FDI to boost commercial realty
Mumbai- Real estate developers who were not able to rent out malls or facing tough time in building shops is expected to look up after the parliament cleared the foreign direct investment (FDI) in multi-brand retail.
According to Jones Lang LaSalle, a real estate consultancy, India has recorded a dropdown in the supply of rental space by almost 65 percent this year compared to last year.
Real estate developers who were dropping the idea of building commercial spaces are now planning to come up with projects in 2013-14 as government has approved the FDI bill that is expected to bring international chains.
FDI in multi-brand retail will increase the demand for commercial space in India. Retail and commercial real estate developments were put on halt as rent for commercial space was constant and the chances for good investment returns was very less in the past five years.
Some of the real estate builders even converted some retail projects to residential projects. Developers involved in shopping complexes are going to be benefitted as international players are going to make their entry in the next one or two years. This move will benefit the end-consumers, retail sector, and the real estate industry.
FDI set to benefit retail and real estate sectors: Experts
Commercial spaces, end consumers, foreign direct investment, Government, Jones Lang LaSalle, multi-brand retail, Mumbai, real estate builders, Real Estate Developers, real estate developments, Real Estate Industry, Realty News, rental space, Residential projects, retail projects, retail sector
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