Source : https://economictimes.indiatimes.com/industry/services/property-/-cstruction/global-investors-may-keep-funding-indian-realty-in-2022/articleshow/88603239.cms

Institutional investors, including global funds, private equity firms and domestic entities, are expected to continue investing in Indian real estate with more funds flowing into the sector in 2022. These investments are likely to be driven by broad-based growth on the back of a low-interest environment, continued monetary stimulus, improving revenue visibility across asset classes, and inclusive growth policy. Fund managers expect newer financing avenues in the backdrop of revived business confidence. “We have invested around 23,000 crore in real estate until now since March this year and we continue to see that strong momentum in 2022
as well. Most of the external capital in 2020 and 2021 went into portfolio deals and repair capital, but now we see funds flowing into land deals and refinancing,” said Vikas Chimakurthy, CEO, Kotak Realty Fund, part of Kotak Investment Advisors (KIAL). The largest domestic alternate asset fund of India, KIAL has raised $380 million or 22,770 crore from global financial investors including Allianz Group through its latest real estate fund earlier this year. This fund is one of the largest dedicated real estate financing funds closed in recent times in India, particularly during the Covid-19 pandemic. Led by large portfolio deals, institution.
Concrete Plans ®,,g, Fund managers Capital likely 10 fira expect newer to flow into financing avenues land deals, refinancing $4 billion

Build-up of Increased Strong interest for asset portfolios competition for logistics & data for listing of quality assets i center assets new RBIs Geographical & asset diversification tutional investments had managed to cross the $5 billion mark in 2020 and stood at $4 billion in 2021. “Improved resilience to uncertainty, economic resurgence, and committed 2022 investments on a par with the momentum witnessed during 2017-2020 where we saw investments in the range of $5 billion,” said Lata Pillai, managing Director and head, Capital Markets, JLL India. According to her, the build-up of asset porffolios for a listing of new REITs, increased competition for quality assets, geographical and asset diversification, a strong interest for logistics and data center assets in the ‘new normal’ will be the multiple investment drivers during 2022. Residential real estate will also be a key beneficiary of these investments as experts believe the seg-ment is likely to touch pre-pandemic quarterly sales volumes in 2022 and given the strong momentum may also match the pre-demo-netization quarterly sales in the latter half of 2022. “As we emerged out of the first Coyid-led lockdown in Q2 last year, we saw housing sales pick up due to a mix of factors like increasing of multi-decade low mortgage rates and the increased emotional value placed on home ownership during the pandemic,” said Sharad Mittal, CEO of Motilal Oswal Real Estate (MORE) Mittal expects the fundamental factors combined with government initiatives to drive housing demand even higher in the near future. Going forward, the liquidity scenario will improve, and the real estate sector will receive much-needed funding. The real estate private equity arm of Motilal Oswal Group has already invested over 21,200 crore in projects across Mumbai, Bengaluru Chennai, Hyderabad, and Ahmedabad through its investment plat form post the outbreak of the Covid-19 pandemic and is in the process to invest additional Z1,000 crore by March end.