Real estate and Covid-19: Impact and regulatory response in India

Abstract

As a supplier of commercial and residential infrastructure, real estate acts as a fulcrum for growth and enables holistic socio-economic development in India. This paper studies the extent of the impact of Covid-19 on the Indian real estate sector and evaluates the response to the challenges on the part of Real Estate Regulatory Authorities, government and other agencies in the real estate regulatory framework. Using primary data from a survey covering 257 respondents from 16 states, and secondary data from CREDAI and Anarock surveys conducted in two separate waves of Covid-19, notifications issued by RERAs and Ministries, RBI directives, stakeholder association representations, and a focus group discussion of experts, the regulatory response is assessed and evaluated. The data indicate that the measures announced are inadequate; a more robust response, including GST and other fiscal changes, and amendments to the RERA Act are required, as are technology infusion and management innovation for long-term adjustment.