July 19, 2024: ASK Property Fund, the real estate private equity arm of Blackstone-backed ASK Asset and Wealth Management Group, has announced the investment of Rs 190 crore in a project being developed by Kalpataru. Located in Borivali West, this upper mid-segment project comprises 310 units and is spread across 6 acre with a total saleable area of about 6.5 lakh square foot (sqft). The funds will be deployed for acquisition and working capital requirement of the project.
Bhavin Jain, CIO, ASK Property Fund, said, “The redevelopment project is an exceptional investment opportunity, given its location within an established catchment area. Our growth capital is aimed – at providing acquisition and necessary working capital funding. The investment is perfectly aligned with our investment strategy and marks a significant milestone of identifying repeat opportunities with existing relationships”.
“The catchment is primarily an end-user market and benefits from infrastructure augmentation in the last few years. The inventory overhang is low and strong demand in the micro market will help to achieve healthy & sustained sales velocity for the residential project being redeveloped”, Jain added.
As per ASK Property Fund Research, Borivali continues to be a dynamic catchment with substantial potential for property value appreciation. The market has experienced a significant increase in absorption over the past two years, with a year-over-year increase in sales of approximately 18-20% in 2023. With additions of quality supply, the catchment has benefited from a gradual property value appreciation and is likely to follow a similar trend in the coming years.
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