HDFC Closes Its First International Real Estate Fund At $800 Million
India’s largest home loan provider Housing Development Finance Corporation (HDFC) has announced the closure of its $800 million international real estate fund, HIREF International LLC. It’s a nine-year close-ended fund registered in Mauritius, and has been raised from 28 foreign investors. The fund will invest in FDI-compliant real estate projects in India and target a return of 20-25 per cent. Although interest rates are high, HDFC believes that the Indian real estate market currently presents a very compelling investment opportunity for investors.
Renu S Karnad, Chairperson of HDFC Property Ventures, and Executive Director, HDFC, told the media, “We are looking at IT parks, education complexes and healthcare sectors for investing the fund.” It will also invest in hospitality and residential complexes, among others.
