Eldeco Instructure and Properties Limited, a privately held company of the Eldeco Group, on September 16 said it has partnered with HDFC Capital to set up a Rs 350-crore fund for residential projects.
Eldeco Infrastructure and Properties Ltd (EIPL) has "partnered with HDFC Capital Affordable Real Estate Fund 3 (H-CARE 3) for an investment of Rs 350 crore to create a platform to develop multiple residential projects across multiple cities,” the company said in a statement.
Eldeco has identified four residential developments in the Tier 2 cities in the National Capital Region (NCR), Himachal Pradesh and Uttarakhand for an initial investment of Rs 175 crore.
“We believe that the entire North India belt is starved of quality real estate, especially housing. This new platform will help us serve this unmet demand in multiple cities in North India," Eldeco Group chairman Pankaj Bajaj said.
Last year, Eldeco Group partnered with HDFC Capital Affordable Real Estate Fund 1 (H-CARE 1), another fund managed by HDFC Capital, to set up a Rs 150-crore platform for the development of low-rise and plotted development projects.
The first project under this platform, Eldeco Paradiso, a 35-acre plotted project in Panipat, was launched in March 2022.
The project received an overwhelming response with the launched inventory being fully sold within the first few days of the launch, the company said.
“We are glad to further build upon our longstanding partnership with the HDFC Group. Eldeco is now present in more than 15 cities in north India, including in Lucknow, through our listed entity - Eldeco Housing and Industries Ltd (EHIL),” Bajaj said.
Tier-2 cities offered a significant opportunity for the development of branded, high quality residential projects that would cater to the burgeoning demand for housing fuelled by the social and economic transition in these cities, Vipul Roongta, MD and CEO of HDFC Capital Advisors Limited, said.
“Our partnership with Eldeco will help the group expand its footprint in Tier 2 cities across North India by providing capital for the development of quality real estate developments,” he said.
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