MEDIA COVERAGE
June 2, 2023
Real Estate Sector To Almost Double Its Contribution To India’s GDP By 2025!
Mr Rakesh Reddy, Director , Featured Article on Property House Magazine
It has been quite evident that the Indian Real Estate Market has outperformed all other kinds of investments. The market has endured despite numerous black swan occurrences, ranging from the early 2000s to the most recent COVID crisis. According to sources, the story will continue to grow over the next few years and only strengthen further.
Speaking of the current scenario in India, our Director Mr. Rakesh Reddy has interacted with Property House Magazine. He said, “From its current proportion of 7%, the real estate sector is expected to contribute 10-13% of India’s GDP by 2025. Furthermore, the industry is expected to continue to grow throughout the decade and surpass $1 trillion in market value by 2030. The increased urbanization and rising disposable incomes are to blame for this enormous growth in the market for residential real estate. By 2025, it is predicted that home prices will have increased by another 20%. Due to rising housing demand, inflation, and supply chain disruption, input costs have increased significantly over the previous year. Especially affected by this are the prices of steel and cement. As a result, construction costs are anticipated to keep rising.”
Due to significant, long-term investments made by institutional investors, particularly in Grade A offices, warehousing, and data centers, the commercial real estate sector is anticipated to expand quickly in the upcoming years. By 2025, the Grade A office market in India’s top seven cities is predicted to be larger than 1 billion square feet due to current growth trends. By 2025, India will anticipate 80 million square feet of co-working and flexible workspace, representing a 15-20% compound annual growth rate. The e-commerce industry is expected to need at least 25 million square feet of Grade A warehousing by 2025, up from 10 million square feet at present.”
To know more about the intricacies of India’s bright future in the field of Real Estate for 2025, click on the link.
