Blackstone-Backed ASK Property Fund Exits Mahagun Medalleo for ₹650 Crore at 21% IRR
Blackstone-backed Fund Exits Medalleo Investment at Strong Returns
ASK Property Fund, backed by Blackstone, has exited its investment in Mahagun Group's Medalleo project in Noida Sector 107 with a return of ₹650 crore, representing a significant milestone for structured real estate capital in the Delhi-NCR market. The fund had deployed ₹310 crore in the project in 2021, yielding gains of approximately ₹340 crore over five years.
Deal Structure and Returns
The investment covered 2.4 million square feet of saleable area, making it a significant capital commitment to a large-scale residential project. The fund reported a 21 per cent internal rate of return upon its exit, demonstrating the income-generating capacity of the underlying asset and the structured financing approach. Sources close to the exit process indicated that two-thirds of the funds were received from internal accruals, while the remaining one-third came from refinancing, reflecting healthy project cash flows and improved developer balance sheet capacity.
Conclusion of Multi-Year Debt Fund
With this move, Amit Bhagat, cofounder, CEO and MD at ASK Property Fund, announced a complete exit of ₹1,500 crore from its debt fund raised in 2018, with an investment multiple of 1.83x. This fund cycle spanned the 2020–2026 period, navigating market volatility and project-specific challenges to deliver returns well in excess of traditional debt instruments. The completion of this fund signals the maturation of counter-cyclical capital deployment strategies in Indian residential real estate.
ASK Property Fund Track Record in Real Estate
ASK has raised ₹9,100 crore since 2009 and has invested in projects spanning 70 million square feet mainly in the Mumbai Metropolitan Region, Delhi National Capital Region, Bangalore, Pune and Chennai. The fund operates a sector-agnostic model, investing across the residential development lifecycle—from construction debt and lender replacement to growth capital and distressed acquisitions. Its investors include family offices, ultra high net-worth individuals, high net-worth individuals and institutions.
Medalleo and Noida Sector 107 Context
Mahagun Medalleo is a premium residential development by the Mahagun Group, located in the prime locality of Sector 107, Noida. Spread across 13 acres, the project comprises 6 high-rise towers with a range of meticulously designed 3 and 4 BHK luxury residences. The project is RERA registered under UPRERAPRJ125561.
Sector 107 Noida is a premium residential hub in Uttar Pradesh, known for its luxury apartments, green spaces, and strategic location along the Noida-Greater Noida Expressway. This locality offers a blend of modern living with excellent connectivity, making it attractive for homebuyers and investors. Property rates in the sector stand around ₹16,300 per square foot.
Developer Background
Mahagun Group, with over 4 decades of experience, has a portfolio comprising 7 million sq ft of residential space across 4,000 completed units. The group currently has around 15,000 units covering approximately 18.50 million sq ft in progress. The group operates across residential, commercial and hospitality segments in the Delhi-NCR region.
The Medalleo exit demonstrates the viability of structured capital in unlocking value from premium residential assets and accelerating developer execution timelines in a market marked by liquidity constraints and extended delivery cycles.