Category Archives: India Real Estate Opportunities

India Real Estate Developers, India Real Estate Investments, India Real Estate Opportunities, India Real Estate Trends

India Real Estate Developers- DLF Group

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One of the most common questions we get is this:

Can you please share your review of this Real Estate Developer or Real Estate Agent?

So we decided to share our review a few big players in the Indian Real Estate Industry. We begin this series with the biggest player in the Industry – the DLF Group.

Founded in 1946 by Chaudhury Raghuvendra Singh, DLF today has over 224 million sq. ft. of land. Their existing projects would take this figure to 738 million sq. ft. of land. It was the only real estate player to be recognized under “Superbrands of India”. They now operate in 6 different segments, namely – Homes, Offices, Shopping Malls, Hotels, Infrastructure and SEZs. Of these, the last 3 are still in planning phase, and having forged partnerships with global giants Laing O’ourke, WSP, Fraport AG, Nakheel LLC and The Hilton Hotels, DLF is ready to become an international name to reckon with. Let’s discuss the areas they currently operate in:

Homes – DLF has almost 20 residential projects within Gurgaon itself, and now it is shifting focus to tier II cities like Kochi as well. With a projected area of around 375 million sq. ft. to be under residential complexes, township development is all set to find its way in Gurgaon, Amritsar, Goa, Mumbai, Pune and Chennai. It has also entered into a Public Private Partnership (PPP) with the Delhi Development Authority for developing residential projects.

Offices – Some of the commercial buildings that DLF has in Gurgaon, are a sight to behold, be it their own DLF Gateway Tower, The Ericsson Tower or The Nestle Tower. They’ve already worked on IT parks in most cities where an IT base is present – Chandigarh, Kolkata, Bangalore, Pune, Hyderabad, Chennai and Noida. With the total demand for office space set to go up to about 500 million sq. ft. in the next 10 years, DLF can only move upwards.

Shopping Malls – DLF pioneered the craze of the shopping mall concept in Indian Retail when it started the Gurgaon City Center in 2000. Today its offset itself into multiplexes as well with DT Cinemas. The retail presence of DLF is currently in 13 cities across the country. About 30 malls are in the planning, construction or soon to be released stage of DLF.

DLF recently was named the second most valued private company in India. It is truly on its way to achieving its vision of contributing significantly to building the new India and becoming the world’s most valuable real estate company. It is also one of the few public companies, so its stock is available for investors wanting to make an India Real Estate Fund.

About the Author: Ishan Sethi is a Sales & Marketing professional with keen interest in emerging sectors and India business opportunities. He is an alumnus of Indraprastha University and IIM Lucknow. He can be reached via the Contact page.

India Real Estate Agents, India Real Estate Developers, India Real Estate Funds, India Real Estate Investments, India Real Estate News, India Real Estate Opportunities, India Real Estate Prices, India Real Estate Trends

Whats driving Indian Real Estate prices?

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An interesting column appeared in the Financial Times two months back, where a reader questions why Real Estate prices in third world countries like India, tend to be even more than those in the US. The article itself got a lot of responses from readers.

Real estate prices in India have been on an upward spiral for some time now – and we all know that. The trend is not only limited to the metros, but also visible in tier II and tier III cities as well. But why these prices have actually upshot comparable cities in developed countries brings some interesting arguments to the fore.

The biggest impediment of Indian development is infrastructure, and that leads to bad connectivity of places, thus exponentially increasing demand for well connected cities. But these factors have been present forever in India. So What is driving the Indian real estate prices today?

Here are the top factors:

  • Greater liquidity – Perhaps never before has there been so much money in the market. And all of it is chasing just a little available land.
  • Foreign Institution Investments – Most real estate investments are open to FDI. Its not only money which we Indians are earning, but money the multi-nationals are putting into Indian Real Estate. This has been discussed Indian Business Review in its Real Estate Reports.
  • NRI capital – It’s no longer a minor part of the investment. For example, visit any of so called “rural areas” in Punjab, and you will see that the villas there are perhaps are bigger than many in Delhi or Mumbai. So real estate prices are moving up in these smaller cities as well.

With all these factors, it becomes a simple equation of Demand and Supply.

And because land in India is not available in plenty (ie, land/person is much less than most countries) and most Indian families value investment in land as the best investment – so that is also big reason for increasing prices.

As most of these factors seem likely to stay around for the foreseeable future, places like Delhi and Mumbai are competing with London, New York and Tokyo, for the costliest real estate per square feet.

India Real Estate Agents, India Real Estate Developers, India Real Estate Funds, India Real Estate Investments, India Real Estate News, India Real Estate Opportunities, India Real Estate Prices, India Real Estate Trends

Big Investments flowing into Indian Real Estate

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The Times of India reports of a conference in Chennai hosted by Dun & Bradstreet about ‘Dynamics of the Real Estate Market: The Investment Perspective’. As per the conference, the Indian Real Estate Market is pegged at around $14 billion. Although the article presents a summary on the major discussions, 2 major points of discussion emerge.

Read the rest of the article and analysis here