Sudarshan Lodha, Co-founder, Strata, a leading fractional real estate platform , ‘Considering the challenging year the country has been through, I would like to congratulate the finance minister for putting up a bold budget focussed on growth. It is extremely encouraging to see that the budget bets big on the infrastructure industry to help kick-start the economy. Divestment and monetisation of assets across industry including airports, ports, railways and freight corridors is a big stride and will go a long way in making India Atma nirbhar in the real sense of the term. This will also offer a big impetus to fractional investment models in real-estate. Instead of solely depending on the developers for the supply side, the industry can expect big government assets on the block thereby opening up the industry further to retail investment.
Considering infrastructure needs long term debt financing, a professionally managed Development Financial Institution will act as an enabler, while an Asset Reconstruction Company and Asset Management Company will usher in consolidation in the sector. Additionally, Debt Financing of InVITs and REITs by Foreign Portfolio Investors will help boost much needed liquidity in the sector, whereas reduction in taxes and measures for affordable housing will spur consumption and growth at the retail level.
The budget also offers big boost to the startup sector. Besides extension of a tax holiday, extended capital gains exemption for investment in start-ups by another year will help the sector attract more funds. This will encourage more entrepreneurs to join the bandwagon while also evading the cumbersome compliance procedure.’