Its not a Hybrid inverter, Also it cant be a 3.5KVA. Manufacturer only offer this inverter in 3KVA or 4KVA. 3KVA is available for 32,000. Refer to below link for more info. Axpert series from Voltronics Power is not a Hybrid Inverter.
Axpert KS 1KVA-5KVA Inverter
Your Hybrid concept is right, but there is no solution for Hybrid system other than Hybrid inverter. You cant make Hybrid solution by APC UPS.
I repeat, Axpert series from Voltronics Power is not a Hybrid Inverter. Also 1KVA inverter is available @ 20,000
Difference is between Hybrid inverter and off grid inverter is simple.
Hybrid inverter will get commercial power according to your need, example if your required power is 1000 watts and your Solar Panels only generate 700 Watts, Inverter will take 300 Watts from commercial power.
Normal inverter is only a switch between Solar power and Commercial power, Example you can only select one option, either you connect solar with batteries or your load. If you connect your solar source to load, when solar power got low, your system got triped. It will not take commercial power for balance the load. If you connect to batteries and your battery got full, inverter start wasting solar power. Similarly if your batteries are drained and solar power is not sufficient to charge batteries than it will not charge batteries properly, regardless commercial power is available.