Reveals the Colliers report
Investments flooded realty sector in the first quarter of current year to cross $ 1.1 billion-mark, according to reputed realty services company Colliers. It remarked that the amount of fund flow in realty sector in the first quarter of this doubled the flow of funds in the corresponding period last year. The flow of funds has increased as the realty sector has been put back on the rails with the Covid third wave showing the signs of easing in the country, it said. In the first quarter of 2021, the flow of funds was put at $ 0.5 billion, but it increased to $ 1 billion by the end of the year. In the first quarter of 2022, the investment flow further increased to $ 1.1 billion. In fact, 70 per cent of the quantum of investments in the first quarter of this year is from overseas. At the same time, the domestic investments have increased by 30 per cent, indicating the increase in confidence of the domestic investors.
The flow of funds is almost equal to that of the the pre-Covid period flow of funds. With regard to flow of funds, the first three positions are occupied by office market, retail sector and industrial and logistics sector occupied 95 per cent.
Last year during the corresponding period, the office market, alternative sectors, residential sector had occupied 99 per cent of the share of the investments to occupy the first three ranks. The Colliers India Capital Markets and Investments Services MD Piyush Gupta said that Mumbai has occupied the first rank attracting 25 per cent of the market share of investments. The favourble government policy climate has boosted the morale of the domestic as well as global investors in Indian realty sector.
Commission set up on feasibility study
With a view to revive several projects commenced before the passing of the RERA Act and suspended later for various reasons, the Government of India has constituted a committee to study the feasibility. Union Ministry of Urban Development has said that the committee would take steps to ensure that the buyers of the flats or homes in these projects get possession of their units. The Central Advisory Council, formed as part of the RERA Act, at its third meeting took a decision in this regard, according to Union Minister Hardeep Singh Puri. The government is sincere to protect the interests of the property buyers, he said. He said that the RERA Act would be enforced more efficiently to ensure more transparency in realty sector and to improve the accountability.
