India’s First Premium Rs 1000 Crore Real Estate Investment Fund Targets Luxury Market

The Dawn of India’s First Luxury-Focused Real Estate Fund

In an exciting development for India’s growing real estate sector, ASK Property Fund, in collaboration with India Sotheby's International Realty, has launched a Rs 1000 crore luxury-focused real estate fund. This groundbreaking initiative aims to cater to the rising demand for high-end residential properties, holiday homes, and second homes in the country's most desirable locations.

The fund’s goal is clear: to generate superior, risk-adjusted returns for investors by focusing on luxury housing projects across India’s major cities and sought-after destinations. The fund also has an additional green shoe option of Rs 500 crore, expanding its potential impact on the luxury real estate market.

Revolutionizing the Luxury Housing Sector

ASK Property Fund and India Sotheby’s International Realty are not just creating a real estate fund, but setting the stage for a luxury property revolution. Their investment focus is centered on India’s top cities like Mumbai, Bengaluru, and the Delhi-NCR region, with a particular emphasis on holiday homes and second homes in vibrant, high-demand micro-markets such as religious destinations and scenic locales.

The strategic focus of the fund also includes supporting premium developments such as villas and low-rise projects, primarily in coastal cities, hill stations, and other regions known for their charm and exclusivity. The target projects will have home prices starting at Rs 8 crore, ensuring they cater to the affluent urban demographic that is increasingly seeking spacious, well-appointed residences.

Fund Structure and Investor Opportunities

The ASK Curated Luxury Assets Fund is registered with SEBI as a Category II Alternative Investment Fund (AIF) under the SEBI (Alternative Investment Funds) Regulations, 2012. The fund will raise third-party capital from a select group of sophisticated investors, including family offices, high-net-worth individuals (HNIs), pension funds, sovereign funds, and other institutional investors.

The luxury real estate market in India has seen tremendous growth, and this fund aims to capitalize on that momentum, promising high returns for those with an eye on premium residential real estate.

A Strong Strategic Partnership

The launch of this fund is the result of a strong partnership between ASK Property Fund and India Sotheby's International Realty. Amit Bhagat, Co-founder and CEO of ASK Property Fund, expressed confidence in India’s luxury residential market, stating, "We are excited to collaborate with India SIR to launch India’s first luxury residential opportunity-focused fund. This collaboration will benefit landowners, buyers, and investors alike."

ASK Property Fund has already raised Rs 7,200 crore since its inception in 2009, with investments from some of the country’s leading family offices and ultra-high-net-worth individuals. The fund’s track record positions it as a trusted player in the Indian real estate investment landscape.

Trends Shaping India’s Premium Real Estate Market

India's residential real estate sector has witnessed a significant shift in recent years. A growing number of wealthy individuals are looking for larger homes with top-tier amenities, leading to a surge in demand for luxury properties. The growth in the premium segment has been staggering: sales of apartments priced between Rs 2 crore and Rs 5 crore grew by 400% between 2019 and 2024, with 82% growth in 2024 alone.

Furthermore, the ultra-premium segment—properties priced above Rs 20 crore—has seen a 270% rise since 2019, demonstrating the increasing interest in high-end residences. Mumbai continues to lead this market, accounting for 78% of sales in the Rs 20-50 crore segment.

The Path Ahead

With the launch of this fund, ASK Property Fund and India Sotheby’s International Realty are poised to capitalize on the shifting dynamics of the luxury real estate market. By combining their expertise and leveraging India’s strong economic fundamentals, this strategic collaboration promises to reshape the country’s luxury property landscape, offering substantial returns for investors while also supporting the growth of India’s premium residential market.