About Venture Circle
Whats Venturecircle?
Venturecircle is a fin-tech platform that acts as a digital market place for the Indian real estate opportunities. It provides the investor with an opportunity to create the real estate portfolio and liquidating at the right time with the higher profits. FAQs discussed here could give more insight into investing into real estate through Venturecircle. Invest with us.
How Venturecircle works?
It provides a technical platform for the investors to invest in real estate just like equity & bond. It facilitates in building the real estate portfolio in the potential assets. It allows the investor to be part of multiple real estate assets including commercial properties, residential projects, luxury apartments, shopping malls, hotels, resorts , co-living, co-working asset classes.
What are the returns of Investing with Venturecircle ?
The net IRR ( Internal return rate ) varies from the project and the asset class based on the location of the project. Considering the growth in the demand for real estate in India, we can expect 14% to 24% CAGR for all the projects. The difference between the equity market and Venturecircle is its potential to cover the risk. Venturecircle invests in the very limited, highly-screened real estate projects from the reputed developers in the prime locations & high yielding commercial projects in the secondary market. This not only hedge the price risk also makes sure always there is a discounted buy at any time.
What are the different Cities available for Real Estate Investment ?
Venturecircle operates in major cities of India including Bangalore, Mumbai, Chennai, Hubli, Hyderabad and many more. The investment is based on the availibility options. New projects will be keep coming in these cities. We are planning to move to tier 2 cities of India in the future as there is demand for residential and commercial real estate.
Where can we check the Investment progress ?
Current investments shall be tracked in the Venturecircle.com website. It will detail all the following information.
Total investment in project, Project Location, Project SPV ( Special Purpose Vehicle ), Other partners in the SPV, Current Project Progress,
options to exit ( if available), Cash yield payments, Payment history, Project income statement, Agreement documents etc.
Whats Special Purpose Vehicle ( SPV ) ?
Special Purpose Vehicle is a legal entity formed with purpose to fulfill transaction or business with an objective to achieve the limited goals in a short duration. SPV is registered with government to execute a project in the defined time frame as agreed with the other members of the vehicle.
Who manages the SPV ?
Designed member from the Venturecircle will be managing the SPV with high level of transparency. Special Purpose vehicle is formed for each project identified by Venturecircle for the investment purpose.
What are the different investment options available ?
Venturecircle provides different investment options to invest in Indian real estate.
Commercial Real Estate Rental properties ( Ready to rent Properties )
Residential Real Estate Rental Properties ( Ready to rent properties )
Commercial Real Estate / Residential Real Estate Buyout options at early stage of project.
What are the estimate returns on the investment ?
Following are the expected returns from the different types of investment
Commercial Rental Properties | 6% to 8% + appreciation of the property |
Residential Rental Properties | 3% to 4% + appreciation of the property |
Equity in Commercial or Residential | 14% to 20% |
Debt in Commercial | 12% to 13% ( Fixed ) |
Debt in Residential | 12% to 13% ( Fixed ) |
Note : Venturecircle doesn’t buy or sell the debt. It facilities the debt transaction between buyer and seller against the property.
Are returns guaranteed 100%
Like any other investment there is inherent risk involved with every asset class. We at Venturecircle tries to bridge the gap and make sure your investment is safe compare to equity market. Debt has the lowest risk compare to any other investment options as others directly or indirectly depend on the market conditions , global factors, political stability etc.
How Venturecircle select the Investment Property ?
We have legal and financial team who will go through the various parameters before deciding the vehicle or investment. There is due diligence process for deciding the property. We decide property selection on parameters like location of the project, potential for the appreciation, reports from agencies like JLL, Cushman & Wakefield about the potential of location, title of the property, history of the property ownership for last 50 years, clearance from legal department, approvals from authority, permissions from the local authorities, real estate regulatory approvals ( RERA ) if its on going project, developers credibility, quality of construction, income statements from the developer etc.
What are the different options available in Commercial Real Estate ?
We deal with different high yielding investment options in commercial real estate in Indian cities including Bangalore, Hyderabad, Hubli, Mysore, Pune, Mumbai, etc. Commercial Properties could be Shopping Malls, High Street shops, Business Centers, Office Spaces, Co-living spaces, Co-working Spaces, Students Hostel, Hotels, Resorts , wear house and many more.
What are the different options available in Residential Real Estate ?
Residential Real Estate mainly focuses on Residential Apartments in the tier 1 and tier 2 cities of India. There is huge demand for residential apartments in the urban areas of India. The demand and supply gap with the good quality construction in Indian cities. There is demand for Luxury Apartments and affordable segments. Affordable housing has good demand in the tier 1 and tier 2 cities as big developers only focusing on the luxury segment.
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