Rreef to invest Rs $70-m in Indian real estate sector

Bangalore: Rreef, the global alternative investment management business of Deutsche Bank, has made its entry into the Indian real-estate sector with an investment of $70 million (Rs 273.5 crore). Rreef would be taking an undisclosed stake in the Bangalore-and Hyderabad-based Golden Gate Properties Ltd.

Though Rreef has no India dedicated fund, it has invested out of its global fund and was looking at a long-term perspective to partake in the booming real-estate market. It currently has €68.2 billion ($97.3 billion) in assets under management worldwide.

Mr Kishore Gotety, who heads Deutsche Asset Management’s real-estate advisory services arm of in India, said, “Rreef has not taken a majority stake in Golden Gate”.

Important destination

Mr Kurt Roeloffs, CEO of Asia Pacific, Rreef said, “India is a particularly attractive emerging real-estate market for our high return-oriented clients and in time will mature into an important investment destination for Rreef’s broader base of institutional and retail clients.

Golden Gate Properties can provide us with an important cornerstone for further investment in India.”

Golden Gate is primarily involved in residential apartment projects in India. It has a portfolio of 10 completed projects — eight residential apartment developments and two commercial projects within Bangalore and Hyderabad.

It is also in the process of building 20,000 units across nine projects, with a built-up area totalling 23 million sq. ft.

It also has plans to build mixed use developments and Special Economic Zones (SEZ) across South India for IT and ITeS, said Mr Prasad, Managing Director of Golden Gate.