Nisus Finance, a real estate credit fund, has invested Rs 60 crore through listed non-convertible debentures in High Cliff, a late-stage residential development in Bellandur, Bengaluru.
The recent investment in Project High Cliff will be utilised towards the refinancing of existing debt and the timely completion of the project. The luxury project is spread over 1.4 acres of land with a saleable area of around 2.4 lakh sqft.
The recent investment marks the third investment from Nisus Finance’s real estate special opportunities fund-1 (RESO-1), managed by Nisus BCD Advisors LLP, with a corpus of Rs 700 crore.
“The recent investment aligns with our strategy for the RESO-1 Fund, aiming to generate significant alpha through a strongly risk-mitigated structure with high asset and cash flow cover. The fund infusion will help to expedite the project,” said Amit Goenka, MD & CEO of Nisus Finance.
The recent investment marks the third investment from Nisus Finance’s real estate special opportunities fund-1 (RESO-1), managed by Nisus BCD Advisors LLP, with a corpus of Rs 700 crore.
The Project is located at Bellandur, a key micro market of Bengaluru with prominent tech parks and excellent connectivity. It comprises about 196 affordable and mid-income housing units of 1, 2 and 3 bhk units.
“The Southern market is very stable with demand driven by individual buyers, and the assets are more underwriteable in this market. We are actively looking at more investment in the coming quarters,” said Angad Singh Bedi, MD, BCD Group, a key fund sponsor.
The fund has a tenure of five years, which is extendable by two years, and targets a gross IRR of around 20-21%.
The fund aims to invest in mid-income, affordable housing and plotted development projects to unlock value through capital in special situations.
In 2022, Nisus and BCD India have signed an agreement to work together on projects. Nisus will bring its financial expertise, and BCD India will bring its technical expertise, sales, and CRM.
Nisus Finance Group manages two real estate-focused AIF funds, RECOF-I and RESO-1, with a total corpus of approximately Rs 1200 crore.
