Indian state-owned sovereign wealth fund National Investment and Infrastructure Fund (NIIF) announced an investment of 660 crore rupees ($89.8 million) in HDFC Capital's real estate platform that finances mid-income and affordable housing projects.
The NIIF will invest in HDFC Capital Affordable Real Estate 2 (H-CARE 2), an investment platform managed by HDFC Capital Advisors, a wholly owned subsidiary of Indian financial services to venture capital firm Housing Development Finance Corporation Limited.
This investment enables investors in the NIIF fund to participate in the attractive mid-income and affordable housing sector in India.
NIIF said that this fund would help address the demand-supply gap in affordable housing and ensure that flexible financing is provided to quality developers.