India reaches out to non resident property investors
Real estate developers and agents in India are now offering more solutions to market properties to Non-Resident Indians (NRIs) and international property investors. Their focus is geared to target the burgeoning and lucrative market of prospective Western buyers.
As an increasing number of businesses are outsourcing their IT functions to India, property in commercial hubs such as Mumbai, is in high demand but it comes at a cost. Renting office space in Mumbai is even more expensive than in Manhattan.
It seems then that there is good business sense to invest in emerging markets rather than expensive, established areas such as Mumbai. Rudrapur is reported as one place that is taking off in terms of investment in business. The government has made the area a tax free zone and there are over 450 global corporations planning to set up businesses there in 2008.
According to Liam Bailey, Head of International Research for David Stanley Redfern Ltd, India is becoming increasingly attractive. ‘We are seeing businesses flocking to the area since the government designated it as a Special Economic Zone (SEZ). This means businesses pay no income tax for the first five years and receive a 30% discount over the following five years.
‘Unlike many other parts of India, Rudrapur has a solid infrastructure and great transport links. Electricity rates are the lowest in the country and there is no shortage of water. All this adds up to a great demand for people to live and work there.’
Real estate agents believe it a great opportunity for those wanting to invest in property. There will be 300,000 employees taking up posts in Rudrapur in 2008 and they will all be looking for property in the area.
On offer are complexes like Mountain View which is set against the picturesque backdrop of the Himalayas. It is a serviced complex set within immaculate grounds. The spacious, balconied, two bedroom apartments are finished to a high standard and come with a five percent rental income guaranteed for the first two years.