INDIA: A BRIGHT SPOT IN THE SHAKY GLOBAL REAL ESTATE MARKET
The real estate sector is undergoing a transformation, with Tier 2 cities emerging as favorites, as stated by Mr Anil Saraf, Chairman, CII NR Committee on Real Estate and CMD, ASF Group, during the CII Realty conference held today in Delhi. He emphasized that Digital Transformation in the Real Estate Sector has become a necessity and plays a vital role in buying, selling, and renting. Furthermore, he added that Logistics Real Estate, in the face of this rise, stands at the center of a constantly changing system.
In his address, Mr Anshuman Magazine, Past Chairman, CII Northern Region and Chairman & CEO, CBRE-India Southeast Asia, Middle East & Africa, mentioned that the Indian real estate sector has demonstrated remarkable resilience despite a global economic slowdown. He noted that, in line with most major economies globally, the rate hike cycle in India appears to have come to a halt, with the RBI maintaining the status quo in its past two reviews. He also emphasized that as the economy gains momentum and the real estate sector thrives, there is a growing emphasis on ESG compliance. Accelerated demand in modern, tech-enabled, and green-compliant spaces in the upcoming quarter is anticipated. Additionally, alternative segments such as GCCs, data centres, and flexible workspaces are expected to play a pivotal role in bolstering real estate growth, according to Mr Magazine.
Mr Sanjeev Dasgupta, Conference Chairman and CEO, CapitaLand Investment India & CEO, CapitaLand Trust India, stated that India is a bright spot in the shaky global real estate market. He also mentioned that with China’s economic slowdown, India is expected to benefit given its recent rapid growth and resilience in the face of the global financial crisis.
Mr Rohan Sikri, Senior Partner, The Xander Group Inc., highlighted that regulatory institutions like RBI and SEBI are setting the tone for the global and geopolitical aspects of the real estate sector. He also noted that the venture capital market is highly visible, and sentiment within the real estate industry remains optimistic.
Speaking at the conference, Mr Ashwinder Singh, Co-Chairman, CII NR Committee on Real Estate and CEO-Residential, Bhartiya Urban, stated that with rapid urbanization and an increasing number of people moving to urban areas and cities, the demand for homes and residential real estate will continue to rise. He emphasized that to stay ahead of the competition, it is necessary for real estate companies to explore new structuring options and improve operational efficiency. Mr Singh also pointed out that the real estate sector in India has robust demand, attractive opportunities, government policy support, and increasing investments.
The conference aimed to provide a platform for discussing various aspects and industry trends for the future of the real estate industry, with a strong focus on overall trends and sustainability in the sector. During the conference, the CII-CBRE report on Indian Real Estate – Taking Giant Strides was released. The conference featured speakers from Emaar India, Reliance METCity, Purvankara, DLF Ltd, RMZ Corp, and others. The conclave was attended by over 180 participants.
