Capital outflows into commercial realty up 92 pc in Q1'18-Q1'19: Report

Capital investment in commercial real estate by Indian investors in overseas markets soared by 92 per cent to USD 700 million (around 4,893 crore) between the first quarter of 2018 and the first quarter of this year, a report said.

Investors tapped the overseas market to diversify risk and increase their returns, the report by global property consultant Knight Frank said. The UK, the Netherlands, Germany, the US and Australia were the top destinations for Indian capital investments.

The report delves into the sources and destinations of cross-border investments in commercial real estate.

"With geopolitical factors coming into play, prolonged global economic cycle and interest rate in late cycle investment are prompting cross-border capital flows," said Shishir Baijal, Chairman and Managing Director, Knight Frank India.

Baijal further noted that "Indian investors are increasingly looking at international commercial real estate assets to diversify risk and increase their returns."