Bengaluru: Institutional investors pumped in $3.5 billion (Rs 24,220 crore) in India’s real estate sector so far in 2019, the highest for the first half in at least the past six years, said a recent report by Colliers International.
Gagan Randev, the national director for capital market at Colliers International, expects the ongoing year to witness the highest inflows from private equity funds in the real estate sector in India. “…assets classes like co-living and student housing will s ..
Investor-friendly reforms by the Union government, followed by positive investor sentiment after the listing of India’s first Real Estate Investment Trust, have helped boost investment, beating the first half investment volumes for the years starting 2014 for which numbers are available.
According to the Canadian real estate services organisation, private equity funds had invested $1.47 billion in the first half of 2014. Foreign investors continued to retain the top position for investm ..
During the first six months of the year, commercial office assets accounted for a 42 per cent share of the total investments, while retail received 31 per cent. In H1 2019, the average deal size rose 66 per cent to $168 million, led by foreign investors, who accounted for 75 per cent of the total office investments.
“Traditional private equity funds with higher return will also make a comeback,” said Randev.
Mumbai, India’s financial capital, accounted for 27 per cent of total inflows. Pune also attracted notable investments, led by the office sector, followed by residential assets and retail malls. The share of total institutional investment in residential projects fell to 11 per cent in first half of 2019 from 74 per cent in the same period of 2014.
Private equity firms Blackstone and Brookfield Asset Management, as well as Abu Dhabi Investment Authority, were among the key institutional ..
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