On Thursday, Walton Street BlackSoil Real Estate Partners raised its target fund size of Rs 500 crore, which is stepping into the greenshoe option for its latest fund Walton Street BlackSoil Real Estate Debt Fund II (WSBREDF II), as per the company’s statement.

“This fund has a target size of Rs 500 crore, and we have dipped into the additional green shoe of Rs 250 crore, which will be raised in the next 2-3 months. So far, we have deployed around 40 per cent of the capital across five transactions in housing projects across Bengaluru, MMR, Hyderabad, Pune and Chennai. We hope to fully deploy the fund by the end of March next year,” said Kaushik Desai, WSB Real Estate Partners managing partner.

The purpose is to raise funds from domestic and multiple family offices and offshore high-net-worth individuals (HNIs). The fund will focus on using structured debt to invest in residential real estate projects serving the mid-income or affordable housing segment across select tier I cities and will also look to partner with developers with a good track of execution and delivery, WSB said in the statement.

“Overall, the real estate space has been doing very well in the last five-six quarters. We focus on mid-income residential real estate, and the five transactions are across this domain. WSB Real Estate Partners had closed ten transactions through its first fund, with six fully exited and three partial exits with late-teen returns (internal rate of returns). It has returned 100% of the capital to the investors in terms of principal plus interest,” said Desai.

“Our sweet spot is investing in deals in the range of ₹50-100 crore,” he added. To claim having a real estate arm with the pipeline of development over 80 million square feet as Shapoorji Pallonji Group is the oldest conglomerate in India. The top five real estate developers are also claim under this group. Since 1973, Meanwhile, Vakratunda Group has been established which is active in residential and commercial real estate developments in MMR (Mumbai Metropolitan Region), Mumbai, Badlapur, Thane having partnership with Godrej Properties.