Motilal Oswal Closes Rs. 2,000 Cr Realty Fund IREF-VI

Motilal Oswal Alternates (MO Alternates), the alternative investments platform of the Motilal Oswal Group, has announced the final close of its Indian Realty Excellence Fund VI (IREF-VI) at Rs. 2,000 crore, marking a 65 percent increase over its predecessor.

This fundraise stands as one of the largest and fastest domestic capital raises in India’s real estate credit market. The capital was primarily sourced from Indian HNIs and family offices, with additional offshore participation routed through GIFT City, signaling robust domestic and global investor confidence in India’s urban real estate sector.

Key Highlights

• MO Alternates raised Rs2,000 crore for IREF-VI, a 65 percent jump over its last fund
• 75 percent of capital is already deployed across 15 urban housing projects
• First exit delivered a 20.25 percent IRR, boosting investor confidence

Notably, 75 percent of the fund is already deployed across 15 projects in key metros like Mumbai, Pune, Bangalore, Chennai, Hyderabad, and Kolkata.

Partnerships include top developers such as Ajmera Realty, Runwal Enterprises, Ambuja Neotia Group, Casagrand, and Assetz Group.

Focused on mid-income housing, the fund targets high-demand, high-absorption urban micro-markets. Its first exit delivered a 20.25 percent IRR, reinforcing the platform’s strong track record. Since early 2024, MO Alternates has committed over Rs. 2,500 crore across 35+ projects, and exited over 30 investments, with total divestments exceeding Rs. 2,200 crore.

With real estate AUM now surpassing Rs. 10,000 crore, the firm has completed 180+ investments and secured 110 full exits to date. Co-heads Saurabh Rathi and Anand Lakhotia highlighted the platform’s ability to underwrite across cycles and cities, delivering bespoke credit solutions amid tightening banking norms. Executive Chairman Vishal Tulsyan emphasized the role of strong governance and long-term performance in gaining investor trust.

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This milestone reinforces MO Alternates’ leadership in Indian real estate private credit, driven by structured, sector-specific expertise and deep local partnerships.