The document discusses various methods for raising funds for real estate projects, including qualified institutional placements, foreign currency convertible bonds, convertible bonds, and real estate investment trusts. It notes that qualified institutional placements offer a cost-efficient way to raise domestic funds when overseas borrowing declines. Real estate investment trusts provide investors with a comparatively less risky investment than under-construction properties, while also providing sponsors with liquidity options. The document lists prerequisites for raising capital such as clear land titles, approvals, demand analysis, on-time delivery, and identifiable equity sources.

1. Qualified Institutional Placement
Part 16
CONFERENCE ON REAL ESTATE

2. The Land Acquisition and Rehabilitation
and Resettlement Bill 2013
Qualified Institutional Placement (QIP) route offers a cost- efficient way of
raising funds from the domestic institutional investors, thus offering an
attractive alternative when overseas borrowings dry up. This mode of fund
raising has lesser procedural requirements.

3. Foreign Currency Convertible Bond
Foreign Currency Commercial Bond (FCCB) is a mix between a debt and equity
instrument issued in a currency different than the issuer’s domestic currency.
It acts like a bond by providing regular coupon and principal payments but at
the same time gives bondholders the option to convert the bond into stock.

4. Convertible Bonds
Convertible bond is a bond that can be converted into a predetermined
amount of the company's equity, usually at the discretion of the bondholder.

5. REITs
A Real Estate Investment Trust is a company that invests primarily in
completed, revenue generating real estate assets and distributes a major part
of the earning among their investors. REITs provide the investors with an
investment avenue, which is comparatively less risky than investing in under-
construction properties and provides regular income.
On the other hand, REITs provide the sponsor avenues of exit thus providing
liquidity and enable them to invest in other projects.

6. REITs

7. REITs

8. Prerequisite for raising capital
• Clear Land Titles
• All approvals in place
• Demand supply analysis
• Timely delivery
• Appointment of renowned contractor/architect
• Clear Marketing Strategy
• Satisfactory conduct of the account for Existing borrowers
• Proper and clearly identifiable source of Equity

9. THANK YOU
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