JLL's Segregated Funds Group announces first close of its 2nd fund

JLL’s Segregated Funds Group on Wednesday announced the first close of its second fund Residential Opportunities Fund - II at Rs 120 crore, capital commitment. The fund which was launched with a target of raising Rs 300 crore has achieved its first close within a span of five months.

ROF - II intends to invest in residential projects in prominent micro markets, which have shorter project development life cycle; receivables backed by significant collateral and/or invest in value dislocated projects with financial distress.

The five year closed ended fund seeks to invest in residential investment opportunities in seven cities/ metropolitan areas of India (Delhi-NCR, Mumbai-MMR, Chennai, Bengaluru, Hyderabad, Pune and Kolkata).

Mridul Upreti, CEO, Segregated Funds Group, said given the current market situation, our focus initially, is to invest in value dislocated situations such as bulk apartment inventory purchase at discounts and debt financing against project receivables in high quality residential projects.

The fund is looking to do deals in the range of Rs 20-50 crore in a mix of equity and debt structured deals.

Upreti further noted: "We have generated attractive returns from our investments in the first fund and have also committed the entire capital of ROF - I.”

Incorporated in 2012, JLL SFG currently manages its maiden domestic AIF - Scheme Residential Opportunities Fund - I (ROF-I) with an AUM of Rs 161 crore. JLL SFG operates under a separate legal entity, Jones Lang LaSalle Investment Advisors (JLLIA). Scheme Residential Opportunities Fund-II (Scheme ROF-II) is the second fund to be managed by JLLIA (the "Investment Manager") and is registered with SEBI as a Category II Alternative Investment Fund under the SEBI, AIF Regulations 2012.