IL&FS realty fund mops up $895 m
Wednesday,Dec 10, 2008
IL&FS real estate fund has mopped up $895 million (Rs 43,855 crore), promising overseas investors a return as high as 25%. The fund, called the IL&FS India Reality Fund 2 (IIRF-2), closed on Monday. Nearly 50% of the investment in the fund has come from US-based investors. The money has been raised at a time when hedge funds worldwide are struggling to raise resources with investors pulling out.
'"The current market situation and capital scarcity provide valuable opportunities. As investors, we continue to look at investments with cautious optimism since we believe in the underlying strength of the Indian real estate market and remain confident of the long-term prospects of the sector,"' Shahzad Dalal, vice chairman and managing director, IL&FS Investment Managers (IIML), told ET.