A developed India will require a mature, improved real estate sector: Puri

By Bricksnwall | 2024-03-16

He emphasized that investments are pouring into commercial real estate, which includes data centers and warehouses.

Housing and Urban Affairs Minister Hardeep Singh Puri stated on Friday that a mature and developed real estate sector with a market size of USD 1 trillion by 2030 is required to meet India's aim of becoming developed by 2047.

Addressing an event hosted by realtors' body CREDAI's youth wing, the minister stated that the passage of the real estate regulatory law RERA has been a game changer for the entire industry.

A developed India by 2047 will also require a highly mature and developed real estate sector, both residential and commercial, Puri stated.

He stated that investments are being made in commercial real estate, including data centers and warehouses.

The introduction of Real Estate Investment Trusts (REITs) has also contributed to the attraction of investments in the real estate sector, according to the minister.

RERA was a transformative development. It's unbelievable that one of the largest sectors in the economy hasn't had a regulator in nearly 70 years, Puri added.

The minister stated that 1,22,553 real estate projects and 86,262 real estate agents are registered with the RERA throughout the country. More than 1.2 lakh consumer complaints have been resolved by regulatory bodies.

Some states are doing better than others (in the implementation of RERA) law, he went on to say.

Puri emphasized the importance of the real estate sector, stating that it is the country's second-largest employer with market links across 250 sectors.

It is estimated that the sector will contribute 15 percent to the GDP and will reach a market size of USD 1 trillion by 2030," he added.

The minister stated that by 2030, an extra 25 million units of affordable housing will be required to accommodate the country's expanding urban needs.

Puri also praised the CREDAI's pledge to bring the real estate business net negative by 2047.

The minister also warned that the real estate sector might have bubbles and reminded builders that the global financial crisis of 2008-09 also occurred in the real estate sector.

Source: BusinessStandard