Peninsula Land and Canada based Brookfield Asset Management have formed a 50:50 JV to launch a real estate fund for investments in India.
According to the filing on BSE, both entities will jointly evaluate and manage investments targeting the development of residential and commercial assets primarily in Tier I cities in India.
Peninsula Land currently has approximately 20 mn sq.ft. under various stages of planning & development. Its strategy is to consolidate its presence in key asset classes; residential projects, commercial projects, information technology parks, special economic zones and townships.
Brookfield Asset Management Inc. is a Canada based AMC that manages a global portfolio of assets valued at over $150Bn. The firm’s assets are concentrated in the following sectors: real estate, renewable power generation, infrastructure and private equity.
Brookfield has $21Bn of AUM in Canada, $66Bn invested in the United States, $16Bn invested in Australia and Asia, $15Bn in South America and $4Bn in Europe and the Middle East. Its major investments presently include the World Financial Center in New York, First Canadian Place in Toronto, PD Ports, Royal LePage, Transelec and Brookfield Renewable Power Fund.
There are a number of real estate funds on the road to raise funds for investments in Indian real Estate. Triangle Real Estate – co-promoted by ICS Realty Group and South Africa-based Old Mutual Investment Group Property Investments is planning to to raise Rs.20Cr for it’s second India centric real estate fund.
Ajay Piramal’s IndiaReit Fund Advisors Pvt Ltd is also planning to raise Rs.500Cr through a ne fund – Mumbai Redevelopment Fund for investments in redevelopment of slums and tenanted properties in Mumbai. It will have a greenshoe option of Rs.250Cr and will be targeting returns in excess of 30%.
