Proptech startup hBits raises Rs 40 Cr in Series A

hBits, a platform for investing in commercial real estate, has raised Rs 40 crore in a Series A funding round from Capricon Realty Private Limited, an entity of the Thackersey Group.

The Mumbai-based company had previously raised $3.32 million from Shree Naman Group and others.

The funds will be used to enhance its AI-driven technology platform, expand its geographical presence, and bring curated, high-value investment opportunities to a wider audience, hBits said in a press release.

Co-founded by Shiv Parekh and Samir Bhandari, hBits aims to empower commercial real estate investment in India. The platform enables investors to access high-yield, Grade-A commercial properties with an entry ticket as low as Rs 10 lakhs. With an average rental yield of up to 10% and an expected Internal Rate of Return (IRR) of up to 18%, it offers a unique blend of stability and growth, appealing to both new and seasoned investors.

According to hBits, it leverages advanced AI technology to analyze market trends, evaluate property performance, and identify the best investment opportunities for its users. This data-driven approach helps reduce risk, optimize returns, and provide a seamless experience for investors. The introduction of SM REITs will further enhance this model by offering a regulated framework that mirrors mutual funds, making commercial real estate investments seamless and structured.

hBits says that it aims to capitalize on SEBI’s newly introduced Small and Medium Real Estate Investment Trust (SM REIT) regulations to revolutionize access to Grade-A commercial real estate for individual and institutional investors.

hBits aims to triple its Assets Under Management (AUM) from Rs 500 crore to Rs 1,500 crore by the end of the next financial year, driven by the launch of its SM REIT offerings. These offerings will provide investors with regulated, diversified, and high-performing options across India’s key commercial real estate hubs.