India witnessed $2.4 billion inflows into built realty assets in H1 2021, a 52% increase over the same period last year, said an investment management firm.

 

In India, office sector investments accounted for almost 35% of total investments in the first half of 2021, even as many firms look to pivot to a hybrid work model. Also, most of the office investments in the country has been in non-CBD locations and investors were        still scouting for office assets either in land or in under-construction stage, it said.

 

Chief Executive Officer, of an investment management firm said, “Office assets will continue to gain favor from investors due to the steady returns from the asset class, and opportunity to bundle the assets under a REIT. Global funds are also looking to form investment platforms with developers, as they look to build their capabilities in sectors such as industrial and warehousing space, buoyed by the growth in e-commerce and the need for same-day delivery.”

 

According to them, the Industrial and warehousing sector captured the second highest inflows with a share of 27% during H1 2021. The increased demand from e-commerce companies for logistics space has in turn resulted in continued interest from institutional investors with inflows of about $775 million in the first half of the calendar.

 

The technology economy sector comprising data centres, R&D centers, cold chain, and life sciences was also growing significantly. Data centres alone saw investments of $161 million with many corporates tying up with global data center providers, their report said.

 

Sources: www.thehindu.com