Foreign direct investment in the country's real estate sector is likely to rise to a whopping $25 billion in the next 10 years from the present $4 billion, even as the industry faces a slowdown in the short term due to rising interest rates, an Assocham study said. "Despite real estate market confronting a temporary depression with real interest rates hovering between 12-16 per cent, FDI in real estate market would increase by about $21 billion to touch USD 25 billion in the next 10 years," industry chamber Assocham said in its latest study. At present, the domestic real estate market is estimated at $15 billion, of which FDI contributions are about $4 billion, it pointed out.   more »

JPMorgan plans to invest more than $1 billion in Asian real estate over the next three years, hoping to fill a gap as Indian and Chinese developers crave funds and rival investors recoil from property markets. The investment bank, which has fared better than some Wall Street rivals because of smaller exposure to US sub-prime mortgage investments, is using its special opportunities group to finance Asian property firms and their projects. “It’s a fantastic opportunity for us at a time when a lot of our competitors are scaling down because of difficulties accessing their balance sheet,” the group’s Asia real estate head, Bryan Southergill, said.   more »