Delhi NCR developers tap fund houses for liquidity lifeline

New Delh: A growing number of funds are partnering developers in NCR to support land acquisition and complete existing projects, helping inject much-needed liquidity in the realty industry at a time of higher raw material prices and a broader slowdown in the residential property market amid geopolitical tensions.

Many developers are tapping fund houses to ensure they have a steady credit line as the slump has also impacted cash flows for some.

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Blackstone-backed ASK Property Fund recently signed a Rs 500 crore platform arrangement with Bhumika Group for investing in real estate developments, including residential plotted colonies across key micro-markets in the National Capital Region (NCR). The fund has made an initial commitment of Rs 125 crore to a 20-acre plotted development project in Faridabad.

“This platform arrangement will help us in long-term value creation, disciplined execution and the highest standards of governance,” said Uddhav Poddar, chairman and managing director, Bhumika Group. “We had earlier also raised funds and with NCR market maturing, Faridabad is emerging as the new growth hub.”

Bhumika Group earlier raised Rs 170 crore in debt in January from a real estate credit platform jointly managed by BGO and Aditya Birla Sun Life AMC. The funding was for the company’s mixed-use project on Mathura Road in Faridabad, which has a revenue potential of more than Rs 1,500 crore.

“NCR is a key market for funds looking to expandtheir residential portfolio,” said Hardeep Lamba, founder and managing director at Rezonance Consultants. “AIFs (Alternative Investment Funds) help secure funding for land in NCR. A lot of developers are aggregating land for plotted development in Faridabad, Sonipat, and Panipat. These funds provide much-needed liquidity to developers looking to do bigger projects.”

Rezonance recently facilitated Hero Realty, the real estate arm of Hero Enterprise, Rs 1,200 crore debtraise from IndusInd Bank to support growth and expansion plans.

The transaction follows HDFC Capital Advisors, the real estate private equity arm of the HDFC Group, establishing a Rs 1,000 crore platform with Hero Realty to develop housing projects in Tier 1 and 2 cities.

Earlier this year, ASK Property Fund invested Rs 260 crore in Kanodia Group’s real estate venture, Kreeva.

Separately, Certus Capital, a realty private credit platform, recently infused Rs 275 crore in a low-rise residential project of Gurugram-based 4S Developers on the Dwarka Expressway, marking the firm’s second investment in NCR.

Earlier this year, Certus agreed to invest Rs 110 crore in a Noida-based developer.

Private equity investment inflows into the domestic real estate sector reached $3.2 billion in the first half of 2026, a 33% surge from a year earlier, according to real estate consulting firm Savills India.

In the second quarter, inflows totalled $2 billion, rising 25%. Domestic capital accounted for 51% of total PE inflows in the first half.

Capital was deployed across a broad spectrum of asset classes, including alternative segments, but office remained the top choice, capturing 68% of domestic investments, largely in Tier-1 cities.