Real estate gets Rs 39,182 crore PE investments

New Delhi: Private equity investment in the real estate sector rose 19 per cent to Rs 39,182 crore during the first nine months of this calendar year as foreign investors continued to acquire commercial complexes, property consultant Cushman & Wakefield said.

Private equity (PE) investment in the corresponding year-ago period stood at Rs 32,890 crore. "A 19 per cent upswing in investment activity on a year-on-year basis shows a positive outlook for the industry," said Anshul Jain, Country Head and Managing Director-India, Cushman & Wakefield (C&W).

Among asset classes within the real estate sector, Cushman data showed that office properties witnessed PE investment of Rs 20,757 crore during January-September 2019, up 18 per cent from Rs 17,535 crore in the corresponding period of the previous year.

In line with expectations, residential segment saw a drop of 24 per cent to Rs 6,255 crore from Rs 8,280 during the period under review.

PE investment in the retail real estate jumped over two-fold at Rs 4,800 crore from Rs 1,988 crore, while that in hospitality segment almost doubled to Rs 3,950 crore from Rs 2,025 crore.

Industrial (warehousing and logistics) segment garnered Rs 1,971 crore, up 91 per cent from Rs 1,030 crore in the year-ago period.

The PE investment in other categories like mixed-use properties and entity fell 29 per cent to Rs 1,450 crore during January-September 2019 from Rs 2,032 crore in the same period last year.