Piramal launches Rs. 350-crore realty fund.

Piramal Fund Management, the real estate investment arm of the Ajay Piramal Group, has launched the Indiareit Apartment Fund which seeks to buy residential apartments in Tier I markets. The fund will buy apartments at a discount compared to the market place by offering bulk purchases to developers. It will raise funds from those investors who are looking towards investing in residential properties. 'The fund expects an internal rate of return of 26 per cent and will offer a return of around 16 per cent to investors,' said Khushru Jijina, managing director at Piramal Fund Management.

The fund will have a corpus of Rs. 350 crore and has already raised Rs. 100 crore in the first 10 days of its launch, Piramal said, adding that the fund would have a greenshoe option of Rs. 350 crore.



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