9 acres of prime land situated at Eden Square, Hyderabad, for ₹256 crore from the Andhra Pradesh Housing Board. The company aims to develop a luxury township that will encompass over 2.5 million square feet of opulent residential and commercial real estate.
Reflecting on past endeavors, in September 2007, Deutsche Bank Singapore made a notable investment of US$ 410 million in three foreign direct investment-compliant projects of the group, representing the largest single foreign direct investment in India’s real estate sector to date. The Lodha Group has historically attracted significant investments from leading global financial institutions, including JP Morgan, Deutsche Bank, and ICICI Venture.
Earlier, JP Morgan had invested ₹274 crore in Lodha Bellissimo, an exclusive residential development at Apollo Mills, which is located in south-central Mumbai. Currently, the group is developing over 25 million square feet of prime real estate across 27 projects situated in and around Mumbai. With a land bank surpassing 6,000 acres, Lodha Group has firmly established itself as one of the largest developers in the nation, focusing on residences, office spaces, IT campuses, weekend retreats, townships, and special economic zones (SEZs).