Pune: Arnya RealEstates Fund Advisors Pvt. Ltd. has launched a ₹750 crore real estate investment fund in partnership with Casagrand Premier Builder Limited, targeting residential development opportunities across Chennai, Bengaluru and Hyderabad. The fund, named Arnya Real Estate Fund III – Preferred Capital, is structured as a Category II Alternative Investment Fund (AIF) and will invest in projects through a preferred equity structure.
The fund plans to deploy between ₹75 crore and ₹200 crore per investment across approximately 8-10 projects. Its strategy is designed to give institutional and sophisticated investors exposure to real estate development margins through a structured capital arrangement.
Founded in 2023, Arnya RealEstates Fund Advisors is launching its third fund. The firm manages approximately ₹3,000 crore across multiple real estate investment strategies and is developing a platform spanning different forms of real estate capital and assets.
Casagrand Premier Builder Limited, which has more than two decades of experience and a portfolio exceeding 88 million sq. ft across 180+ projects, will bring development expertise, market knowledge and execution capabilities to the partnership. Arnya will contribute its institutional investment and capital structuring experience.
The partnership builds on a relationship spanning more than 15 years. During this period, Sharad Mittal, Founder & CEO of Arnya RealEstates Fund Advisors, has worked with Casagrand on 20+ development projects. The new fund marks an expansion of that relationship into a formal fund-based investment platform.
Mr. 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 fund launch, Mr. 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 as residential real estate markets in Southern India continue to attract investment interest. Chennai, Bengaluru and Hyderabad have seen housing demand supported by infrastructure expansion, urbanisation and a growing shift towards organised developers. As developers take on larger projects, institutional capital has become an important funding avenue for supporting growth and project execution.
The fund is registered with the Securities and Exchange Board of India (SEBI) as a Category II AIF. Its structure includes an investor-first cash flow waterfall, under which investors receive their capital and returns before residual distributions are made to the developer.
Arnya expects the fund to appeal to family offices, ultra-high-net-worth individuals, institutional investors and other sophisticated investors seeking diversified exposure to India’s residential real estate market. The firm says the strategy is designed to provide meaningful downside protection through a regulated institutional investment platform.
Also Read: From City Apartments to Farm Plots: The Lifestyle Shift Reshaping Indian Real Estate
Arnya RealEstates Fund Advisors is building a full-stack real estate investment platform with 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 expansion across real estate investment strategies.
