Soaring input costs have been chipping away the profit margin of the real estate sector. Now with the rise in interest rate, homes will get costlier. Will these put brakes on the sector's recovery?
The real estate book of L&T Finance is worth Rs 11,210 crore and infrastructure finance is worth 30,521 crore as on March this year
Macrotech Developers, one of the leading real estate developers in the country, got listed last year by raising Rs 2,500 crore through its Initial Public Offer (IPO).
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Sales of luxury homes priced over Rs 10 crore in Mumbai jumped more than two-fold during 2021 at Rs 20,255 crore, on the back of low interest rates on home loans and increased demand for bigger flats.
The issue could be more worrisome for developers in Mumbai because premium payment and TDR appertain more to the city, experts said.
The company, which got listed last year by raising Rs 2,500 crore through its Initial Public Offer (IPO), markets its product under the Lodha brand
Incidentally, NCR-Delhi has also replaced Bengaluru as the startup capital of India and the growing startup and unicorn community is also exploring the residential sector for investments
Gross leasing of industrial and warehousing space rose 11 per cent across five major cities to 6.2 million square feet during January-March period
"The series of reforms that started in 2014 led to increased capital flows over the years
This is the highest ever presales for the company and also the highest among listed real estate players that have released their numbers so far
Furthermore, the surge in the housing sales in India has not been accompanied by a sharp rise in prices so far, it added
The positive impact of the reforms resulted in investments to the tune of USD 36.7 billion flowing into Indian real estate from 2015 to Q1 of 2022 calendar year, it said
In 2015, real estate firm Amrapali Group was at its peak -- with around 50 projects spread across 24 cities. Also, former Indian cricket captain Mahendra Singh Dhoni was one of its brand ambassadors.
The MoU (Memorandum of Understanding) was signed at an investment summit in the Alwar district of Rajasthan, the company said in a statement on Friday
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Going forward, the ability of developers to show growth on a high base of FY22 sales, and management of a weak macroeconomic environment along with rising interest rates would be the key monitorables
After a decade of downtrend, rising investments in industrial and household segments, and sustained demand have brightened the outlook for the real estate sector. How should investors play the theme?
Select a popular location for capital appreciation, keeping in mind climate and connectivity