NRI’s investment worth AED 861,180,000 back to its home country, helps to DLF to mark record sales

• Contributing to these impressive figures include Non-Resident Indians based in the GCC searching for profitable investment opportunities and end-use luxury properties in India

Dubai: DLF Ltd, India’s leading listed real estate developer, has set a new record of annual sales in the Indian real estate industry with cumulative new transactions of AED 6,653,880,000 (INR 15,058 crores) in FY23, ending March 31st. This remarkable achievement was driven by the success of key project launches, including the luxury residential offering, The Arbour, The Grove located in Gurugram among others. DLF recorded sales of approximately AED 861,180,000 (INR 2,000+ crores) from NRI investors in the fiscal year 2022-2023. NRI investment has consistently played a crucial role in DLF’s residential portfolio, the majority of which is driven by Non-Resident Indians (NRIs) originating from the Middle East region, followed by the USA, UK, and Singapore.

The listed developer, known for developing super luxury and luxury properties, announced its Q4 FY23 and annual FY23 results in a statement that detailed, “Our residential business delivered a record performance by clocking new sales bookings of AED 3,642,000,000 (INR 8,458 crore) in Q4, reflecting a year-on-year growth of 210%.”

Aakash Ohri, DLF Group Executive Director and Chief Business Officer elaborates “When it comes to NRI investments in Indian real estate, the Gulf Cooperation Council (GCC) remains a key one. For NRI investors from GCC countries, Indian real estate has always been a market with enormous opportunities. Residential real estate provides the NRI community with a unique opportunity to convert their hard-earned foreign income into profitable investment opportunities in India. In the last two years, we’ve seen an increase in the number of NRIs looking to buy a home in India, and pent-up demand has begun to emerge. Post-COVID and the weakening of the Indian rupee have further pushed the investment from UAE-based NRIs in Indian real estate. NRI investments in DLF projects currently range between 12 and 14 percent, and we intend to substantially upsurge that contribution in the coming years. Furthermore, NRIs in the Middle East are optimistic about the Indian market, special provisions such as a streamlined tax regime, indexation benefits, cheaper house loan interest, favorable currency movement, and digitization of procedures further attract them to invest their surplus money in India. We are bullish about the growth of this clientele base in the coming years.”

Talking to The Brew News on NRI Investments, Aakash Ohri, Group Executive Director and Chief Business Officer, DLF explained that “While the demand cuts across geographies and product categories, a substantial demand has been coming for homes in the luxury segment and above, in projects that offer amenities and facilities at par with global standards. High rises, part of luxury condominiums located at metro cities like Delhi, and Gurgaon have always been the preferred choice of NRIs. However, since the outbreak of the pandemic, we’ve seen an increase in the number of NRIs looking for luxury homes within driving distance of metros and offbeat destinations as well such as Kasauli, Panchkula, Kochi, and Dehradun, among others.

Metro cities in India such as Delhi, Gurgaon, Mumbai, and Chennai continue to remain the top favorites of NRIs. However, lately, NRI investors have been eyeing upcoming cities such as Chandigarh, Panchkula, Goa, and Kochi. Delhi NCR amongst these is drawing a large chunk of NRI investment in Indian real estate. Gurgaon especially has become a popular investment destination for NRIs and expats owing to its well-developed infrastructure and thriving social fabric” —

“The prospective buyer group is mostly above 35 years of age, for luxury segment products, it is usually above 45 years of age; and for super luxury, it is 50+ with some exceptions. Premium segment buyers cut across professions, but luxury and super luxury buyers are mostly HNIS and UHNIs; they are business owners, industrialists, CXOs/top-ranked leaders in global companies, or specialized skills professionals like doctors, CAs, etc. A lot of buyers are repeat buyers, who are our existing owners and continue to invest in new products, and additionally, a lot of prospects come via referrals from our existing owners who have invested in the past”.