The first SEBI-approved Category II Alternative Investment Fund (AIF) called JIRAAF AU INDIA REAL ESTATE FUND – I (“JIREF I”) was introduced by Altern Capital, an investment management firm that specialises in real estate investments. This fund aims to be 250 Cr in size, with an extra 100 Cr greenshoe option.
The sponsor of JIREF I is AI Growth Private Limited, a company created by Mr. Saurav Ghosh and Mr. Vineet Agrawal that leads the market in tech-based, creative fixed-income platforms under the labels “JIRAAF & ALTGRAAF.”
The founder of Altern Capital, Navin Dhanuka, has 21 years of considerable leadership experience in real estate ventures in India. Mr. Dhanuka has occupied executive roles at well-known international and Indian companies, including Ernst & Young, Walton Street Capital, and Piramal Capital.
With over 60 years of combined real estate experience among the senior team leading Altern Capital, the company has a strong basis. Together, they have successfully invested in and managed more than 150 real estate transactions totaling more than ₹20,000 Cr throughout all of India, as well as over 100 exits. With a strong track record and in-depth understanding of the market, Altern Capital is well-positioned to have a big impact on the real estate industry.
Plotted development and last-mile funding are the main strategies that Altern Capital is utilising for its debut fund. Differentiating from its counterparts, the fund’s strategy focuses on lowering approval and execution risk. Unlike other funds, which have a 6-year horizon, the Fund has a 4-year tenor, which emphasises early project completion, speedier visibility, and investor returns and principle reliability.
“Our goal at Altern Capital is to redefine real estate investment by ensuring tech-based stringent investment and post-investment monitoring and delivering exceptional risk-adjusted returns for our investors. Trust, Team Quality and Transparency are the key foundations of Altern Capital. We believe our innovative approach will set new benchmarks in the industry,” said Navin Dhanuka, Founder & CEO of Altern Capital.
The group plans to heavily invest in planned development in Bengaluru, Chennai, Hyderabad, and Mysuru, among other places. Initiatives for last-mile funding in Bengaluru, Mumbai, Pune, and Chennai will follow this. Plotted developments in Bengaluru and Mysuru are experiencing faster sales (even at the launch stage) and a significant growing demand. As evidenced by the last three to four years, this has led to a notable interest in plotted development from all Grade A developers, including listed players.