Just a few months ago, Amitabh Bachchan reportedly invested a hefty ₹10 crore in an exclusive Alibaug property. Aamir Khan’s yet another ₹10 crore investment in Mumbai’s Pali Hill also made the headlines. More recently, celebrated lyricist Javed Akhtar put his money into a spacious Juhu residence. This trend in property investments is not just limited to the Hindi film industry; actors from Tollywood have also worked towards diversifying their investment portfolios. Real estate, an exclusive investment choice, has become the go-to for high-net-worth individuals (HNIs) nationwide.
2023 marked a year of many firsts for the Indian real estate market. Mumbai’s luxury property segment noted a price surge of 11.5%, ranking third globally, next only to Manila and Tokyo. On the other hand, Delhi stood fifth in Knight Frank’s prime global cities index, with a 10.5% price rise in the prime residential segment. Residential and commercial sectors have particularly noted unprecedented surges.
Market experts have cited the country’s growing infrastructure and high ROIs driving the ongoing developments. As the industry continues its impressive momentum, we examine how these factors make real estate an irresistible investment choice among India’s elite.
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Infrastructural Upscaling
A recent Knight Frank report reveals that India’s ultra-rich are increasingly diversifying their investment portfolios, with a significant 32% of their resources now directed towards real estate investments. This trend extends beyond traditional metropolitan hotspots like Delhi, Mumbai, and Hyderabad, including tier 2 cities. Investments span a variety of properties, including plots, office spaces, and even farmlands.
Yashdeep Singh, Principal Partner and Head of Marketing at Square Yards, attributes this expansion to the country’s ongoing infrastructural growth, driven by the government’s pro-business policies. “The government’s initiatives, ongoing infrastructure development, and enhanced regional and international connectivity are key factors fueling this trend,” he remarked.
Enhanced infrastructure not only contributes to growing demand but also improves rental appreciation. Many investors offer their properties for rent, generating a steady and substantial side income. Additionally, advancements in technology have made property investments more accessible. The investment process has become simpler, with numerous apps available for buying, renting, and selling properties.
High Returns on Investments
The current investment surge has solidified real estate’s reputation for consistently generating high ROIs for investors. “Real estate investments continue to be a favoured choice for actors, musicians, producers, and directors as they seek to capitalise on the booming Indian property market. Recently, Aamir Khan and Javed Akhtar acquired properties worth ₹9.7 crore and ₹7.6 crore, respectively, within buildings in Mumbai where they already own multiple apartments.
Many celebrities are expanding their portfolios, investing in residential, commercial, hospitality, and land properties, showing their confidence in the returns these investments can generate,” added Yashdeep Singh.
Latest High Profile Real Estate Investments
Recent investments highlight increased confidence in India’s real estate market among high-profile investors. Here are some more recent property acquisitions by the country’s top HNIs:
- Suhana Khan – ₹93 crore invested in an Alibaug farmland.
- Alia Bhatt – ₹48 crore invested in 3 properties in Mumbai.
- Samantha Ruth Prabhu – ₹15 crore 3 BHK sea-facing apartment in Mumbai, along with a ₹8 crore Hyderabad duplex.
- Ramcharan- A penthouse worth ₹30 crore in Hyderabad’s Jubilee Hills.
- Manoj Bajpayee – 4 office units in Oshiwara worth ₹31.08 crore.
- Kartik Aryan – ₹10 crore office in Andheri and a ₹17.5 crore flat in Mumbai.
For a detailed report on this read the articles we were featured in:
Deccanchronicle – https://bit.ly/3LNC40k
Published Date: 29 July, 2024
