Rustomjee's fund arm Mt K Kapital launches $450 million second fund with Marubeni

Keystone Realtors Limited, the Mumbai Metropolitan Region developer that sells under the Rustomjee brand, disclosed on 8 October 2026 a second real estate fund of $450 million, to be run by its fund management arm, Mt K Kapital. The fund is structured as a joint venture with Japan's Marubeni Corporation. The disclosure came alongside the company's regulatory operational update covering provisional figures for the first half and second quarter of FY27.

The update showed pre-sales of Rs 1,423 crore in the July to September quarter, up 84 percent from the same quarter a year earlier, and the company described it as its highest-ever quarterly pre-sales. Collections for the quarter fell 19 percent year on year to Rs 541 crore. Pre-sales for the first half of FY27 reached Rs 2,041 crore, an 11 percent rise over the corresponding period of FY26.

The fund and its structure

Mt K Kapital is a real estate focused fund management company and holds a Category II Alternative Investment Fund licence approved by the Securities and Exchange Board of India. The second fund is described as having a target corpus of $450 million, to be raised from general partners and limited partners, and deployed into projects across major cities. The fund will expand the firm's presence across Mumbai, the National Capital Region, Pune and Bengaluru.

The investment approach centres on taking a capital position at the acquisition stage of a project and then remaining involved through the full development cycle. Mt K Kapital's founder and managing director, Binitha Dalal, said in March 2025 that the second fund would be at least three times the size of the first and would be deployed across key Indian cities. Earlier reporting had put the planned second fund at around Rs 2,500 crore to finance housing projects in major cities. The first fund closed at a total corpus of Rs 790 crore and invested in Rustomjee projects in the Mumbai Metropolitan Region.

The company's fund arm carries a stable outlook from two rating agencies, with AA- ratings from both CRISIL and ICRA.

Operational details for the quarter

Several operating measures moved in the same direction as pre-sales during the July to September quarter:

• Area sold in the quarter was 0.65 million square feet, up 31 percent from 0.50 million square feet a year earlier.
• Area sold for the first half of FY27 stood at 0.97 million square feet.
• Two projects were added through business development in the first half, with a saleable area of 1.41 million square feet and an estimated gross development value of Rs 547 crore.
• Two launches in the quarter, in Malad West and Prabhadevi, together offered about 0.54 million square feet of saleable area and roughly Rs 2,196 crore of gross development value.
• Three RERA registered phases, Rustomjee La Familia A, B and C at Urbania in Thane, were completed, covering a total construction area of 1.32 million square feet.

Management linked the strong sales figure mainly to demand for its luxury and super premium residential projects. The company has also signed a contract with Robin Village Development, a Singapore based subsidiary of Tiong Seng, to set up an in-house pre-cast plant.

The developer

Keystone Realtors was incorporated in 1995 and is headquartered at Andheri East in Mumbai. It is listed on the National Stock Exchange under the symbol RUSTOMJEE and on the BSE under code 543669, and it reported a market capitalisation of about Rs 4,544.50 crore in coverage of the announcement. The company develops residential projects across luxury, super premium and affordable segments, along with commercial assets, cluster redevelopment and plotted development. Its chairman and managing director, Boman Irani, also serves as president of CREDAI, the apex body of realtors. In 2024 the company said it held surplus liquidity of around Rs 3,000 crore for investment in growth.

What comes next

For FY27, Keystone has guided to pre-sales growth of 20 to 25 percent year on year, implying a range of Rs 4,500 crore to Rs 5,000 crore. Over the longer term, the company aims to reach pre-sales of Rs 10,000 crore by 2030. Management has said more launches are planned for the coming festive months, and the second fund is intended to back developers from the acquisition stage through to completion.

Analysts have described the fund and the pre-cast plant as longer-term initiatives. One investor-focused analysis noted that the second fund expands the company's fund management platform and could bring third-party capital into its projects. Over the next two quarters, collections and the pace of new launches will be the figures to watch as the company works toward its FY27 target.