Indian Real Estate Market
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Good news for the Indian Real estate market! As per the latest report by a research firm, investments in the market broke a decade record during January-March 2019. The report which was recently released by Cushman & Wakefield, states that in the first quarter of 2019, investors have propelled Rs 17,600 crores across various segments of the realty market. This interestingly shows a boost in the buyers as well as investor’s confidence in the market.

The report also informed that the investment has not only doubled but it has been highest among all the first-quarter since 2008.

Elaborating more on the report, Anshul Jain, Country Head & Managing Director, Cushman & Wakefield India, said, “Because of the announcement of several investor-friendly reforms, and filling of India’s first Real Estate Investment Trust (REIT), as well as secured market, have helped the realty sector in breaking this record, of the first quarter investment since 2008.”

He further informed that enhanced transparency and sustained interests of the foreign investors have also played a crucial role in this growth. Opportunities in segments like warehousing, logistics, office, and retail also led to this increased traction.

“The successful filing of Indian first REIT after the rigorous efforts of the central government has proved to be another game-changer in this section. This can be seen as it has been able to raise 4750 crores with an over-subscription of 2.57 times.” Jain added.

The report also revealed growth in various segments of the Indian Real Estate as compared to last year.

  • As compared to last year, investment rose by 7% in the overall market i.e. from 16,528 crores to 17,682 crores.
  • Investment by foreign funds rose to a high of 81% i.e. from 6,260 crores to 11,338 crores.
  • Office space investment witnessed a growth of 7925 crores from 6100 crores.
  • Hospitality segment showed a three-fold jump from 1200 crore to 3950 crores.
  • Investment flow in retail realty jumped to 1,000 crores from 250 crores.
  • Last but not least, the Industrial segment witnessed a growth of 760 crores from 350 crores.