Ex-Red Fort exec launches new firm, targets debut funds

Raj Inamdar has launched TriVeda Capital and expects to start raising funds shortly for middle-tier residential developments in India.

The man formerly charged with creating new business initiatives at New Delhi-based private equity real estate firm Red Fort Capital will soon hit the capital-raising trail for the first investment funds of a new business he just launched.

Raj Inamdar has formed TriVeda Capital with offices in Bangalore and New York, through which he is planning to invest global institutional and domestic high-net-worth capital into middle-tier residential developments in India. The firm has $30 million of initial equity from high-net-worth sources and is engaged in an opening acquisition, which could see it invest $20 million in a parcel of development land in Bangalore. TriVeda expects to add further investments across India’s Tier I cities via capital raised for its first opportunistic real estate fund.

Details on the fund have not been formalized, and the firm declined to discuss fundraising matters. However, PERE understands that investments should generate IRRs of about 20 percent and an equity multiple of 2x, although, again, these targets are understood to not yet have been formalized as of press time.

Nonetheless, in a statement on the launch of TriVeda, Inamdar said it had “circled the initial investors for this investment vehicle” and that it would make “structured investments” that were “designed to provide attractive risk-adjusted returns to investors combined with strong downside protections.” No placement agent has been hired for the fund at this point.

Inamdar said: “In the years ahead, we look forward to differentiating ourselves in the Indian marketplace through our world-class private equity standards, value-oriented investment approach, conservative use of leverage and activist asset management program.”

The firm has started life with mandates to manage five Bangalore residential and mixed-use developments valued at approximately $500 million on behalf of Indian investors, it said in the statement. It initially has three staff including Inamdar, co-founder Sachin Garg – who is a colleague at another of Inamdar's companies called Sorani Finance & Real Estate – and Paras Malhotra, who has the role of transaction advisor. A further three hires are planned.

Inamdar launched TriVeda in April but started planning for the firm towards the end of last year, when he left Red Fort Capital. In his career, he has played important roles in the raising of $800 million from global institutional investors across six closed-ended funds, including $500 million for Red Fort's second opportunity fund, Red Fort India Real Estate Fund II, which closed in January 2012. Red Fort reportedly is seeking the same amount for a third fund in the series.

Inamdar previously also worked for South Asian Real Estate Group as chief investment officer, where he completed more than $2 billion in real estate transactions, developments, financings and restructurings in India and the US. He has held roles at Indra Capital Partners, Millennium Partners, Clark Enterprises, Morgan Stanley, Merrill Lynch and Nutripeak as well.