Kotak Realty Fund, established in May 2005, is one of India's
first private equity funds with a focus on real estate and
real estate intensive businesses. Kotak Realty Fund operates
as a venture capital fund, under the SEBI Venture Capital
Fund Regulations, 1996 in India. The fund's corpuses have
been contributed by leading banks, domestic corporates,
family offices and high net worth individuals. The fund
is closed ended and has a life of seven years.
Investment Formats
The funds would seek equity investments in development
projects, enterprise level investments in real estate operating
companies, and in real estate intensive businesses not limited
to hotels, healthcare, retailing, education and property
management. Further, the funds would also be investing in
non-performing loans with underlying property collateral.
Asset Class
The funds would invest in all the main property asset classes
such as residential (townships, luxury residential, low
cost housing, golf communities), hospitality (hotels and
serviced apartments), office (core and business parks),
shopping centers and alternative asset classes such as logistics
and warehousing.
Geographical Locations
In order to achieve geographical diversity, the funds would
invest in not just the Tier I cities such as Mumbai, NCR
and Bangalore but also in Tier II cities such as Pune, Kolkatta,
Hyderabad and Chennai) and other Tier III cities, examples
of which are Nagpur, Coimbatore, Mysore and Ludhiana)
The Fund Manager believes that through diversification
in geographies, asset class and investment formats, the
Funds should be well positioned to achieve superior risk
adjusted returns.
Fund Management Team
Kotak Realty Fund is managed by its investment team located
in Mumbai, India and supported by an organization in which
thought leadership, contrarian play, due diligence, communication
and collaborative partnerships take precedence. The Funds
have a core team of professionals dedicated to sourcing,
analyzing, executing and managing the investments. This
unique team brings together profiles combining real estate
corporate finance advisory, investment banking, venture
capital, infrastructure development and finance, and REITS
valuation experience.