Nirala World, Sea Fund Launch SGREF, an Alternative Investment Fund for Real Estate worth ₹2,000 crore

New Delhi/Gautam Buddh Nagar, May 1, 2025: The promoters of Nirala World and Sea Fund have launched an alternative investment fund worth INR 2,000 crore called SGRE Fund (SGREF).

SGREF will finance real estate companies struggling to get funds to revive and complete projects through debenture and equity participation. The Fund plans to invest in residential and commercial real estate projects across the Delhi-NCR region.  

SGREF is a scheme-based fund registered with the Securities and Exchange Board of India (SEBI) under Category II. Two payouts from the Fund’s first programme, valued at INR 125 crore, have already been paid to companies.

Another round of disbursement is expected soon as SGREF is at various stages of due diligence, economic viability and technical feasibility, including land title, dues, legal formalities, etc. SGREF has applied for approval worth INR 500 crore. To expand its portfolio, SGREF has also applied for a second scheme through equity participation worth INR 500 crore.

Suresh Garg, one of the lead promoters of SGRE Fund, said “We are excited to announce the launch of this fund dedicated to the real estate sector. Any project which requires funds can apply. Our legal and technical team checks the feasibility and after the standard process of examination, they recommend a proposal to the standing committee for final go-ahead.” If the project is economically viable, land title is clear and there is no legal issue with the project, such projects will be eligible for funding. However, the last decision will be of the investment committee, he added.

SGREF has also invested in projects stuck due to the lack of funds and is ready to fund projects struggling to get funds from banks, financial institutions and other alternative funds. “We are also ready to fund promoters who require initial funding for the eligibility of SWAMIH Fund. The vision is to become ‘Real Partners of Real Estate’,” Suresh Garg, also the CMD of Nirala World, said.

SGREF will secure its return through equity shares and debenture participation. Garg further added, “We have a finance and real estate background. Hence, we have a deep knowledge of the sector in terms of demand and supply, sentiments, sales, construction, revenue generation and critical issues pertaining to the completion of the projects. The benefits of experience will be passed on to promoters who are in real need.”

The Fund will be raised from third-party capital from sophisticated institutional and individual investors per SEBI guidelines. This includes family offices, high net-worth individuals, insurance companies, pension funds, banks, financial institutions, sovereign funds, multilateral institutions and other sophisticated and institutional investors.

The Fund’s other promoter is Sanjay Gupta, director, Sea Fund. Both Garg and Gupta have finance backgrounds. Apart from being a seasoned chartered accountant, Garg, as CMD of Nirala World, has delivered more than 10 million sq. ft. in the residential category, including Nirala Eden Park, Nirala Estate and Nirala Trio under-construction project. Nirala World is all set to launch two new commercial projects in Greater Noida West.