The Indian real estate sector seems to be getting back on feet after a long dry spell. Low home loan interest rates and discounted prices are piquing consumer interest while the re-opening of offices and an overall revival of business activity is aiding a revival in the office real estate market. The partial return of migrant construction labour has also led to a pickup in launches by developers. These signs of recovery in the sector coincide with the overall recovery in macro-economic indicators.
Auto sales, freight revenue and power consumption have recovered smartly in the period leading up to mid-October, while the manufacturing PMI is at multi-month highs.
CNBC-TV18’s Mugdha Variyar is on the ground in Bengaluru, where real estate sales have reached nearly 70 percent of pre-COVID levels.
Niranjan Hiranandani, the Co-Founder and managing director of the Hiranandani Group, Anshuman Magazine, the Chairman and CEO of CBRE South Asia and Pavitra Shankar, the ED of Brigade Enterprises shared their views and outlook.
“100 percent there is a revival. We are just hoping that there is no other setback that is taking place. Like in the last three years, we had demonetisation, RERA, insolvency laws, GST all these affected industry extremely negatively. Today, signals are very positive,” said Hiranandani.
“It is certainly a revival. From the month of September things have started to pick up and the reason is the opening up of lockdown,” Magazine added.
Shankar further mentioned, “We have had very good Q2. Since April, our residential business has been increasing month-on-month and as a result our Q2 numbers are at pre-COVID levels infact are slightly better than what we did in Q2 of last year. We are seeing that the customers, the end-users are coming back to the market, confidence levels are back.”