MYRE Capital, a Morphogenesis venture that uses technology to enable fractional ownership, plans to raise up to Rs 500 crore through an Alternative Investment Fund (AIF) by July 2022.
The fund will be invested in Grade A commercial real estate properties with long-term leases from blue-chip tenants, as well as a healthy mix of select under-construction properties.
Investors will earn a consistent monthly rental income of 8% -10% from the fund’s assets, as well as profit from capital appreciation. The fund is intended to provide a 20% to 25% overall internal rate of return, according to the company.
“Having aggregated over 175 crore assets under management and over 30,000 users on the platform in the previous 12 months, our target for the upcoming year is to achieve a 5 times growth. We have maintained a 100% rental collection and distribution rate to investors and have achieved a 0% portfolio vacancy rate despite the three pandemic induced lockdowns,” said Aryaman Vir, Founder & CEO of MYRE Capital.
According to him, there has been a significant increase in commercial real estate activity, owing to pent-up demand over the last two years. Furthermore, the company has been able to secure institutional-grade assets at attractive prices for our investors due to the residual post-pandemic stress.
MYRE Capital announced it will launch the proposed first-of-its-kind, SEBI regulated Neo-Realty Investment fund to meet the demand for commercial real estate investment from high net worth individuals (HNIs), family offices, institutional, and retail investors.
MYRE Capital has already completed the construction of five residences in Bengaluru, Mumbai, and Pune. With the company’s growing NRI traction, the fractional commercial real estate platform is considering establishing a local presence in countries like Dubai, the United Kingdom, and Singapore to provide global real estate options to investors shortly. In addition, the organisation is increasing its personnel across sectors.
The firm is developing a proprietary asset evaluation system based on artificial intelligence, machine learning, and big data analytics principles. It sources and evaluates around 1500 opportunities every month in real-time. The algorithm will encourage investors to make more quantitative decisions, resulting in better asset performance and returns.