Named Reliance India Realty Opportunities, the new fund, proposes an investment scheme that helps save on tax by creating a hybrid of a company and partnership structure, which will be free of dividend distribution tax and regulatory cap on the number of partners it may have.

The new fund will focus primarily on residential projects in the top seven to 10 metros in India and will require a minimum investment of INR2.5 million will will be payable in three installments, the group said.

The fund will close once it reaches the size of INR3000 million.

Reliance Capital Asset Management Portfolio Management Services will act as advisor on all the investments of Reliance Realty.

An LLP is one which carries the elements of a corporation but does not hold any member liable for the negligence or misconduct of another member.

A hybrid of a company and partnership, the new structure will also be free of dividend distribution tax and minimum alternative tax (MAT).