Cityscape to capitalise on India's USD 50 billion real estate market

The strategic move comes as India's FDI climbed to a record-breaking US$ 11.2 billion in 2006, a 155 per cent year-on-year increase. Reformed real estate investment regulations for Non-Resident Indians (NRIs) and more crucially foreign investors have provided the impetus to drive the value of the Indian real estate market towards US$ 50 billion by 2010.

Rohan Marwaha, Group Director, Cityscape, commented, "These figures will be buoyed still further after the historic visit to India by HH Sheikh Mohammad Bin Rashid Al Maktoum, Vice-President and Prime Minister of the UAE and Ruler of Dubai. Aiming to strengthen trade relations between the UAE and India, India's largest real estate developer DLF confirmed an agreement with Dubai developer Nakheel worth US$20 billion to build two townships in India."

In 2005, the Indian government announced that FDI in the real estate sector was permitted through the 'automatic route', in other words without requiring additional ministerial approvals, streamlining the investment process. Certain guidelines are in place regarding minimum land areas to be developed and minimum capitalisation requirements, but the net effect has been a massive inflow of foreign capital. It is estimated that capital worth US$ 7 billion will be pumped into development projects over the next year, much of that emanating from overseas.

"The real significance is that 650 million people in India are under 25 years. With the right economic environment now in place, demand will be almost insatiable. There has never been a better time for overseas investors and developers to engage with the Indian real estate market and an ideal opportunity for us to launch Cityscape India,"

added Marwaha.

The business case was never in doubt, a population of 1.2 billion, growing annually by 1.4 per cent, a cost effective and educated work force and economic growth of eight per cent per annum. These conditions combined with competitive interest rates and a burgeoning IT industry, are driving the demand for not only residential but commercial space that is expected to reach 70 million square feet within three years, with retail developments taking up to an 11 per cent share.

Cityscape India will provide a platform to further enhance residential, retail and commercial property growth to an international audience, highlighting revolutionary development and unparalleled investment opportunities. The event brings together regional and international investors, real estate developers, architects and designers, governmental authorities and senior professionals involved in the design and construction of public and private real estate developments.

In addition the Cityscape India Conference will address issues pertinent to the Indian real estate community and allow professionals to share best practice. The Cityscape India Real Estate Awards will also be launched to honour both existing and future projects within India.

Running concurrently will be The Retail City India Exhibition, a unique platform which is dedicated to regional and international developers looking to showcase their projects to decision-makers from within the retail industry.

Cityscape India has already drawn support from leading industry players. Jordan-based Aqaba Special Economic Zone Authority (Aseza), Dheeraj & East Coast, from Dubai and major Indian developer Shipra Group, have all confirmed platinum sponsorship deals, while global property service company GVA Intercapitalis has taken silver.