The government-backed Special Window for Affordable and Mid-Income Housing SWAMIH Investment Fund (SWAMIH), has committed to invest in completing the phase II of Imperia Group’s residential project located in Gurgaon.
The investment amount has not been disclosed.
As an outcome of this investment, Imperia Group, the developer will be able to revive and complete the project, The Esfera and benefit close to 450 homebuyers, JLL that acted as adviser for the transaction said in a statement.
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The Fund is managed by SBICAP Ventures, a 100% subsidiary of SBI Capital Markets, which in turn is a wholly-owned subsidiary of the State Bank of India. JLL is the exclusive transaction advisor for the deal.
The Esfera, Gurgaon, was launched in 2012 as a 1.2 million sq. ft. mid-segment residential project spread over 11 acres in Sector 37C, Gurgaon.
As a lifeline to the residential real estate segment, the government launched SWAMIH, providing relief to developers struggling to complete their unfinished projects. In November 2019, the government announced Rs 25,000 crore - Special Window to help complete over 1,500 stressed housing projects comprising of around 4.58 lakh housing units.
Due to the impact of the pandemic on the economy, fault lines in the real estate sector had started appearing since last year. Many developers saw their cash flows drying up overnight due to various factors including market conditions, economic scenario amongst others, leading to unfinished projects and impacting many home buyers.
“The residential market in India has emerged much more resilient post the second wave of the pandemic. In the Gurgaon micro-market, new launches have already started. In the last two years, the supply was restricted in this market due to the circle rates and lack of stamp duty benefits. But the situation is turning positive with an array of tier I launches in the city,” said Manish Aggarwal, Managing Director, North and East, India, JLL.
“The fund objective is to provide capital to stressed projects to help the home buyers realize their dream of living in their own homes. With this capital being provided, we are confident that close to 450 home buyers will soon be able to move into their dream homes,” said Irfan A. Kazi, Chief Investment Officer, SWAMIH Investment Fund I.
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"We are extremely pleased to have been reposed with the trust and confidence of the SWAMIH Investment Fund. With the new influx of funds, we aim to reach the delivery deadline for The Esfera at the earliest and plan to achieve greater benchmarks in quality, safety and customer experience." said Harpreet Singh Batra, Managing Director, Imperia Structures Ltd.
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