Real estate: Better prospects expected next year

By: Karshni on 23:25

The Indian real estate sector is hoping that many of the bills pertaining to the sector will be passed in Parliament next year.

"The passage of two crucial bills namely the real estate regulation bill and the land acquisition bill would boost the sentiment of all stakeholders. The Parliament's recent approval of FDI in multi-brand retail will attract foreign investment which will not only benefit the retail industry but also boost the demand for commercial real estate. It also showcases the government's seriousness on introducing reforms in India and this is just a preview of things to come," Pranab Datta, chairman, Knight Frank India said.

On the commercial real estate front, FY 13 is expected to see a drop in office absorption due to a slowdown in the global and domestic economy.

"The commercial real estate is directly affected by the economic conditions of the country. Since the past year, we have faced countless challenges with the global economy meltdown and the Euro zone crisis," Balbirsingh Khalsa, national director, office industrial agency, Knight Frank India said.

And with business sentiments improving, the downward trend is expected to change in FY 2014 and each quarter would see a nine million to 10 million of absorption, with overall absorption likely to surpass 40 million in FY 2014.

http://timesofindia.indiatimes.com/business/india-business/Real-estate-Better-prospects-expected-next-year/articleshow/17705888.cms