PE investors and overseas developers are looking to enter India’s industrial and warehousing sector by investing in various development projects.
Real Estate Investment Trusts
The formation of Real Estate Investment Trusts (REITs) will help in expansion of the quality real estate universe in India, besides giving developers another instrument to exit their projects.
First REIT listing expected to take place only in 1H2017 Shobhit Agarwal, Managing Director – Capital Markets, JLL India As the market awaits the first listing of a real estate investment trust (REIT) in India, we look at the potential market size of REITs expected to get listed in India versus the percentage of REIT-compliant market size of some leading countries in Asia Pacific. The
After years of lackluster growth and wasted potential India is turning a corner. New Prime Minister Narendra Modi promised to kickstart the economy and a raft of reforms already are yielding faster growth and new investment. But as JLL’s Anuj Puri explains, excitement is tempered with caution at this critical junction for Asia’s second biggest economy.
The formation of REITs – funds that own real estate but have shares that are listed on the stock market – will encourage the creation of big-ticket institutional-grade buildings, and will give developers a ready outlet for development projects.
With the stamp of approval by SEBI, REITs are finally a formalized concept. This is a big change from the ambiguity and uncertainty that prevailed about this very important instrument in previous years. It is gratifying to note that SEBI fully intends to deliver on its assurances of bringing better and faster funding into Indian real estate.