India still reluctant on real estate trusts

Overbuilding in some areas worries investors. For example, around 50 malls are being built in the New Delhi suburb of Gurgaon. With the information technology industry thriving, about 100 million square feet, or 9.3 million square meters, of office space is to be built over three years, equal to all the office blocks in Washington.

An economy growing at about 9 percent a year has helped push up Mumbai office rents by a fifth in 12 months, but as new developments pop up in India's main cities, old areas can also quickly go out of fashion.