Affordable Housing Market in the BRIC Countries 2016-2020

January 27, 2016
SKU:
IRTNTR8302
This market research report presents a comprehensive segmentation of the affordable housing market in the BRIC nations (Brazil, Russia, India, and China). The report provides a vendor analysis of the leading companies in the market, such as Ansal Housing and Construction, Brookfield, China State Construction Engineering, CITIC Construction, Etalon Group, Gafisa, and LSR Group.

Market outlook of the affordable housing market in BRIC countries

Technavio’s market research analyst predicts that the affordable housing market in BRIC will grow at a CAGR of around 7% during the forecast period. The market has gained momentum in BRIC since a high percentage of the population in these countries belongs to the lower and middle-income groups. As disposable income is a primary factor in determining affordability, affordable housing solutions have critical implications from the perspective of those who belong to the lower and middle-income groups.

The rapid growth in demand for affordable housing in the BRIC nations has resulted in a demand-supply mismatch. This has led the governments of the BRIC nations to come up with a number of strategies such as supporting PPP models and offering developers with incentives such as tax benefits and other exemptions in affordable housing projects. These interventions are likely to encourage developers to offer affordable housing solutions. At the same time, sustainable development has become a focus area in most affordable housing projects in BRIC nations owing to growing global concerns about reducing pollution and carbon emissions.

Geographical segmentation and analysis of the affordable housing market in BRIC Brazil

  • Russia
  • India
  • China

China constituted 41% of the market share during 2015. Growing population and rapid urbanization in China drives the need for developing new infrastructure and housing in the country. The Ministry of Housing and Urban-Rural Development in China is working to meet the increasing demand for affordable housing in the country and is planning to build 10 million new affordable houses every year. In 2015, the Chinese government invested nearly $200 billion in the development of affordable housing.

Competitive landscape and key vendors

The affordable housing market in the BRIC nations is highly fragmented with the presence of numerous small, medium, and large suppliers, including international and regional players. The availability of financial assistance from the governments of these countries in the form of PPP model is driving market growth. There is also an increase in the disposable income of the people, which is boosting the demand for affordable houses.

The top vendors in the market are –

  • Ansal Housing and Construction
  • Brookfield
  • China State Construction Engineering
  • CITIC Construction
  • Etalon Group
  • Gafisa
  • LSR Group

Other prominent vendors in the market include AFI Development, Capital Group, China Properties Group, China Vanke, Coastal Greenland, Fantasia Holdings, Godrej Properties, Greentown China, KWG Property, MirLand Development Corporation, PIK Group, ROSE GROUP, Shanghai Forte Land, Shapoorji Pallonji Engineering and Construction, Sino-Ocean Land, and Tata Housing.

Key questions answered in the report

  • What will the market size and the growth rate be in 2020?
  • What are the key factors driving the affordable housing market in BRIC?
  • What are the key market trends impacting the growth of the affordable housing market in BRIC?
  • What are the challenges to market growth?
  • Who are the key vendors in this market space?
  • What are the market opportunities and threats faced by the vendors in the affordable housing market in BRIC?
  • What are the key outcomes of the five forces analysis of the affordable housing market in BRIC?

Related reports: