Paracor Capital plans $70--mn in realty projects

Paracor Capital Realty Projects
In view of the emerging huge business avenues in the country’s real estate sector, the private equity firm, Paracor Capital Advisors has recently decided to invest a staggering sum worth $ 70 million in seven residential projects, said sources claiming that the fund will invest in both early-stage and under-construction projects in tier I cities, through structured debt deals. The fund had earlier invested around $50 million in residential as well as hospitality projects between 2007 and 13. It is now in exit mode from these investments. As per the latest decision the fund plans to invest in early stage transactions, buying land and doing a joint ventures with a developer is in mostly small city centric realty projects. The fund expects to deploy about $10 million in each project and earn about 17-20% Internal Rate of Return (IRR) in dollars. In current year, PE funds invested about $ 954 million in real estate projects from January to June as compared to $1.66 billion in the same period in 2015, according to available stats.

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