The level of FDI in the real estate sector is unlikely to show a quantum jump this year, courtesy a slow GDP growth rate, high debt levels of the real estate developers, labour shortage and economic crisis in the US and Europe.
The current global scenario might be one of gloom, with markets in the US and in Europe on the brink of a double dip recession, but interest in Indian real estate is still high among global investors
Retail chains across the country are signing up for space in a big way, after a long pause that had followed the economic downturn.
Real estate developers have called upon potential buyers in Doha to take advantage of recessionary trends in the global economy and make investments in the real estate sector of growing economies like India.
The DB group, Etisalat’s partner in India, has moved the Company Law Board (CLB) against the UAE-based company.
Two marquee international brands — Giorgio Armani and Ferragamo — that have joint ventures with leading realty player DLF group’s subsidiary, DLF Brands, have been talking to other corporate groups and investors to scope out the potential of changing their Indian partner.
Indian house prices rose rapidly from 2002 to 2007. Strong economic growth and urbanization supported house prices, while in city centres a housing bubble was encouraged by inadequate infrastructure, lack of planning and antiquated land use laws.
The finance ministry has asked the central bank to bar real estate firms from seeking banking licences and alter conditions relating to financial inclusion and stake dilution by promoters.
The office sector was the most sought after in terms of investment activity in APAC in the first half of 2024, followed by industrial sector. In India too, investments in industrial & warehousing and office assets remained strong in the first half of the year. Investments in Industrial assets especially, were 5X times, compared to same period last year. Amidst rising demand for superior quality Grade A assets and evolving supply-chain models, global investor confidence in the sector is improving significantly.
Understanding the mindset of Indian real estate has never been easy. The built environment of the Indian real estate could argue and demolish the best of consumer-centric reforms. Remember the way industry body CREDAI had called RERA prior to its inception, and that too in front of the then Union Minister Kamal Nath, builder harassment and public amusement bill. But at the same time they celebrate the self-inflicted injury on many occasions. Track2Realty finds the overtones of the sector all the more contradictory with the Union Budget, before and after the budget.