Nisus Finance, a listed alternate fund manager and urban infrastructure investment house, announced its successful exit from Project High Cliff, late-stage residential development in Bellandur, Bengaluru. The investment, executed through rated, listed non-convertible debentures under its flagship Real Estate Special Opportunities Fund-1 (RESO-1), generated an Internal Rate of Return (IRR) of 23% within a span of two years.
Structured Capital Drives Accelerated Completion
The timely injection of structured capital from RESO-1 provided the financial stability and governance required to accelerate execution, ensuring the project moved ahead at a critical juncture and successfully overcame approval delays. The performance of Project High Cliff reinforces RESO-1’s broader approach: deploying structured credit that de-risks projects while generating consistent, risk-adjusted returns within short to medium tenures.
Avadhoot Sarwate, CIO & Director, Nisus Finance, commented: “High Cliff represents the kind of special situation where structured capital creates outsized value – a strong demand and a quality project that required swift intervention. Our investment brought the governance, capital stability, and alignment needed to accelerate execution. This exit reflects the strength of RESO-1’s strategy in identifying high-value opportunities and delivering superior, risk-managed outcomes.”
Project & Partnership Details
The project is being developed by Hiren Wahen Group, led by Mr. Narendra Babu Kalahasti, MD & CEO. The Group has delivered nearly one million sq. ft. across multiple projects. Commenting on the partnership, he said: “Nisus Finance’s investment came at a crucial moment. Their structured approach helped restore financial stability and bring fresh momentum to execution. We are now entering the final delivery phase with renewed confidence from homebuyers and stakeholders.”
Project High Cliff spans 1.4 acres with a saleable area of approximately 2.4 lakh sq. ft., comprising 196 units across 1, 2 and 3 BHK configurations aimed at affordable and mid-income buyers. Located in Bellandur, one of Bengaluru’s strongest residential micro-markets due to its proximity to major technology hubs, the project incorporates contemporary and sustainable features including a Platinum Rated Green Building certification and lifestyle amenities.
Reinforcing Private Credit’s Role in India’s Real Estate
This successful exit underscores the rising importance of specialized real estate credit platforms in addressing a significant market need. With traditional banks and NBFCs restricted from funding land acquisition and certain working capital needs, an estimated USD 15-billion funding gap has emerged in the special situations segment. Alternate fund managers investing in urban infrastructure, such as Nisus Finance, are increasingly stepping in to provide flexible, structured capital that stabilises projects and drives completion. The successful exit further reinforces the growing relevance of private credit and AIF-backed structured capital in shaping the next phase of India’s real estate development.
