The Retail Real Estate market in India is on a growth curve with foreign direct investment (FDI) in single-brand retail boosting demand in the segment. According to experts, the retail segment attracted an investment of over $700 million in 2016, which is expected to rise by 20 percent this year.
Despite the perception that e-commerce may adversely impact the retail business, the sector has had a track record of delivering solid returns. However, investors must remember that retail reality is far more complex as compared to the commercial real estate or residential segments.
Continue reading “How to Invest in Retail Real Estate?”
Donald Trump has previously been a name synonymous with American realty and reality television. However, this maverick yet popular personality is now the 45th elected president of the United States of America. When asked if the Trump win will affect India, Mark Matthews of Bank Julius Baer & Co stated that India is indeed different from other Asian peers as there is political stability here. But that doesn’t mean the country will not be impacted with the US elections. Even though a few weeks have passed since the US election, there is still a palpable amount of uncertainty in global markets as to how this presidency will affect the global trade environment. This brings us to the most important question – How will Trump’s presidency affect the Indian real estate sector?
Real estate is usually considered as a low-risk asset class because the volatility of real estate returns is relatively low as compared to other investment options. Consequently, commercial real estate (CRE) investments prove lucrative for entrepreneurs as CRE yields higher returns than residential properties. Entrepreneurs can invest surplus funds into CRE and earn short-term revenues by renting or leasing the property. Alternatively, they can decide to use the property for business purposes and save on the rent they were previously spending.
Are you thinking of leasing your property to a bank?
As per the Banking Regulation Act of 1949, the Reserve Bank of India (RBI) provides incentives for banks looking to open branches in underbanked areas of the country. Based on this, banks search for properties that assist their expansion plans and help fulfil these requirements. An individual who is in possession of a property they wish to lease, may do so to a bank that needs a premises in the same locality.
Crowdfunding or the pooling of small amounts of capital to establish something new and out-of-the box had a quiet birth in the aftermath of the 2008 global financial crisis. It enabled individuals without access to huge funds but with ambitious ideas to realize their dreams and ambitions. Since then crowdfunding has empowered and encouraged many new players in varied professional fields. After its beginning in the West, this new financial model quickly spread to Europe and developing markets like Asia and Africa.