CHENNAI: Sundaram Alternates (SA), the specialist alternative investment arm of the Sundaram Finance Group, on Thursday announced the final close of SA Real Estate Credit Fund V (India’s first ESG-aligned real estate credit fund) at Rs 2,500 crore, achieving full subscription within less than seven months of its launch in October 2025.
The fund has already committed over 90 per cent of the capital raised across investment deals.
The final close surpasses the fund's initial target corpus of Rs 1,500 crore, reflecting sustained investor demand for SA's performing real estate credit strategy.
The fund had earlier crossed Rs 1,000 crore within three months of launch, and investor momentum continued through the final close. Fund V attracted commitments from a broad cross section of institutional and high-net-worth investors, including insurance companies, family offices, corporate treasuries, and ultra-high-net-worth investors, a release said.
The fund is also sponsored by the Sundaram Finance Group, reinforcing alignment of interest with investors.
Karthik Athreya, managing director, Sundaram Alternates, said: "Reaching a final close in less than seven months is a strong validation of the platform we have built over nearly a decade."
Sundaram Alternates has now raised over Rs 5,500 crore across its real estate credit platform, with Fund V taking total commitments across the series to a new high.
The platform has delivered IRRs in the range of 18–19 per cent, maintained a zero capital loss record since inception in 2017, and navigated multiple market cycles including the NBFC liquidity stress, RERA and GST transitions, the COVID-19 pandemic, and recent inflationary periods, it added.