“The real estate fund could be split into tranches and the first tranche, worth $250 million, is likely to be ready in the next three to four months,” Bhaskar Ghose, managing director, IndusInd Bank, said.

“The Hinduja Group has underlying real estate assets in prime cities across India and work on developing these assets has already started,” Ghose said.

DNA Money had in August last year reported that the Hinduja’s were looking at the booming real estate market in the country to make a splash. The real estate market play though is a prelude to what many see as a very large infrastructure business being envisaged in India. The group is understood to have initiated preliminary work on the best ways to exploit the vast land holdings it has in Hyderabad and Bangalore.

In Hyderabad the group has close to 800 acres of land in the Kukatpally area and in Bangalore it has about 200 acres of land in Devanhalli, where the new international airport is coming up.