Bengaluru is the most attractive property market in India currently: Indiassetz
Investors have lost a bit of confidence in the under-construction residential segment
Indiassetz, a real estate advisory and portfolio management services firm, said that Bengaluru is still the most attractive property market in India, in terms of returns, followed by Hyderabad.
“Bengaluru is still in the top most and Hyderabad is peaking up very well. Delhi has huge supply issues, so till the supply is order average is out demand will going to come back,” Shivam Sinha, CEO, Indiassetz, said.
The firm, which helps high networth individuals (HNIs) and non-resident Indians (NRIs) to manage their real estate portfolios, is planning to expand its operations to the national capital region (NCR), Mumbai and Pune regions, after having topped the Rs 2500 crore mark of assets under management (AUM).
“We have started Bangalore. We have extended our services in Hyderabad and in Chennai, so that’s how we covered the south. We want to extend to Delhi-NCR and in west – Bombay, Pune and Ahmedabad,” Sinha said.
“The AUM right now is Rs 2,500 crore. We have more than 3000 registered clients with us, in the last three years,” Sinha said.
Indiassetz is a real estate wealth management advisory start-up launched in 2014 by a group of bankers to bridge the gap in the current property investment and management space in India.
Sinha said that despite the relative fall in real estate’s attractiveness as an asset class in the two years, at a macro level even today the real estate attracts a lot of capital.
“The most attractive asset in real estate would be in secondary market not in primary market,” Sinha said, adding that the under-construction residential segment is where investors have lost confidence.
Sinha said that 80 percent of the property assets they are handling is residential, 15 percent are commercial and 5 percent in land and plots.
“So, we handle everything. Once a customer on boards on us, hires us, after that everything related to his real estate properties we handle, whether it is buying, selling, leasing, rental, interior work, maintenance, government licensing or taxation, you name it and we will manage everything,” he said.
Sinha said that while historically there have been institutions like banks for financial investments, there were no professionally run service firms that could manage and handle the real estate wealth of an individual.
“In fact, thus far most people have been dependent on family, friends and sometimes brokers to help manage their real estate portfolios and advise them on investments in real estate. We are addressing this gap in the industry, with a customer-focused approach, by professionally managing the entire lifecycle of the clients’ real estate wealth ownership,” he said.