What's In Store for Indian Real Estate in 2013? - Page 2

What's In Store for Indian Real Estate in 2013?

By siliconindia   |   Thursday, January 24, 2013   |    3 Comments

Residential segment

Several market experts believe that this New Year will bring changes that will help real estate industry to revive. In India the residential real estate sector will witness a new trend when the proposed Real Estate Investment Trusts (REITs) will allow investments in rental housing. It means the structure of this policy is expected to drive the investors demand for housing mainly in prime cities in India. Moreover, from past two years, the country is witnessing a trend where the absorption rate for volumes under the range of rs2000-rs3000 a square feet was more. And, this year, the range is likely to increase a bit to rs3000-Rs5000 a square feet in the midst of high inflation and soaring construction costs.

Office space absorption

In 2013, the rate of absorption for office space is expected to be the same like last year. This year, the hunt for office space in prime locations is likely to rise and these office spaces will fetch premium revenues. Rental amount may also witness a stiff rise due to less project launches.

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