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Sundaram Alternates has launched its fourth real estate private credit fund - High Yield Secured Real Estate Fund IV (RE Credit Fund IV).
The fund aims to create a growth-oriented portfolio within the real estate categories of mid-market residential, hybrid and commercial projects that offer attractive down-side protected returns.
The fund seeks to raise Rs 750 crore with green shoe option of another Rs.750 crore.
The fund will focus on sub-Rs.100 crore deals, which offer fund diversification as well as attractive risk-rewards. With deal tenors typically ranging from 3-4 years, the fund will target gross deal returns ranging between 18-22%.
In a press release, Vikaas M Sachdeva, Sundaram Alternates said, “This fund allows us to leverage our expertise and market insights to identify compelling investment opportunities in the real estate sector. By focusing on a range of opportunities within the sector, we aim to provide investors with a well-rounded and diversified portfolio."