New Delhi: Indian real estate sector attracted investment of Rs 17,682 crore in the January-March period, highest quarterly funding since 2008, on strong inflows from foreign investors in commercial assets, according to property consultant Cushman & Wakefield.
The investment was up by 7 per cent from Rs 16,528 crore in the corresponding period last year.
Foreign funds investment in Indian real estate rose 81 per cent to Rs 11,338 crore in the first quarter of 2019 calendar year from Rs 6,260 crore in the year-ago period, the data showed.
"Higher participation of foreign investors this quarter is a signal towards a sustained interest in the country's real estate story backed by increasing transparency and friendly investment policies," Cushman & Wakefield (C&W) India Country Head & Managing Director Anshul Jain said in a statement.
Also read: Gold, Cash or Real Estate: Know where Modi, Sonia & Rahul Gandhi invest
Office and retail segments continued to attract high investment, he said, adding that the warehousing/logistics segment was also providing opportunities for investors.
"The first successful REIT (real estate investment trust) listing has opened another avenue for investors to participate in the momentum visible in office markets while also reinforcing the attractiveness of Indian reality," Jain said.
Asset-wise, C&W said the housing segment got 57 per cent less investment during the January-March quarter of 2019 at Rs 3,697 crore from Rs 8,518 crore in the year-ago period.
The funding inflow in the residential sector got affected owing to liquidity issues of NBFCs which have been a major source of refinancing and lending to this asset class in the last 4-5 years, the consultant said.
Investment in office properties rose to Rs 7,925 crore from Rs 6,100 crore during the period under review.
Hospitality segment got Rs 3,950 crore in the first quarter of 2019, an over the three-fold jump from the year-ago period at Rs 1,200 crore.
Investment flow in retail real estate jumped to Rs 1,000 crore from Rs 250 crore and that of in mixed-use projects to Rs 350 crore from Rs 110 crore.
Industrial segment (warehousing and logistics) received Rs 760 crore as against Rs 350 crore during the review period.
