India: Realty-focused Godrej Fund Management to raise $500m office fund

Real Estate India

Godrej Fund Management (GFM), the real estate-focused private equity arm of the Godrej Group, plans to raise a $500-million fund by early next year to invest in office properties, and is in talks with global investors, said Karan Bolaria, the company’s managing director and chief executive.

A year ago, GMF had raised the $450-million Build to Core office development fund, besides a $150-million office investment fund, which have been fully deployed.

Godrej’s move comes at a time when India’s commercial office market has suffered a blip because of the pandemic, but continues to attract long-term investor interest. “We continue to be bullish on the office market. We have ramped up our office platform rapidly and will expand it further. There is a shortage of good quality, Grade A office space and we believe despite the work-from-home trend, clients will work from offices and take up more space as a risk mitigation measure,” said Bolaria said in a telephonic interview.

“Land prices have corrected by 10-15% and there are good opportunities to deploy money. Unlike before, landowners today are willing to negotiate prices. The new fund has also seen a high level of interest from overseas investors,” he said.

GFM’s key strategy is to buy land and build, but it may make an exception to acquire a ready office property depending on the opportunity and value.

The sector, which has been at the forefront in encouraging employees to continue to work from home, has been the key driver of India’s office market contributing nearly 44% of cumulative office space demand between 2010-2019.

This article was first published on livemint.com.

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Following vacancies can be applied for (only in Singapore).   

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  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
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Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.