Mumbai, Sep 08: Arnya Realestates Fund Advisors Pvt. Ltd. Today announced the launch of Arnya Real Estate Fund III – Preferred Capital, a Category II Alternative Investment Fund with a target corpus of ₹750 crore.
The fund has been launched by Arnya Realestates Fund Advisors in partnership with Casagrand Premier Builder Limited, one of India’s leading Real Estate developers, with a strong presence in Southern India. Arnya Founded in 2023, is now launching its third fund, having built a platform managing approximately ₹3,000 crore across multiple real estate strategies, with a focus on creating innovative investment products led by an experienced team of professionals. This Fund with Casagrand will focus on Real Estate opportunities across Chennai, Bengaluru and Hyderabad, with investments ranging between ₹75 crore and ₹200 crore across approximately 8-10 projects, designed to provide institutional and sophisticated investors with exposure to Real Estate development margins through a Preferred Equity investment structure.
Casagrand with over two decades of experience has a portfolio of 88 million sq. ft + across 180+ projects. Along with an already impressive track record they bring in scale, market knowledge and execution capability to the partnership, complementing Arnya’s institutional investment and capital structuring expertise. This Partnership is built on a relationship that spans more than 15 years, during this course, Arnya’s Founder & CEO, Sharad Mittal has worked with Casagrand on 20+ development projects, marking the next phase of this relationship by successfully expanding into a full fund structured platform.
Commenting on the partnership, Arun Mn, Founder, Chairman & Managing Director, Casagrand Premier Builder Limited, said,
“We see institutional capital playing an increasingly important role in the long-term growth of residential real estate. Our approach is to build enduring partnerships with institutional capital providers who share our focus on disciplined execution, transparency and aligned objectives. Casagrand’s partnership with Arnya reflects this approach, we believe this will create a scalable, long-term platform to support high quality real estate developments across Southern India.”
Commenting on the launch, Sharad Mittal, Founder & CEO, Arnya Realestates Fund Advisors, said,
“India’s residential real estate sector has entered a structurally stronger phase, driven by regulatory reforms, increasing formalisation and sustained demand for organised developers. At the same time, institutional investors are looking for investment strategies that offer an improved balance between risk and return. We are focused on building structured investment products that seek to create a balance between risk and return, while aligning interests of both investors and development partners. Our long-standing relationship with Casagrand gives a strong foundation to take this partnership forward and explore opportunities to build multiple platforms and investment strategies over the long term. This fund is an important step in that direction, bringing together our institutional investment approach and Casagrand’s strong development capabilities.”
The launch comes amid continued momentum in India’s residential real estate sector, particularly in Southern India. Chennai, Bengaluru and Hyderabad have emerged as some of the country’s strongest housing markets, supported by infrastructure expansion, rising urbanisation and increasing consolidation towards branded developers. As developers pursue larger projects, the demand for flexible institutional growth capital has also increased.
The fund is structured as a SEBI registered Category II AIF and is designed with an investor first cash flow waterfall, where capital and returns are distributed to investors before residual distributions accrue to the developer.
Arnya expects the strategy to appeal to family offices, ultra-high-net-worth individuals, institutions and sophisticated investors seeking diversified exposure to India’s residential real estate market with a meaningful downside protection and through a regulated institutional investment platform. Founded in 2023, Arnya RealEstates Fund Advisors is building a full stack real estate investment platform across multiple strategies spanning debt, equity, preferred capital and core assets. Earlier this year, the firm announced the first close of its residential equity fund at over ₹1,030 crore, marking another milestone in its growth journey.
