Over the past five years, India’s commercial real estate has risen quickly and has reshaped Indian architecture.
Commercial Birla Tisya Apartment India is a leader in the field
1. India has a population of 1.1billion and a workforce that numbers 496.4m. This makes it a huge market for Indian real estate investors. India’s competitive advantage in real estate is due to its high quality intellectual capital and cost efficiency.
2. Future prospects for the realty industry are bright with a 30% growth rate and a 30% average return rate.
3. Recent research shows that revenue generation will increase from $14 billion to $102 trillion over the next ten years, according to recent data. For NRIs investing in real estate India. The return has been more than lucrative. They believe India has not yet tapped 20% of the market.
4. The Government has encouraged foreign capital growth by easing FDI regulations and providing tax incentives to NRIs. A 25% return on investment for global investors in India real estate can be expected.
India’s commercial real estate peak
o Organized Retail: The rise in mass consumption has prompted shifting patterns in luxury goods consumption and purchasing power. Many corporate houses have entered retail. RPG Spencer is the largest South Indian retailer with FoodWorld, MusicWorld and Health and Glow. Birlas, Tatas, and now Reliance are also major players. This is why there are so many shopping centers and retail projects.
Entertainment: This is the most important aspect of urban architecture. Multiplexes, hotels, and a boom in commercial real estate India have transformed it.
o Job scenario. India promises a better workforce, as well as cheap labor. India has attracted thousands of ITES, telecomm, and IT companies to establish offices there.
Why should investors be encouraged invest in real estate
Grant Thomton, an international and audit firm that specializes in business consulting, ranks India number one among 30 countries with medium-sized businesses. This is ahead of China and Europe. Surprised? Surprised?
India is more experienced in raising capital and lending than China. Look at the rise of Bombay Stock Exchange, as well as the existence of major banks such ICICI and HDFC. These points have been a huge encouragement for global players such as Morgan Stanley, which has invested $68 millions in India real estate.
India is a leader in real estate investment. India has a vast potential to build infrastructure and increase investment returns by half. India is a preferred destination for real estate investments because of its higher yield on commercial realty.