IIFL Home Finance invests Rs 50 crore in Eon Group's township project in Mumbai

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Realty firm Eon Group on Friday said it has raised Rs 50 crore from IIFL Home Finance for its township project in Mumbai.

IIFL Home Finance has recently invested Rs 50 crore senior-secured construction debt in its affordable housing township 'Riverwood Park' located in Thane, Eon said in a statement.

The investment will be in Phase II of the 42-acre project.

Eon Group said the fund will help the firm accelerate the completion and delivery of the five towers of Phase II that are under varying stages of construction. The total development potential for sale is over 7 lakh square feet.

Bharat Shah, Chairman of Eon Group, expressed confidence about the housing demand.

Sales bookings for over 60 per cent of the inventory have already been achieved and the final tower of Phase II is expected to be completed by December 2025.

Eon plans to develop Phase III of the township which will have over 15 lakh square feet of residential area.

Palash Shah, Managing Director of Eon Group, said: "Affordable housing is a very strong pillar for us and the defensive nature of this product will be key as we balance our portfolio of developments in the near to medium future." Eon Group (previously known as Siddharth Group) has delivered about 11 million square feet area, primarily residential space, in Mumbai Metropolitan Region (MMR). Currently, Eon has over 1 million square feet under development.

In October, Eon Group had said it would invest Rs 250 crore to develop a mixed-use project in Mumbai. It added a 5,000 square metre land parcel in Mumbai's prime Prabhadevi location.