Bengaluru-based affordable housing firm BHC Value Homes Pvt. Ltd. secures a further $20 million USD to aid expansion in India.
Bengaluru-based affordable housing firm BHC Value Homes Pvt. Ltd. (previously known as Value & Budget Housing Corporation), founded by Jerry Rao, former chairman of Mphasis, on Monday announced a strategic partnership with Stichting Van Herk Investments, Foundation, a Rotterdam-based global investment firm.
The firm is investing an equivalent of $20 million, the largest investment since the announcement of the new Foreign Direct Investment policy in the affordable housing segment in India. The Investment Memorandum was signed in the presence of Prime Minister of Netherlands Mark Rutte on June 6, 2015, the company said in a statement.
This is the second round of investment by Van Herk Groep, the first being in July 2014, when Van Herk Groep invested in the equity capital of VBHC.
In the current round, the investment covers both developing affordable housing projects and development of affordable serviced apartments for young professionals and industrial workers. This investment will enable VBHC to expand its footprint in India. VBHC will also continue to benefit from the expertise of Van Herk Groep in the residential housing segment, the statement added.
“There is a huge potential in India for affordable housing, especially the affordable service apartments segment. Through our partnership with Van Herk Groep our objective is to bridge this gap”, Rao said.</p
