ASK Property Fund, the real estate private equity arm of the ASK Group, has announced its exit from Gulshan Homz’s project, Gulshan One 29 in Noida. A statement by the firm on November 21 said that it has achieved an Internal Rate of Return (IRR) of 21 percent.
The statement said that ASK Property Fund had done an investment of Rs 125 crore in September 2020.
Also Read: ASK Property Investment Advisors invest Rs 215 crore in Mahagun Group’s mid-income housing project in Noida
Amit Bhagat, CEO & MD, ASK Property Fund, said that Noida has been a preferred market for the firm since 2010 as it has a strong job corridor and is supported by good physical and social infrastructure.
“We realised the counter cyclical opportunity in the market for investment in 2020 and accelerated our efforts for identifying opportunities. Gulshan's focus on execution and customer service were the key parameters for us to partner with them during tough times,” he said.
Bhagat added, “We are in the midst of finalising a few more investments and are prepared for accelerated deployment with a robust pipeline. We also anticipate increased exit momentum in 2022-23.”
The statement said that residential prices in Delhi-NCR have witnessed their highest annual price increase of 14 percent during July-September at an average Rs 7,741 per square feet.
Another key metric, the unsold inventory, in the city dropped by 11 percent year-over-year (YoY) during Q3 2022, the statement said, citing recent reports.
Deepak Kapoor, Director, Gulshan Homz, said, “Covid time was challenging, but the ASK team has an excellent understanding of the Noida market, which was reflected in their approach to investment. The patient capital with focus on completion helped us through the most difficult period. I am optimistic that we will have many more possibilities to collaborate.”
ASK Property Fund, an alternate asset investment arm of the ASK group, was set up to manage and advise real estate dedicated funds.
The firm’s focus is on private equity (PE) investments in self-liquidating mid-income and affordable residential and commercial segments.
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