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This PDF gives you the update and recent trends in Indian Real Estate
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5 New Trends In Indian Real Estate For more visit: http://dgsgroup.co.in/
Global capital flow into Indian real estate will increase further For more visit: http://dgsgroup.co.in/
• India ranked fourth in developing Asia for FDI inflows as per the World Investment Report 2016 by the United Nations Conference for Trade and Development. • Indian real estate has attracted USD ~32 billion in private equity so far. • The global capital flow into Indian real estate in 2016 stood at USD ~5.7 billion. • Though the historic high of 2007 (in terms of total PE inflows) was not breached, last year proved to be the 2ndbest year so far. • India’s tier I cities moved up to the 36th rank in JLL’s 2016 bi-annual Global Real Estate Transparency Index. For more visit: http://dgsgroup.co.in/
Developers will revamp their business models For more visit: http://dgsgroup.co.in/
• Throughout 2016, the number of new residential project launches was lower than units sold. • With all states staring at the approaching deadline to implement their versions of the Real Estate Regulation & Development Act (RERA), most of them will definitely fall in line. • Real Estate Investment Trusts will have an important and long-term impact on developers and present them with the choice of either 'corporatizing' or risking take- over by their bigger and better-organized counterparts. For more visit: http://dgsgroup.co.in/
Co-working: More of India Inc. will move into ‘hybrid’ spaces For more visit: http://dgsgroup.co.in/
• Co-working spaces are popping up across Indian metros as well as tier-II cities, providing start-ups with flexible working options at affordable rents. • At last count, there were more than 100 operators in this space across India, though there is still very limited supply of co-working spaces available. • Such spaces offer many advantages like: - Cost-efficiency - Employee motivation and retention - Boosted productivity For more visit: http://dgsgroup.co.in/
The sun rises on affordable housing For more visit: http://dgsgroup.co.in/
• Affordable housing in India is finally set to get the much-coveted infrastructure status. One crore houses are to be built in rural India by 2019. • A new Credit Linked Subsidy Scheme (CLSS) for the mid-income group with a provision of INR 1,000 crore in 2017-18 was announced even before Budget 2017-18. • Extension of tenure of loans under the CLSS of Pradhan Mantri Awas Yojana (PMAY) was increased from 15 to 20 years, and the Budget also increased allocation to PMAY from INR 15,000 crore to INR 23,000 crore in the rural areas. • The qualifying criteria for affordable housing were also revised to 30 sqm and 60 sqm on carpet rather than saleable area in the four main metros and non-metros respectively. For more visit: http://dgsgroup.co.in/
Office sector transformation For more visit: http://dgsgroup.co.in/
• Indian REITs will prefer to invest in commercial space developments specifically the highest quality or Grade A properties because of the higher rental yields in this asset class. • Only 20% of an Indian REIT’s monies can be invested in development, which is the riskiest aspect. The remaining 80% of a REIT's assets must be invested in income- producing property. • The REIT potential in India is huge, with around 229 million sft of office space currently being REIT-compliant. • Even if 50% of this space is listed in the next few years, we are looking at a total REIT listing worth USD 18.5 billion. • India’s stock of Grade A commercial assets is increasing, with REITs acting as a sure- fire growth catalyst. For more visit: http://dgsgroup.co.in/
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