StrataProp

Every good investment opportunity contains risk. Especially in an economy where the GDP has been at a decadal low of 4.2% and has now been engulfed by a pandemic crisis, even the safest investment modes may turn volatile. In such a state of despair, savvy investors need to stay aware of the market trends and emerging strategies that can help them not only keep their investment boats afloat but also make well-informed decisions for future investments. The real estate industry is in the cusp of a transformation and the past decade has played a crucial role in shaping the sector. The realty sector and its ancillary industries witnessed a series of structural reforms with advent of RERA, introduction of GST, industry consolidation, fast proptech growth, and so on, which has helped increase transparency and trust between builders and buyers. Following the pandemic, here are the few trends of the commercial real estate sector that will help you invest better in 2020-21: Office Spaces: The of...

  What is cash flow in CRE? In the context of commercial property investing, cash flow is the result of proceeds from rent payments. It is the amount of money you bring in after collecting all income, paying all expenses and setting aside cash reserves. If a property generates more revenue than it costs to maintain it, it has positive cash flow. If it costs more money than it earns, it has negative cash flow. https://strataprop.com/insight-details/cashflow-investment-in-CRE Why is cash flow investing so powerful? Creates a passive income source -  Cash flow investing generates a stable income at regular intervals that can help you pay off expenses. Creates more investment opportunities -  Reinvesting the cash flow into other opportunities can exponentially increase your returns. Creates a safety net -  Having a steady income source creates a financial safety net that can help you tide over difficult economic times. Creates long term wealth -  Not only does inves...

  High returns and low risk, every investor out there is always looking for an asset with this rare combination. All they wish for is the best investment plan that can double their money in a few months or years with little or no risk. But, only the firms who care for your needs will tell you that this utopian state is almost impossible to attain. In reality, higher the risk, higher the possibility of bankable returns would be. Stock: Since it’s a volatile asset class, investing in stocks might not be everyone’s cup of tea especially when there are no guarantees of returns. Investors need to be on their toes while picking the right stocks, timing of their entry and exit to gain desired returns. But the silver lining here is, over long periods of time, equity investments are shown to deliver higher than inflation-adjusted returns compared to all other asset classes.  When investing in stocks, one must opt for the stop-loss method to reduce losses. In stop-loss, one places an ad...

COVID-19 was unprecedented. Even if the pandemic was detected as early asDecember 2019, due to various reasons, governments and healthcare agencies failed tounderstand the long-standing ramifications of this outbreak. Let alone business, evenpersonal finance and investing were hit quite a bit. The top changes that wereimmediately noticeable were big – shops closing, restaurants moving out of business,hotels suffering huge losses, businesses undergoing hiccups. What do you see common in all of these? The answer is – commercial real estate . It is not strange at all. All of these are businesses. Even if you consider e-commerce, they still require storage spaces for all items they offer on their portal. In the face of the spreading pandemic as of July-August 2020, and the confusion still surrounding the uncertain nature of the propagation, paranoid safety might be the best option available. That strikes out the office-going population, public places for gathering like restaurants and hote...

Shapoorji Pallonji group that builds luxury to mid-income homes across the country, plans to roll out a $600-million investment platform in partnership with a global sovereign fund to enter India’s growing warehousing space.  On the other hand, government’s initiatives such as Make in India, implementation of the Goods & Services Tax, and infrastructure status for the logistics sector has the interest of Institutional investors’ interest in Indian warehousing market growing manifolds. Since it’s a volatile asset class, investing in stocks might not be everyone’s cup of tea especially when there are no guarantees of returns. Investors need to be on their toes while picking the right stocks, timing of their entry and exit to gain desired returns. But the silver lining here is, over long periods of time, equity investments are shown to deliver higher than inflation-adjusted returns compared to all other asset classes. When investing in stocks, one must opt for the stop-loss method...