In contrast to the rules applicable to the foreign companies with branch offices/project offices/liaison offices in India, Indian law does not place restrictions on acquisition or transfer of immovable property in India by the Indian subsidiaries of foreign companies.
Further, the acquisition is required to be made through normal banking channels, subject to applicable tax laws and other duties/levies in India.
EXAMPLE: A Singaporean company registers a wholly owned subsidiary in India, and that subsidiary purchases land for the purpose of leasing the land to third parties. This purchase is permissible under the law, with no prior approval required from the RBI as long as the purchase is made through normal banking channels and applicable taxes are paid.