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Indian retail real estate seems become attractive again for global investor

According to property consultant JLL. Indian retail real estate has become attractive again for global investor as private equity (PE) investment in this segment has reached $149 million in the first five months of this year and likely to break previous record of 2008.

"As of May 2016, the total PE investment into Indian retail real estate stood at $149 million or Rs 10 billion. This has beaten most industry experts' expectations," JLL India Managing Director - Capital Markets & International Director Shobhit Agarwal said in a report.

The figure has exceeded investment attracted by the Indian retail real estate industry in the year 2007 and could very well cross the previous high seen in 2008, he added.

"Economic and political stability, liberalisation of the FDI policy by the government and improvement in the consumer sentiment are some of the factors working in retail and retail real estate's favour," Agarwal said.

JLL India said that there are a few deals, apart from one big deal, in the works. "If any of these go through, 2016 could prove to be a historic year as far as PE investment into the retail real estate industry is concerned".

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