NEW DELHI: Prime Litmus Investment Management, a subsidiary of Prime Securities, has unveiled the Prime Litmus Real Estate Opportunities Fund. This Category II Alternative Investment Fund aims to provide structured credit investments for under-construction real estate projects.
The fund targets a corpus of ₹750 crore, with a green shoe option for an additional ₹250 crore, bringing the total potential corpus to ₹1,000 crore.
Prime Litmus Investment Management is a collaboration between Prime Research and Advisory, a wing of Prime Securities, and Litmus Global Services LLP. The fund will focus on self-liquidating real estate ventures that offer cash-flow visibility and robust security structures, targeting key metropolitan areas including the Mumbai Metropolitan Region, National Capital Region, Bengaluru, Chennai, Hyderabad, and Pune.
The fund has a tenure of six years, extendable by one year, and is aiming for an internal rate of return of 18-20% annually.
Apoorv Kumar, Managing Partner at Litmus Global Services LLP, noted that the platform is designed to deliver capital solutions for real estate developers across various asset classes and development cycles.
Rahul Rai has joined Prime Litmus Investment Management as Managing Partner, stating, “As traditional funding sources become more constrained for developers, the need for institutional structured capital is on the rise.”
The investment committee consists of experts in real estate investing, investment banking, and asset management, with the leadership team featuring Rai, Gupta, and Kumar.
ICICI Bank will act as custodian and fund accountant, Price Waterhouse Chartered Accountants LLP will serve as auditor, and MITCON Credentia Trusteeship Services will act as trustee for the fund.
