Altern Capital, a Bengaluru-based real estate investment management firm, has announced the launch of its maiden fund aimed at raising INR 250 crore, supplemented by an additional greenshoe option of INR 100 crore, according to a statement released on July 16.
The fund, named Jiraaf Au India Real Estate Fund – I, has received approval from the Securities and Exchange Board of India (SEBI) as a category II alternative investment fund (AIF). Sponsored by AI Growth Private Ltd under its brands Jiraaf and Altgraaf, Altern Capital’s fund focuses on plotted development and last-mile funding strategies. The fund has a targeted tenor of four years and aims to mitigate approval and execution risks in its investment approach.
“Our objective at Altern Capital is to redefine real estate investment through rigorous tech-enabled investment and post-investment monitoring, ultimately delivering superior risk-adjusted returns to our investors,” stated a spokesperson from the company. The fund’s investment strategy prioritizes plotted development projects in cities such as Bengaluru, Chennai, Hyderabad, and Mysuru, followed by last-mile funding initiatives in Bengaluru, Mumbai, Pune, and Chennai. This strategic focus aligns with observed trends of growing demand and rapid sales in plotted developments, particularly in Bengaluru and Mysuru, attracting interest from Grade A developers and listed entities over the past few years.
The launch of Jiraaf Au India Real Estate Fund – I signifies Altern Capital’s strategic entry into the real estate investment landscape, leveraging market opportunities and investor confidence in targeted urban centres known for robust property dynamics. The firm’s emphasis on technological integration in investment processes underscores its commitment to operational efficiency and risk management in the real estate sector. As Altern Capital moves forward with its inaugural fund, the industry will watch closely to assess its impact on the real estate investment ecosystem, particularly amidst evolving market conditions and regulatory frameworks shaping India’s alternative investment landscape.
