+
Will affordable housing revive residential investments?
Real Estate

Will affordable housing revive residential investments?

Grappling with multiple issues like stalled or delayed projects, liquidity crunch and high property values coupled with weaker demand and low sales, the residential space has been gradually losing PE investor interest over the years, with equity investments down to 3 per cent in 2018 from 27 per cent. Institutional investors believe residential developers still have to tighten their operations, believes Ashutosh Limaye, Director & Head - Consulting Services, Anarock Property Consultants. “That’s why, PE has not really come in equity form to the residential segment, although they may consider investing as debt.”

However, this is expected to change with the impetus to the affordable housing sector. HDFC Capital has already raised a $ 1-billion dedicated platform for investments in affordable and mid-income residential projects in 15 cities. Prestige Estate Projects and HDFC Capital Advisors have committed $ 390 million for affordable housing projects. And Puravankara Developers is also in talks with domestic funds for affordable housing projects.

Further, in February this year, Blackstone announced that PE funds managed by it have entered into an agreement to acquire the entire stake in Aadhar Housing Finance, India’s largest independent affordable housing finance company. Blackstone will simultaneously infuse Rs 8 billion PE capital into Aadhar. The transaction is expected to close later this year. 

Grappling with multiple issues like stalled or delayed projects, liquidity crunch and high property values coupled with weaker demand and low sales, the residential space has been gradually losing PE investor interest over the years, with equity investments down to 3 per cent in 2018 from 27 per cent. Institutional investors believe residential developers still have to tighten their operations, believes Ashutosh Limaye, Director & Head - Consulting Services, Anarock Property Consultants. “That’s why, PE has not really come in equity form to the residential segment, although they may consider investing as debt.”However, this is expected to change with the impetus to the affordable housing sector. HDFC Capital has already raised a $ 1-billion dedicated platform for investments in affordable and mid-income residential projects in 15 cities. Prestige Estate Projects and HDFC Capital Advisors have committed $ 390 million for affordable housing projects. And Puravankara Developers is also in talks with domestic funds for affordable housing projects.Further, in February this year, Blackstone announced that PE funds managed by it have entered into an agreement to acquire the entire stake in Aadhar Housing Finance, India’s largest independent affordable housing finance company. Blackstone will simultaneously infuse Rs 8 billion PE capital into Aadhar. The transaction is expected to close later this year. 

Next Story
Infrastructure Urban

India Expands Semiconductor Training To 500 Institutions

Under the Chips to Startups programme of the India Semiconductor Mission, the Union minister responsible for Railways, Information and Broadcasting, and Electronics and IT reported notable progress in talent development. He indicated that over the past four years substantial steps have been taken towards a 10-year target of training 85,000 engineers in semiconductor design. World-class EDA tools have been deployed in 315 academic institutions across the country to provide students with practical exposure to chip design. These EDA tools are supported by leading global firms and are accessible t..

Next Story
Infrastructure Urban

Delhi Institutions Support India Semiconductor Mission

The Government of India has prioritised talent development through training, upskilling and workforce development under the Chips to Startups initiative of the India Semiconductor Mission, with officials noting progress in four years towards a 10-year target of training 85,000 engineers in semiconductor design. Electronic design automation tools provided by Synopsys, Cadence, Siemens, Renesas, Ansys and AMD have been deployed in 315 academic institutions, enabling students to gain practical chip design experience. Chips have been fabricated and tested at the Semiconductor Laboratory, Mohali, a..

Next Story
Infrastructure Urban

NHA Announces Winners Of NHCX Hackathon At IIT Hyderabad

The National Health Authority (NHA) has concluded the NHCX Hackathon under the Ayushman Bharat Digital Mission (ABDM) to stimulate innovation around the National Health Claims Exchange (NHCX). The winning teams presented their solutions at the NHCX Innovation Meet held at IIT Hyderabad during a two-day event in March 2026 that also served as the hackathon grand finale. The hackathon itself ran from 22 to 28 February 2026 and aimed to accelerate paperless, transparent claims processing across India. The event was organised with a range of ecosystem partners, including the Insurance Regulatory a..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement