The prestigious ‘MAKE IN INDIA’ campaign launched by the Prime Minister Narendra Modi has kick started with a mission to transform Asia’s third-largest economy into a manufacturing powerhouse like China.
The key objective of Make in India campaign is to attract industrialists and investors from all around the world to establish their business in India, eventually turning India into a global manufacturing hub. The India Real Estate is going to witness a turnaround with this campaign as this sector which is primarily dependent on the construction industry will have a substantial impact with changing demands and investment patterns in the real estate market.
How ‘Make In India’ Campaign Will Boost The Real Estate Sector In India
- Indian Real Estate Industry will play a significant role in providing necessitate infrastructure development for Manufacturing Industry being set up by Indian and Foreign Business. These investments by Indian and Foreign Industrialist will lead to increased demand for commercial office spaces, residential properties, and construction of factory buildings.
- Affordable housing market has already kick started showing significant growth patterns. Also, the government is now financially supporting this sector. The demand of residential apartment for working people in manufacturing sector will increase. Setting up of manufacturing facilities will result in the development of suburban areas and they will in turn attract investment for residential needs.
- Foreign companies are being invited to also invest in infrastructure development especially in housing properties. Foreign companies will be investing in smart cities. Housing sector has been given the status of infrastructure industry to attract FDI. It will help the cash strapped real estate industry with more funds for construction activities and launching new projects.
- The Indian players can have strategic partnership with foreign players which will bring in best practices in the property market in India. Introduction of REITs is one of the good practices implemented which can transform the dynamics of real estate industry and also help in clearing out the unorganized segment of real estate.
- 100 percent FDI through the automatic route will be permitted in townships, housing, built up infrastructure and construction development projects including housing, commercial premises, hotels, resorts, hospitals, educational institutes, recreational facilities, city and regional level infrastructure.
