Curated Living Solutions (CLS) has launched a hospitality investment plan (HIP), a commercial real estate fractional ownership in the hospitality segment, to make professionally managed hospitality assets accessible to retail investors. This structured investment model combines real estate ownership with professionally managed hospitality operations.
CLS is a subsidiary of the Bengaluru-based real estate company, the DivyaSree Group. Their managed living portfolio includes 15,000 beds across segments such as student housing, co-living, industrial housing, and managed residential assets in key markets including Pune, Mumbai, Bengaluru, and Delhi.
The HIP project operates on a build-sell-leaseback model supported by a long-term 29-year master lease, which includes a 12-year lock-in period with a guaranteed 8.5% return through rentals. This structure provides investors with a professionally managed ownership experience while relieving them of operational responsibilities.
“It represents a new way to invest in hospitality and allows individuals to acquire real estate at a lower entry price,” said Jai Kishan Challa, founder and CEO of Curated Living Solutions. He also highlighted that while returns on traditional real estate assets typically range from 2-4%, bank fixed deposits yield 5-6% interest, and mutual funds do not guarantee returns (and may even result in negative returns), these assets offer an attractive return, making them a viable alternative source of income.
Under the HIP model, investors own hospitality units and lease them back to the platform. CLS manages the platform and partners with a hospitality brand to manage day-to-day operations, which include guest services, revenue management, maintenance, and brand operations.
CLS launched a ₹200 crore hospitality-led mixed-use development in Pune under the HIP model. This project will feature a 200-key hospitality unit, premium retail spaces, and branded residences. It is being developed jointly by CLS and Pune-based Arista Developers, with operations managed by Alivaa Hotels & Resorts under a long-term master lease agreement.