The coronavirus pandemic has had a detrimental impact on most sectors and economies and the consequent loss to Indian real estate sector is projected at Rs 1 trillion by the end of FY21, a new report has stated. Supporting more than 250 industries, the real estate sector in India will be temporarily handicapped by the ongoing pandemic. The prevailing outlook for the short term period panning the next 6-12 months may seem filled with ‘doom and gloom’, however the outlook for coming 12-24 months point to a steady recovery, said a report by KPMG India, titled, ‘COVID-19: React, adapt and recover – The new reality May 2020 – A perspective on the Indian real estate sector’. On the residential real estate market front, the credit crunch is expected to result in a contraction in residential sales across top seven cities to 2.8 lakh-3 lakh units in 2020-21 from 4 lakh units in 2019-20, it said. In the commercial segment, despite the lockdown scenario and subsequent easing of restrictions, the IT-BPM sector is anticipated to continue driving demand for office space, it said.

(Moneycontrol)