Sundaram: The high yield credit investment fund, in line with its earlier three real estate credit funds, will provide investors access to a diversified portfolio of secured real estate investments, with an emphasis on self-liquidating residential projects.
“Real estate demand is looking strong despite rising prices,” says Karthik Athreya, Director and Head of Strategy, Alternative Credit, Sundaram Alternates.
The fund aims to create a largely growth-oriented portfolio and build key developer relationships within the real estate categories of mid-market residential, hybrid, and commercial projects.
Chennai-based Sundaram Alternates has launched its fourth high-yield credit fund, aiming to raise Rs 750 crore with a green shoe option of the same value, taking the targeted size to Rs 1,500 crore. The focus of the fund will be on sub-Rs 100 crore deals, with the aim of delivering gross deal returns ranging between 18% and 22% on a senior secured basis.