PE inflows into office space surge on reforms

Renewed confidence among institutional investors has pushed private equity flows into commercial real estate in the first half of 2016 even beyond the cumulative investments witnessed during the whole of last year. Office realty has received over Rs 3,256-crore investments from private equity funds during January to June as against Rs 3,229 crore in 2015, a study showed. Given the steady rise in these investments, experts believe that private equity inflows into commercial real estate in 2016 may even cross the previous five-year high of Rs 4,323 crore seen in 2014. “The current developments relating to Real Estate Regulatory Authority (RERA) and Real Estate Investment Trusts (REITs) are major factors that will lead to more investments into the sector.

Read more: Economic Times