Gujarat Realtors Eyeing Latin American Real Estate Market
Source: Indian Realty News
Latin America is now on the radar of realtors from Gujarat. Come July, and about 100-odd builders and developers from across the state will fly to Brazil and Argentina for a 10-day tour to study the local real-estate markets existing in these countries. “Both Brazil and Argentina have economies which are identical to the one in India. This will provide us with an excellent opportunity to compare and comprehend the real estate activities happening in these Latin American countries,” said Suresh Patel, president GIHED, a body of developers in Ahmedabad . While Brazil is part of the BRIC nations , Argentina’s GDP has an economy which, akin to India, has been growing at 8-9 % per annum. The developers will be visiting Argentina’s capital — Buenos Aires — often referred to as ‘The Paris of South America’ . They will also be visiting the largest cities in Brazil — Rio de Janeiro and São Paolo — which are also considered to be the safest opportunities for real estate investment.
Rio de Janeiro, regarded as the ‘Carnival Capital’ of the world, is probably Brazil’s most famous city and the second largest in Brazil with a population of over 15 million people. Sao Paolo is the centre of government and finance in the country, and is therefore likely to be popular with those looking for commercial and office properties. Both the countries are among the hottest turfs in the world today for commercial real estate investment. A recent assessment from London-based Institution of Chartered Surveyors had both Brazil and Argentina among the most upbeat real estate markets. “It will be interesting to study the real estate scenario in cities like São Paolo which today is among the world’s emerging cities,” Mr Patel said. The developers will not only hold meetings with local counterparts, they will be keeping an eye open for possible joint ventures. “We will be trying to understand the synergy between town planning and bylaws existing in these Latin American cities,” he added.
In January, a similar group of realtors from Gujarat had gone to study the real estate cycle of the debt-hit Dubai. Some of them were also trying to acquire properties in the emirate. “Though the property prices in Dubai are still on the lower side, builders are still apprehensive about investing in this place. A major reason is the return on investment, they are able to earn back home,” Mr Patel said while explaining that the realestate market in Gujarat was far more “rosier and risk-free” . Similarly, last year, about 120 realtors from Gujarat had undertaken a technical tour of Japan and South Korea. “The benefit of such foreign tours can today be seen on the city’s skyline. There is a marked improvement in terms of quality and design upgradation of real estate structures that are coming up. Be it the aesthetics , landscaping or interiors, there has been a dramatic shift from what was available in the market a few years ago,” he said, referring to the recent trips undertaken by Gujarat’s realtors to cities in the UAE, China, the UK and the US.
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