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The relaxation in the norms of FDI there is a breath of fresh air that is being experience in the retail sector. The badly injured real according to the new developments. The estate sector is looking forward to the surge in the expected demand. The president of Wal Mart Mr. Raj Jain announced that his company is researching on the spending and the shopping behavior in fifty –three cities across the country. With the results the company would be able to analyze where it can set up their showrooms. Within the twelve months the results of the survey is suppose to be out. The results that are due will reveal the true worthiness that might attract new investments. To discover all the abilities once again, will also reveal the credit ability.

If introspected, it becomes clear that the surge in demand will make the real estates’ confident. It will push them in forefront to tempt the new investors and will act as an impetus for their projects. With the change in the scenario the developers in real estates, now take a better look at the space available at retail. Around Rs 22,000 crore is the estimated value of the real estate retail market. A strategy of the investment plan is needed for which the potential of the retail is being surveyed. Many feel that the demand surge can lead to setting up of shops in the vicinity of the city which would utilize retail space in the various cities. This would also give rise to the rents of retail. The problem of the high supply of space in retail will vanish.

The relaxation the norms of FDI have made it possible to inter- weave a dream of establishing various malls of large million square foot! Commercial real estate is known to be reality firms and that is the reason they will be getting high rents for leasing out their space. Single brand retail and multi brand retail will have a bright future in India.

The announcement of cabinet approving 51 per cent FDI in multi brand retail has invoked strong criticism from Opposition parties. The proposal for 51 per cent FDI in retail approval is still in the pipeline and is needed to be taken by Foreign Investment Promotion Board. The description of multi brand retail for the purpose of FDI is about small industries in units which have plant and machinery investment of $ 250,000. It is said that the government will have the right to get agricultural produce before anyone. Though various such conditions have been levied but such a revolution will indeed do wonders in the country.

In a nutshell, the direct and a positive impact of the FDI in Indian real estates is that it will be able to attract investments in huge amount from abroad. Such a move will definitely bring about a wave of freshness in the developing country like India.

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