Square Yards Launches Commercial Real Estate Fractional Ownership Product to Indian Market

The diversified real estate marketplace company Square Yards has launched a fractional investment product to the Indian market.

Offered through Props{AMC}, the company's data intelligence and asset management subsidiary acquired in 2021, the new offering is designed to give retail investors access to the commercial real estate asset class which has traditionally been out of reach according to Square Yards founder & CEO, Tanuj Shori.

"India's commercial real estate market has for long been dominated by high net-worth individuals and institutions. Fractional investing aims to break this status quo by making commercial property investing affordable for the average Indian."

The minimum investment size will be ₹25 lakh (around $31k) with most investment products not having a lock-in. At the time of writing, there were two projects live on the platform with Square Yards targeting cities like Mumbai, Thane, Pune Noida and Chennai to build out its portfolio and eventually have $1 billion worth of assets under management.

Square Yards is a diversified PropTech business and real estate marketplace. For consumers, the company already operates a core new homes listings service as well as an existing homes segment (Square Yards), a property management business (azuro), a renovations business (Interior Company) and a fintech offering (Urban Money).

Below: Watch Tanuj Shori share the Square Yards story and model as part of Property Portal Watch 2020 Virtual Edition.

Square Yards has grown rapidly since its foundation in 2014 and is reportedly considering an IPO. The company recently reported 142% year-on-year revenue growth for the second quarter of the Indian financial year.

Square Yards is not the only real estate marketplace company in a developing market to offer investors fractional crowdfunding opportunities. Earlier this month, Latin American giant Mercado Libre announced a partnership with SimpleState, allowing its users in Argentina to invest in real estate developments from as little as ARS 10k and earn in US dollars.