Certus Capital’s strategic investments through Earnnest.me underscore its commitment to driving growth in the real estate sector while delivering attractive returns to investors and facilitating sustainable development in key urban centres across India
Certus Capital, a leading institutional real estate investment and advisory firm founded by former KKR director Ashish Khandelia, has made a significant investment of Rs. 130 crores in two prominent commercial real estate ventures in Pune through its secured bonds platform, Earnnest.me.
The projects, situated in highly sought-after city-centric locations with excellent connectivity and well-developed social infrastructure, are being developed by Mittal Brothers, a renowned Pune-based developer with a commendable track record spanning over 25 years and comprising 26 projects covering more than 65 lakh square feet. The investment, facilitated through secured debentures, offers an approximate fixed return of 15 per cent (IRR), backed by substantial principal cover from underlying cash flows.
One of the projects, which is nearing completion, has already garnered substantial interest from buyers and lessees. The retail sections are operational and boast tenancy from reputable brands such as Pantaloons, McDonald’s, Max, and Nonna’s pizza chain.
This investment aligns with Certus Capital’s objective of deploying Rs. 500 crores by FY24, with a target of exceeding Rs. 1,000 crores in investments through Earnnest.me by FY25.
Ashish Khandelia, the Founder of Certus Capital, expressed satisfaction with the response from investors towards opportunities presented by Earnnest.me. He emphasised the importance of developing India’s bond markets, particularly for capital-intensive sectors like real estate. Through Earnnest, Certus Capital aims to act as a market facilitator for real estate debt capital markets.
Earlier in January 2024, Earnnest.me successfully exited its debut investment in the affordable housing sector, achieving a net return of 16.1 per cent one year ahead of the scheduled maturity, owing to robust project performance. Furthermore, the platform has strengthened its position in a premium boutique residential project in Prabhadevi, Mumbai, by acquiring its 50 per cent partner’s stake.
Recently, Earnnest.me also engaged in a repeat transaction with one of its existing partners, capitalising on its proprietary deal access.
Certus Capital’s strategic investments through Earnnest.me underscore its commitment to driving growth in the real estate sector while delivering attractive returns to investors and facilitating sustainable development in key urban centres across India.
