Favourable macroeconomic conditions are likely to strengthen the real estate market and potentially drive expected IRRs beyond 25 per cent.
Alternative investment fund Mt K Kapital has secured over Rs 500 crore for deployment in real estate projects across the Mumbai Metropolitan Region. The fund, registered with SEBI as the Mt. K Resi Development Fund Category II Alternative Investment Fund, attracted capital from institutional investors including SBI, ICICI Bank, and Famy Care, along with high-net-worth individuals.
The company has already allocated more than Rs 300 crore toward five projects in Mumbai through Keystone Realtors, operating under the Rustomjee Group banner. Management is exercising a green shoe option and anticipates completing a final close shortly.
"Favourable macroeconomic conditions are likely to strengthen the real estate market and potentially drive expected IRRs (internal rate of returns) beyond 25 per cent," the company stated.
Mt K Kapital targets quick-turnaround residential redevelopment projects requiring minimal equity investment, allowing investors to participate in project profits. The fund intends to deploy capital across 10–12 projects throughout the MMR, concentrating on redevelopment opportunities with Rustomjee Group.
Boman Irani, Chairman & Managing Director of Rustomjee Group, emphasized that "The Mt K platform is built on the principles of transparency and alignment of interest between the investor and the developers."
Binitha Dalal, Founder and Managing Partner of Mt K Kapital, expressed confidence about "channelling the right capital into the real estate sector and remain bullish on investment opportunities in the MMR."
