UBS + IL&FS Realty Funds

UBS Global Real Estate is expected to launch India specific Real Estate fund by the end of this year. We have reliably learnt that the company has tied up with Mumbai based property developer K Raheja to finance various real estate projects. UBS Global Real Estate Management has assets of $50 Billion under management across the globe. The proposed fund will have a lock-in period of 7 years with the option of 2 one year extensions.

Realty market has wide speculation that this fund will support K Raheja's retail venture by providing necessary and prime commercial real estate for Shopper's Stop, Crossword, Inorbit Mall and Hypercity super bazaar.



In another development, IL&FS Investment Managers and Milestone Capital Advisors launched a real estate investment fund to raise Rs 1,000 crore to invest in leased or rented properties. This fund is for people who are risk-averse. The fund would be invested in under developed or under construction properties. The funds would be invested in office buildings, hospitals, hotels, warehouses and shopping malls. The managers would invest 30 per cent each in retail and office properties, 20 per cent in IT and ITeS and 10 per cent each in warehousing and office properties.