PropShare targets over 3X growth in AUM
real estate investment platform, is expecting about threefold growth in assets under management (AUM) to reach Rs 4,000-5,000 crore over the next four-five years.
The company is also looking to accelerate its product development process and diversify investment offerings by buying larger assets, said its CEO Kunal Moktan.
“We will focus on larger deals now, which are upward of Rs 300 crore in the commercial real estate space, to drive its growth as opposed to buying smaller assets,” he said.
PropShare currently has AUM of Rs 1,500 crore and it is also evaluating some transactions in office space.
“If we do two large deals in a year, we can reach our target faster,” said Moktan.
“Properties listed on Property Share (the company’s tech-enabled investment platform) generate monthly rental income with average yields surpassing 8% per annum. These robust rental yields provide investors with a steady income stream, enhancing the attractiveness of commercial real estate as an investment option.”
The Bengaluru-headquartered company recently acquired phase I of Prestige Tech Platina, a 533,000 square feet Grade A asset in the city, for Rs 370 crore.
It is the largest property listed on the platform to date.
PropShare Capital is raising Rs 500 crore through PropShare Real Estate Fund II (PREF II), the second scheme under its existing category II alternative investment fund (AIF). PREF II will focus exclusively on completed class-A income-generating commercial real estate leased to multinational and blue-chip tenants in the country’s tech hubs.
