The government-backed SWAMIH Investment Fund I has made a complete exit from its investment in Mumbai's CCI Rivali Park Wintergreen housing project, the Finance Ministry said on October 28.
The fund achieved it’s twin targets – of completing the project and redeeming its investment successfully, the finance ministry tweeted.
The Rs 25,000-crore SWAMIH Fund is now India’s largest social impact Fund. This SBICap Ventures managed fund has one of the largest domestic-real-estate private-equity teams focused only on funding and monitoring completion of stressed housing projects, it said.
The construction focus ensures that SWAMIH sites have the highest worker density with almost 16,000+ labourers. It has worked through COVID times to approve one new project almost every week since inception, the ministry tweeted.
First success story
Mumbai-based CCI Projects Pvt Ltd's maiden residential project Rivali Park Wintergreen is among the first projects in the country to have been financed and the first one to have been completed via the social-impact fund. The Wintergreen project was sanctioned Rs 180 crore.
Commenting on the recent development, Rohan Khatau, director, CCI Projects Pvt. Ltd. - Rivali Park said, “Our vision to deliver Rivali Park’s Wintergreen project to the homebuyers was brought true by the support of the SWAMIH Fund initiative. It gives us immense pleasure to announce that we have successfully repaid the capital sanctioned by the Ministry of Finance as part of the SWAMIH Fund initiative. This support enabled us to navigate the adverse situations and successfully complete the project and handover possession to our homebuyers. We thank and appreciate the faith and trust bestowed upon us and the project by the Ministry and SBI Caps Team.”
The developer CCI Projects Pvt Ltd (CCIPPL) is an associate company of Cable Corporation of India Ltd.
The project received occupation certificate in April-2021 despite two COVID lockdowns. In May, Finance Minister Nirmala Sitharaman had handed over possession of 640 homes from this project, saying that the SWAMIH Fund will benefit 1.16 lakh buyers in total.
SWAMIH has given final approval to 95 projects, sanctioning more than Rs 9,500 crore, which will complete over 57,700 homes. It has already completed more than 1,500 homes in 7 projects and is on track to complete at least 10,000 homes every year, according to the ministry.
Rivali Park Wintergreens is a large project with six buildings spread over 7 acres consisting of 708 units of various configurations. The total land parcel is spread across 14 acres. Two of its towers have already been handed over to buyers.
In November 2019, the central government launched the SWAMIH Investment Fund to help complete over 1,500 stalled housing projects, including those that have been declared non-performing assets (NPAs) or had been admitted for insolvency proceedings. The move was to help 4.58 lakh housing units across the country. Only RERA-registered projects with a positive net worth are to be provided funding.