Realty firm Smartworld Developers Pvt Ltd has raised Rs 250 crore from Motilal Oswal to build existing housing projects and fund future growth plans. Smartworld Developers, which has been set up by promoters of M3M Group in 2021, in October last year announced an investment of around Rs 3,000 crore to develop the company's first two residential projects in Gurugram.
The funding of Rs 250 crore raised from Motilal Oswal will be used as growth capital and also for the development of existing housing projects, Smartworld Developers said on Sunday.
The company has launched two projects Smartworld Orchard and Smartworld GEMS in Gurugram. Smartworld Developers has recorded sales of over Rs 4,000 crore so far. It has Rs 25,000 crore worth projects and over 2.5 crore square feet development potential in the next five years. Vivek Singhal, the CEO of Smartworld Developers, said, ''Even though last year was largely affected by the pandemic, our inaugural projects, Smartworld Orchard and Smartworld Gems, have been received exceedingly well by the consumers.'' The company plans to launch two more luxury projects in 2022-23.
''This new funding will further augment our growth story. We are also in advance discussions with various national and international private equity (PE) players to set up a development platform for Smartworld's upcoming projects,'' Singhal said. Smartworld also plans to expand into key real estate markets such as Mumbai Metropolitan Region (MMR), Pune, Bengaluru, Goa, and Hyderabad in the near future, he said. SmartWorld Developers has already prepaid Rs 400 crore raised from Piramal Group and IIFL.
Sharad Mittal, Executive Director & CEO, Real Estate Funds, MO Alternates said, ''We have invested Rs 250 crore with Smartworld Developers.'' ''We remain bullish on the mid-income housing market in India,'' he said. MO Alternate Investment Advisors Pvt Ltd (MO Alternates) is the alternative investment arm of Motilal Oswal Financial Services Ltd (MOFSL) comprising real estate and sector agnostic funds. It has been investing in the Indian real estate space since 2009. It has managed cumulative assets of more than Rs 5,500 crore across five real estate funds and PMS/ NCD investments.