News

Eldeco Infrastructure and Properties Limited has set up a special purpose vehicle (SPV) with HDFC Capital Affordable Real Estate Fund 1 with an initial investment of Rs 150 crore to develop low-rise, plotted development projects in the National Capital Region (NCR).

HDFC Capital Advisors Limited, a 100% subsidiary of HDFC Limited, provides investment management services for real estate private equity financing and manages two real estate funds – H-CARE 1 and H-CARE 2.

The funds have created a $1.1 billion platform targeting affordable and mid-income residential projects in India’s leading 20 cities.

“In line with the ‘Housing for all 2022’ vision of the Government of India, HDFC’s endeavour is to help address the demand-supply gap in affordable housing in India by providing flexible, long-term capital to leading developers across India,” said Renu Sud Karnad, managing director, HDFC Ltd.

The proposed developments will be undertaken by the SPV, Eldeco Greens Infrastructure Private Limited, set up by the Eldeco Group company.

Two projects have been identified, in Panipat and Faridabad, with a combined saleable area of about 1.5 million square feet.

“There has been an upsurge in demand for plots and low-rise development in gated townships after the pandemic, with most players in this segment reporting robust sales. We are present in 15 cities of North India and everywhere we are facing inventory shortage,” said Pankaj Bajaj chairman, Eldeco Group.

The group operates in Lucknow through the listed entity Eldeco Housing & Industries Limited (EHIL) and in the rest of the cities through the closely held Eldeco Infrastructure & Properties Limited (EIPL).

The SPV will focus on meeting the increasing demand for high-quality low-rise and plotted development at affordable prices.

“Our endeavour is to act as an enabler to the growth of affordable and mid-income housing in the country,” said Vipul Roongta, managing director, HDFC Capital Advisors Limited.

Source :  ET