New Delhi, June 10 -- ASK Property Fund, part of the Blackstone-backed ASK Asset & Wealth Management group, has launched its fourth debt fund named the ASK Real Estate Special Situations Fund IV (ASK Debt Fund IV) with a target corpus of Rs 3,500 crore ($367.5 million), the investment firm said in a statement.

The fund will raise capital from both domestic and offshore investors and will invest in mid-segment housing projects across India's six key cities, which are the Mumbai Metropolitan Region (MMR), National Capital Region (NCR), Pune, Bengaluru, Chennai and Hyderabad.

The fund is structured in a way that it can offer both solution-capital, including lender replacement and project completion funding, as well as growth capital for acquisitions, including the purchase of projects held up in National Company Law Tribunal (NCLT) or those with established approvals.

It is targeting investment-level returns of 20 per cent.

The company believes that the fund's key differentiators include a strong emphasis on control investments, active asset management and robust risk management. The fund will continue to combine disciplined underwriting with hands-on execution oversight to deliver consistent, risk-adjusted outcomes for investors, it said.

The launch of ASK Debt Fund IV builds on ASK Property Fund's recent fundraising momentum.

Over the past two years, ASK Property Fund has raised Rs 2,500 crore across debt and equity strategies with capital mobilised predominantly from domestic and offshore investors.

In FY26, ASK Property Fund committed Rs 2,100 crore across projects with developers including Mantra Group (for asset acquisitions through NCLT), Shapoorji Pallonji in Gurgaon and Mumbai, Gami Developers in Navi Mumbai, Satya in Gurgaon, and KREEVA in South Delhi.

ASK Property Fund also delivered Rs 1,300 crore of exits to investors during FY26. Notable full exits included Rs 650 crore from a Noida project, generating an XIRR of 21 per cent and a MoIC of 2.01x; Rs 244 crore from Kalpataru's Borivali project, delivering an XIRR of 18 per cent; and Rs 205 crore from D&A Realty's Bandra project, generating an XIRR of 21 per cent.

The investment firm's Debt Fund I has been fully exited, delivering a gross investment XIRR of 19.4 per cent and a gross investment MoIC of 1.83x. Debt Fund II is expected to be fully exited by March 2027.

"The outperformance of our earlier debt funds against the benchmark, along with Crisil's Fund Management Grading-1 for ASK Debt Fund IV, demonstrates the strength of our underwriting discipline, active asset management and risk management framework. With a track record of 40 full exits delivering a simple average IRR of 19 per cent and a MoIC of 1.8x, we are confident of generating strong risk-adjusted returns," said Amit Bhagat, co-founder, managing director and chief executive officer, ASK Property Fund. ASK is also raising an equity fund for luxury projects across key cities in India with Sotheby's International Realty. The fund named ASK curated luxury assets fund- I (ASK CLAF I) has a target corpus of Rs 1,500 crore including a green-shoe of Rs 500 crore.

ASK Property Investment Advisors (PIA) has raised Rs 9,500 crores ($ 1.3 billion based on exchange rates at the time of each investment) since 2009 and has invested in projects spanning 73 million sq ft mainly in MMR, NCR, Bengaluru, Pune and Chennai.

Published by HT Digital Content Services with permission from VC Circle.