Motilal Oswal Alternates’ real estate fund raises Rs 2,000 crore

Bengaluru: Motilal Oswal Alternates, the alternative investments arm of Motilal Oswal Group, has announced the final close of its sixth real estate fund – Indian Realty Excellence Fund VI (IREF-VI), raising commitments aggregating to Rs 2,000 crore.

This latest fund raise marks 65 per cent growth compared to its predecessor and ranks among the largest and fastest domestic capital raises in India’s real estate credit space, the company said in a statement.

A significant portion of the capital for this fund has been raised from family offices and Indian HNIs, reflecting strong domestic conviction in real estate credit as a resilient and rewarding asset class. The Fund has also received commitments from offshore investors through the GIFT City route, highlighting growing global confidence in Indian real estate.

With 75 per cent of the Fund already committed across 15 diverse real estate projects spanning Mumbai, Pune, Chennai, Bengaluru, Hyderabad, and Kolkata, MO Alternates has partnered with leading developers including Ajmera Realty, Runwal Enterprises, Ambuja Neotia Group, Casagrand Group, Radiance Realty, Mantra Properties, Assetz Group, Akshar Group, Bhagwati Group, and ASBL Group. The fund’s portfolio is primarily focused on mid-income residential developments designed to meet the rising demand from urban home buyers.

Since the start of 2024, MO Alternates, through its funds and co-investments, has committed over Rs 2,500 crore across more than 35 real estate projects and achieved full exits from over 30 investments, with total divestments exceeding Rs 2,200 crore.

The platform’s cumulative assets under management (AUM) in real estate now exceed Rs 10,000 crore across six real estate funds and co-investments. The platform has made over 180 investments and secured more than 110 complete exits. Overall, the alternative investments platform manages more than $2 billion in cumulative AUM across real estate and private equity.