NRIs Line Up To Acquire Gujarat Real Estate

NRIs Line Up To Acquire Gujarat Real Estate
Friday, December 15, 2006

A mad rush can be seen among Non Resident Gujarati (NRG) to earmark a portion of their investment portfolio in Gujrat’s real estate and earn competitive returns on the deals. They are not willing to let a single opportunity to grab chunk of whether commercial or residential property slip out of their hand.

Places like Bardoli, Radha Baug, Rajkot, and Jamnagar have been succeeded in gaining the attention of these NRGs. What encourages investment in real estate business in India is its potential to generate high returns making it the most lucrative sector in the country. Contrary to this, realty overseas offer returns of barely around five per cent whereas it is nearly 20-25% in India. The comparison itself speaks for the growing interest of NRIs in booming Indian property market.

NRGs have shown continuously growing interest in real estate back home which has not only motivated the developers to come up with exclusive schemes but also set up overseas marketing offices to attract deep- pocketed diaspora.

Developers were receiving large number of queries from NRGs that encouraged them to launch exclusive housing schemes in upmarket areas, comments Kishore Kotecha of Rajkot-based DK Group, who has conceptualized ‘NRGs only’ schemes in Jamnagar and Rajkot.

Kotecha, who also runs his marketing offices in Middlesex and Leicester, boasts of Rajkot scheme being ‘house full’. As for the Jamnagar scheme, it is on the verge to hit the goal as the NRG queries and bookings have almost doubled in the past few months.

Megacity Ahmedabad has also seen a steep rise in demand of residential property with NRGs/ NRIs investments anywhere from 10 per cent to 20 per cent in residential schemes.