08.23.06
FDI norms for Real Estate Development in India can be eased
FDI norms for Real Estate Development in India can be eased
Government of India is planning to ease the entry of the foreign investors in the country. The norms which were earlier being set by the Indian government were difficult so that the overseas Real Estate Developers cannot get into the market easily. But this news will not bring a cool breath to the Overseas Real Estate Developers.
The norms which were being set earlier:
For Commercial Development: A minimum area of 50000 sq mts.
For Residential Development : A minimum area of 10 Hectares.
These norms are now eased to 10000 sq mtr for the commercial and 10 Acres for the residential projects. Investors are not allowed to repatriate original investments before three years of completion of minimum capitalization. However in special cases, the foreign investor can be permitted to exit early but with prior FIBP approval.