WB injects funds in $267-mn AHL's housing

In an encouraging development, the World Bank's investment arm IFC has decided to pump in $23 million in a $267 million low-cost housing projects being undertaken by the Ashiana Housing Limited (AHL), which targets affordable units, mid-income housing as well as retirement homes for the elderly. IFC is one of the few financiers of affordable and mid-income projects in India. IFC said that its long-term capital is not readily available to the realty sector as its equity investment is a structured 8-year equity investment, which would provide capital with a tenure that matches the project's life. Ashiana's projects will be located across various cities in India, but primarily in Jaipur, Pune, and Chennai. The project would involve the construction of about 5,000 to 6,000 mid-income and affordable units, including senior living units (with care homes) mostly targeted at active adults, across 5 to 7 projects over 6 to 8 years. The projects will be developed in a single or via multiple Special Purpose Vehicles (SPVs) promoted by AHL, said an official spokesperson.