HDFC Property Ventures to look at next fund by mid next year
|Publication Name||Business Standard|
|Headline||HDFC Property Ventures to look at next fund by mid next year|
|Date||October 17, 2015|
HDFC Property Fund would look at raising the next round of offshore funds by the middle of next year, after returning the investments made in the initial offshore fund to the investors by March 2016. The company has to return around around Rs 2,500 crore by March, 2016, said K G Krishnamurthy, managing director and CEO of HDFC Property Ventures Ltd.
The company has completed investments from the first offshore fund of $800 million and a large part of the second offshore fund of $350 million is also committed. It has announced investment of Rs 100 crore into a signature project of Chennai-based property developer True Value Homes (TVH) under the name TVH Titanium City.
Speaking to reporters in the sidelines of a TVH press conference to announce the project, Krishnamurthy said that HDFC Property Ventures has already returned around $140 million to its investors from the first fund and another Rs 2,500 crore is expected to be returned back to the investors by March, 2016.
Around $320 million of the total $350 million second fund has also been committed. However, it would look at the next fund, which would also be offshore fund, only by the middle of next year, he added.
The fund has picked up around 26 per cent equity stake in the TVH Titanium City project, with the investment of Rs 100 crore. The money will be invested to support the township project which will spread over in 100 acres fo land.
TVH will develop the project in four phases, with the first phase set to have 25 acres of plotted development. The next three phases will see the launch of row houses, villas, apartments and commercial development.
The project has been designed to attract the affordable middle class and lower middle class segment just on the outskirts of Tambaram.