Abhishek Singhania, Chairman & Managing Director, JK Urbanscapes said,“The RBI’s decision to raise the repo rate by 25 bps is a clear response to the evolving inflation and global rate environment. While this will raise the cost of capital at the margin, the larger implication for real estate is likely to be greater selectivity in investment and development decisions rather than a broad-based slowdown. Projects with sound demand fundamentals, credible execution and a clear long-term proposition will continue to attract capital.
For hospitality and mixed-use developments, particularly in emerging markets, the focus will increasingly be on the strength of the underlying destination and the quality of the asset, rather than simply on the availability of inexpensive capital. We see this as a phase that will reward disciplined development and projects built on strong fundamentals.”
