International investors look towards India market

Overseas property investors are capitalising on India’s new regime’s policies in pursuit of various real estate ventures throughout the country.

Donald Trump, American real estate icon, announced plans to invest towards India’s hospitality and property sectors. He recently visited India to attend the Trump Tower development launch in Mumbai, currently being constructed in partnership with Lodha Group, local developer.

During the launch event, Trump revealed to local media that it has been his desire for several years to be part of a major project in Mumbai, taking honour in delivering the Trump lifestyle to the truly global metropolis with the Trump Tower Mumbai.

He claimed India is a great place to invest, with the election making it even better, referring to Prime Minister Narendra Modi, who assumed his post following the May elections.

The Trump Organization is also part of another Pune city luxury project, in Western India. The property organisation disclosed plans to also make ‘substantial investments’ in the country’s hotel industry.

International auction house, Sotheby’s also recently announced plans to sell around 40 luxury properties in India, including private residences of traditional Rajasthan, through an exclusive 25 year franchising licensing agreement with Real Pro Infra Pvt Ltd who are based in Delhi.

The president and CEO of Sotheby’s International Realty Affiliates LLC, Philip White, explained expansion into India was one of their main objectives for this year as Northern India is one of the most exciting and  rapidly growing markets of the world, with an evolving luxury real estate market.

There are approximately 60 billionaires in India as of last year, according to estimates by Knight Frank, global property services firm, and this population is forecasted to double over the next decade. The growing number of wealthy Indians, who are known to invest nearly half of their fortune towards real estate, has contributed to the increasing demand for luxury real estate.

Analysts are optimistic that President Modi’s administration will be able to keep to its promise to prioritise the real estate industry. This as it deals with India’s economic recovery. One of the aims of the new government is to provide housing for all citizens by 2022, according to Knight Frank.

The Indian government has also allowed market listing of real estate investment trusts to aid developers in receiving more financing, as well as to promote foreign investment in the property industry.