The real estate and infrastructure sector in India is considered as an engine of economic growth being instrumental for accelerating growth in other allied sectors, while generating employment and providing housing to the growing numbers of the Indian population. Real estate is also considered as a preferred asset class for investment among the small investors in India as it holds the promise of quick appreciation in value with negligible risks. To unleash the potential of this sector, the Government of India has ushered in many regulatory changes to channelize investments into the real estate and infrastructure sectors through policy support. The conception of Real estate investment trusts and Infrastructure investment trusts is a step in this direction. The purpose of this paper is to review the extant legal framework for REITs and In VITs in India in so far as they suit the requirements of small investors to invest. By drawing upon the extant provisions, the paper also discusses the various amendments brought in by the market regulator SEBI to make these instruments favorable vehicles of infrastructure financing.
Volume 11 | 07-Special Issue
Pages: 1195-1197