ASK partners with Paranjape Schemes
ASK Property Investment Advisors (ASKPIA), the real-estate private equity arm of ASK Group has announced an investment in a Paranjape Schemes (Construction) Ltd. project in Pune. The project which is worth Rs.150 crore, is located in central Pune’s prime area at Model Colony. ASK PIA’s investment will be to the tune of Rs40 Crore. While speaking about this investment, Sunil Rohokale, CEO and MD, ASK Investment Holdings said, "The current market situation has provided us with very good investment opportunities to partner with reputed developers in promising growth areas. We are extremely bullish on the outlook of the Pune real estate market and as per our analysis of the Pune Real estate; it is a very stable market and demand is expected to be firm due to growth in service and manufacturing sectors. With accelerated economic activity, growth of IT/ITeS sector and migration, city will witness increased demand for housing.”
ASK Group manages domestic real estate funds of more than Rs1000 crore. The new investment is a part of Rs340 crore raised through the ‘ASK Real Estate Special Opportunities Portfolio 1’ in 2009. The Special Opportunities Portfolio 1 has already made 6 investments in past and this will be the 3rd investment focusing on Pune. So far the portfolio has invested in the key markets including Delhi NCR, Pune, Bangaluru, and Chennai. In Pune it has previously invested in a residential project worth Rs 255 crore with Amit Enterprises and in another project with Darode Jog worth Rs 270 crore. While commenting on this development Mr. Amit Bhagat, CEO and MD, ASK Property Investment Advisors, “Our association with one of the oldest construction group, Paranjape Schemes (Construction) Ltd for the landmark project in Pune reinforces our confidence in the Pune real estate. The prime project location coupled with strong project delivery team comprising of in-house professional architects, civil engineers and property managers should ensure that our investors get superior risk adjusted returns from this investment. The project fits in our investment strategy in terms of completion period and adjusted risk returns.”
Shrikant Paranjape (Chairman) of Paranjape Schemes (Construction) Ltd said, “This is one of the few developments being undertaken in the heart of the Pune city. Given our experience and professional knowledge we are confident of delivering a high quality product that would appeal to the preference of the customers. This partnership with ASK group would enable us to execute such projects with agility, which is our strength." The announcement for investment in Pune market has come soon after the launch of first ever detailed report on Pune Real Estate by ASK PIA. According to the report, property prices are expected to remain firm with upward bias in growth corridors. The report expects the requirement of houses based on demographic and commercial space to be sustained at 50,000 units compared to 40,000-45,000 units in previous years.