Calling all NRIs and PIOs, yes, it is possible!

NRIS CAN BUY PROPERTY HERE
Ashish Gupta
The Times of India (Delhi edition)

It makes sense for non-resident Indians (NRIs) and persons of Indian origin (PIOs) to invest in property in India. A NRI is a person who is not resident in India. According to the Foreign Exchange Management Act (FEMA), ‘person resident in India’ includes a person residing in India for more than 182 days during the course of the preceding financial year.

It does not include a person who has gone out of India on employment, business or vocation, or for any other purpose for an uncertain period. Also, a person who has come to stay in India other than on employment, business or vocation, or for any other purpose for an uncertain period. All other persons are NRIs. NRIs are permitted to buy and sell property in India. The acquisition and transfer of property by NRIs should be in accordance with the FEMA.

INFRASTRUCTURE

2025 GURGAON MASTERPLAN PROPOSES NEW ROADS TO DELHI
Tanushree Roy Chowdhury, Gurgaon, October 18, 2010
The Indian Express

With various studies showing that traffic between Delhi and its satellite town Gurgaon will triple in another decade, the new Gurgaon masterplan proposes two more road links between the cities. While 90-meter wide road link has been proposed between Vasant Kunj and Mehrauli road in Gurgaon, the masterplan proposes 2025 suggests a similar road to link Anderia Mor in Delhi to the Gurgaon-Faridabad road through Mandi and Gwalpahari.

BUILDING FORTUNES, STEADILY
Sharang Limaye, October 18, 2010
Financial Chronicle

The government plans to spend huge sums of money on infrastructure expansion over the next few years for sustainable gross domestic product growth. This thrust would provide construction companies with great opportunities. This is visible in the orderbook to bill ratio of 3.7x for these companies in financial year 2010, which was the best in the past five years.

INFORMATION TECHNOLOGY

GMADA SET TO ACQUIRE 1,500 ACRES FOR IT CITY
Hillary Victorm, SAS Nagar, October 18, 2010
Hindustan Times (Chandigarh edition)

After the launch of Aerocity, the first residential urban estate of SAS Nagar, Greater Mohali Area Development Authority (GMADA) is set to acquire land for the Information Technology (IT) City, which will come up on nearly 1,500 acres adjoining Aerocity. The Punjab government recently approved the project. Of the total land to be acquired, 40 percent would be used for the development of IT industry, 35 percent for residential purposes and the rest for commercial activities.

REAL ESTATE SECTOR

PE PLAYERS BACK ON REALTY TURF
Sutanuka Ghosal & Anuradha Himatsingka, Kolkata, October 18, 2010
The Economic Times (Delhi edition)

With the country’s real estate sector starting to look up post downturn, and equity markets scaling new highs, private equity (PE) firms have begun focusing on the property turf yet again. These days they are cherry picking home and office space assets only.

Industry estimates suggests India Inc saw over 150 major deals in the first half of 2010. Of this, a little over 10 percent were in the real estate sector alone. The current period has also seen a distinct rise in domestic real estate private equity funds, vis-a-vis mainly offshore real estate private equity capital in 2006 – early 2008.

DEMAND-SUPPLY GAP SPURS PRICES
Prabhakar Sinha
The Times of India (Delhi edition)

Despite increased construction activities in the country, the demand for houses, especially in the metro cities of the NCR and in Mumbai, will outstrip supply in the coming years. This is likely to push the real estate prices up in the region giving a good return on real estate investment.

According to Cushman & Wakefield India Real Estate Investment report 2010, “Riding the Wave — Re-emergence of Indian realty sector”, the pan-India residential demand for the period 2010-14 is estimated to be approximately 4.25 million units of which mid-range and affordable sectors continue to capture a significant share of 70 percent.

REAL ESTATE EMERGING AS SIGNIFICANT ASSET CLASS
Abhisek Kiran Gupta & Himadri Mayank
The Economic Times

While stocks and bonds have held their position as traditional investment instruments, investors are increasingly looking for alternate investments such real estate, hedge funds, private equity and exchange-traded funds (ETFs) to engineer an overall enhanced performance of their portfolios.

INDIAN MARKETS GAIN IN TRANSPARENCY
The Times of India (Mumbai edition)

Transparency of India’s real estate market has continued to improve at similar rates since 2008 across cities of different tiers, driven largely by improvements in data availability on market fundamentals, the regulatory and legal environment, as well as governance of listed vehicles.

These are among the findings of Jones Lang LaSalle’s ‘Mapping the world of transparency: Uncertainty and risk in real estate’ (Global Foresight Series 2010).

The increasing presence of international real estate developers, investors and occupiers in the secondary and tertiary cities has acted as a catalyst to progress in transparency outside the major metropolitan centres, the report adds. Many secondary cities, including Hyderabad, Pune and Chennai have already been deeply penetrated by multinational.

COMMERCIAL REAL ESTATE SECTOR HEADING TOWARDS RENEWED GROWTH
October 18, 2010
Indian Realty News

As negative factors impacting the commercial realty segment fade away, it could well be an indication that the sector is set for renewed growth. If we consider that fewer negative factors implies a positive scenario, then, the commercial real estate sector in the country could well be on the verge of a comeback. It is widely believed that 2010 will be the year, when commercial real estate bounces back.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s