Portfolio Diversification

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 Properties3% to 4%  + appreciation of the property
Equity in  Commercial or Residential14% 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.