The Indian real estate landscape is experiencing an unprecedented surge, and it can be majorly attributed to the infrastructural reforms initiated under the leadership of Prime Minister Narendra Modi. While the incumbent administration has championed subsidised housing under Pradhan Mantri Awas Yojna, the private real estate market has flourished tremendously in the past nine years.
In this review, we will understand how the initiatives of the Modi-led government have become the catalysts for a booming real estate sector:
Roads Paving the Way for Realty
The construction of an impressive 53,000 km of national highways combined with the expansion of rural road connectivity with highway construction rate standing at an impressive 37 km per day is phenomenal. The highway construction rate stands impressive at 37 km per day. This enhanced accessibility has made way for a plethora of real estate projects.
Metro Expansion Fuels Urban Growth
The introduction of metro rail services to 20 cities has done wonders for urban real estate. Properties around metro stations have seen a spike in demand and valuation, reinforcing the fact that connectivity directly corresponds to realty growth.
Digital Revolution in Infrastructure Planning
The advent of the India’s Google Map Infrastructure Development i.e. GatiShakti marks a remarkable shift in infrastructure development. Built on open-source technology, GatiShakti uses satellite imagery from ISRO and is hosted on MeghRaj under the PM Gati Shakti National Master Plan (NMP) is a boon for real estate developers. With this tool at their disposal, project planning and management have reached new heights, ensuring that projects meet their timelines, much to the delight of investors.
Taking to the Skies
The establishment of 74 new airports over the past nine years under the Udan scheme has led to the blossoming of commercial and residential properties in adjoining areas. The subsequent growth in businesses, hotels, and tourism has further accelerated real estate demand. The Dholera Smart City project is nearing its completion and the real estate market in Dholera SIR is phenomenal.
Waterfront Wonders
The government’s move to declare 111 pathways as National Waterways has spotlighted waterfront properties. Also, the highway construction rate stands impressive at 37 km per day. The ripple effect has seen heightened commercial and residential real estate activity in the adjacent regions.
Architectural Landmarks Spur Growth
Infrastructure masterpieces like the Chenab Bridge, Statue of Unity, and the Atal Tunnel are not just engineering marvels. They’ve transformed into real estate magnets, pulling in a surge of demand in their wake.
Ports: The New Realty Hubs
The government’s focus on modernizing ports has translated into commercial growth in surrounding areas. This includes a rise in warehousing, storage facilities, and logistics parks. Naturally, the demand for residential spaces in these areas has also seen an uptick.
Visionary Urban Planning
Thanks to the PM Gati Shakti National Master Plan, India is steadily moving towards the dream of well-planned smart cities, becoming the nerve centers for real estate activities.
A Global Touch To Real Estate Investments
It’s hard to ignore the impact of foreign investments in the country. The infrastructural growth has made India an attractive destination for foreign companies, leading to a surge in demand for commercial spaces and housing.
PM Modi’s team has astutely recalibrated India’s corporate tax structure, synchronizing it with global benchmarks. This transformative move beckons international businesses and investors, laying the groundwork for a flourishing economic scenario.
Every brick laid in the name of infrastructure development under PM Modi’s vision has added value to the Indian real estate sector. The future indeed looks promising for stakeholders, investors, and end-users alike.
Having said that, Prime Minister Narendra Modi’s administration has not only amplified the pace of infrastructural development in India but has also set its sights on rejuvenating the very bedrock of the nation’s real estate sector, emphasizing transparency, accountability, and inclusivity.
Empowering the Everyday Homebuyer
For far too long, middle-class homebuyers have navigated a tumultuous path, dodging project delays and confronting escalated property prices. Recognizing this, the Modi government has ushered in a slew of policies tailored for enhanced consumer protection and empowerment:
Dissuading Property Hoarding
In a bid to regulate the real estate landscape, the government, propelled by a court directive, is contemplating taxing developers on their unsold, ready-to-occupy properties. This could prompt builders to hasten sales and rectify the prevalent property price anomalies.
Aadhaar Integration With Properties
The ambitious proposal of linking property transactions with Aadhaar promises an unprecedented level of transparency. Minister Hardeep Puri’s assertion implies a concerted effort to obliterate shadowy benami deals, expelling black money and setting the stage for genuine affordability in housing.
Zero Tolerance for Corruption
The audacious step of demonetization bore testament to Modi’s unwavering resolve to cleanse the system. Preceding this, the less-publicized but equally significant Benami Act was strategically positioned to thwart illicit property dealings.
Shedding Light on Covert Property Deals
The rampant practice of acquiring properties under proxy names, a tactic to circumvent tax liabilities, is being systematically challenged. Comprehensive audits of real estate assets with potentially misleading titles are underway.
Dissecting the Benami Act
The Prohibition of Benami Property Transaction Act stands as a sentinel against tax dodgers who clandestinely acquire assets. This potent legislation ensures that unauthorized property holders face stringent repercussions, including prolonged incarceration and mandatory property forfeiture. Alarming statistics suggest that up to 10% of properties in some cities might be enveloped in this web of deceit.
Rumors abound that influential politicians, affluent businesspersons, and certain NRIs, potentially implicated in disguised property investments, are under intense scrutiny.
Stringent Oversight Mechanisms
Capitalizing on a multi-pronged approach, the government harnesses insights from tax return filings, conducts synchronized raids, and meticulously monitors suspect bank activities to identify and penalize malpractices.
Forging Ahead with Determination
The RERA’s implementation has already begun reshaping the builder-consumer dynamics. Coupled with the rigorous enforcement of the Benami Act, it’s evident that the government is steadfast in its mission to revamp the property sector. These concerted efforts not only boost consumer trust but also champion transparency, fair property valuation, and actively combat illicit property acquisition.
In a significant move, the government demonstrated its commitment in the budget by raising the capital investment outlay to Rs 7.5 lakh crores. The budget for 2023 witnessed a substantial increase in capital expenditures for Indian Railways, amounting to nine times more than the allocation for the fiscal year 2013-14.
The Modi administration, through its multifaceted initiatives, is sculpting a real estate environment characterized by fairness, transparency, and growth, promising a prosperous horizon for all its stakeholders.
