Mumbai: India will be among the top real estate investment markets in Asia in 2010 with Mumbai and Delhi raking second and fourth best locations respectively, according to an industry report.

A report titled emerging trends in Asia-Pacific real estate market in 2010, which was released here by the Urban Land Institute and Pricewater-houseCoopers, provides an outlook on the Asia-Pacific real estate investment and development trends.
The describes India and particularly Mumbai and Delhi as good realty investment destinations.

The report also noted that residential properties are more promising than other sectors in the country. “The relatively stronger fundamentals, and lack of dependence on foreign demand are seen as key advantages as India has managed to mitigate the severe recession that has hit most other Asian countries,” PwC India’s real estate practice leader Gautam Mehra said.

“Recapitalisation by players in equity markets across Asia has been successfully replicated by some Indian developers, which has helped ease the liquidity stresses” he added.

According to the report, Shanghai, Hong Kong and Beijing are the top three real estate investment prospects. Shanghai, Mumbai, and New Delhi are the first, second, and fourth locations respectively for real estate development opportunities, with Ho Chi Minh City at the third slot for development prospects, it said. Development has increased in all property sectors in Mumbai, the report observed. Construction of affordable housing is particularly strong, as the government continues to lower mortgages and the middle-class is being offered “good-quality, honest accommodations.” Investments within the hotel sector are a stable prospect, as India is projected to be the second-fastest growing tourism market in the world, the report said.

Similar to Mumbai, New Delhi remains fairly stable in its movement from the 2009 emerging trends publication. In addition to the residential property buying opportunities, the national capital is expect­ed to prosper from increased tourism and shows signs of market recovery in the coming year, the report said.

Source: The Free Press Journal

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