Build Nivesh Closes Maiden Real Estate AIF, Raises Rs. 80 Crore

Mumbai / November 12, 2024: Build Nivesh LLP, formerly known as Labdhi Nivesh LLP, has successfully closed its first real estate alternative investment fund (AIF). The fund received strong investor interest, leading to the full exercise of its green-shoe option. With a total corpus of Rs. 40 crore, and additional investor commitments of Rs. 40 crore for future investment opportunities, the fund’s total investible corpus has increased significantly, the company said in a statement. 

Build Nivesh LLP will be a part of ‘BUILD Capital’, a dedicated Real Estate Asset Management business entity. The fund will look for investment opportunities in real estate developments happening in the Mumbai Metropolitan Region (MMR).

Kuldeep Jain, CEO and Co-Founder, Build Capital, and an expert in real estate advisory, corporate fundraising and project financing, said, “Build Nivesh will form part of our larger Real Estate Asset Management business currently being incubated under the BUILD brand. The fund plans to partner with Labdhi Lifestyle Limited to invest in four to five projects, focusing exclusively on the Mumbai Metropolitan Region (MMR) by acquiring significant minority stakes.”

“Investors have been particularly drawn to the wealth of experience offered by our founding team,” said Rahul Nahata, Co-Founder, Build Nivesh LLP. “Collectively, we have advised on over 650 real estate projects, so far. This blend of financial expertise with deep operational knowledge gives our team a unique perspective.”

This successful fund-raising enables the BUILD platform to create a formidable offering within the MMR real estate finance space. Vikas Jain, Co-Founder of the BUILD platform said, “We are now positioned to offer a comprehensive range of financing solutions, from short-term bridge loans to long-term quasi-equity investments.”

“Build Nivesh will announce its first investment soon. We are excited at the talent we have been able to attract and are bullish on the team at BUILD. You will be hearing more from us soon.” said Rupesh Somani, Co-founder.

The changing landscape in the Indian real estate sector has compelled the developers to scout for several funding sources where AIF is gaining momentum.  Real Estate AIFs provide a new avenue for institutional investors to engage in the real estate market through a diversified portfolio of RE assets. This can ensure a consistent stream of long-term finance to the developers, reducing their dependence on conventional financing modes including the banks and NBFCs, the statement added.