LICHFL Urban Development Fund

Overview

A Landmark Fund Focused on Housing & Infrastructure

LICHFL Urban Development Fund (LUDF) is the maiden fund sponsored by LIC Housing Finance Limited and co-sponsored by Life Insurance Corporation of India.

The fund successfully closed in March 2013 at INR 5.29 billion, exceeding its target corpus of INR 5 billion.

LUDF brought together a strong investor base, including leading Indian banks, insurance companies, corporates, and high-net-worth individuals (HNIs).

Focus Sectors

Regulated and Institutional Framework

Mid-Income Housing

Healthcare Infrastructure (Hospitals)

Education Assets (Schools)

Industrial & IT Parks

Warehousing

SEZs

Investment Portfolio

Diversified Investments Across Key Cities

The fund completed its investment cycle across 9 portfolio companies, with diversification across geographies and asset classes.

Key Highlights:

Portfolio Management

Active and Disciplined Oversight

LICHFL AMC follows a hands-on portfolio management approach to ensure performance and risk control.

Board representation in all portfolio companies

Rights to preferential cash flow distribution

Strong governance through veto rights and monitoring systems

Escrow / joint account structures for revenue control

Regular performance reviews supported by technical and internal audits

Rights to preferential cash flow distribution

Sponsor & Promoter

Strong Institutional Backing

LUDF invested in high-demand sectors aligned with India’s growth story:

LIC Housing Finance Limited

Sponsor and Promoter of the fund with a commitment of 10% of aggregate capital commitments

One of India’s leading housing finance companies with a strong presence across retail and developer financing

Co-Sponsor: Life Insurance Corporation of India

The legacy and credibility of the LIC Group provide a strong foundation for disciplined investing and long-term value creation.

Key Strengths: