How it Works
ADITYA BIRLA REAL ESTATE FUND
Our investment strategy ensures that reliable partnerships are created for investors, through extensive market analysis, verification of developers and risk mitigation.
01
TRACKING LOCATIONS
We constantly track Tier-I cities viz. Mumbai (including Thane and Navi Mumbai), National Capital Region, Bangalore, Chennai and Pune to find investment opportunities.
Preference is given to projects which have successfully been established.
02
BUILDING RELIABLE PARTNERSHIPS
Every real estate developer is duly checked for a promising track-record, experience and credit history. Any successful partnerships in the past are also considered while selecting a developer. The stringent selection procedure ensures that all developers taken into consideration possess credibility.
03
SHORTLISTING PROJECTS
Projects are shortlisted based on their potential to garner long-term returns. Project size is restricted to up to 1.5 Mn sq. ft in city centric locations and 3.0 Mn sq. ft in suburban locations. Preference is given to mid-market /upper mid-market properties.
04
RISK MITIGATION
Investments through equity and equity linked, structured debt, and mezzanine funding instruments are safeguarded against any possible risks through risk-adjusted returns.
Investment Process
Our systematic investment process ensures that the right investment opportunities are sourced through our well established network of developers, investment bankers and property agents. Every project undergoes rigorous evaluation before it is approved for investment. A screening committee duly checks and validates every project thereby assuring that only the best investment opportunities are selected.
STEP 1: PROJECT SOURCING
Projects are sourced through an extensive network of investment banks, developers, brokers and property agents. The shortlisted projects are further investigated to analyse their feasibility
STEP 2: PRELIMINARY EVALUATION
Every project is subjected to preliminary analysis before it's investigated in depth
STEP 3: IN-DEPTH REVIEW
Further investigation is done by analysing the market conditions of the region. The developer responsible for the construction is also validated through background checks
STEP 4: SCREENING COMMITTEE APPROVAL
Every project is approved by a screening committee that analyses each project based on its ability to give stable, long-term returns
STEP 5: TRANSACTION STRUCTURING
After the approval of the screening committee, a term sheet is prepared
STEP 6: INVESTMENT COMMITTEE APPROVAL
The investment committee further understands the project in detail, by giving a preliminary consent to conduct due diligence for the project’s investment
STEP 7: DUE DILIGENCE
Financial and legal due-diligence is conducted by external agencies
STEP 8: FINAL INVESTMENT COMMITTEE APPROVAL
After conducting due diligence exercises, the investment committee gives its final approval for closure of the Investment
STEP 9: AGREEMENT SIGNING
The agreements are finally executed under the conditions that are agreed upon
STEP 10: PROJECT MONITORING
The development of the project is closely monitored in terms of the operations as well as the finances.
STEP 11: MANAGING EXIT
The exit strategy is evaluated along with the timing and selection of bankers.
INVESTMENT IS RETURNED TO THE INVESTOR