Mt. K Kapital Raises over INR 500 CR for Real Estate Development Fund
Mt. K Kapital, a leading real estate development fund management company, has announced the successful raise of over INR 500 crore for its maiden fund, Mt. K Resi Development Fund Category II SEBI registered Alternative Investment Fund. The fund saw participation from esteemed investors such as SBI, ICICI Bank, Famy Care, and other high-net-worth individuals.
Investment in Prime Mumbai Locations
Out of the funds raised, more than INR 300 crore has already been committed to five projects in some of Mumbai’s prime locations. Notable projects include The Panorama Pali Hill and Ocean Vista Versova Beach in Bandra West, Cliff Tower on Mount Mary Road in Bandra West, Dhuruvadi Prabhadevi, and Crescent Pali Hill in Bandra West. The construction is underway, and proactive sales are being reported at both Panorama and Ocean Vista.
Mt. K Resi Development Fund offers a unique investment structure, allowing investors to capitalize on the fund’s strong performance. The fund focuses on quick turnaround residential projects with low equity investments, providing investors with a share of project profits from redevelopment assets across Mumbai.
Exercising the Green Shoe Option and Expected IRRs
With the success in fundraising, Mt. K Kapital will exercise its green shoe option and aims to complete the final closure of the fund shortly. The positive macroeconomic conditions are expected to strengthen the real estate market, potentially driving the expected internal rates of return (IRRs) beyond 25%.
Experienced Management Team and Collaborative Approach
Equipped with a combined experience of over five decades in real estate and fund management, Binitha Dalal and Abdeali Tambawala lead the team at Mt. K Kapital. The core strategy of the company focuses on redevelopment projects in collaboration with the Rustomjee Group.
Praising the Transparent Structure
Boman Irani, Chairman & Managing Director of Rustomjee Group, emphasized the exciting potential of the real estate market and praised the transparent and investor-centric structure of the Mt. K platform. The alignment of investor and developer interests is a fundamental principle of the company, offering value to investors aiming to capitalize on the growth of real estate as an asset class.
Bullish Strategy and Future Plans
Binitha Dalal, Founder and Managing Partner of Mt. K Kapital, expressed excitement about the strong investor response and the company’s aim to become a premier real estate development fund management company. Dalal also mentioned their bullish outlook on investment opportunities in the MMR (Mumbai Metropolitan Region) and the evaluation of a robust pipeline of similar projects, with deal sizes ranging from INR 60 crore to INR 90 crore, to further strengthen their portfolio.
Market watchers will undoubtedly keep an eye on the performance and growth of the Mt. K Resi Development Fund as it continues to capitalize on redevelopment opportunities in Mumbai’s real estate sector.
