The Perks of Paper

Real Estate

You can slake your appetite for real-estate investment without the hassle of purchasing physical property. ANKUR DHAWAN explains how.

Are you keen to invest in the real-estate sector but not interested in going through the rigmarole of purchasing physical assets? If yes, this could be the option for you: Investing in real-estate on paper and reaping real returns. Real-estate Private Equity (PE) funds are one such instrument.

Realty PE funds entered India when the construction sector was opened up for foreign investment in 2005. Real-estate PE funds either buy stakes in projects or invest in property that is rented out to tenants. Real-estate PE funds invest in more diversified assets. For example, a development-based,