Office Space Project- Real estate arm of Morphogenesis to invest Rs 100 crore in Delhi’s Okhla
The architectural firm Morphogenesis plans to invest 100 crore rupees through its real estate arm to develop about 2 lakh square feet of prime office space project in Okhla in Delhi, Manit Rastogi, Morphogenesis's original partner.
The Company has developed 50,000 square feet of office space through a co-development model and plans to undertake 4-5 similar projects in the micro-markets.
“This market has many smaller properties like this that need to be redeveloped. The floors or buildings can be used for the company headquarters. We are in talks with property owners as there is a demand for high quality space, "said Rastogi.
Morphogenesis also has a new real estate investment platform MYRE Capital which is in the process of launching an Alternative Investment Fund (AIF) worth Rs 500 crore by July 2022.
In addition, it has a fractional ownership platform that has grown its user base 10x in 12 months, registering more than 30,000 investors and over Rs 1.75 billion in managed assets.
"We have maintained a 100% rent collection and distribution rate for investors and achieved a 0% vacancy rate in the portfolio despite the three closed pandemic locks. There has been a huge increase in CRE activity, as a result of increased pent - up demand over the last two years - we are seeing unprecedented lethargy in major commercial hubs, "he said.
Vir, Founder and CEO, MYRE Capital.
To meet the demand for CRE investments from HNIs, family office space project, institutional and retail investors, MYRE Capital will launch a Rs 500 crore Alternative Investment Fund (AIF) by July 2022.
The AIF will invest in completed A + commercial properties leased by
Tenants for long-term leases while building a healthy mix of selected properties.
Investors receive a stable monthly rental income of 8% -10% from the fund's assets and also benefit from capital growth. The fund is expected to achieve a total internal return of 20% to 25%.
“With these three different business models, we can offer a complete package for commercial real estate office space project. We will keep the office space we build and only offer it for rent, ”said Rastogi.
Investing in CRE has always been one of the preferred asset classes for institutional investors and HNIs - through the fractional ownership model.
MYRE Capital is also working on a proprietary asset valuation algorithm. This algorithm is based on the foundation of artificial intelligence, machine learning and big data analysis.
It works in real time to find and rank more than 1500 opportunities per month. The algorithm will encourage quantitative decision-making, leading to better performance and returns for investors.
MYRE Capital already has five open properties in Bangalore, Mumbai and Pune. With the company's growing NRI traction, the Fractional CRE platform is exploring a local presence in markets such as Dubai, the UK and Singapore to offer global real estate opportunities to investors in the near future.
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