A $100 million proptech fund has been established by the Confederation of Real Estate Developers’ Associations of India (Credai) and startup incubator and accelerator Venture Catalysts to invest in real estate entrepreneurs.
All-important real estate categories, including residential, commercial, institutional (hotels, schools, hospitals), and industrial, will be served by the fund’s investments in early- to growth-stage firms (warehouses, factories).
“With the rapid development in the proptech domain, the use of AR/VR (augmented reality/ virtual reality) or AI (artificial intelligence) to help homebuyers expedite the process of closing deals will help provide developers with better liquidity as the processes gradually become more efficient, resulting in enhanced asset returns, decreased friction, and increased transparency,” Harsh Vardhan Patodia, president, Credai, said in a statement.
Credai will offer mentorship to startups as part of the initiative and give them access to its network of over 13,000 members from 256 various real estate-related industries, including developers, vendors, channel partners, promoters, and others.
“Real estate was one of the few sectors that witnessed the adoption of technology even before the pandemic hit. However, in the post-covid era, this adoption has further increased to boost sales and experience. Hence there is a need for a dedicated fund that would help propel growth in the sector… Through this fund, we expect to back some very interesting and innovative startups in the coming months,” said Anuj Golecha, co-founder, Venture Catalysts.
Early investors in the hospitality unicorn Oyo include Venture Catalysts. The founder and CEO of Oyo, Ritesh Agarwal, was added as a mentor and adviser by the Mumbai-based startup accelerator in August 2020.