10C.13
- Document type
- Manual
- Dated
- Category
- Exchange Management Manual
Investment in Housing and Real Estate Development
NRIs/OCBs will be permitted to invest up to 100% in the new issue of equity shares/convertible debentures of Indian companies engaged in the following areas:
(i) Development of serviced plots and construction of built up residential premises;
(ii) Real estate covering construction of residential and commercial premises including business centres and offices;
(iii) Development of township;
(iv) City and region level urban infrastructure facilities including roads and bridges;
(v) Manufacturing of building materials;
(vi) Financing of housing development.
Repatriation of original investment in this case will be permitted by Reserve Bank only after a lock in period of three years from the date of issue of the equity shares/convertible debentures. Applications for the purpose should be made to Reserve Bank (Central Office) in form ISD(R).
NOTE: OCBs will be permitted to repatriate net profit (up to 16 per cent) arising from sale of such investment after the lock-in-period of three years.