Kotak India Affordable Housing

Kotak Realty Funds is an experienced Indian real estate investor and part of Kotak Investment Advisors Limited, the alternative assets arm of the Kotak Group, one of India’s leading financial services conglomerates.

Our investment

We identified the need for more capital to be invested in affordable housing in India's poorest states three years ago and identified Kotak as a leading and reputable partner. With a commitment of $50 million, CDC is the only investor into the fund, alongside Kotak. The fund will seek to invest into between five to seven affordable housing development projects in the poorest states ('Category A' states), with the intention of providing affordable homes to working people such as Government employees, employees of small organisations, or self-employed / small business owners.

Expected impact

Approximately 95 per cent of the institutional capital in the Indian real estate sector has been invested in India's top six cities, leaving other parts of the country starved of institutional capital for real estate development. 53 per cent of India’s population lives in the poorest states ('Category A' states) and as we are the only outside investor in the fund, we are playing a highly catalytic role in pioneering investment into that sector and those regions, as the investment is viewed as a positive signal by other commercial investors.

Key facts

Status:
Active
Investment type

We provide capital in three broad ways: direct equity, debt, and intermediated equity (principally through investment funds).

:
Intermediated investment
Fund manager:
Kotak Alternatives Investment Manager
Amount

For direct investments, this is the total amount that CDC has committed to the business or project (it may be a combination of equity and debt).

For funds, this is the total amount that CDC has committed to the fund.

:
$50m

Investments made by this fund

  • Active
  • Exited
Investment name Country Region Sector Start date Status