Trump’s Indian Towers unmoved by his elevation
MUMBAI: US president-elect Donald Trump has presence in a number of real estate projects in India, but his victory has not done much to enthuse the sector, which is reeling under the demonetisation shock.
Builders were elated that someone from their trade gets to become president of the world’s most powerful nation, this has no reflection in the property market. There are currently five Trump projects in India, of which two have already taken off. The remaining, in Gurgaon and Kolkata, would be launched next year.
In Mumbai, he has tied up with the high profile Lodha Group, while in Pune his partners are the politically influential Panchshil Realty. Lodha Group founder Mangal Prabhat Lodha is a BJP legislator while MP Supriya Sule, daughter of Sharad Pawar, NCP chief holds a stake in Panchshil Realty.
Asked about whether the Trump electoral victory in the US would impact his property, Sagar Chordia, director, Panchshil Realty merely said “It is too early for any such inquiry.”
The Lodha Group, meanwhile, did advertise its project during the presidential campaign, and described it as mere coincidence.
Pankaj Kapoor, CEO, Liases Foras, said Trump’s elevation will not drive sales. “The luxury market which is already in recessionary mode suffered a blow due to demonetisation. The main buyers — businessmen and entrepreneurs — are stressed now and not in a position to buy in the present situation,” he said.
Donald Trump typically lends his name to various projects for a consideration. Apart from residential complexes, Trump also has a host of hotels, resorts as well as casinos sporting his brand name. In both the Indian projects, Trump has not invested any money but has given his brand name for which he is given a royalty based on the sales.