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Fractional Real Estate

Own a share of RERA-registered projects, security-backed

Real Assets · Income

Fractional Real Estate

Fractional real estate allows investors to own a share of high-value real estate opportunities without purchasing an entire property — through comprehensive due diligence, security-backed structures and transparent documentation, in RERA-registered projects only.

Premium residential and commercial projects have historically been the preserve of institutions and buyers with crores to deploy. A fractional structure splits a single, specific transaction across ten to fifteen investors through a dedicated LLP, each holding a proportionate economic interest.

Every opportunity is RERA-registered and must clear 650+ legal, financial and technical checks, score 85 or above on a 100-point framework, and be backed by roughly 2X security transferred to the LLP before any money moves. Returns are expectations, not promises — the sections below set out both the structure and the risks.

Illustrative growth
RERA-Registered Registration
Registration
RERA-Registered
Ticket Size
₹8 – 10 Lakh
Horizon
12 – 15 Months
Security
~2X Cover
Risk ProfileModerate
RERA-registered projects only Every opportunity carries a MahaRERA registration number
The product

What is fractional real estate?

Fractional real estate allows investors to own a share of high-value real estate opportunities without purchasing an entire property. Through comprehensive due diligence, security-backed investment structures and transparent documentation, you can participate in RERA-registered projects with a lower capital commitment and a defined exit mechanism.

No stock market exposure

Returns are tied to a specific property transaction and the developer’s buy-back, not to daily market sentiment. Your capital is not marked to market.

2X security cover

The developer transfers property worth roughly twice the funded amount as security to the LLP before any money moves. This is collateral cover — it is not a guarantee of return.

Premium residential & commercial access

Participate in projects that would normally require crores of capital to enter, at a fraction of the ticket size.

Transparency & due diligence

You see the RERA registration, the title report, the developer due-diligence score and the security documents before you commit.

Investment snapshot

What a typical participation looks like

₹8–10 Lakh
Investment amount
12–15 months
Investment horizon
14–16% p.a.*
Expected return
*The 14–16% p.a. figure is an expectation based on the transaction structure, not a promise. We do not guarantee returns, appreciation or profits. Investments are subject to market risks — please read all scheme-related documents carefully.
How it works

Six things happen before your money moves

The structure is designed so that no single party — including the developer — can move investor funds unilaterally.

Builders submit the project

A developer applies for funding and submits project, legal and financial documents for assessment.

650+ checks are run

Legal, financial and technical checks are conducted across the entity, the title and the project itself.

Only 85+/100 qualifies

Projects are scored on a 100-point framework. Only those scoring 85 or above, and offering 2X security, proceed.

A dedicated LLP is created

An LLP or SPV is set up specifically for the opportunity and all agreements are executed through it.

Funds are routed through the LLP

Investor money never reaches the developer as a payment from you — it flows through the LLP to the approved project.

Investors receive their share

Each investor receives their proportionate share of principal and returns as the transaction unwinds.

End to end

The journey from project evaluation to investor returns

Nine steps, one gate. Most projects do not get past the gate.

1

Builder approaches for funding

The developer applies to the platform for project funding.

2

Document submission & due diligence

All required documents are submitted and evaluated on a 100-point framework.

Score 85+ / 100 and 2X security → proceeds Below 85 — rejected
3

Platform creates the investment structure

A dedicated LLP / SPV is created for the opportunity; multiple investors participate in the deal.

4

Builder raises the funding demand

A formal funding request is raised on the platform.

5

Investor participation

Typically 10–15 investors contribute funds through the platform.

6

Security creation

The builder transfers roughly 2X the funded value as security, held by the LLP / SPV.

7

Fund disbursement

Funds are transferred to the builder against the created security.

8

Monthly monitoring

Project execution and payments are monitored every month.

9

Investment closure

Investors receive periodic returns through the tenure and principal is repaid at the end.

Downside structure

What “2X security” means — and what it does not

Before a rupee is disbursed, the developer transfers property worth approximately twice the funded amount to the LLP as security.

If the developer fails to perform, the LLP is not left negotiating — it already holds assets it can sell to recover capital. In the illustrative project below, that security took the form of 27 identified flats in an approved wing, together with their parking spaces and proportionate undivided share in the land.

This is collateral cover, not a return guarantee. It reduces the severity of a loss; it does not remove the risk of one. Recovery depends on the property market at the time of sale, and on the time an open-market sale takes.
₹1
Funded by investors
₹2
Property value held as security by the LLP

Why the structure matters

  • Funds flow through the LLP, never straight to the developer
  • Security is created before disbursement, not after
  • Execution and payments are monitored monthly
Why not just buy a flat?

The cost of capital that cannot move

A worked comparison. Rajesh, 38, put ₹15 lakh into an under-construction apartment priced at ₹70 lakh, with possession promised in three years.

Year 1
Foundation laid. Rajesh remained optimistic.
Year 2
Construction slowed significantly and eventually stalled.
Year 3
The builder cited regulatory and approval-related delays.
Promised
Three years to possession. The date arrived: no completed flat, no possession, no refund.
Actual
Six years — while a ₹46,000 monthly EMI kept leaving his pocket.
Option A — the property path
₹15,00,000 → ₹19.06 L
  • Capital locked for six years
  • Property value grew from ₹70 L to ₹90 L
  • ₹46,000 monthly EMI throughout — ₹33.12 L of outflow
  • Return: +4.10% CAGR
Option B — fractional real estate
₹15,00,000 → ₹34.70 L
  • Same ₹15 lakh, reinvested each cycle at ~15% XIRR
  • No EMI burden
  • Capital returns at the end of each 12–15 month cycle
  • Return: +131% over six years
₹15.64 Lakh The difference in wealth created
Illustration only. It assumes a 15% XIRR is achieved and repeated across cycles, which is not guaranteed, and compares against one hypothetical delayed property. Real outcomes vary with the project, the market and the timing. The real cost in this example was not the delay — it was the lost compounding.
An illustrative example

What a vetted project looks like

Below is a real set of diligence outputs for one project, shown so you can see the standard of evidence we work to. It is illustrative only — not a live offer or a solicitation to invest.

MahaRERA Registration No. P52100045729
MahaRERA Registration
P52100045729
Project
Ved Laurels Phase I
Promoter / Developer
M/s Vednirmitee Projects
Location
Gat No. 105/1/1, Village Waraje, Taluka Haveli, Pune
RERA validity
06/06/2022 – 25/09/2026
Development agreement
Registered 16/02/2021, Doc. No. 4665
Commencement certificate
09/04/2025
Title search period
30 years (1995–2025)

Registration details can be verified independently on the MahaRERA public portal using the number above.

Developer due diligence

Scored across eight risk dimensions

An independent third-party risk assessment of the promoter entity, covering credit history, litigation, compliance, sanctions, promoter quality and market sentiment.

  • No defaults identified under CIBIL in the last five years
  • No insolvency proceedings in DRT, NCLT, NCLAT or IBBI
  • No criminal, tax or civil litigation against the entity
  • GST filings 100% on time — 17 of 17 filings, zero delays or defaults
  • No SFIO, CBI or CCI defaults; no international sanctions or PEP hits
  • No adverse media and no consumer complaints on record

The one dimension not scoring full marks was Financial Health, rated moderate because average year-on-year GST turnover growth over five years stood at 14%. Turnover rose from ₹237.68 lakh in FY23 to ₹271.32 lakh in FY24.

96.19/100 Overall entity risk score
Litigation History 30/30
Financial Health 16/20
Credit History 15/15
Compliance Rigor 10/10
Defaulter & Blacklist Mentions 10/10
Promoter & Related Party Quality 10/10
Sanctions & PEP Mentions 5/5
Market Sentiment 5/5

Third-party assessment based on publicly available records as at the report date. It is not an audit and does not constitute legal advice.

Before you commit capital

Frequently asked questions

If the developer does not buy back the property as agreed, the LLP can sell the apartment in the open market at the prevailing market price. Because the developer has significant capital invested in the project, there is normally a strong commercial incentive to complete the buy-back. This is a recovery route, not a guarantee — an open-market sale takes time and the realised price may differ from the expected buy-back value.
Real estate markets move in cycles and sales can slow at certain price points. In such situations the LLP may have flexibility to adjust pricing to attract buyers. While property prices typically do not fall sharply over short periods, a significant decline below the expected buy-back value would reduce profits, and could reduce capital returned.
Construction delay is a genuine risk in real estate. The discounted purchase price is intended to account for some of that risk, and even if a project runs late investors may still achieve attractive returns provided the property’s market value holds. Extended delays beyond expected timelines will reduce profitability and lengthen the time your capital is committed.
No. We do not guarantee returns, appreciation or profits. Our role is limited to identifying opportunities, conducting due diligence, negotiating agreements and facilitating transactions. The investment decision and the associated risks remain entirely with the investor. The 14–16% p.a. figure is an expectation based on the transaction structure, not a promise.
Before funds are disbursed, the developer transfers property worth approximately twice the funded amount to the LLP as security. If the developer fails to perform, the LLP holds assets it can sell to recover capital. It reduces loss severity — it does not eliminate the risk of loss, and realisation depends on the property market at the time of sale.
Yes, in practice. The horizon is typically 12–15 months and there is no assured early-exit facility. Fractional real estate is illiquid by nature. Only commit capital you will not need during the tenure.
No. This is participation in a specific property transaction through an LLP, not units in a SEBI-registered REIT or Small and Medium REIT. There is no exchange listing and no daily price. The regulatory framework, liquidity and disclosure regime are all different.
Taxation depends on how returns are characterised in your particular LLP structure — typically as share of LLP profit or as interest income. Treatment varies by transaction, so please confirm with your tax adviser. ILNB Group does not provide tax advice.
Every project we present carries a MahaRERA registration number. You can enter it on the MahaRERA public portal to see the promoter, the sanctioned plans, the declared timelines and the quarterly progress filings. We encourage you to check it independently rather than take our word for it.
Risk disclosure. Investments are subject to market risks — please read all scheme-related documents carefully. Fractional real estate is an illiquid, project-specific investment. Returns are not guaranteed, and neither capital protection nor any particular exit price is assured. Risks include construction delay, non-performance of the buy-back, movements in the property market and the time required to realise security. Any project shown on this page is illustrative and is not an offer or solicitation. ILNB Group’s role is limited to identifying opportunities, conducting due diligence, negotiating agreements and facilitating transactions; the investment decision and the associated risks remain entirely with the investor.
Free consultation

Not sure if this fits your plan?

Tell us your goal and timeline. We will tell you honestly whether Fractional Real Estate belongs in your portfolio — or whether something simpler would serve you better.

  • A senior advisor calls you, not a call centre
  • Recommendation matched to your goal and risk profile
  • Written summary after the call
  • No cost and no obligation
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