Thursday, July 06, 2006

Retail, IT and ITeS will drive Real Estate demand in India

CLSA has reporetd that Retail and IT services industry will drive the demand for commercial real estate in India. They will require 300 Million SFT in the next 5 years. It is likely that Tier-1 cities will slow down a bit while demand in Tier-2 and Tier-3 cities will grow at a faster.

Residential market might see a small correction in short-medium term but for long term they are still poised to give decent returns. However, residential property prices in cities will see a saturation while property prices in SEZs and townships will witness strong demand. Can't believe it ? Time will tell :)

No comments: