Motilal Oswal Real Estate allocates Rs 1,150 crore to invest in housing and commercial project.

Motilal Oswal Real Estate (MORE) raised Rs 1,150 crore from high net worth individuals for its fourth realty fund to invest in housing and commercial ventures around six major cities, a senior company official stated.

The fundraising exercise for the India Realty Excellence Fund IV (IREF IV) started in September 2018, and a pledge of Rs 1,150 crore has now entered the final closure. The organization has already made an investment commitment in nine projects of about Rs 550 crore from this fourth fund, MORE Director & CEO Sharad Mittal told.

“Our average investment size is about Rs 75 crore. Approximately 80 per cent of our investments are residential and 20 per cent commercial,” Mittal said adding the company’s expectations for a return on its investment of over 20 per cent.

He said the organization will be careful to make further investments from its fourth fund and will wait and watch for at least next 4-5 months to consider the effect of the coronavirus outbreak on the global economic slowdown.

MORE is a part of Motilal Oswal Private Equity (MOPE) which is Motilal Oswal Group’s alternative investment platform. The total AUM (asset under management) under MORE currently stands at more than Rs 3,600 crore.