Separator

Real Estate Firm ASK Group Invests INR 215 Crore in Mahagun Group for Housing Project

Separator
Real Estate Firm ASK Group Invests INR 215 Crore in Mahagun Group for Housing Project
The real estate private equity arm of ASK Group, ASK Property Investment Advisors (ASK PIA), announced that it had invested INR 215 crore in Mahagun Group's forthcoming mid-income housing project in Noida.

The project, which spans 10 acres in Noida's Sector 107 and includes low-rise and high-rise flats, has a saleable area of nearly 2 million sq ft. This is ASK's seventh investment in Noida and its eleventh in the National Capital Region (NCR).

Amit Bhagat, ASK PIA's CEO and MD said, “with this investment the ASK group has now invested in projects over 21 million sq ft, including over 8,000 residential units in Noida. The project is in line with ASK PIA’s strategy of providing funds for mid-income housing executed by reputed developers along job growth corridors”.

Amit Jain, director of Mahagun Group said, “this is one of the few projects where land is fully paid for before commencement of sales. We are optimistic on the outlook for the sector in the coming years and anticipate a sustained recovery in residential demand.”

In July, ASK PIA announced the establishment of "ASK Real Estate Special Opportunities Fund – IV," a new real estate-focused fund with a target corpus of IN 1,000 crore and an extra INR 1,500 crore via a green shoe option. The fund will focus on employment growth corridors across the top six – Delhi-NCR, Bengaluru, Mumbai Metropolitan Region, Chennai, Hyderabad, and Pune – and will be aligned with ASK's concentration on inexpensive and mid-segment residential and mixed-use developments.

Sunil Rohokale, CEO of ASK Group, “the last couple of years have witnessed a consolidation of demand for homes by reputed, execution-focused developers and their projects. Mid-income housing has seen a substantial recovery and prices have bottomed out in last six months. Lowest home loan rates, concessions in stamp duty charges, and flexibility by developers have increased the affordability and affinity towards home purchase. All the projects focused on mid-income housing located in growth corridors and have achieved financial closure would see a significant advantage.”

The International Financial Services Centre Authority (IFSCA) granted ASK PIA permission to open a branch office in GIFT City, Gandhinagar, in October. ASK Real Estate Fund-2, sponsored by ASKPIA, was also approved as an alternative investment fund (AIF) category III for the first real estate oriented fund of funds.