Sundaram Alternative Opportunities Series – High Yield Secured Real Estate Fund IV is a Category II AIF focused on high-yield, senior secured credit investments in the real estate sector. The fund targets debentures and mezzanine securities across residential, commercial, logistics, hospitality, and healthcare segments. It emphasizes capital protection through investments backed by monetizable assets, project cash flows, and corporate guarantees. With a loan-to-value ratio of 1.5–2x, it ensures strong downside protection. The fund has deployed over 70% of its ₹1,000 crore corpus across 12 deals, delivering ~19% IRR. It maintains a strong presence in South India and key metros like Mumbai and Pune.
De-stressing and de-bottlenecking assets through:
Rescue financing
Last-mile funding
Refinancing and restructuring of distressed assets
Target instruments: Real estate-backed debentures, mezzanine securities, equity
Residential
Commercial
Retail & Logistics (warehousing, data centers)
Hospitality (hotels, resorts)
Healthcare (hospitals, senior care homes)
Secured investments backed by:
Monetizable assets
Related cash flows
Corporate guarantees
Loan-to-Value (LTV): 1.5× – 2×
39 deals executed
~19%+ gross portfolio returns across multiple market cycles
Over 90% contracted cash flows collected during COVID lockdowns
Strong sponsor commitment (details not disclosed)
Targeted footprint in South India and select metros: Mumbai, Pune
