Budget 2024 Expectations: Can Budget Spark New Investment Opportunities in Real Estate?
Budget Expectations: Real estate is one of the growing sectors. The industry is expecting some measures that will boost their development. Here are the expectations of the industry from the Union Budget 2024-25.
Budget 2024 Expectations: Can Budget Spark New Investment Opportunities in Real Estate? (Image Source: iStock)
The buzz about the Union Budget for fiscal year 2024-25 is on top as Union Parliamentary Affairs Minister Kiren Rijuju announced the date yesterday, July 6. The Union Minister on a post on X said that the budget session of the parliament will start from July 22 and the budget will presented on July 23.
What Are Expectations Of Real Estate Sector?
This will be the first budget of Modi 3.0 government. So, several industries are anticipating measures that will improve their growth. Following suit, real estate sector is also expecting some measures which will boost their growth.
Anurag Goel, Director at Goel Ganga Developments said, “So, the upcoming budget putting an extreme focus on infrastructure could turn the tables synonymously for real estate investment opportunities. With the government’s ambitious investment target to the tune of Rs 111 lakh crore in infrastructure up to 2025 under the National Infrastructure Pipeline, we expect a significant spillover in real estate investments. The proposed Rs 25 lakh crore just for road infrastructure could unclog new real estate hotspots along significant corridors. Besides, there was also the planned investment of Rs 19 lakh crores in urban infrastructure, which could act as a harbinger of change in the entire landscape of urban regeneration projects and open up lucrative opportunities in the city center. Emphasis on affordable housing, with a promise to build 2 crore houses by the year 2025, may certainly create new vistas for investors in the mid-income segment. In addition, with the expected Rs 3 lakh crore allocation for digital infrastructure being a reality, data center real estate and smart city projects sprung up, promising 14-16 per cent returns for early investors.
LC Mittal, Director, Motia Group said, “The infrastructure push in Budget 2024-25 might revolutionize real estate investment landscapes. The planned expansion of metro rail networks in 25 cities by 2025, which is pegged to see investment worth Rs 4 lakh crore, is expected to create prime opportunities in transit-oriented development. We might see integrated townships come up along these corridors providing returns of 20-25 per cent over 5-7 years. The expected allocation of Rs 1.5 lakh crore to the renewable energy infrastructure may give rise to the development of green buildings and sustainable communities — a segment expected to grow at a 13 per cent CAGR till 2027”.
