Bengaluru-based affordable housing developer Janaadhar India Pvt. Ltd has closed a financial partnership with UK-based affordable housing impact investor Reall, the company said in a statement.
Reall is funded by the UK’s Department for International Development (DFID), and the Swedish International Development Agency (SIDA). They have been at the forefront of affordable housing for over 30 years, impacting over 3.5 million people across Africa and Asia.
The partnership marks Reall’s first step in India’s affordable housing segment. Unitus Capital was the exclusive financial advisor for enabling this partnership.
The company did not disclose details about the partnership.
Janaadhar aims to fill the shortage of 10 million units in affordable housing development through high-quality, spatially efficient houses for economically weaker section (EWS)/low-income group (LIG) families in India.
The company claims to have delivered 1,500 EWS/LIG homes across Karnataka and Gujarat so far. It also claims to be one of the only companies that has successfully delivered LIG houses under Rs 20 lakhs via a profitable and scalable model while securing government subsidies for its clients.
Ragunath Srinivasan, executive director at Janaadhar, said patient capital is fundamental to EWS/LIG housing development by private players. “Reall's deep expertise in affordable housing will allow us to access innovative solutions through their vast networks globally,” he added.
Emma Ahmed, head of Asia Operations, Reall, said this partnership not only has the potential to change thousands of lives but through Janaadhar’s market leadership and Reall’s breadth of experience brings with it the opportunity to truly transform the affordable housing ecosystem in India.
“Reall’s mission is to demonstrate that the delivery of truly affordable housing is both a necessity and a commercial opportunity,” Ahmed said.