Alternative Investment Fund (AIF) | Real Estate

A SEBI Registered Category || Alternative Investment Fund (AIF)
Market size of
CAT II AIF

INR 7.82 Lakh
Crore*

Designed to cater to pan-India Grade-A projects, with a primary focus on commercial real estate assets
*Source: SEBI As of 30th September 2023
18% to 20%
Expected IRR
INR 500 Cr
Inclusive of INR 250 Cr greenshoe option
Aif Funds

Our CAT II AIF (Alternative Investment Fund) is designed to cater to pan-India Grade-A projects with a primary focus on commercial real estate assets.This includes a wide range of commercial projects such as offices, retail spaces, data centers, warehouses and hospitals across under-construction, pre-leased and other completed/operating assets.

By investing in commercial assets at various stages of development our AIF offers investors a diversified portfolio that capitalizes on the flourishing Indian real estate sector and can anticipate a targeted Internal Rate of Return IRR ranging from 18% to 20%.

Alternative Investment Fund

hBits Real Estate Fund I

Real Estate Fund I a SEBI-registered CAT II AIF with INR 500 Cr target equity investments in top-tier Indian commercial real estate particularly in income- generating Pre-Leased and Under Construction Grade-A CRE properties including offices and warehouses.

IRR Expectations

Why Invest now?

Locking in long-term deals at current rates will be advantageous for investors as rates have peaked.
India's commercial real estate market is poised to reach USD 1 trillion by 2030, maintaining its appeal as an attractive investment hub.

Investment Focus

Our fund explores investment opportunities at every phase of real estate development, from projects under construction to assets with existing lease agreements.

As a dedicated Commercial Real Estate (CRE) fund, we target investments in office complexes, data hubs, storage facilities, industrial zones, educational institutions, and hospitals across India, with a particular emphasis on the leading six cities.

Minimum Investment In AIF

Preleased

Investment Allocation: 50-60%

(Grade-A pre-leased assets with strong occupiers residual lock-in period and periodic escalations)

Best Alternative Investment Funds AIF

Under construction

Investment Allocation: 40-50%

(Early-stage construction with land and all regulatory approvals in place)

Investment Thesis

AIF Alternative Investment Funds

100% Deal Sourcing

Investment opportunities of over INR 2,500 Cr across the top six cities (MMR, Pune, Bangalore, Hyderabad, Chennai and NCR) are sourced month on month by the buy-side team.

50% Evaluation

Yield expected capital appreciation, location, micro market analysis, data insights ( comparables, financial projections, developer, occupier profiles and lease terms).

20% Shortlist

After evaluating basis the above given criteria, keeping in mind the investors’ goals and desired IRR, the investment opportunities are shortlisted.

<1% Transaction

After carrying out legal and title, asset level, technical, financial and tax diligence (in the case of SPV acquisition), the asset is acquired.

Investment Thesis

Invest In AIF

Why hBits?

Aif Funds

50+ Years of combined management experience in Commercial Real Estate

Aif Funds

200+ Years of experience and personal ownership in end-to-end commercial real estate development and management

Aif Funds

Backed by marquee names in the Commercial Real Estate space

Aif Funds

Pipeline of over INR 25,000 crore of Grade-A assets (originated since Nov 2022) with an average of INR 2,500 crore across office, warehouse, industrial and educational institutions

Our Investments

On Sale
50%
Funded
property image
property image

London Listed MNC

Langford Road - CBD, Bengaluru Bengaluru

Asset Value₹28.8 Cr
Entry Yield8.75%
Expected IRR15.12%
Tenant
tenet-img
On Sale
50%
Funded
property image
property image

London Listed MNC

Langford Road - CBD, Bengaluru Bengaluru

Asset Value₹28.8 Cr
Entry Yield8.75%
Expected IRR15.12%
Tenant
tenet-img
On Sale
95%
Funded
property image
property image

Trillion Dollar MNC

Yerawada Pune

Asset Value₹62.97 Cr
Entry Yield8.75%
Expected IRR14.53%
Tenant
tenet-img

FAQs on AIF (Alternative Investment Funds)

Below are some benefits of investing in AIFs:

Diversification: Investors can reduce risk and maintain returns by diversifying their portfolios, which is especially important for High-Net-Worth Individuals (HNIs) with larger investments. AIF can serve as a hedge during market volatility, thereby enabling portfolio diversification.

High returns: AIFs can deliver higher returns to investors compared to other options. The funds are managed by a professional fund manager who can prepare flexible strategies for maximizing returns.

Low volatility: Real Estate AIFs are not linked with the stock market. Therefore, the volatility is less in these funds.