To fuel its growth, Bengaluru-based coworking firm BHIVE plans to raise Rs 400 crore in a coworking-focused CAT-2 alternative investment fund (AIF).

The proposed new fund will buy fully finished commercial real estate properties in prime locations with clear titles, occupancy certificates, and a set capex. BHIVE has solidified its position as Bengaluru's largest co-working operator over the last year, closing transactions worth more than Rs 200 crore.

“There has been exponential growth in the number of AIFs in India. Unlike a decade ago, when offshore investors were funding India’s AIFs, the expanding pool of domestic investors is helping them grow today. We see a tremendous opportunity in this segment and will go aggressive with our plans as we embark on the next growth phase of the organization,” said Sheshagiri Rao Paplikar, Founder & CEO of the BHIVE.

The company has also announced that it will close its current AIF fund, which was managed by Sandeep Gupta. Gupta's decision to pursue new opportunities outside of BHIVE is symbolised by this transition. Despite his departure, BHIVE emphasises that there will be no disruption to its investment trajectory or impact on its current portfolio because the current AIF is still not operational.

"Change is unavoidable in the investment landscape." "Our team, strengthened by expertise and dedication, is dedicated to delivering optimal results and maintaining our investors' trust in us," Paplikar said.