31 October 23
Housing sector • Big investors invested 71% more money in July-September.
Institutional investment in the domestic property market has increased rapidly. According to global real estate consultancy firm Vestian, institutional investment in India’s real estate sector increased by 82% to Rs 5,658 crore in the July-September quarter. Of this, 44% i.e. Rs 2,482 crore came in residential property. There was a 71% increase in this case as compared to last year.
There was institutional investment of Rs 3,107 crore in the real estate sector in the September quarter last year. Of this, Rs 1,450 crore i.e. 47% came in the housing segment. Institutional real estate investors invest millions of dollars in the sector on behalf of shareholders or clients. Due to increase in institutional investment, real estate projects are completed faster.
Domestic investors account for 71% of the total investment
The share of domestic investors in the total institutional investment in the real estate sector last quarter was 71%. The share of foreign investors in this was only 27%, which was 55% a year ago.
That’s why investment increased in housing sector
This year, about 6 lakh flats are estimated to be sold double from last year. Earlier, the maximum of 3.3 lakh flats were sold in 2013. By the end of the year, about 1.70 lakh new flats will be built across the country.
Investment may increase further this quarter
Vestian CEO Srinivas Rao said, ‘Big companies are now calling all employees to office. This may increase the demand for office space. Investment in real estate may increase further this quarter.