Thursday, 1 May 2014

Surge in demand for housing and office space after general elections Expected

Real estate developers are looking forward to a revival in demand for housing and office space after the general elections. Experts, however, rule out an immediate easing of the slowdown and point out that demand can be revived only in the medium term after the economy picks up pace and reforms start to kick in. 

"There is a challenge today because of the slowdown and also (poor) sentiment. The latter will improve if a stable government comes in, which is already being indicated by the stock market and strengthening rupee," said JC Sharma, managing director of Bangalore-based Sobha Developers 

Sharma feels the new government, formed by whichever party or coalition will be bolder and could undertake stronger policy measures. "They will want to show that they mean business. They will bring in a fresh approach that will augur well for the economy," he said. 

Anuj Puri, country head of property advisory firm JLL India feels a stable government will take more and faster policy decisions. "When I say stable government, I refer to a limited number of coalition partners. The fundamentals may take a little longer (more than a year) to shape up, but the sentiment push following the formation of a stable government will start improving the real estate market," he said.

Source: The Times of India


Post a Comment