Bengaluru, May 28 -- Development Bank of Japan Inc. (DBJ) has made its first real estate investment in India, committing capital to HDFC Capital Development of Real Estate Affordable and Mid-Income Fund (H-DREAM Fund), managed by HDFC Capital Advisors Ltd.

HDFC Capital, the real estate private equity arm of HDFC Group, did not disclose the investment amount. The H-DREAM Fund has a target fund corpus of $500 million and an additional $500 million green-shoe option. It has current investor commitments of over $350 million.

The fund finances projects that prioritize affordable and mid-income housing, and seeks to raise long-term capital from international and domestic institutional investors.

DBJ, wholly owned by the Japanese government, ...