The global corporate firm, Godrej Group has reported its expansion in the commercial real estate sector. The news comes after the Godrej Fund Management (GFM) submitted its proposal where an estimated $450-million was invested in the office development fund while $150-million was allotted for the office investment fund.
Godrej Build to Core – I (GBTC-I) and Godrej Office Fund- I (GOF-I) which are overlooked by GFM have reportedly surpassed the $1-billion mark in just one year after its setup.
An amount of $450-million has been set aside to build luxurious world-class Grade-A office buildings across locations with potential business markets of the country. APG Asset Management N V is the principal investor for the GBTC-I project.
In addition to this, the acquisition of newer properties and investment in core and core-plus offices will come under GOF-I.
Chairman of the Godrej Investment Advisers committee, Pirojsha Godrej stated, “We are pleased to enter the commercial real estate private equity space. We believe there is a lot of opportunity for our fund management company in both residential and commercial real estate in India and we are happy to see the business reach the $1-billion AUM milestone. We look forward to building a strong track record of excellence to ensure we remain a preferred partner to institutional capital looking to participate in the growth of the Indian real estate sector.”
Further MD & CEO of the Godrej Investment Advisers committee, Karan Bolaria added, “We are pleased with our diversification into the office asset space through a successful first-class of both our office funds. We are also delighted to continue our relationship with APG, which has been a strong supporter of our fund’s management business since its inception. The blend of investment management capabilities and strategic access to best-in-class development capabilities provides GFM with a competitive advantage and positions it well to deliver the targeted risk-adjusted returns.”