Mumbai: AllSpace Ventures recently announced the launch of India’s first fractional ownership of properties in the leisure segment that offers to own a percentage of super luxurious apartments and villas worth crores. With this, the company is all set to disrupt the legacy of the real estate sector with its state-of-the-art model designed to democratise the global investment space and bring a ‘sustainable change’ to the beleaguered real estate industry. The company aims to achieve a transaction of over INR 100 crore by next fiscal with a whopping 75 per cent year-on-year growth for the next three years.
AllSpace Ventures offers a simplified and cutting-edge platform to purchase, manage, or sell a percentage of a property asset, eliminating the roadblocks in the processes involved in owning, managing, and selling real estate properties. “In this platform, investors can simply register, select a pre-vetted property, invest a fraction of the property’s value, and then start earning rental income through dividends equal to their investments. We take away the barriers in real estate investing by allowing everyone across the globe to have digital onboarding process and self-service features to browse and review properties, as well as monitor investments with ease,” Vijay Naraayanan, Co-Founder and Chief Executive Officer, AllSpace Ventures said.
Stressing on the increasing real estate prices and inaccessibility to loans being the biggest barriers to owning properties in India, Mr Naraayanan said, “Most of us own Stocks, Fixed Deposits, Bonds, Metal and Commodities, but a strong Real Estate ownership portfolio is still beyond the reach of most buyers and investors. We all aspire to own chunks of real estate and what if I said that you had the unique option to buy multiple properties at a fraction of the actual cost, without taking a loan – from just INR 9 lacs onwards? This helps clients diversify their investments in property portfolios with lower amounts rather than focusing on a single property alone.”
If one has to buy a real estate property and give it on rent, it implies that s/he will not be able to use the property themselves. Moreover, most of the people are inclined to buy and own real estate properties within a limited geographical area but fail to leverage high-growth opportunities that arise at other destinations and locales which are far away from their pre-determined geographical limits. He further elaborates, “We provide the option to generate rent from your property and use the property at any time you desire? You could buy properties across the country and the globe – offering far superior income and appreciation opportunities – right from the comfort of your home.”
“Due to its relatively higher price, real estate is naturally a very rigid asset that does not provide flexibility in terms of partial liquidity. For example, if you own a property worth INR three crores and require just INR one crore immediately, you cannot sell your property piecemeal. We, at AllSpace Ventures, have the incredible flexibility of being able to sell and liquidate your property in proportion to your exact current requirement, and continue to own the rest of your property.” Mr Naraayanan explained.
The company, headquartered in Mumbai, has created a model that will revolutionise the way real estate investment works, create a viable and secure means to facilitate property transactions. It will allow local as well as foreign investors to participate with a ticket size between INR 9 Lacs and INR 50 Crores having a choice of investing in multiple properties across cities and tier II and III destinations including Goa, Mumbai, Pune, Delhi, Bengaluru, Hyderabad, Chennai, Alibaug, Lonavala and Igatpuri.
Established in 2013, AllSpace Ventures has an assorted selection of hand-picked 23 boutique properties in Goa, Alibaug and Lonavala offering an array of fully-furnished plush apartments – Studio, 1BHK, 2BHK and 3BHK – as well as ultra-luxurious 4BHK and 5BHK villas that feature bespoke spectacular amenities. The company has carried out extensive research and innovative test marketing for as many as 18 months revealed that the fractional ownership of properties is gaining tremendous momentum in India. “Employ the powerful mechanism of owning multiple properties and creating wealth through real estate without taking debt – leveraged by ultra-high-net-worth individuals, marquee investors and wealthy family houses,” he maintained.
Besides the metros as well as the tier-II and tier-III cities, the company strongly believe that the fractional ownership model would bring higher tractions and yields in the tourism and religious destinations due to shortage of supply chain. On the expansion plan, AllSpace Ventures is contemplating to spread its footprints internationally, having fractional ownership leisure space in the United States, United Kingdom, Spain, Italy, Australia, New Zealand, UAE, and South-East Asian countries by 2022. “We are aiming to achieve a transaction of over INR 100 crore this fiscal year and we expect a robust growth of, at least, 75 per cent year-on-year for the next three years,” Mr Naraayanan said. The company will be setting up offices in New Delhi, Ahmedabad, Pune, Bengaluru, Hyderabad, Chennai and Kochi in the next couple of months.