'IT boom will fuel India's real estate further'

LOPAMUDRA GHATAK / INDIATIMES NEWS NETWORK / Mar 9, 2007, 19:14 IST

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The CEO of Gowealthy.com, one of Mid-East's real estate portals, feels that the IT boom will bring back a lot of expats.

'IT boom will fuel India's real estate further'

Key Highlights

The CEO of Gowealthy.com, one of Mid-East's real estate portals, feels that the IT boom will bring back a lot of expats.

NEW DELHI: India is hot and happening and so is the real estate story in India, which is all set for a climax thanks to the country’s booming technology industry. And for the burgeoning real estate industry, the graph is all set to soar northward, feels Peter Penhall, CEO, of Dubai-based Gowealthy.com. In town to ink a partnership alliance with Times Internet Limited (TIL), the Chief Executive Officer of Gowealthy.com, one of Middle East’s renowned real estate and online property brokerage portals, said that the country will see an international shift in the real estate sector thanks to the ongoing IT boom.“India is the place to be now. And the ongoing IT boom is going to fuel the real estate market further in India and bring back a lot of expatriate Indians as well back into their homes in India,” Penhall, said.High rentals, space crunch, new construction – the real estate stories driven by market forces of demand and supply are similar for both India and Dubai, Penhall feels. Comparing Dubai’s “fluid” real estate scenario with India, the South African went on to say that the last 18 months have witnessed a huge jump in rentals, proving that “home for the global citizen is where his heart is”.But acquiring property, especially in the Middle East, is not easy for non-Islamic nationals. While rental laws in Sharjah allow freehold areas and plots on a 99-year lease, in Abu Dhabi one can only own the improvement on the land, i.e., building, he reveals.“Dubai is the financial hub of the region. It is also a city which is extremely cosmopolitan and chic and has easy property laws which has drawn in a lot of foreign investment. This has also inspired others like Oman, Qatar and Saudi to take a re-look at their land and property ownership laws,” he said.Also the fact that the Middle-East suffers from a “security issue” vis-à-vis general security of nationals in Iraq, makes it a little suspect in the eyes of the rest of the world wanting to set up base there. However, with the US resident real market having reached a saturation point, there is no choice but for global citizens to look at newer ventures, feels Penhall. This in turn, means scope for emerging markets. Penhall is optimistic about his foray into India.“There was an obvious connect with the Times Group which is a dominant brand and enjoys a huge amount of recognition in India and other parts of the world,” he says.

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