The new economic policies have changed the Foreign Direct Investment mechanism into Indian soil. The Regulations are different, in each category of FDI.

Being part of the federal system, the state of Kerala also is governed by the FDI Regulations formulated by the Indian Union (Central) Government.

FDI into real estate sector is governed by the clear norms of the government and it is quite investor friendly after many amendments. 100% FDI is not completely allowed in all Real Estate Sectors in India. Please feel free to Contact our FDI consultant to get more information on this aspect.

Condition for Real Estate investment by NRIs and POI to India

You shall be treated as a Person of Indian Origin (now being citizen of another country) If at any point of time you,

• Held Indian passport; or
• Either your father or grandfather was a citizen of India.

But you shall not get the status of POI if you are a citizen of Pakistan or Bangladesh or Sri Lanka or Afghanistan or China or Iran or Nepal or Bhutan),

If you are a Resident outside India and is an NRI (Indian Citizen) or Person of India Origin, you can generally acquire only Residential /Commercial Immovable properties in India.

Please feel free to Contact our Real Estate Legal Team for more detailed information on this.

Conditions for FDI into Real Estate Sector in India.

FDI to develop a minimum landed area of 100000 square meters for serviced housing plots, and a minimum built-up area of 50,000 square meters in case of construction projects.

• There is a minimum capital condition of USD 10 million in case of 100% owned subsidiary and USD 5 million in the case of Joint ventures.
• There is a timeline of 5 years to finish a minimum of 50% of the total project.
• No undeveloped plots can be sold by the investor.
• There is repatriation condition for the original investment for 3 years from completion of the project.

Kerala is the best investment destination for FDI. NRIs and POIs from Kerala are invited and advised to invest into this fertile land to make this land grow and to help yourself to grow.

Biz & Legis Real Estate Legal services offers you comprehensive services throughout your investment activities.