Nisus Finance With Phoenix ARC Invests Rs 95 Cr In Ahmedabad Comm Project

BY Realty Plus

Nisus Finance’s latest fund “Real Estate Special Opportunities Fund-1 (Reso-1)” managed by Nisus BCD Advisors LLP, has recently concluded its’ maiden transaction investing ~INR 95.00 Cr in Swaminarayan Business Park, a late-stage commercial Project located in Narol, Ahmedabad, along with Kotak’s Asset Reconstruction Arm - Phoenix ARC”. 

Nisus BCD Advisors LLP (“Nisus BCD”), is an alternative asset manager of Nisus Finance Group which has recently launched a Rs. 700 Crores RESO-I fund.

Nisus along with Phoenix ARC has invested Rs. 95.00 Crores to takeover and exit the loans of the erstwhile lender DHFL through Piramal Capital & Housing Finance Limited. Both Nisus BCD and Phoenix ARC shall continue to have Pari-Passu charge on the project. This is the first instance of a joint investment by Nisus BCD and Phoenix ARC in same transaction. This investment underscores the focus of RESO-1 which looks to acquire or discharge loans of erstwhile lenders in projects that have high cash flows, significantly large cover, short exit period and very compelling risk mitigated returns to standard credit opportunities.

With this Nisus Finance has forayed into the vibrant market of Ahmedabad as the funds managed by Nisus Finance venture into high growth real estate markets. Nisus Finance invested into Indore and NCR earlier and is looking at risk mitigated opportunities beyond its target markets of MMR, Pune, Hyderabad, Bengaluru and Chennai.

This is also the first foray for Nisus Finance into a late-stage commercial project which has been well received and sold and includes prominent buyers like DMart and large brand occupiers.

Swaminarayan Business Park is owned by Dharmadev Group through its Development Entity ‘MH Infraprojects Limited’, situated in Narol, Ahmedabad. The Project on a land of 18,000 metres with 5.24 lac square feet of saleable area, is spread over 6 commercial blocks of which one block is already significantly leased to India’s top marquee brands. The balance five blocks are nearly complete have already been majorly sold to top retail, and corporate enterprises. Nearly 80% of the Project is complete and has all approvals in place, with balance construction in full swing for a superior quality project delivery within the next 12 months.   

Dharmadev Group promoted by its Chairman, Umang Thakkar has successfully delivered over 30 million square feet across several projects in Gujarat. Neel Thakkar, MD, Dharmadev Group is accelerating this Project as well as a prominent residential land mark development in Ahmedabad “NK Anantya” which has recently won pan India accolades for the most well received and designed project in Ahmedabad. The Group owns several prominent land banks across several cities of Gujarat and is foraying into Mumbai.

Amit Goenka, MD& CEO Nisus Finance commented “This investment is centric to our strategy in the RESO-1 Fund to generate significant alpha through a strongly risk mitigated structure with high asset and cash flow cover. Our partnership with Phoenix ARC is the culmination of our extensive mutual understanding in capitalizing highly value accretive projects that not only deliver superior projects in a short period but also successfully exit both our investments rather quickly. Dharmadev Group met our mutual expectations on track record, due diligence and promoter commitment. We are happy to partner with Dharmadev Group for this superior project in that micro market of Ahmedabad. RESO-1 will regularly partner with Phoenix ARC and other top deck financial institutions who share similar conservative values, have strong diligence and processes, and can mutually identify value outliers”

Umang Thakkar, Chairman, Dharmadev Group, stated, “We are proud of our association with Shri Amit Goenka, Nisus Finance and Phoenix ARC. They have been quick to understand the immense potential of the Project and created a win-win for all stakeholders in mutually discharging the claims of the erstwhile lenders while helping accelerate the completion and deliverables of this marquee landmark project of Narol to our very esteemed buyers and clients. We are certain of completing delivery and handover of Swaminarayan Business Park within 12 months.” 

Nisus Finance Group led by industry veteran Amit Goenka, manages several AIF funds aimed. RECOF – I, an AIF Category – II fund, registered with SEBI, with a corpus of INR 500 Cr is a real estate focussed fund which seeks to achieve superior, consistent and risk adjusted returns by making opportunistic medium term structured investments in mid-income, affordable housing and plotted development projects. This investment comes to its new AIF Fund “Real Estate Special Opportunities Fund-I” (RESO-I), with a Rs. 700 Crores corpus for investing in highly value accretive opportunities which provide higher yield and asset cover to unlock value through structured capital in special situations within highly profitable and de-risked projects. 

Tags : Nisus Finance latest fund Real Estate Special Opportunities Fund-1 managed Nisus BCD Advisors LLP Swaminarayan Business Park commercial project Narol Ahmedabad Kotak’s Asset Reconstruction Arm - Phoenix ARC Amit Goenka MD& CEO Nisus Finance Umang Thakkar Chairman Dharmadev Group