Chinese developers are eyeing investment opportunities in India's property sector

Q: The Chinese developers are looking to build strategic partnership and enter into JV with Indian builders to invest in big residential projects.

Manisbapu, Mumbai

5th November 2015

Real estate News in Mumbai

private equity

chinese developers

investment oppotunities in india

dalian wanda group china

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Replies (3)

@Joydeep,
Apart from expectations of attractive returns, slower real estate market in China itself is also boosting Chinese developers to look elsewhere, including India. We can expect at least $3-4 billion investment inflow from China into the Indian property market over the next 3 yrs.

Ravindra Singh,

5th November 2015

Comment

It is expected that Meadows and Xia, who have been holding talks with Indian players for striking an alliance with Chinese builders, expect Chinese insurance companies to start investing here.

Manu Kumar, Bangalore

5th November 2015

Reason is very clear, continued loosening of outbound investment regulations since 2012 is driving China's insurance groups to actively seek real estate assets in gateway cities around the world.

Arpit, Delhi-NCR

5th November 2015

Hi all,
As per data, China's outbound investment directly into global real estate has risen 50% to $15.6 billion since January this year with New York, London and Sydney becoming the leading investment destinations.

As a 1st major investment by a Chinese company, one of the largest developers Dalian Wanda Group has announced its intention to invest $10 billion in India in the next 10 yrs. to construct industrial townships and retail properties.

Joydeep D,

5th November 2015

Comment

Reason is simple. A number of Chinese developers have been studying the Indian market since the past 12 months and they know it that Indian developers are achieving returns more than most mature markets the world over are attractive.

Abhishek,

5th November 2015

Investments from China-based builders are expected in big ticket size projects in key property markets of India. While investing, scale will be crucial for Chinese developers as they are familiar with the large scale development. To begin with, investments are expected in Mumbai, Delhi and even Kolkata. Most of what they will do will be opportunity led.

Joydeep D,

5th November 2015

Yes, China's economy is in trouble. Because of trouble economy, Chinese realty developers are eyeing the growing Indian realty market. So, we should welcome foreign capital in the sector that comes along with technology and business expertise.

Abhishek,

5th November 2015

Comment

Hi Abhishek,
This is the right time for them as govt. has relaxed foreign direct investment rule in real estate last year. This will make available good quality urban real estate with planned amenities. At the same time, real estate will also become affordable when the government releases more land for urbanization.

Ravindra Singh,

5th November 2015