Motilal Oswal Alternates Closes 6th Real Estate Fund at INR 2,000 Cr

Entrepreneur

12 hours ago

75 percent of the fund has already been deployed across 15 projects in cities including Mumbai, Pune, Chennai, Bangalore, Hyderabad, and Kolkata.
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Motilal Oswal Alternates, the alternative investments arm of the Motilal Oswal Group, has announced the final close of its sixth real estate fund, Indian Realty Excellence Fund VI (IREF VI), raising INR 2,000 crore in commitments. This marks a 65 percent increase over its previous fund.
The fund has attracted strong interest from Indian family offices and high-net-worth individuals, signaling increasing domestic confidence in real estate credit. It has also received contributions from offshore investors via the GIFT City route, indicating growing international trust in India's real estate market.
According to the statements, 75 percent of the fund has already been deployed across 15 projects in cities including Mumbai, Pune, Chennai, Bangalore, Hyderabad, and Kolkata. MO Alternates has partnered with established developers such as Ajmera Realty, Runwal Enterprises, Ambuja Neotia Group, Casagrand Group, Radiance Realty, and others. The portfolio primarily focuses on mid-income residential developments, addressing the sustained demand among urban homebuyers.
The fund has also achieved its first exit, delivering an internal rate of return of 20.25 percent. This performance adds to the platform's robust track record. Since January 2024, MO Alternates has committed over INR 2,500 crore across more than 35 projects and has made full exits from over 30 investments, amounting to total divestments of INR 2,200 crore.
Saurabh Rathi, Managing Director and Co-Head of Real Estate at MO Alternates, said, "Credit demand for land acquisition in India is accelerating rapidly, driven by a renewed appetite for residential development, rising land values, and limited availability of structured capital. Our ability to underwrite across markets and diversify developer partnerships has been a key strength."
Anand Lakhotia, also Managing Director and Co-Head of Real Estate, added, "We are deeply grateful to our investors for the continued trust they have placed in our platform. We remain fully committed to upholding the highest standards of discipline, transparency, and performance."
Vishal Tulsyan, Co-founder and Executive Chairman, stated, "This successful close is a strong endorsement of the trust placed in our platform by both domestic and international investors. We remain committed to delivering consistent outcomes across market cycles."
The platform's cumulative assets under management (AUM) in real estate now exceed INR 10,000 crore across six real estate funds and co-investments. The platform claims to have made over 180 investments and secured more than 110 complete exits. Overall, the alternative investments platform manages more than USD 2 billion in cumulative AUM across real estate and private equity.