Sharp bull run in real estate; private capex to pick up in infra: Varun Saboo
Varun Saboo, Head, Equities, Anand Rathi, says the entire realty space has also entered into a very strong and sharp bull run. There is a clear shift from individual residential buildings to large complexes, etc, where there is very little inventory and thus pricing will keep moving higher and it will take a number of years for this to get corrected and that is where the strength lies. Real estate is going to remain a very strong flavour and it is not going to change anytime soon.
What about infra and L&T in particular?
Varun Saboo: Undoubtedly, in infra, L&T is the best name, the bellwether name that we have and in terms of the hope that there the private capex cycle will also pick up. I see L&T to be a key beneficiary there as well.
What is your view on how the pure play realty plays, the ancillaries and some of these companies which are unlocking real estate which are going to be beneficiaries in this current bull run?
Varun Saboo: I am extremely excited about this opportunity in real estate as a pack to begin with. We keep talking about equities being in the best bull run ever, the mother of all bull runs, etc, which we keep talking about.
Simultaneously the entire realty space has also entered into a very strong and sharp bull run. Why I am saying so is because there is a clear shift which is happening from individual residential buildings to these large complexes, etc, which these builders are coming up with and there is very little inventory of it. So, inventory is extremely low, pricing will keep moving
