CREDAI says consolidation is key for real estate industry as prospects look bright

The Confederation of Real Estate Developers Association of India (CREDAI) said the future is brilliant and some of the present issues looked by the area would soon be addressed. Credai is holding its 19th annual international convention NATCON 2019.

The report, which was mutually discharged by Credai and its knowledge partner CBRE, exemplifies the capability of Indian economy by 2030 and its suggestions on the development of the real estate sector. According to the report, India is anticipated to have a US$ 9-trillion economic opportunity by 2030, whereas the per capita salary could reach US$ 5,625 for a population of about 1.5 billion. It also said the annual spending on infrastructure will touch 7-8 per cent of the GDP.

India continues to remain a high-need showcase for its long-haul growth potential as is evident from the growing investment flows over the most recent couple of years. The government’s US$ 5-trillion mission and vision of ‘New India' suggest that top industries adding to our economy like real estate needs to introduce transformative measures.

By 2030, India's urban population will contribute as high as 75 per cent to the GDP, up from 63 per cent at present. India needs to spend through 7-8 per cent of its GDP on infrastructure every year to help public and private investment in infrastructure.

The number of households is relied upon to surge with near 386 million households and around 40 per cent of Indians being urban residents by 2030. The size of development is probably going to change fundamentally as from mere standalone buildings, developers are expected to venture into incorporated townships, time-based townships, improvements connected to economic activity and even self-sustaining small townships/urban areas.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.