India Emerges as Top Choice for Real Estate Investment in APAC Region
Foreign investments have increased in India over the past several years as the economy has undergone important structural and regulatory reforms that have increased transparency and made doing business easier, according to the research. Global investors have been drawn to India's real estate industry by the nation's investor-friendly foreign direct investment (FDI) rules, more transparency in transaction structures, and larger investment limits through the direct channel, according to the statement.
According to research released on May 12 by real estate consultancy Colliers, India has drawn a total of $26.6 billion in foreign investment in the real estate sector between 2017 and 2022, a threefold increase over the prior six years. During that period, 81 percent of all institutional investments were made abroad. According to the study "Colliers India- High on Investors Agenda," the office sector witnessed the most investment throughout 2017–22, accounting for almost 45 percent of all foreign inflows.
India's Growing Real Estate Sector: Opportunities and Challenges for Foreign Investors
The latest business news in India today addresses the office sector, which led to a rise of 37% year over year (YoY) in institutional real estate investments in Q12023, which totalled $1.7 billion. India has emerged as a top choice for investors in the Asia-Pacific area as a result of its cities' greater returns when compared to those of other cities in the region and their comparably cheaper price points, according to the research. East Asia, South Asia, Southeast Asia, and Oceania are all included in the APAC market, along with 20 more nations, including China, India, and Indonesia.
In terms of commercial returns in the APAC region, the survey said that important Indian cities Bengaluru and Mumbai are in second and third place, respectively. In the area, Mumbai has the highest industrial asset yields, whereas Bengaluru has the highest office yields, as per the global business news today. Real estate will likely become a more appealing investment for investors because of the anticipated reversal in the interest cycle over the upcoming several quarters, which will likely result in a wider yield differential between bonds and real estate.
Alternative assets like data centres, biosciences, and other areas are already the focus of significant investments. Due to improved manufacturing prospects, supportive governmental regulations, and the expansion of e-commerce, the industrial sector has been growing steadily, creating a sizable number of investible assets in the area.
Source :- https://www.businessworld.in/
