10 Billion Private Equity in Indian Real Estate

Foreign Private Equity players have lined up $10 Billion investments in the Indian Real Estate Sector. Its a pity none want to invest in India's infrastructure and our Finance Ministry and RBI are sleeping instead of banning the money and sending the prices through skies.

The cash-strapped developers overcome conservative lending by banks, stricter rules for placements before share offers and tougher guidelines for overseas borrowings or IPO has led to go for Private Equity.

Siddhartha Gupta, an analyst with Macquarie Research, said,

Real-estate funds will look at an investment of $10 billion this year. This is the best time for PE players to enter the real-estate market.

Wachovia Corp., a US-based diversified financial group, invested about $57 million in Vipul Ltd, a Gurgaon-based real-estate group, for buying a 15% stake. Inspite of unclear Land Titles and Land mafia operating in Real Estate, greedy FIIs are flocking to India as if their is no tomorrow. Hopefully, a political shakeout will cool down the entire Real Estate market and the economy which has made living a HELL for common man in India.