PE investment from foreign fund in Indian realty up 33% in2015

Private equity (PE) investments from foreign funds in Indian realty sector rose by 33 per cent to Rs 14,974 crore during last year, according to property consultant Cushman & Wakefield.
In a recent report entitled 'Opportunities for foreign investors in Indian Real Estate', Cushman & Wakefield has reported that Mumbai accounted for about 35 per cent of the total foreign investments in 2015, followed by Delhi NCR accounting for about 25 per cent of the investments.
"Total private equity (PE) investments from foreign funds in Indian real estate increased 33 per cent from USD 1,676 million (approx Rs 11,306 crores) in 2014 to USD 2,220 million (approx Rs 14,974 crore) in 2015," C&W said in a statement.

"The three large cities; Mumbai, Bengaluru and Delhi-NCR continue to attract the highest investments in India and account for about 75 per cent of these investments," said Sanjay Dutt, Managing Director, India, Cushman & Wakefield.
However, he said that other cities in India are likely to witness rise in PE investments going forward on the back of government initiatives to relax FDI norms and focus to improve infrastructure across the country.
"These initiatives have made India as one of the largest markets for real estate investments offering a huge investment potential to foreign investors that were largely restricted until now," Dutt said.

While only 18 per cent of total foreign PE investments were structured debt, about 94 per cent of the domestic PE investments adopted the structured deal strategy for investments during 2015.