Citigroup's real estate arm is set to invest around Rs 400 crore ($100 million) in Bangalore-headquartered Golden Gate Properties for about 10% stake, sources said. The deal is expected to value the tier-II real estate firm at a little over $1 billion. This marks Citigroup's back-to-back deals in the domestic real estate space in the last fortnight. Early last week, the global financial giant unveiled $160 million play in Delhi-based BPTP.
Golden Gate is primarily into residential market with about 20,000 units under development totaling 23 million sq ft across southern cities such as Bangalore, Chennai and Hyderabad. The company also has substantial land holdings extending into emerging centres like Mysore and Mangalore. Besides, Golden Gate is believed to be foraying into SEZ and mixed use development.
In January this year, Deutche Bank investment unit RREEF closed $70 million transaction picking up under 10% stake in the company. The private equity juggernaut is now increasingly open to investing in tier-II or even in start-up realty firms, as the sectoral transparency issues are clearing up to an extent.
Citi's fresh investments are coming in when it was expected that the largest banking group in the US, reeling under $18 billion write-offs due to the subprime crisis, may go slow in ploughing more money into the realty sector in India. Several global banks have booked massive losses as the financial crisis that kicked in with the meltdown in the US housing market gained speed in the last two quarters. However, more realty firms are now opening up to private equity as their fund raising plans in the capital markets have run into trouble. For instance, several firms, including the biggest domestic player DLF, have been eyeing REIT listing on the Singapore Exchange, but are forced to delay the plan in the wake of market turbulence.
Friday, April 18, 2008
Wednesday, April 16, 2008
GROWTH OF INDUSTRIAL RENT HIGHEST IN MUMBAI
Mumbai has witnessed the world's highest (94.4%) increase in rentals of industrial space in 2007 from Rs 18 per sq ft per month to Rs 35 per sq ft per month ($10.88 per sq ft per annum). With this, the financial capital of the country leaped 11 positions to be 26th most expensive industrial locations in the world, said a global report on industrial space by real estate consultancy firm Cushman and Wakefield.
The rise in rentals of industrial space at Ranjangaon in Pune and IMT Manesar in the National Capital Region is fourth and sixth highest in the world. In Ranjangaon, the rentals went up from Rs 12 per sq ft per month in December 2006 to Rs 18 per sq ft per month in December 2007. In IMT Manesar, the rentals went up by 30% to Rs 13 per sq ft per month from Rs 10 per sq. per month. Rentals in prime area like Delhi's Okhala Industrial Area also went up by 28.57% to Rs 45 per sq ft per month from Rs 35 per sq ft per month ($14 per sq ft per annum).
Rentals in other areas in India have also gone up sharply. According to the report, rentals of industrial space in Hinjewadi in Pune has gone up by 18.75% to Rs 38 per sq ft per month, in Sriperumbudur in Chennai by 18.5% to Rs 32 per sq ft per month.
Within Asia-Pacific, Singapore came at third after Mumbai and IMT Manesar in annual rent growth and was followed by Pune and Chennai in the top five.
Bangalore-Bommasandra area came at sixth, while Bangalore-Jigani saw the ninth biggest rental rise in the region.
London retained its title as the world's most expensive industrial location in the world with total occupancy cost at $28.91 per sq ft per annum followed by Dublin, which jumped two places in the global ranking of occupancy costs to second place and Tokyo at third place. Occupancy cost in Dublin is $ 21.81 per sq ft per annum and in Tokyo $ 19.51 per sq ft per annum.
Okhala Industrial Area, with occupancy cost of $14.50 per sq ft per annum, is costlier than industrial space in Moscow, Frankfurt, Hong Kong and Beijing. The occupancy cost in Beijing is $ 7.31 pr sq. ft per annum
The rise in rentals of industrial space at Ranjangaon in Pune and IMT Manesar in the National Capital Region is fourth and sixth highest in the world. In Ranjangaon, the rentals went up from Rs 12 per sq ft per month in December 2006 to Rs 18 per sq ft per month in December 2007. In IMT Manesar, the rentals went up by 30% to Rs 13 per sq ft per month from Rs 10 per sq. per month. Rentals in prime area like Delhi's Okhala Industrial Area also went up by 28.57% to Rs 45 per sq ft per month from Rs 35 per sq ft per month ($14 per sq ft per annum).
Rentals in other areas in India have also gone up sharply. According to the report, rentals of industrial space in Hinjewadi in Pune has gone up by 18.75% to Rs 38 per sq ft per month, in Sriperumbudur in Chennai by 18.5% to Rs 32 per sq ft per month.
Within Asia-Pacific, Singapore came at third after Mumbai and IMT Manesar in annual rent growth and was followed by Pune and Chennai in the top five.
Bangalore-Bommasandra area came at sixth, while Bangalore-Jigani saw the ninth biggest rental rise in the region.
London retained its title as the world's most expensive industrial location in the world with total occupancy cost at $28.91 per sq ft per annum followed by Dublin, which jumped two places in the global ranking of occupancy costs to second place and Tokyo at third place. Occupancy cost in Dublin is $ 21.81 per sq ft per annum and in Tokyo $ 19.51 per sq ft per annum.
Okhala Industrial Area, with occupancy cost of $14.50 per sq ft per annum, is costlier than industrial space in Moscow, Frankfurt, Hong Kong and Beijing. The occupancy cost in Beijing is $ 7.31 pr sq. ft per annum
Tuesday, April 15, 2008
LODHA LAUNCHES LUXURY RESIDENCES
While there is talk of a demand crunch hitting the real estate industry developers still see prospects ahead, men for luxury Projects. Mumbai-based developer Lodha Group has launched luxury residences branded Lodha Marina at Mumbai's harbour zone of Sewri. With close proximity to Worli, Prabhadovi and Lower Parel, easy connectivity to 'Nariman Point, and Bandra-Kurla Complex business districts, Lodha Marina is positioned at the higher and of the market.
UNITY BAGS TWO ORDERS WORTH RS.221
Unity Infra-projects Limited has bugged Live orders worth Rs 221.85 Crore to build a mall-hotel-multiplex project at Pune for Vamona Developers Pvt. Ltd. at an estimated value of Rs 133.89 crure. In Hyderabad, Unity is building five towers with a basement and a podium at Kondapur for Kondapur Tower Pvt Ltd. The contract is worth about Rs 88.26 Crore.
HIRCO\'S CHENNAI PROJECT REPORTS ROBUST REVENUES
Hirco PLC, the investment vehicle of Mumbai-based Hiranandani Developers, has announced that sales of residential units in Phase 1 of its Hiranandoni Palace Gardens township development in Chennai continue to be robust both in terms of volume of units sold and the level of pricing achieved. As of March 31, sales revenues have been received on proximately 15.62.820 square feet at on overage price of RS 3,906 per square foot.
Monday, April 14, 2008
OMAXE INCREASES AD BUDGET TO RS 100 CRORE
Relieving its budget allocation for the financial year 2008-UH Delhi-based realty player Omaxe Ltd. has outlined its new budget amount for the New Year. The developer plans to push up its ad spend to Rs 100 crore from Rs 80 crore. Hath print and electronic media will be covered by the budget, which could be aimed at boosting demand amid a period of correction in the industry and inflationary pressures in the economy
CLERIDGS HOTELS
Cleridges will construct 1500 New Rooms at a cost of Rs.200 crore Group CONDERING TO OPEN HOTELS AT SEVEN PLACES with the entry into foreign markets and planning to expand in few cities of the country, cleridges Hotel Pvt. Ltd. will ad 1500 new rooms in its Hotel by investing Rs 1200 crore within next five years. Cleridges Hotel MD and CEO Peter J.Letgrb told the correspondent here "for investing in property we have a capital of 30 crore dollars. We are planning to open hotels at seven places so that the number of rooms may become from 1000 to 1500.
Letgeb said that for expansion of market, company is considering all types of alternatives. It includes organic and inorganic methods, shares, long term agreement for expansion etc. however, the company is not in favour of giving franchisee. He told that where the company is planning to open hotels in the country includes Hyderabad, Chennai, udaipur, Pune, and Keral. Letgeb said "we are in search of important areas in India and neighboring countries where hotels can be constructed." He said that company is at present talking to the parties of Chennai and udaipur respectively for opening the resort and business hotels. The company is going to open premium business hotel in Pune.
With regard to open hotels abroad, he said that company is planning to open hotels in Maldives and Middle East. In Maldives Company will construct a resort whereas a hotel consisting of 140 rooms will be constructed in Meddle East. On query about hotel place in Arabian countries Letgeb told that hotel can opened around Saudi Arabia and company is also talking to builders for it" cleridges is getting constructed hotels at three places in India which includes New Delhi, NCR and Mussoorie. This Delhi based company is constructing two hotels in Surajkund and Mumbai which will be opend by 2008 and 2010 respectively. The Cleridges Group told that company's income during 2007-2008 has reached Rs.90 crore with a profit of 40%
Letgeb said that for expansion of market, company is considering all types of alternatives. It includes organic and inorganic methods, shares, long term agreement for expansion etc. however, the company is not in favour of giving franchisee. He told that where the company is planning to open hotels in the country includes Hyderabad, Chennai, udaipur, Pune, and Keral. Letgeb said "we are in search of important areas in India and neighboring countries where hotels can be constructed." He said that company is at present talking to the parties of Chennai and udaipur respectively for opening the resort and business hotels. The company is going to open premium business hotel in Pune.
With regard to open hotels abroad, he said that company is planning to open hotels in Maldives and Middle East. In Maldives Company will construct a resort whereas a hotel consisting of 140 rooms will be constructed in Meddle East. On query about hotel place in Arabian countries Letgeb told that hotel can opened around Saudi Arabia and company is also talking to builders for it" cleridges is getting constructed hotels at three places in India which includes New Delhi, NCR and Mussoorie. This Delhi based company is constructing two hotels in Surajkund and Mumbai which will be opend by 2008 and 2010 respectively. The Cleridges Group told that company's income during 2007-2008 has reached Rs.90 crore with a profit of 40%
Sunday, April 13, 2008
SKY-HIGH PROPERTY PRICES
PROPERTY PRICES have shot through the roof on MG Road.
For two small shops of 6000 square feet each, shopkeepers now pay something between Rs 1.5 and Rs 2 lakh per month. According to the tenants, there has been an increase of 10-15 percent in the property rates here once the Metro line is ready; landlords say property pries will rise further.
“We did not get any rents for about two years. Now that desealing has taken place, it is natural that property prices are going up,” said Vijender Kumar Lohia. But the landlords are also worried about the future.
“What if the shops are sealed again? May be this is a temporary sop in an election year (Delhi Assembly elections are due later this year), “said Lohia.
Some shopkeepers still prefer to pay the increased rents then shifts from MG Road. “I have invested lakhs in furnishing this showroom and if I have to remove all this, my investment would go waste,” said Deepankar Chaudhary, who runs a shop selling carpets.
Many have hiked the prices of good to cover the high rent.
For two small shops of 6000 square feet each, shopkeepers now pay something between Rs 1.5 and Rs 2 lakh per month. According to the tenants, there has been an increase of 10-15 percent in the property rates here once the Metro line is ready; landlords say property pries will rise further.
“We did not get any rents for about two years. Now that desealing has taken place, it is natural that property prices are going up,” said Vijender Kumar Lohia. But the landlords are also worried about the future.
“What if the shops are sealed again? May be this is a temporary sop in an election year (Delhi Assembly elections are due later this year), “said Lohia.
Some shopkeepers still prefer to pay the increased rents then shifts from MG Road. “I have invested lakhs in furnishing this showroom and if I have to remove all this, my investment would go waste,” said Deepankar Chaudhary, who runs a shop selling carpets.
Many have hiked the prices of good to cover the high rent.
Saturday, April 12, 2008
LEHMAN BUYS 40% IN IT PARK
Global investor Lehman Brother has picked up a 40 per cent stake in the upcoming IT Park project of property developer Peninsula Land (PLL) in Hyderabad. Lehman is expected to hold the remaining 50 crore into the project. PLL is expected to hold the remaining 60 per cent.
The initial cost of the project, including land, is Rs 125 crore and the development cost is nearly Rs 1,400 crore. The company is planning to fund the project through debt and draw more funds from Lehman if required, sources said.
The initial cost of the project, including land, is Rs 125 crore and the development cost is nearly Rs 1,400 crore. The company is planning to fund the project through debt and draw more funds from Lehman if required, sources said.
Friday, April 11, 2008
CITI ARM PLANS $160M BPTP INVESTMENT
Hong Kong-based Citi Property Investment, the real estate investment arm of Citibank, is investing $160 million (Rs 650 crore) in Delhi based realty major BPTP to develop four special economic zones in Noida, Greater Noida, Faridabad and Gurgaon, BPTP sources said.
According to sources, a special purpose vehicle has been formed for the purpose. Citi Property Investment holds 40 per cent in the SPV, while the remaining 60 per cent is with BPTP. However, this is not Citi Property Investment's first investment in BPTP. In 2007, the Citi arm picked up 5.89 per cent in the company for Rs 322.50 crore.
BPTP has been in the news recently for bagging the country's largest land deal worth Rs 5006 crore to develop commercial projects over 94 acres in Noida.
The four InfoTech SEZs developed by BPTP total up to 206 acres. The company plans to develop six million sq ft. of area, out of a total area of 20 million sq ft in the first phase. "The investment by Citi Property Investment shows the tremendous goodwill and investor confidence that the company has earned in the market in such a short time," a BPTP executive said
According to sources, a special purpose vehicle has been formed for the purpose. Citi Property Investment holds 40 per cent in the SPV, while the remaining 60 per cent is with BPTP. However, this is not Citi Property Investment's first investment in BPTP. In 2007, the Citi arm picked up 5.89 per cent in the company for Rs 322.50 crore.
BPTP has been in the news recently for bagging the country's largest land deal worth Rs 5006 crore to develop commercial projects over 94 acres in Noida.
The four InfoTech SEZs developed by BPTP total up to 206 acres. The company plans to develop six million sq ft. of area, out of a total area of 20 million sq ft in the first phase. "The investment by Citi Property Investment shows the tremendous goodwill and investor confidence that the company has earned in the market in such a short time," a BPTP executive said
Monday, April 7, 2008
APARTMENT COMPLEXES ARE MUSHROOMING IN KOLKATA
The tastes and preferences of a Kolkatan are changing fast. Ten years ago, an apartment in the city was something that they would die for. Today; a discerning customer is looking for what he will get other than the space trapped between four walls.
Customers now prefer 'self-sufficient' housing complexes rather than stand-alone apartments in the heart of the city As a consequence housing complexes are now mushrooming all around the city and have turned barren land into prime locations. 'Ideal villas' of Rajarhat, Kolkata West, Uniworld City, and Calcutta Riverside are all examples of the above.
These projects, in addition to sprawling flats or bungalows, are set in the lap of nature and provide the best in entertainment and civic facilities. As Pradeep Sureka, Chairman, CREDAI Bengal, says, "Location is not the prime concern any more. Inside the city it is congested and prices are hitting the roof. In addition to location, people are today looking at features these 'townships' offer namely large open spaces, an economical approach and professional management."
According to Sureka, these 'self sufficient' housing complexes have become a numero uno choice for customers because of the range in prices and the facilities they comes bundled with. "The more people stay in a complex, the more facilities they offer. That is exactly why a large housing complex is always economical both for the developer and the customer," Sureka adds.
It is but natural that most of these complexes are coming up on the outskirts of the city that is already reeling under a severe space crunch. Take for instance, the Aponaloy housing complex in Madhyamgram. Set amidst undulating green lawns, it has facilities such as a gymnasium, auditorium and plenty of space for children to play the popularity of these housing complexes stems for the fact that they promise "lifestyles on offer."
Rajat Ghosh, an IT professional who recently bought an apartment in Rajarhat, states, "The primary reason I opted for my flat outside Kolkata was because I wanted to move away from the din of the city. Besides, purchasing a flat here proved to be cheaper for me than it would be in the heart of Kolkata," points out Ghosh.
Customers now prefer 'self-sufficient' housing complexes rather than stand-alone apartments in the heart of the city As a consequence housing complexes are now mushrooming all around the city and have turned barren land into prime locations. 'Ideal villas' of Rajarhat, Kolkata West, Uniworld City, and Calcutta Riverside are all examples of the above.
These projects, in addition to sprawling flats or bungalows, are set in the lap of nature and provide the best in entertainment and civic facilities. As Pradeep Sureka, Chairman, CREDAI Bengal, says, "Location is not the prime concern any more. Inside the city it is congested and prices are hitting the roof. In addition to location, people are today looking at features these 'townships' offer namely large open spaces, an economical approach and professional management."
According to Sureka, these 'self sufficient' housing complexes have become a numero uno choice for customers because of the range in prices and the facilities they comes bundled with. "The more people stay in a complex, the more facilities they offer. That is exactly why a large housing complex is always economical both for the developer and the customer," Sureka adds.
It is but natural that most of these complexes are coming up on the outskirts of the city that is already reeling under a severe space crunch. Take for instance, the Aponaloy housing complex in Madhyamgram. Set amidst undulating green lawns, it has facilities such as a gymnasium, auditorium and plenty of space for children to play the popularity of these housing complexes stems for the fact that they promise "lifestyles on offer."
Rajat Ghosh, an IT professional who recently bought an apartment in Rajarhat, states, "The primary reason I opted for my flat outside Kolkata was because I wanted to move away from the din of the city. Besides, purchasing a flat here proved to be cheaper for me than it would be in the heart of Kolkata," points out Ghosh.
Sunday, April 6, 2008
UNION BANK LAUNCHES REVERSE MORTGAGE PLAN
Pune: Union Bank of India on Friday launched its reverse mortgage scheme for senior citizens. The scheme will enable senior citizens to obtain a monthly payment by mortgaging their residential property. Under the title “Union Reverse Mortgage Scheme”, the bank will offer benefits to people aged above 60 years. The loan drawn against mortgaged property will have fixed interest rate of 10 per cent per annum. The same will be revised after every five years.
Courtesy: Busi. Standard April 7, 2008
Courtesy: Busi. Standard April 7, 2008
Friday, April 4, 2008
PARSVNATH INAUGURATES LUXUARY TOWNSHIP PRIDE ASIA
Delhi's real estate firms Parsvnath Developers Ltd. (PDL) have announced inauguration of their 123 acre luxury township Pride Asia in Changiarh. This project is being developed by PDL in association with Chandigarh Housing Board.
Company has claimed that after a period of three years, the actual cost of this project will become 10 crore dollars. This project is situated in gorgeous environment between Sukhna Lake, Golf Course and an under construction Five Star Hotel having Shivalik Hills behind it. It has 38.5 lac sq.ft. Residential and 2.7 lac sq.ft. Commercial saleable area.
Pride Asia is a part of Rajiv Gandhi Chandigarh Technology Park itself. And it will provide a consolidated infrastructure to setup IT Company’s campus and other facilities PDL chairman Pradeep Jain said "Chandigarh is becoming a hot destination for IT companies and policies of the administration there are also congenial. This is going to be proved a mile stone for us." Pride Asia will consist one BHK to 5BHK air conditioned apartments and its price will be Rs 52 lac to Rs. 3.8 crores. It will also consist high price villas whose price will be Rs. 6.00 crore each or more. It will also consist specially constructed service apartments and luxury club. In addition, games premises and wellness facilities will also be spread in an area of 6 acre
Company has claimed that after a period of three years, the actual cost of this project will become 10 crore dollars. This project is situated in gorgeous environment between Sukhna Lake, Golf Course and an under construction Five Star Hotel having Shivalik Hills behind it. It has 38.5 lac sq.ft. Residential and 2.7 lac sq.ft. Commercial saleable area.
Pride Asia is a part of Rajiv Gandhi Chandigarh Technology Park itself. And it will provide a consolidated infrastructure to setup IT Company’s campus and other facilities PDL chairman Pradeep Jain said "Chandigarh is becoming a hot destination for IT companies and policies of the administration there are also congenial. This is going to be proved a mile stone for us." Pride Asia will consist one BHK to 5BHK air conditioned apartments and its price will be Rs 52 lac to Rs. 3.8 crores. It will also consist high price villas whose price will be Rs. 6.00 crore each or more. It will also consist specially constructed service apartments and luxury club. In addition, games premises and wellness facilities will also be spread in an area of 6 acre
YATRA CAPITAL INVESTS IN TWO PROJECTS IN BANGLORE
ANNOUNCING ITS 10th and 11th investment in Indian real estate sector, European fund Yatra Capital has invested 28 million euros in two new joint venture projects in Banglore.
The venture fund has million euros in palladium Constructions Pvt. Ltd, for a 30 per cent stake in a mixed- use development and 10.15 million euros in Platinum Hospitality Services Pvt. Ltd for a 30 per cent stake in a hospitality project. Yatra’s joint venture partner in both developments is The Phoenix Mills Ltd.
With these investments, Yatra has so far committed 146.34 million euros of the 220 million euros of the capital raised.
Courtesy HT---31March 2008
The venture fund has million euros in palladium Constructions Pvt. Ltd, for a 30 per cent stake in a mixed- use development and 10.15 million euros in Platinum Hospitality Services Pvt. Ltd for a 30 per cent stake in a hospitality project. Yatra’s joint venture partner in both developments is The Phoenix Mills Ltd.
With these investments, Yatra has so far committed 146.34 million euros of the 220 million euros of the capital raised.
Courtesy HT---31March 2008
FIRST- HAND PROPERTY ON EASIER TERMS
Buying a newly built home? You could consider purchasing property up to for re- sale in the secondary market. You could get early possession and even a cheaper deal than offered by developers in new project.
The trend will continue for the next 12 to 24 months until the inventory of unsold investor- owned flats remains on the market. Moreover, developers over the next 12 to 24 months will reduce their prices until the re-sale and fresh sale price converge.
Courtesy HT---31 March 2008
The trend will continue for the next 12 to 24 months until the inventory of unsold investor- owned flats remains on the market. Moreover, developers over the next 12 to 24 months will reduce their prices until the re-sale and fresh sale price converge.
Courtesy HT---31 March 2008
Thursday, April 3, 2008
PARSVNATH TO INVEST RS 40 CRORE FOR MALLS
Parsvnath Developers, a real estate company which is setting up a special economic zone (SEZ), has launched the construction of a mall-cum-multiplex in the city's fashionable Rajpur Road. The company will invest Rs 40 crore for developing of the complex, said the company's officials. Parsvnath Eleganza is the first such mall-cum-multiplex being developed in Dehra Dun. Eleganza, located at the prime location of Rajpur Road, the mall comes with an added advantage of a 4-screen multiplex within the complex. The mall is spread in a sizeable area of 1.5 lakh sq.ft with fully air-conditioned and 100 per cent power backup, claimed an official. Glass fronted lifts, aesthetic architecture and modern design will provide complete comfort and a pleasurable shopping experience to the costomers. The mall is designed for optimum space utilization for its shop owners. The mall will boost premium national and international brands. The entire complex for which the construction has commenced is expected to be completed and operational within a year time. The company is also setting up an IT SEZ at Dehra Dun with an investment of Rs 1,050 crore, which will be executed by its subsidiary Parsvnath SEZ. The SEZ will come up in 35 acres of area with 3.8 million sq.ft available for the development.
www.zameen-zaidad.com
Courtesy: BS 31st march 2008
www.zameen-zaidad.com
Courtesy: BS 31st march 2008
Wednesday, April 2, 2008
HUL May Partner a Developer
Sources said HUL could look at partnering with a developer. The company is understood to have held talks with international developers such as Ascendas and Tishmen Speyer, which is in India through a JV with ICICI. Ascendas has developed a few IT parks in this part of the world.
This is not the first time HUL is looking to partner with builders to develop properties. In 1998, the firm had signed an agreement with Tata Housing to develop some land into commercial and residential properties.
HUL wants a centralized business plan for its prime real estate properties across the country. The value of the Book field’s real estate, which was acquired as part of the Brllke Bond deal, was around Rs 60-70 per sq ft in the ‘90s, according to real estate observers. It is now almost Rs 3,000 per sq ft.
While smaller IT companies may move into SEZs as tenants, the bigger ones would look at co-developing SEZs, with Infy and Wipro already showing the way. It is estimated that 5-6 IT SEZs are under development across several micro markets in Bangalore. But this may be insufficient for a city that houses about 3,000 companies, with almost three applications coming in every week for new companies. The city has about 6 lakh employees working in the IT/ITeS sector.
The Bangalore facility was home to many of HUL’s food brands, such as Brooke Bond and Lipton. The Brooke Bond office- is located in the IT heartland, where land prices have seen significant traction over the years.
HUL mandated Chuhman Wakefield to offload the 28-acre property just ahead of a downswing in real estate prices in Bangalore’s IT hub spread across the Whitefield – Book field micro markets. The process, however, attracted several leading developers and corporate houses like Reliance, which put in a Rs 384-crore bid for the property with a plan to develop it into a backend operations centre/employee training hub for its retail operations. Other bidders included Brigade Group, Nitesh Estates and Oberoi Constructions.
HUL’s asking price of Rs 18-20 crore per acre was viewed as too steep by several developers, especially at a time when prices were softening. The bidders who remained in the race were asked if they would revise the quoted prices before HUL decided to call off plans for an outright sale. The Book field’s property came into the HLL fold following the acquisition of Brooke Bond in 1984 by Unilever in a global deal. The massive property was set up in 1983, when tea Major Brooke Bond moved its headquarters from Kolkata to Bangalore.
The company is currently consolidating its operations under one roof after ending its decades-old system of two power centers-home and personal care in Mumbai and foods in Bangalore.
Courtesy: ET dtd. 31-03-08
This is not the first time HUL is looking to partner with builders to develop properties. In 1998, the firm had signed an agreement with Tata Housing to develop some land into commercial and residential properties.
HUL wants a centralized business plan for its prime real estate properties across the country. The value of the Book field’s real estate, which was acquired as part of the Brllke Bond deal, was around Rs 60-70 per sq ft in the ‘90s, according to real estate observers. It is now almost Rs 3,000 per sq ft.
While smaller IT companies may move into SEZs as tenants, the bigger ones would look at co-developing SEZs, with Infy and Wipro already showing the way. It is estimated that 5-6 IT SEZs are under development across several micro markets in Bangalore. But this may be insufficient for a city that houses about 3,000 companies, with almost three applications coming in every week for new companies. The city has about 6 lakh employees working in the IT/ITeS sector.
The Bangalore facility was home to many of HUL’s food brands, such as Brooke Bond and Lipton. The Brooke Bond office- is located in the IT heartland, where land prices have seen significant traction over the years.
HUL mandated Chuhman Wakefield to offload the 28-acre property just ahead of a downswing in real estate prices in Bangalore’s IT hub spread across the Whitefield – Book field micro markets. The process, however, attracted several leading developers and corporate houses like Reliance, which put in a Rs 384-crore bid for the property with a plan to develop it into a backend operations centre/employee training hub for its retail operations. Other bidders included Brigade Group, Nitesh Estates and Oberoi Constructions.
HUL’s asking price of Rs 18-20 crore per acre was viewed as too steep by several developers, especially at a time when prices were softening. The bidders who remained in the race were asked if they would revise the quoted prices before HUL decided to call off plans for an outright sale. The Book field’s property came into the HLL fold following the acquisition of Brooke Bond in 1984 by Unilever in a global deal. The massive property was set up in 1983, when tea Major Brooke Bond moved its headquarters from Kolkata to Bangalore.
The company is currently consolidating its operations under one roof after ending its decades-old system of two power centers-home and personal care in Mumbai and foods in Bangalore.
Courtesy: ET dtd. 31-03-08
Tuesday, April 1, 2008
GET SET FOR ‘CELEBRITY’ REAL ESTATE
Would you like to have an office in Boris Becker Tower or rent Space in a business park named after Formula 1 world champion Micheal Schumacher? Or is another racer, Niki Lauda’s Twin Tower more up your avenue?
What about matching your office address with your residential one by living in an apartment designed by Ivana Trump (the ex-wife of hotelier Donald Trump) or ace golfer Greg Norman?
Don’t be surprised if this how some prime real estate is sold in times to come in the country. A trend that is making waves across the world of late ---especially in the United Arab Emirates---called ‘celebrity projects’ will soon make its presence felt in India as well. Celebrities are no longer just buying real estate, but also lending
Their name to it, to give buyers a sense of association with a trademark reputation and lifestyle statements.
Former golf pro-turned-business-man Greg Norman is already betting big on India. Norman’s company, Great White Shark Enterprises, is in talks with reality major Unitech to design golf courses in its various townships as well as build ‘gated communities within gated communities”.
Norman’s company will take 10 percent of a residential project (70 villas / apartments if the project has 700 on offer) and convert it into a signature real estate product. Says Bart Collins, President, Great White Shark Enterprises, which has $200 million in annual revenues, “we have already executed a number of projects in the US,Australia and the Middle East. The homes will be either called Norman Estates or Norman Residency and will have feature that will even put luxury to shame. There will be audio systems from Bang and Olufsen, interiors from big Italian companies and even a limited edition Range Rover with the home / apartment.” Dubai based Darvesh group has entered into a partnership with lvana Trump to construct premium residential and commercial properties in the Middle East and India. Named Le Diamond, the concept of branded real estate might come to India as early as the end of 2008.” We will launch the concept in Mumbai and New Delhi by the end of year,” said Ahsan Hassan Daresh, Managing Director, Darvesh Group.
Dubai recently also saw the launch of Sports Trilogy project comprising business tower named after sports personalities like Boris Becker, Micheal Schumacher and Niki Lauda.
Says Sanjay chimnani, Joint Managing Director, ACI Real Estate, the developer of the project, “We are planning to enter the Indian market through partnerships / franchises in the next few months. We intend to have a presence in six cities of India including New Delhi, Mumbai, Kolkata, Chennai, Banglore, and Hyderabad.”
However, celebrities do not just lend their name to a project. They are also actively involved in its design and marketing, thus differentiating it from the usual celebrity endorsement. Says Chinmani, “The key reason for the success of our project has been the hands-on involvement of these legends in the design and planning of the respective towers. Each of them sits on the board of directors for their respective buildings. This is a clear departure from traditional celebrity product endorsement.
Courtesy:HT dtd 31st March 08
What about matching your office address with your residential one by living in an apartment designed by Ivana Trump (the ex-wife of hotelier Donald Trump) or ace golfer Greg Norman?
Don’t be surprised if this how some prime real estate is sold in times to come in the country. A trend that is making waves across the world of late ---especially in the United Arab Emirates---called ‘celebrity projects’ will soon make its presence felt in India as well. Celebrities are no longer just buying real estate, but also lending
Their name to it, to give buyers a sense of association with a trademark reputation and lifestyle statements.
Former golf pro-turned-business-man Greg Norman is already betting big on India. Norman’s company, Great White Shark Enterprises, is in talks with reality major Unitech to design golf courses in its various townships as well as build ‘gated communities within gated communities”.
Norman’s company will take 10 percent of a residential project (70 villas / apartments if the project has 700 on offer) and convert it into a signature real estate product. Says Bart Collins, President, Great White Shark Enterprises, which has $200 million in annual revenues, “we have already executed a number of projects in the US,Australia and the Middle East. The homes will be either called Norman Estates or Norman Residency and will have feature that will even put luxury to shame. There will be audio systems from Bang and Olufsen, interiors from big Italian companies and even a limited edition Range Rover with the home / apartment.” Dubai based Darvesh group has entered into a partnership with lvana Trump to construct premium residential and commercial properties in the Middle East and India. Named Le Diamond, the concept of branded real estate might come to India as early as the end of 2008.” We will launch the concept in Mumbai and New Delhi by the end of year,” said Ahsan Hassan Daresh, Managing Director, Darvesh Group.
Dubai recently also saw the launch of Sports Trilogy project comprising business tower named after sports personalities like Boris Becker, Micheal Schumacher and Niki Lauda.
Says Sanjay chimnani, Joint Managing Director, ACI Real Estate, the developer of the project, “We are planning to enter the Indian market through partnerships / franchises in the next few months. We intend to have a presence in six cities of India including New Delhi, Mumbai, Kolkata, Chennai, Banglore, and Hyderabad.”
However, celebrities do not just lend their name to a project. They are also actively involved in its design and marketing, thus differentiating it from the usual celebrity endorsement. Says Chinmani, “The key reason for the success of our project has been the hands-on involvement of these legends in the design and planning of the respective towers. Each of them sits on the board of directors for their respective buildings. This is a clear departure from traditional celebrity product endorsement.
Courtesy:HT dtd 31st March 08
Monday, March 31, 2008
Land craft in Ghaziabad & Land Records Management System.
Land Developers are going to construct township in Ghaziabad named “Golf Link”. This announcement was made recently on the occasion of Land craft open Golf tournament in Army golf club. During this tournament, Lt. General M.L. Naidu, Dy chief of Army and Land craft Director Manu Gupta gave a green signal to this project at NH-24. All modern facilities like condominium, commercial centre, school, hospital and swimming pool shall be provided in this project.
www.zameen-zaidad.com
Spec system Ltd. has prepared new software to maintain all records related to land. It has been named as “Specadester land Records Management System”. Spec System’s MD KC Kumar told that this system can be licenses will be restricted to the numbers of government surveyors available in as area.
www.zameen-zaidad.com
Unitech in Gurgaon.& School in Township
Unitech Builders have presented a residential project “Lake lands” at NH-8 Gurgaon. Spread over 272 acres amidst beautiful landscape, 246 luxury villas shall be constructed in this project. To provide more options, these 5800 to 6800 sq.ft. Built-up area villas shall be constructed in five designs. In addition to water feature, a nine whole golf course is being also constructed in this project.
Real estate company Ansal API have entered into an agreement with education company “Educomp Solutions” under this agreement API group company Knowledge free Infrastructure Ltd. (KTIL) shall construct schools at those places where company is already constructing a project. Ansal API has constructed 16 townships. These schools shall be constructed in the same. Construction of these schools, first of all is expected commence at Lucknow, Jaipur and Panipat. Thereafter company of Educomp –Edu India Ltd. (EIPT) will talk to various trusts to run these schools.
www.zameen-zaidad.com
Real estate company Ansal API have entered into an agreement with education company “Educomp Solutions” under this agreement API group company Knowledge free Infrastructure Ltd. (KTIL) shall construct schools at those places where company is already constructing a project. Ansal API has constructed 16 townships. These schools shall be constructed in the same. Construction of these schools, first of all is expected commence at Lucknow, Jaipur and Panipat. Thereafter company of Educomp –Edu India Ltd. (EIPT) will talk to various trusts to run these schools.
www.zameen-zaidad.com
Friday, March 28, 2008
TIVOLI HOLIDAY VILLAGE NEAR DHARUHERA
Tivoli Group has launched a residential Holiday village with fully furnished designer holiday homes just 20 minutes from Gurgaon in Dharuhera. Tivoli holiday village is a preeminent holiday destination closest to the national capital region. It offers a hospitality setting for exploring a holiday experience.
The facilities have been developed by using Spanish Hacienda archetype brilliance. The village will have fully furnished apartments with Italian furniture, fully loaded kitchens, ACs, etc. The project will offer studio apartments, 1- to 3 bedroom apartments of 656 to 1,550 sq. ft. there will also be 2-3 and 4 bedroom penthouses of 1,935 to 2,720 sq ft. The price of the studio apartments is Rs. 26 Lakh, and the 1-3 bedroom apartments are for Rs. 34 lakh to 62 lakh. The penthouses start at Rs. 77.50 lakh and go as high as Rs. 1.10 crore.
The total land area of the project is 8 acres and comprises 536 units including villas, two and three bedroom apartments and penthouses.
The facilities have been developed by using Spanish Hacienda archetype brilliance. The village will have fully furnished apartments with Italian furniture, fully loaded kitchens, ACs, etc. The project will offer studio apartments, 1- to 3 bedroom apartments of 656 to 1,550 sq. ft. there will also be 2-3 and 4 bedroom penthouses of 1,935 to 2,720 sq ft. The price of the studio apartments is Rs. 26 Lakh, and the 1-3 bedroom apartments are for Rs. 34 lakh to 62 lakh. The penthouses start at Rs. 77.50 lakh and go as high as Rs. 1.10 crore.
The total land area of the project is 8 acres and comprises 536 units including villas, two and three bedroom apartments and penthouses.
GROWTH INDICATORS IN FARIDABAD
The Transport Plan 2021 for NCR has the following proposals involving Faridabad-Bhallabgarh
Proposal to develop the NH2 from Delhi to Ballabgarh to expressway standards
Proposal to connect peripheral expressways, of which the Kundli-ManesarPalwal (KMP) western peripheral expressway and the Kundli-Ghaziabad-Palwal (KGP) eastern expressway are located closest to Faridabad-Ballabgarh
The Metro Rail to be ex tended and to have feeder and connect services with the Regional Rail Transit System to cater to the increasing intra-city urban transport needs
Flyover at Badarpuronce the congestion at the Badarpur border is removed many corporates will take up office space in Faridabad, given the high rates in Jasola
The Taj Expressway will touch the city at Lalpur and go on to meet NH-2 at Shahpur. The completion of this stretch will improve Faridabad's connectivity with NOIDA
Another highway is planned which will start from Kalindi Kunj, run parallel to Mathura Road, and bypass the city. This highway will contain all the new sectors, and will merge with the Mathura Road on the other side of Faridabad, again acting as a catalyst to property rates
The three-laning of the Faridabad-Gurgaon road, the widening of the Surajkund road and repairs of all the main and internal roads in the sectors will provide an impetus to realty growth
Proposal to develop the NH2 from Delhi to Ballabgarh to expressway standards
Proposal to connect peripheral expressways, of which the Kundli-ManesarPalwal (KMP) western peripheral expressway and the Kundli-Ghaziabad-Palwal (KGP) eastern expressway are located closest to Faridabad-Ballabgarh
The Metro Rail to be ex tended and to have feeder and connect services with the Regional Rail Transit System to cater to the increasing intra-city urban transport needs
Flyover at Badarpuronce the congestion at the Badarpur border is removed many corporates will take up office space in Faridabad, given the high rates in Jasola
The Taj Expressway will touch the city at Lalpur and go on to meet NH-2 at Shahpur. The completion of this stretch will improve Faridabad's connectivity with NOIDA
Another highway is planned which will start from Kalindi Kunj, run parallel to Mathura Road, and bypass the city. This highway will contain all the new sectors, and will merge with the Mathura Road on the other side of Faridabad, again acting as a catalyst to property rates
The three-laning of the Faridabad-Gurgaon road, the widening of the Surajkund road and repairs of all the main and internal roads in the sectors will provide an impetus to realty growth
Thursday, March 27, 2008
REAL DESTINATION - FARIDABAD- HIGH ON REALTY
WITH COMMERCIAL AND RENTAL SPACES ON THE VERGE OF SATURATION AND LAND PRICES INCREASING PHENOMENALLY IN GURGAON AND OTHER AREAS IN THE NCR, FARIDABAD IS GOING TO BE THE NEXT 'HAPPENING' DESTINATION
Once again Faridabad is in the news. Grandiose plans for infrastructure development in the area are sure to put the city on the growth highway just like Gurgaon and Noida.
The main reason behind the growth of this town nestled in the Aravalli hills is the land crunch and sky rocketing prices in the adjoining areas. Further, there is a proposal to develop the NH2 to expressway standards from Delhi to Ballabgarh under the Transport Plan 2021 for the NCR. Yet another highway is planned from Kalindi Kunj that will run parallel to the Mathura Road and bypass the city. The three-laning of the Faridabad-Gurgaon road, the widening of the Surajkund Road and repairs of all the main and internal roads in the sector will also provide an impetus to the area.
The city is conveniently located. It is just 25 km from the capital and enjoys proximity to other NCR towns such as Greater Noida and Gurgaon. It is due to these factors that several real estate developers have swarmed into the city. The new kid on the block is the Naharpar area (Sector 86) or Greater Faridabad. The price of land in the Naharpar sectors is around Rs. 14,000 per sq. yd., in Sector 21C it is around Rs. 21,000 per sq. yd. and in Sector 46 it ranges from Rs. 19,000 and Rs. 21,0000 per sq. yd. Among the sectors that have tremendous potential are Sectors 88 and 89 as they will be close to the two future highways.
The upcoming infrastructure in and around Faridabad will help develop it into a world class city This will . include the nearby Taj Expressway (which will be near Sector 80), and a highway from Kalindi Kunj running parallel to the Mathura Road. "After Gurgaon we are now focusing on the development of Faridabad. We are planning one new bypass for which we are acquiring land. People going towards Agra can now use this by pass to go through Surajkund and directly reach the National Highway (across Sector 58, 59). We are also widening the existing bypass at Sector 37 at a cost of Rs. 118 crore that will include the construction of one flyover," says T. C. Gupta, Chief Administrator, HUDA, adding that Sector 75 near the Agra canal is going to be the next commercial hub for Faridabad. If officials are to be believed then the greening of the place is also going to be taken care of. "We have reserved the entire Sector 52 A in Gurgaon as a green area and we are also taking care of the greening of Faridabad," Gupta adds.
According to the Marketing Head (Faridabad Project), Ansal Buildwell Ltd., Ranjeev Kalia, "Access will be smooth once the Badarpur flyover is complete and the construction of the Metro by 2009 will make property prices touch the sky." With the freight corridor and an HSIIDC's commercial hub being planned in the vicinity (the catchment area being Faridabad), the place is all set to become a realty hotbed. Also, with more than 40 malls under construction, the area is all set to develop into a shopping paradise.
Points out Avneesh Sood, Director, Eros Group, "One can witness changes in the form of new sectors (with public and private sector partnership) coming up; the setting up of new institutional sectors; changes in the skyline thanks to the new urban development policy, construction of new high-tech electronic and communication units and IT Parks; and better road and transport facilities." Besides, the industrial city (with about 300 large and 10,000 small-scale industries under its belt) that has always been under-priced, is now all set to change. It not only has swanky residential units but several commercial projects in various stages of completion. The locality will shoot into prominence once the planned flyover at the Badarpur border is complete. With the area getting decongested, corporates will move towards Faridabad given the high rates in Jasola. Rakesh Gupta, Managing Director, RPS Group, points out, "The initiatives taken by the Haryana Government have also ensured that the industrial city will reap the prospects of economic growth and that the real estate boom transforms its skyline."
Says Sanjay Mathur, Head (Marketing), Pearls Infrastructure Projects Pvt. Ltd., "Faridabad is one vast virgin tract that has opened up for development in recent times. With commercial and rental spaces on the verge of saturation and land prices increasing phenomenally in Gurgaon and other areas in the NCR, Faridabad is going to be the next `happening' destination."
Property and real estate prices in Faridabad have already shot up. Despite doubts about delivery time and the state of the infrastructure, it cannot be ruled out that once completed (may be in five years time), property in Greater Faridabad will ¦ be a prized possession.
Once again Faridabad is in the news. Grandiose plans for infrastructure development in the area are sure to put the city on the growth highway just like Gurgaon and Noida.
The main reason behind the growth of this town nestled in the Aravalli hills is the land crunch and sky rocketing prices in the adjoining areas. Further, there is a proposal to develop the NH2 to expressway standards from Delhi to Ballabgarh under the Transport Plan 2021 for the NCR. Yet another highway is planned from Kalindi Kunj that will run parallel to the Mathura Road and bypass the city. The three-laning of the Faridabad-Gurgaon road, the widening of the Surajkund Road and repairs of all the main and internal roads in the sector will also provide an impetus to the area.
The city is conveniently located. It is just 25 km from the capital and enjoys proximity to other NCR towns such as Greater Noida and Gurgaon. It is due to these factors that several real estate developers have swarmed into the city. The new kid on the block is the Naharpar area (Sector 86) or Greater Faridabad. The price of land in the Naharpar sectors is around Rs. 14,000 per sq. yd., in Sector 21C it is around Rs. 21,000 per sq. yd. and in Sector 46 it ranges from Rs. 19,000 and Rs. 21,0000 per sq. yd. Among the sectors that have tremendous potential are Sectors 88 and 89 as they will be close to the two future highways.
The upcoming infrastructure in and around Faridabad will help develop it into a world class city This will . include the nearby Taj Expressway (which will be near Sector 80), and a highway from Kalindi Kunj running parallel to the Mathura Road. "After Gurgaon we are now focusing on the development of Faridabad. We are planning one new bypass for which we are acquiring land. People going towards Agra can now use this by pass to go through Surajkund and directly reach the National Highway (across Sector 58, 59). We are also widening the existing bypass at Sector 37 at a cost of Rs. 118 crore that will include the construction of one flyover," says T. C. Gupta, Chief Administrator, HUDA, adding that Sector 75 near the Agra canal is going to be the next commercial hub for Faridabad. If officials are to be believed then the greening of the place is also going to be taken care of. "We have reserved the entire Sector 52 A in Gurgaon as a green area and we are also taking care of the greening of Faridabad," Gupta adds.
According to the Marketing Head (Faridabad Project), Ansal Buildwell Ltd., Ranjeev Kalia, "Access will be smooth once the Badarpur flyover is complete and the construction of the Metro by 2009 will make property prices touch the sky." With the freight corridor and an HSIIDC's commercial hub being planned in the vicinity (the catchment area being Faridabad), the place is all set to become a realty hotbed. Also, with more than 40 malls under construction, the area is all set to develop into a shopping paradise.
Points out Avneesh Sood, Director, Eros Group, "One can witness changes in the form of new sectors (with public and private sector partnership) coming up; the setting up of new institutional sectors; changes in the skyline thanks to the new urban development policy, construction of new high-tech electronic and communication units and IT Parks; and better road and transport facilities." Besides, the industrial city (with about 300 large and 10,000 small-scale industries under its belt) that has always been under-priced, is now all set to change. It not only has swanky residential units but several commercial projects in various stages of completion. The locality will shoot into prominence once the planned flyover at the Badarpur border is complete. With the area getting decongested, corporates will move towards Faridabad given the high rates in Jasola. Rakesh Gupta, Managing Director, RPS Group, points out, "The initiatives taken by the Haryana Government have also ensured that the industrial city will reap the prospects of economic growth and that the real estate boom transforms its skyline."
Says Sanjay Mathur, Head (Marketing), Pearls Infrastructure Projects Pvt. Ltd., "Faridabad is one vast virgin tract that has opened up for development in recent times. With commercial and rental spaces on the verge of saturation and land prices increasing phenomenally in Gurgaon and other areas in the NCR, Faridabad is going to be the next `happening' destination."
Property and real estate prices in Faridabad have already shot up. Despite doubts about delivery time and the state of the infrastructure, it cannot be ruled out that once completed (may be in five years time), property in Greater Faridabad will ¦ be a prized possession.
Wednesday, March 26, 2008
COMMERCIAL SPACE MORE GAINFUL
INVESTMENT IN COMMERCIAL SPACE WILL FETCH YOU BETTER RETURNS THAN THOSE MADE IN RESIDENTIAL REAL ESTATE DUE TO THE SEALING DRIVE INITIATED IN DELHI. SARTHAK REPORTS
The widespread sealing drive and also the uncertainty attached to this whole unsavory issue in the recent times have a flipside too. It has changed the fortunes of many commercial properties in a big way. The current scenario is there is more than one buyer for such space. This is also true for the rental market. Surprisingly, most buyers considered such spaces as just not worth taking in the past. Their value rarely appreciated, if ever. If the real estate experts are to be believed, the major reason for sudden rise in commercial spaces is the sealing issue. It is a different matter that people are buying commercial spaces even in big cities as well as in Tier-II and -III cities also.
All said and done, value of authorized commercial properties has seen a sharp rise. Lets us first survey the East Delhi market. Commercial places in Sainik Enclave, Karkardooma and Dilshad Garden are witnessing a massive spurt in demand. According to Sandeep Juneja of Ambuja Construction Company, who has been following this particular trend, those who own spaces are really minting money. If you have office space as small as 10 ft by 6 ft on the ground floors with additional 6 ft by 6 ft space on the roof for antenna purpose, then you can easily rent that space to any bank to start their ATM.
Currently, banks are paying a cool Rs 40 thousand every month. Banks generally take ATM space between 3 and 5 years. They can extend the period as well.
Rent is hiked by 10% every three years. Commercial space scene looks very bright also, due to the fact that many noted companies like Essar, Nokia, Aditya Birla group, Subhiksha, Titan and others have started their own stores.
They are hiring space and paying hefty monthly rentals. Many other firms also look out for proper space so that they can start their own store or offices. They are paying generous rents. For instance, Nokia is paying staggering Rs 60,000 per month for their store, Hotspot, in Vivek Vihar market. The store, 10 ft by 6ft, is in a decent locality, while they are paying double this amount in Vikas Marg, for the same space.
Devender Gupta, CMD, real estate consultancy Century 21 is also of the view that those who are thinking on the lines of buying property for investment purpose, should consider buying commercial properties. They would fetch investors a better rental income than the residential one, any day, he says.
It is high time that people go for them rather than purchasing residential space. According to Gupta, there is an old formula for commercial rental income - that it should be one per cent of the total cost of the property on per-month basis. For example, if your commercial space is worth Rs 30 lakhs, then it should give you the monthly rent of Rs 30,000. One cannot expect this much of returns on residential properties. A senior journalist working for a newspaper purchased a 10 ft by 6 ft commercial space in IP Extension, after taking VRS. This property cost him close to Rs 6 lakh, four years back.
Although, he could not find a tenant for nearly two years, now he is getting a rent of Rs 12,000. Moreover, the value is also climbing up faster than he expected. This proved to be a smart investment for him, and he now regrets not buying one more such property. Those who follow the real estate scene of the capital know for sure that commercial spaces in community centres, situated in almost all housing blocks, have taken a huge upward swing in the recent years. The rentals in C block community centre of Janakpuri are also witnessing a remarkable upswing. The current rentals are Rs 4-5,000 per sq feet per annum, compared to not more than Rs 1500 per sq feet per annum, almost two years ago. Identical rentals are also prevailing in commercial spaces in Azadpur area.
Manu Garg, CMD of Land Craft Builders has a word of advice for all those who are planning to buy something for investment purpose. Says Manu Garg: I feel that those with a budget of Rs 40 lakh, or above, should consider commercial space for investment purpose in the NCR.
Courtesy: - ET, dtd: 25th March 2008
The widespread sealing drive and also the uncertainty attached to this whole unsavory issue in the recent times have a flipside too. It has changed the fortunes of many commercial properties in a big way. The current scenario is there is more than one buyer for such space. This is also true for the rental market. Surprisingly, most buyers considered such spaces as just not worth taking in the past. Their value rarely appreciated, if ever. If the real estate experts are to be believed, the major reason for sudden rise in commercial spaces is the sealing issue. It is a different matter that people are buying commercial spaces even in big cities as well as in Tier-II and -III cities also.
All said and done, value of authorized commercial properties has seen a sharp rise. Lets us first survey the East Delhi market. Commercial places in Sainik Enclave, Karkardooma and Dilshad Garden are witnessing a massive spurt in demand. According to Sandeep Juneja of Ambuja Construction Company, who has been following this particular trend, those who own spaces are really minting money. If you have office space as small as 10 ft by 6 ft on the ground floors with additional 6 ft by 6 ft space on the roof for antenna purpose, then you can easily rent that space to any bank to start their ATM.
Currently, banks are paying a cool Rs 40 thousand every month. Banks generally take ATM space between 3 and 5 years. They can extend the period as well.
Rent is hiked by 10% every three years. Commercial space scene looks very bright also, due to the fact that many noted companies like Essar, Nokia, Aditya Birla group, Subhiksha, Titan and others have started their own stores.
They are hiring space and paying hefty monthly rentals. Many other firms also look out for proper space so that they can start their own store or offices. They are paying generous rents. For instance, Nokia is paying staggering Rs 60,000 per month for their store, Hotspot, in Vivek Vihar market. The store, 10 ft by 6ft, is in a decent locality, while they are paying double this amount in Vikas Marg, for the same space.
Devender Gupta, CMD, real estate consultancy Century 21 is also of the view that those who are thinking on the lines of buying property for investment purpose, should consider buying commercial properties. They would fetch investors a better rental income than the residential one, any day, he says.
It is high time that people go for them rather than purchasing residential space. According to Gupta, there is an old formula for commercial rental income - that it should be one per cent of the total cost of the property on per-month basis. For example, if your commercial space is worth Rs 30 lakhs, then it should give you the monthly rent of Rs 30,000. One cannot expect this much of returns on residential properties. A senior journalist working for a newspaper purchased a 10 ft by 6 ft commercial space in IP Extension, after taking VRS. This property cost him close to Rs 6 lakh, four years back.
Although, he could not find a tenant for nearly two years, now he is getting a rent of Rs 12,000. Moreover, the value is also climbing up faster than he expected. This proved to be a smart investment for him, and he now regrets not buying one more such property. Those who follow the real estate scene of the capital know for sure that commercial spaces in community centres, situated in almost all housing blocks, have taken a huge upward swing in the recent years. The rentals in C block community centre of Janakpuri are also witnessing a remarkable upswing. The current rentals are Rs 4-5,000 per sq feet per annum, compared to not more than Rs 1500 per sq feet per annum, almost two years ago. Identical rentals are also prevailing in commercial spaces in Azadpur area.
Manu Garg, CMD of Land Craft Builders has a word of advice for all those who are planning to buy something for investment purpose. Says Manu Garg: I feel that those with a budget of Rs 40 lakh, or above, should consider commercial space for investment purpose in the NCR.
Courtesy: - ET, dtd: 25th March 2008
FLOORS PRICE OF RS 675 CR FOR RLYS SARAI ROHILLA LAND
The Railways much-awaited commercial development plan for surplus land is set to begin in the second week of April. Delhi's Sarai Rohilla, one of the 10 sites selected for commercial development in the first phase on public private partnership basis, will go under hammer on April 11. Eight bidders are in the race for the about 25 acres of the prime Railway land in Sarai Rohilla. The reserve price for the bidding is fixed at Rs 675 crore.
Besides the reserve price, the developer has to renovate 750 Railway quarters near the site as part of the development agreement. The highest bidder will develop a group housing complex complete with all modern facilities including shopping complex and health services, said a Railway official.
After Sarai Rohilla, the next bidding will be for Nirala Nagar land in Kanpur, the official said. The 10 sites are located in Delhi, Kanpur, Gwalior, Vizag, Kolkata, and Bangalore. The feasibility study report for commercial development of the 10 sites spread over 265 acres of land has been submitted to the Rail Land Development Authority (RLDA).
Courtesy: - ET, dtd: 21st March 2008
Besides the reserve price, the developer has to renovate 750 Railway quarters near the site as part of the development agreement. The highest bidder will develop a group housing complex complete with all modern facilities including shopping complex and health services, said a Railway official.
After Sarai Rohilla, the next bidding will be for Nirala Nagar land in Kanpur, the official said. The 10 sites are located in Delhi, Kanpur, Gwalior, Vizag, Kolkata, and Bangalore. The feasibility study report for commercial development of the 10 sites spread over 265 acres of land has been submitted to the Rail Land Development Authority (RLDA).
Courtesy: - ET, dtd: 21st March 2008
Tuesday, March 25, 2008
FLOORS PRICE OF RS 675 CR FOR RLYS SARAI ROHILLA LAND
The Railways much-awaited commercial development plan for surplus land is set to begin in the second week of April. Delhi's Sarai Rohilla, one of the 10 sites selected for commercial development in the first phase on public private partnership basis, will go under hammer on April 11. Eight bidders are in the race for the about 25 acres of the prime Railway land in Sarai Rohilla. The reserve price for the bidding is fixed at Rs 675 crore.
Besides the reserve price, the developer has to renovate 750 Railway quarters near the site as part of the development agreement. The highest bidder will develop a group housing complex complete with all modern facilities including shopping complex and health services, said a Railway official.
After Sarai Rohilla, the next bidding will be for Nirala Nagar land in Kanpur, the official said. The 10 sites are located in Delhi, Kanpur, Gwalior, Vizag, Kolkata, and Bangalore. The feasibility study report for commercial development of the 10 sites spread over 265 acres of land has been submitted to the Rail Land Development Authority (RLDA).
Courtesy: - ET, dtd: 21st March 2008
Besides the reserve price, the developer has to renovate 750 Railway quarters near the site as part of the development agreement. The highest bidder will develop a group housing complex complete with all modern facilities including shopping complex and health services, said a Railway official.
After Sarai Rohilla, the next bidding will be for Nirala Nagar land in Kanpur, the official said. The 10 sites are located in Delhi, Kanpur, Gwalior, Vizag, Kolkata, and Bangalore. The feasibility study report for commercial development of the 10 sites spread over 265 acres of land has been submitted to the Rail Land Development Authority (RLDA).
Courtesy: - ET, dtd: 21st March 2008
GURGAON-MANESAR NEW MASTER PLAN
Gurgaon-Manesar Urban complex Plan 2021 will offer another 33,726 hectare of land for development. This will make it a new growth centre for the NCR. Harinder Singh of Realistic Realtor said that the new master plan will make 14,930 hectare of land available for residential and 1,404 hectare of land for commercial development. The new master plan will cater to 37 lakh people. According to the Gurgaon-Manesar plan, Singh said, 58 more sectors will be developed in addition to the existing 57, taking the number of sectors to 115.
The plan has already generated intense interest in the property market, which may further boost the real estate activity in the region, said Singh. Another impact of the master plan is that the introduction of new sectors means more supply which will keep the prices under control, he said. So far, property developers were only concentrating their attention on high-end housing. With availability of more land, they can focus on middle and lower segments as well, Harinder Singh said. Raheja Group has proposed three group housing projects under the Gurgaon-Manesar Master Plan to be built over 48 acres. A number of other major groups planning to launch projects in the area are Emaar-MGF, DLF, Unitech and Ansal API. The prevailing residential rates in proposed projects of Raheja Group in Manesar range between Rs 1,900-2,200/sq ft.
With initiatives of the Haryana Government, Gurgaon is likely to become a major hub of special economic zones (SEZ) also. A large number of SEZs have been proposed by Reliance Industries, DLF and Unitech in the area.
Gurgaon-Manesar New Master Plan 2021 Projected Population in 2021: 37 lakh Residential area : 14,930 hectare Industrial area: 5,441 hectare Commercial area : 1,404 hectare Special Economic Zones (SEZs) : 4,570 hectare Expected water Demand: 390 cusec Two Mass Rapid Transit system corridors up to Manesar along Dwarka and Mehrauli Stretch
Courtesy:ET dated. 21-03-08
The plan has already generated intense interest in the property market, which may further boost the real estate activity in the region, said Singh. Another impact of the master plan is that the introduction of new sectors means more supply which will keep the prices under control, he said. So far, property developers were only concentrating their attention on high-end housing. With availability of more land, they can focus on middle and lower segments as well, Harinder Singh said. Raheja Group has proposed three group housing projects under the Gurgaon-Manesar Master Plan to be built over 48 acres. A number of other major groups planning to launch projects in the area are Emaar-MGF, DLF, Unitech and Ansal API. The prevailing residential rates in proposed projects of Raheja Group in Manesar range between Rs 1,900-2,200/sq ft.
With initiatives of the Haryana Government, Gurgaon is likely to become a major hub of special economic zones (SEZ) also. A large number of SEZs have been proposed by Reliance Industries, DLF and Unitech in the area.
Gurgaon-Manesar New Master Plan 2021 Projected Population in 2021: 37 lakh Residential area : 14,930 hectare Industrial area: 5,441 hectare Commercial area : 1,404 hectare Special Economic Zones (SEZs) : 4,570 hectare Expected water Demand: 390 cusec Two Mass Rapid Transit system corridors up to Manesar along Dwarka and Mehrauli Stretch
Courtesy:ET dated. 21-03-08
Monday, March 24, 2008
GURGAON/MANESAR
Gurgaon has witnessed an unprecedented growth in the last 10 years following the IT and ITES revolution in the country. It has emerged as India's outsourcing capital. It has become such a popular destination for the commercial real estate that the rentals here have gone up almost three fold in the last three years -from Rs 40 per square feet/month to Rs 120 per square feet/month at present. Most of the supply in pipeline for the next two years in the commercial space is already booked.
Gurgaon is also known for the retail boom. Some of the prominent established and upcoming retail malls in Gurgaon are Sahara Mall, MGF Mall, DT Mall, Ambi Mall and DLFs Regent Mall. Apart from these, the MD of a real estate consultancy firm, Harinder Singh, says that another 20 odd malls are at various stages of constructions in Gurgaon on Golf course Road, Sohna and MG Road.
Gurgaon and Manesar will account for 20% or 39.08 mn sq ft of the upcoming residential supply till 2009-10.
Gurgaon-Sohna Road and Golf Course Road are the locations where maximum residential supply is projected to come up. Courtesy:ET dated. 21-03-08
Sunday, March 23, 2008
RESIDENTIAL SECTOR: DRIVING THE REALTY
THE INCREASE IN THE OFFICE SPACE IN NATIONAL CAPITAL REGION HAS BEEN TRANSLATING INTO A QUANTUM LEAP IN NEW JOBS AND THE ASSOCIATED BOOM IN HOUSING SECTOR
The National Capital Region has emerged as one of the most important destinations for information technologies (IT) and IT enabled services (ITES) in the country. It has also emerged as an important financial hub. In 2007, according to global consultancy firm DTZ, around 13.2 million sq ft office space will be absorbed in the NCR by various enterprises. That means an additional 1.50 lakh jobs will be created in the city. Even if a fraction of the new job-entrants go for new houses, there will be a massive surge in demand for residential units across the city.
The NCR is spread over an area of 33,578 sq kms covering the states of Haryana, Rajasthan, Uttar Pradesh and the National Capital Territory of Delhi. Besides Delhi, the real estate development is taking place in neighbouring areas like Ghaziabad, Indirapuram, Noida, Greater Noida, Faridabad, Sonipat, Panipat, Gurgaon, Manesar, Dharuhera, Bhiwadi, Rohtak, Meerut, Bulandshahr.
Extension of Delhi Metro up to Gurgaon and Noida by 2010, six-laning of National Highways to Jaipur, widening of other highways to Hapur and Dehradun have provided further impetus to the real estate development in the region. Modernization of the existing Indira Gandhi international Airport and construction of a new proposed international airport in Greater Noida will further boost the activities.
Because of the limited supply of real estate in main Delhi, the construction activities spilled over to other areas, where the prices were low. The development went first from Delhi to Gurgaon, and then Noida.
Courtesy:ET dated. 21-03-08
GURGAON/MANESAR
Gurgaon has witnessed an unprecedented growth in the last 10 years following the IT and ITES revolution in the country. It has emerged as India's outsourcing capital. It has become such a popular destination for the commercial real estate that the rentals here have gone up almost three fold in the last three years -from Rs 40 per square feet/month to Rs 120 per square feet/month at present. Most of the supply in pipeline for the next two years in the commercial space is already booked.
Gurgaon is also known for the retail boom. Some of the prominent established and upcoming retail malls in Gurgaon are Sahara Mall, MGF Mall, DT Mall, Ambi Mall and DLFs Regent Mall. Apart from these, the MD of a real estate consultancy firm, Harinder Singh, says that another 20 odd malls are at various stages of constructions in Gurgaon on Golf course Road, Sohna and MG Road.
Gurgaon and Manesar will account for 20% or 39.08 mn sq ft of the upcoming residential supply till 2009-10.
Gurgaon-Sohna Road and Golf Course Road are the locations where maximum residential supply is projected to come up.
Courtesy:ET dated. 21-03-08
The National Capital Region has emerged as one of the most important destinations for information technologies (IT) and IT enabled services (ITES) in the country. It has also emerged as an important financial hub. In 2007, according to global consultancy firm DTZ, around 13.2 million sq ft office space will be absorbed in the NCR by various enterprises. That means an additional 1.50 lakh jobs will be created in the city. Even if a fraction of the new job-entrants go for new houses, there will be a massive surge in demand for residential units across the city.
The NCR is spread over an area of 33,578 sq kms covering the states of Haryana, Rajasthan, Uttar Pradesh and the National Capital Territory of Delhi. Besides Delhi, the real estate development is taking place in neighbouring areas like Ghaziabad, Indirapuram, Noida, Greater Noida, Faridabad, Sonipat, Panipat, Gurgaon, Manesar, Dharuhera, Bhiwadi, Rohtak, Meerut, Bulandshahr.
Extension of Delhi Metro up to Gurgaon and Noida by 2010, six-laning of National Highways to Jaipur, widening of other highways to Hapur and Dehradun have provided further impetus to the real estate development in the region. Modernization of the existing Indira Gandhi international Airport and construction of a new proposed international airport in Greater Noida will further boost the activities.
Because of the limited supply of real estate in main Delhi, the construction activities spilled over to other areas, where the prices were low. The development went first from Delhi to Gurgaon, and then Noida.
Courtesy:ET dated. 21-03-08
GURGAON/MANESAR
Gurgaon has witnessed an unprecedented growth in the last 10 years following the IT and ITES revolution in the country. It has emerged as India's outsourcing capital. It has become such a popular destination for the commercial real estate that the rentals here have gone up almost three fold in the last three years -from Rs 40 per square feet/month to Rs 120 per square feet/month at present. Most of the supply in pipeline for the next two years in the commercial space is already booked.
Gurgaon is also known for the retail boom. Some of the prominent established and upcoming retail malls in Gurgaon are Sahara Mall, MGF Mall, DT Mall, Ambi Mall and DLFs Regent Mall. Apart from these, the MD of a real estate consultancy firm, Harinder Singh, says that another 20 odd malls are at various stages of constructions in Gurgaon on Golf course Road, Sohna and MG Road.
Gurgaon and Manesar will account for 20% or 39.08 mn sq ft of the upcoming residential supply till 2009-10.
Gurgaon-Sohna Road and Golf Course Road are the locations where maximum residential supply is projected to come up.
Courtesy:ET dated. 21-03-08
Thursday, March 20, 2008
REITs may change investment landscape
This Week, we answer questions on real estate investment trusts. For investors and builders alike, the trusts offer scope for growth and returns.
How have REITs (Real Estate Investment Trusts fared in other countries, and how do they benefit?
The investment vehicle called REITs opens the option of investing in real estate portfolios to the common man. The concept has been established for decades in the United States and Australia (in case of the latter, under the name LPT, or Liquid Property Trust). Of late, Asia too is beginning to wake up to the potential. Singapore, Malaysia, South Korea and Japan have seen significant success levels with this financial instrument, while Taiwan is still trying to find a workable formula.
What sets REITs apart from other methods of investing in real estate?
REITs are attractive investment vehicles because they have the potential of generating higher yields than stocks and bonds. They are not prone to the kind of fluctuations one typically observes in the stock market and therefore present a higher margin of safety they also generate capital gains and represent a stable income source.
Can you explain the manner in which REITs work?
Fundamentally, a Real Estate Investment Trust (REIT) is an entity dedicated to owning and, in most cases, operating income-producing real estate such as apartments, shopping centres, hotels, offices and warehouses. This means that the company buys, develops, manages and sells real estate assets with the purpose of inviting investors to put their money into a professionally managed portfolio of properties. Investors are also given a tax exemption opportunity at the corporate level. In some cases, such an entity may even finance real estate. REITs is particularly an attractive option to retail investors because it offers higher returns than fixed deposit rates. They represent a diversified portfolio of assets at low investments. A REIT can serve as the ultimate landlord of select rented properties.
Will REITs work as well in India as in other countries?
REITs are yet to be proven a workable concept in India. As of now, there is no policy pertaining to the formation of REITs in this country any proposal to establish them will have to be placed before SEBI (Securities Exchange Board of India) for approval. This body will evaluate each proposal, and considering the immense potential, it stands to reason that a number of approvals will finally come through.
Assuming that they will launch in India, on which sectors will REITs focus?
REITs will concentrate on the following property market areas:
Ø Commercial: Offices and Parks
Ø Hospitality: Hotels, Leisure and Healthcare
Ø Retail: Large Malls
Ø Industrial
Ø Mixed use development sites, including residential
However, it should not be assumed that the introduction of REITs would result in availability of instant wealth-building instrument for investors. The product will be unfamiliar for most, and a long period of trial and error will precede the first REITs-related success stories in India.
Can anyone build wealth through REITs?
Maximizing profits through REITs calls for intelligent portfolio diversification a lot depends on the format that REITs take in India. To generate good financial returns, the entity will have to own a high-quality investment portfolio. Ideally, it will operate in several metropolitan and secondary cities. The returns will begin to flow when the company manages to partner and complete several large quality developments and maintain the quality of portfolio components.
If and when REITs become a part of the Indian investment scenario, it will provide significant advantages to investors. The returns are passed on to the investor regularly, and there is next to no scope for bureaucratic ambiguity in the process. This is in direct contrast to the pitfalls inherent in direct investment in real estate. The REITs vehicle will ease the process of investing in a healthily diversified real estate portfolio and make it a realistic option for lay investors and professionals alike. REITs will also serve as a significant market stabilizer in the medium to long term.
Courtesy: HT March 17, 2008
How have REITs (Real Estate Investment Trusts fared in other countries, and how do they benefit?
The investment vehicle called REITs opens the option of investing in real estate portfolios to the common man. The concept has been established for decades in the United States and Australia (in case of the latter, under the name LPT, or Liquid Property Trust). Of late, Asia too is beginning to wake up to the potential. Singapore, Malaysia, South Korea and Japan have seen significant success levels with this financial instrument, while Taiwan is still trying to find a workable formula.
What sets REITs apart from other methods of investing in real estate?
REITs are attractive investment vehicles because they have the potential of generating higher yields than stocks and bonds. They are not prone to the kind of fluctuations one typically observes in the stock market and therefore present a higher margin of safety they also generate capital gains and represent a stable income source.
Can you explain the manner in which REITs work?
Fundamentally, a Real Estate Investment Trust (REIT) is an entity dedicated to owning and, in most cases, operating income-producing real estate such as apartments, shopping centres, hotels, offices and warehouses. This means that the company buys, develops, manages and sells real estate assets with the purpose of inviting investors to put their money into a professionally managed portfolio of properties. Investors are also given a tax exemption opportunity at the corporate level. In some cases, such an entity may even finance real estate. REITs is particularly an attractive option to retail investors because it offers higher returns than fixed deposit rates. They represent a diversified portfolio of assets at low investments. A REIT can serve as the ultimate landlord of select rented properties.
Will REITs work as well in India as in other countries?
REITs are yet to be proven a workable concept in India. As of now, there is no policy pertaining to the formation of REITs in this country any proposal to establish them will have to be placed before SEBI (Securities Exchange Board of India) for approval. This body will evaluate each proposal, and considering the immense potential, it stands to reason that a number of approvals will finally come through.
Assuming that they will launch in India, on which sectors will REITs focus?
REITs will concentrate on the following property market areas:
Ø Commercial: Offices and Parks
Ø Hospitality: Hotels, Leisure and Healthcare
Ø Retail: Large Malls
Ø Industrial
Ø Mixed use development sites, including residential
However, it should not be assumed that the introduction of REITs would result in availability of instant wealth-building instrument for investors. The product will be unfamiliar for most, and a long period of trial and error will precede the first REITs-related success stories in India.
Can anyone build wealth through REITs?
Maximizing profits through REITs calls for intelligent portfolio diversification a lot depends on the format that REITs take in India. To generate good financial returns, the entity will have to own a high-quality investment portfolio. Ideally, it will operate in several metropolitan and secondary cities. The returns will begin to flow when the company manages to partner and complete several large quality developments and maintain the quality of portfolio components.
If and when REITs become a part of the Indian investment scenario, it will provide significant advantages to investors. The returns are passed on to the investor regularly, and there is next to no scope for bureaucratic ambiguity in the process. This is in direct contrast to the pitfalls inherent in direct investment in real estate. The REITs vehicle will ease the process of investing in a healthily diversified real estate portfolio and make it a realistic option for lay investors and professionals alike. REITs will also serve as a significant market stabilizer in the medium to long term.
Courtesy: HT March 17, 2008
Wednesday, March 19, 2008
An Rs 48,000 crore industry
Rising incomes, easy financing and population growth are driving demand for housing and luring overseas investors to India, says a new report by Ernst and Young. It puts the worth of the Indian real estate market at $12 billion (Rs 48,000 crore) and pegs the annual growth rate at 30 per Com. The report, commissioned by the Federation of Indian Chambers of Commerce and Industry, also says that India will have at least 50 property-related initial public offerings in the next year as the real estate industry booms
Courtesy: HT March 17, 2008
Courtesy: HT March 17, 2008
Tuesday, March 18, 2008
NO FDI PLAN IN RETAIL SECTOR, SAYS PAWAR
New Delhi: The Government is not considering any proposal to allow foreign direct investment {FDI} in retail sector, Agriculture Minister Sharad Pawar said today. “There is no proposal to allow FDI in retail {and} Government is not thinking of it because it wants to protect the interest of retailers” he said replying to supplementaries during Question Hour in Rajya Sabha
Courtesy: HT March 15, 2008
Courtesy: HT March 15, 2008
Monday, March 17, 2008
RAHEJAS PLAN 257-ACRE SEZ AT GURGAON
New Delhi:Real estate firm Raheja Developers has outlined an investment of Rs 5000 crore to set up a 257 acre engineering SEZ at Gurgaon. The SEZ has been notified by the government and the first phase of the project is expected to be completed in the next five years, Raheja Developers Managing Director Navin Raheja said. The project would be developed through a Special Purpose Vehicle and funded through internal accruals, debt and equity. Raheja said the company is planning to list the SPV in the next one year and dilute 26 per cent stake.
Courtesy: HT March 15, 2008
Courtesy: HT March 15, 2008
RAHEJAS PLAN 257-ACRE SEZ AT GURGAON
New Delhi:Real estate firm rahrja Developers has outlined an investment of Rs 5000 crore to set up a 257 acre engineering SEZ at Gurgaon. The SEZ has been notified by the government and the first phase of the project is expected to be completed in the next five years, Raheja Developers Managing Director Navin Raheja said. The project would be developed through a Special Purpose Vehicle and funded through internal accruals, debt and equity. Raheja said the company is planning to list the SPV in the next one year and dilute 26 per cent stake.
Courtesy: HT March 15, 2008
Courtesy: HT March 15, 2008
ELIGIBLE FOR A HOME LOAN?
Here are some of the factors that have a bearing on an individual’s eligibility for a home loan
There are a number of factors that have a bearing on eligibility for a housing loan. The banks have their own criteria to determine the eligibility and quantum of housing loan. The banks have their own criteria to determine the eligibility and quantum of housing loan. It would do well for borrower to be aware of some such factors.
To begin with, it is the information on the application from. The information submitted in the application from by the individual is verified from various primary and secondary sources-through interviews, calling up the employer, verifying from the database. In case of wrong information or inconsistencies, the loan application is liable to be rejected.
The financial strength of an individual is an important determinant. The loan eligibility as well as the repayment capacity depends on the financial position of the borrower. His income level, net income, liabilities determine the amount of loan he is eligible for. The requirements include a particular minimum income or a fixed and certain source of borrower also plays an important role. Usually, the lenders maintain a database of borrowers and verify the credit history to check for previous repayment defaults, even from other lenders.
The personal profile of the individual I also important. These include factors like educational qualification, profession, number of dependents, assets owned, liabilities owed, savings history etc. A higher number of dependents or existing liabilities implies lower repayment capacity. The individual’s age plays a major role to determine earning life, and the life-cycle stage at which the individual is in. in case the property is co-owned; the co-owner cannot be a minor. Also, the coowner cannot be above a certain age limit. The age limits are set to minimize ownership disputes. The age limit also affects the tenure of the home loan and EMIs. The applicant’s retirement age is also considered. For example, if the applicant is 45 years of age and is set to retire at 60 years, the maximum loan tenure available will be 15 years. Also, in case the bank has a 75 year ge limit for a co-applicant, if the applicant is 40 years old and the co-applicant is 60 years old, then the home loan will be sanctioned for a maximum period of 15 years only.
The reputation of the builder also counts. Each bank has a list of pre-approved builders. Their credentials are already verified by the bank and as such loans are easily available for their properties.
Location of property also affects the eligibility. Bank have specific norms with respect to a minimum area of a flat too. This may be built-up area or carpet area. The age of the property is also an important consideration in case of purchase of existing properties. Home loans on resale properties are sanctioned only if they are less than 50 years old.
Banks conduct legal and technical appraisal of the property to see whether the title of the property is clear, there are no ownership disputes, the property is free from any encumbrances etc. in case there are any objection in these appraisals, and the loan application is bound to be turned down.
Visit www.zameen-zaidad.com
Courtesy: ET REALITY dated March 14, 2008
There are a number of factors that have a bearing on eligibility for a housing loan. The banks have their own criteria to determine the eligibility and quantum of housing loan. The banks have their own criteria to determine the eligibility and quantum of housing loan. It would do well for borrower to be aware of some such factors.
To begin with, it is the information on the application from. The information submitted in the application from by the individual is verified from various primary and secondary sources-through interviews, calling up the employer, verifying from the database. In case of wrong information or inconsistencies, the loan application is liable to be rejected.
The financial strength of an individual is an important determinant. The loan eligibility as well as the repayment capacity depends on the financial position of the borrower. His income level, net income, liabilities determine the amount of loan he is eligible for. The requirements include a particular minimum income or a fixed and certain source of borrower also plays an important role. Usually, the lenders maintain a database of borrowers and verify the credit history to check for previous repayment defaults, even from other lenders.
The personal profile of the individual I also important. These include factors like educational qualification, profession, number of dependents, assets owned, liabilities owed, savings history etc. A higher number of dependents or existing liabilities implies lower repayment capacity. The individual’s age plays a major role to determine earning life, and the life-cycle stage at which the individual is in. in case the property is co-owned; the co-owner cannot be a minor. Also, the coowner cannot be above a certain age limit. The age limits are set to minimize ownership disputes. The age limit also affects the tenure of the home loan and EMIs. The applicant’s retirement age is also considered. For example, if the applicant is 45 years of age and is set to retire at 60 years, the maximum loan tenure available will be 15 years. Also, in case the bank has a 75 year ge limit for a co-applicant, if the applicant is 40 years old and the co-applicant is 60 years old, then the home loan will be sanctioned for a maximum period of 15 years only.
The reputation of the builder also counts. Each bank has a list of pre-approved builders. Their credentials are already verified by the bank and as such loans are easily available for their properties.
Location of property also affects the eligibility. Bank have specific norms with respect to a minimum area of a flat too. This may be built-up area or carpet area. The age of the property is also an important consideration in case of purchase of existing properties. Home loans on resale properties are sanctioned only if they are less than 50 years old.
Banks conduct legal and technical appraisal of the property to see whether the title of the property is clear, there are no ownership disputes, the property is free from any encumbrances etc. in case there are any objection in these appraisals, and the loan application is bound to be turned down.
Visit www.zameen-zaidad.com
Courtesy: ET REALITY dated March 14, 2008
Saturday, March 15, 2008
MAKING HOUSING AFFORDABLE
Greater Noida Authority is constructing 3,000 houses exclusively for middle-income group
For the middle-income masses, here is good news. Under a newly launched residential scheme, the Greater Noida authority is offering the middle-income group a rare opportunity to book and own exclusive, independent, expandable and well finished houses.
As per the scheme, the Greater Noida Authority will construct 3,000 houses in sector 3, Xu-II and Xu-III. P.C Gupta, deputy chief executive officer, Greater Noida Industrial Development Authority {GNIDA} said--the size of plot will be 120 sq m. While constructed houses will be available in 98.24 sq m.
The cost of house is Rs 29.98 lakh and each house will be allotted through lucky draw. For this scheme, which will be closed on March 8, applicants can buy forms and brochures from authorized banks like SBI, ICICI, HDFC, Axis Bank, PNB, Indian Bank, Canara Bank, Bank of Baroda, Bank of Maharashtra, and Union Bank of India, Vijya Bank and Oriental Bank of Commerce.
The allottees will be permitted to construct additional space beyond already approved building plan. Construction not conforming to the plan would have to be approved. The houses will have two bedrooms, one drawing room, kitchen and a bathroom. The housing complex will be built in new sectors like 3, Xu-II and Xu-III and will have a swimming pool. Park, community centre, post office, hospital, shopping complex and parking. Gupta said, this scheme is an opportunity for developers to be a part of making of a smart city.
“The major attractions of the complex are uninterrupted supply of drinking water and power, green areas, proposed metro, airport and world’s fourth night safari,” says Sudhir Kumar, additional CEO.
He said authorized area for plots and commercial facilities will be 65% of the total area as per population norms permitted in the master plan of 2021.
Developers will provide provisions for other facilities like nursery school, senior secondary school, nursing home, convenience shopping, commercial sector, milk booth, auto-taxi stand, secondary shopping and community centre.
To get rid of the overcrowded Delhi, the Greater Noida authority will also invite tenders for commercial scheme on two bids systems for plots in sectors like Alpha2, Delta 2 and Gamma 2.
Courtesy: ET REALITY dtd March 14, 2008
For the middle-income masses, here is good news. Under a newly launched residential scheme, the Greater Noida authority is offering the middle-income group a rare opportunity to book and own exclusive, independent, expandable and well finished houses.
As per the scheme, the Greater Noida Authority will construct 3,000 houses in sector 3, Xu-II and Xu-III. P.C Gupta, deputy chief executive officer, Greater Noida Industrial Development Authority {GNIDA} said--the size of plot will be 120 sq m. While constructed houses will be available in 98.24 sq m.
The cost of house is Rs 29.98 lakh and each house will be allotted through lucky draw. For this scheme, which will be closed on March 8, applicants can buy forms and brochures from authorized banks like SBI, ICICI, HDFC, Axis Bank, PNB, Indian Bank, Canara Bank, Bank of Baroda, Bank of Maharashtra, and Union Bank of India, Vijya Bank and Oriental Bank of Commerce.
The allottees will be permitted to construct additional space beyond already approved building plan. Construction not conforming to the plan would have to be approved. The houses will have two bedrooms, one drawing room, kitchen and a bathroom. The housing complex will be built in new sectors like 3, Xu-II and Xu-III and will have a swimming pool. Park, community centre, post office, hospital, shopping complex and parking. Gupta said, this scheme is an opportunity for developers to be a part of making of a smart city.
“The major attractions of the complex are uninterrupted supply of drinking water and power, green areas, proposed metro, airport and world’s fourth night safari,” says Sudhir Kumar, additional CEO.
He said authorized area for plots and commercial facilities will be 65% of the total area as per population norms permitted in the master plan of 2021.
Developers will provide provisions for other facilities like nursery school, senior secondary school, nursing home, convenience shopping, commercial sector, milk booth, auto-taxi stand, secondary shopping and community centre.
To get rid of the overcrowded Delhi, the Greater Noida authority will also invite tenders for commercial scheme on two bids systems for plots in sectors like Alpha2, Delta 2 and Gamma 2.
Courtesy: ET REALITY dtd March 14, 2008
MAKING HOUSING AFFORDABLE
Greater Noida Authority is constructing 3,000 houses exclusively for middle-income group
For the middle-income masses, here is good news. Under a newly launched residential scheme, the Greater Noida authority is offering the middle-income group a rare opportunity to book and own exclusive, independent, expandable and well finished houses.
As per the scheme, the Greater Noida Authority will construct 3,000 houses in sector 3, Xu-II and Xu-III. P.C Gupta, deputy chief executive officer, Greater Noida Industrial Development Authority {GNIDA} said--the size of plot will be 120 sq m. While constructed houses will be available in 98.24 sq m.
The cost of house is Rs 29.98 lakh and each house will be allotted through lucky draw. For this scheme, which will be closed on March 8, applicants can buy forms and brochures from authorized banks like SBI, ICICI, HDFC, Axis Bank, PNB, Indian Bank, Canara Bank, Bank of Baroda, Bank of Maharashtra, and Union Bank of India, Vijya Bank and Oriental Bank of Commerce.
The allottees will be permitted to construct additional space beyond already approved building plan. Construction not conforming to the plan would have to be approved. The houses will have two bedrooms, one drawing room, kitchen and a bathroom. The housing complex will be built in new sectors like 3, Xu-II and Xu-III and will have a swimming pool. Park, community centre, post office, hospital, shopping complex and parking. Gupta said, this scheme is an opportunity for developers to be a part of making of a smart city.
“The major attractions of the complex are uninterrupted supply of drinking water and power, green areas, proposed metro, airport and world’s fourth night safari,” says Sudhir Kumar, additional CEO.
He said authorized area for plots and commercial facilities will be 65% of the total area as per population norms permitted in the master plan of 2021.
Developers will provide provisions for other facilities like nursery school, senior secondary school, nursing home, convenience shopping, commercial sector, milk booth, auto-taxi stand, secondary shopping and community centre.
To get rid of the overcrowded Delhi, the Greater Noida authority will also invite tenders for commercial scheme on two bids systems for plots in sectors like Alpha2, Delta 2 and Gamma 2.
Courtesy: ET REALITY dtd March 14, 2008
For the middle-income masses, here is good news. Under a newly launched residential scheme, the Greater Noida authority is offering the middle-income group a rare opportunity to book and own exclusive, independent, expandable and well finished houses.
As per the scheme, the Greater Noida Authority will construct 3,000 houses in sector 3, Xu-II and Xu-III. P.C Gupta, deputy chief executive officer, Greater Noida Industrial Development Authority {GNIDA} said--the size of plot will be 120 sq m. While constructed houses will be available in 98.24 sq m.
The cost of house is Rs 29.98 lakh and each house will be allotted through lucky draw. For this scheme, which will be closed on March 8, applicants can buy forms and brochures from authorized banks like SBI, ICICI, HDFC, Axis Bank, PNB, Indian Bank, Canara Bank, Bank of Baroda, Bank of Maharashtra, and Union Bank of India, Vijya Bank and Oriental Bank of Commerce.
The allottees will be permitted to construct additional space beyond already approved building plan. Construction not conforming to the plan would have to be approved. The houses will have two bedrooms, one drawing room, kitchen and a bathroom. The housing complex will be built in new sectors like 3, Xu-II and Xu-III and will have a swimming pool. Park, community centre, post office, hospital, shopping complex and parking. Gupta said, this scheme is an opportunity for developers to be a part of making of a smart city.
“The major attractions of the complex are uninterrupted supply of drinking water and power, green areas, proposed metro, airport and world’s fourth night safari,” says Sudhir Kumar, additional CEO.
He said authorized area for plots and commercial facilities will be 65% of the total area as per population norms permitted in the master plan of 2021.
Developers will provide provisions for other facilities like nursery school, senior secondary school, nursing home, convenience shopping, commercial sector, milk booth, auto-taxi stand, secondary shopping and community centre.
To get rid of the overcrowded Delhi, the Greater Noida authority will also invite tenders for commercial scheme on two bids systems for plots in sectors like Alpha2, Delta 2 and Gamma 2.
Courtesy: ET REALITY dtd March 14, 2008
Friday, March 14, 2008
DDA' HOUSING FOR BETTER LIVING
If you are a resident of a Delhi Development Authority (DDA) colony anywhere in Delhi, be it Sarita Vihar, Saket, Mayur Vihar, Janakpuri, or Ashok Vihar, you will surely find DDA's comprehensive developmental activities.
Recently, Delhi Development Authority (DDA) announced its budget for the financial year 2008-09 on Friday and approved revised budget estimates for the year 2007-08. Expenditure for the year 2008-09 has been projected as Rs. 3,622.6 crore as compared to Rs. 2,309.08 crore in the revised estimates for the year 2007-08. Under the new budget, areas like Rohini, Dwarka, Narela, Dheerpur, Jasola and Bakkarwala will see an increase in the expenditure on development work like housing for economically weaker sections (EWS) and village redevelopment.
For almost five decades now, DDA has played a crucial role in providing more than a million houses to the people of Delhi, housing about half the population of the national capital. DDA has been constructing as well as facilitating the construction of some 10.80 lakh dwelling units in Delhi, according to the requirements and purchasing capacity of people, especially those from the lowest strata of society.
Future and ongoing plans include a pilot project on public-private participation at Tehkhand in South Delhi -- which envisages construction of 750 higher income group flats and 3,000 units under the Economically Weaker Section scheme. The project assumes significance, for it would pave the way for public-private participating in such similar ventures across the Capital.
www.zameen-zaidad.com
Courtesy: HT 13.03.08
Recently, Delhi Development Authority (DDA) announced its budget for the financial year 2008-09 on Friday and approved revised budget estimates for the year 2007-08. Expenditure for the year 2008-09 has been projected as Rs. 3,622.6 crore as compared to Rs. 2,309.08 crore in the revised estimates for the year 2007-08. Under the new budget, areas like Rohini, Dwarka, Narela, Dheerpur, Jasola and Bakkarwala will see an increase in the expenditure on development work like housing for economically weaker sections (EWS) and village redevelopment.
For almost five decades now, DDA has played a crucial role in providing more than a million houses to the people of Delhi, housing about half the population of the national capital. DDA has been constructing as well as facilitating the construction of some 10.80 lakh dwelling units in Delhi, according to the requirements and purchasing capacity of people, especially those from the lowest strata of society.
Future and ongoing plans include a pilot project on public-private participation at Tehkhand in South Delhi -- which envisages construction of 750 higher income group flats and 3,000 units under the Economically Weaker Section scheme. The project assumes significance, for it would pave the way for public-private participating in such similar ventures across the Capital.
www.zameen-zaidad.com
Courtesy: HT 13.03.08
DDA' HOUSING FOR BETTER LIVING
If you are a resident of a Delhi Development Authority (DDA) colony anywhere in Delhi, be it Sarita Vihar, Saket, Mayur Vihar, Janakpuri, or Ashok Vihar, you will surely find DDA's comprehensive developmental activities.
Recently, Delhi Development Authority (DDA) announced its budget for the financial year 2008-09 on Friday and approved revised budget estimates for the year 2007-08. Expenditure for the year 2008-09 has been projected as Rs. 3,622.6 crore as compared to Rs. 2,309.08 crore in the revised estimates for the year 2007-08. Under the new budget, areas like Rohini, Dwarka, Narela, Dheerpur, Jasola and Bakkarwala will see an increase in the expenditure on development work like housing for economically weaker sections (EWS) and village redevelopment.
For almost five decades now, DDA has played a crucial role in providing more than a million houses to the people of Delhi, housing about half the population of the national capital. DDA has been constructing as well as facilitating the construction of some 10.80 lakh dwelling units in Delhi, according to the requirements and purchasing capacity of people, especially those from the lowest strata of society.
Future and ongoing plans include a pilot project on public-private participation at Tehkhand in South Delhi -- which envisages construction of 750 higher income group flats and 3,000 units under the Economically Weaker Section scheme. The project assumes significance, for it would pave the way for public-private participating in such similar ventures across the Capital.
www.zameen-zaidad.com
Courtesy: HT 13.03.08
Recently, Delhi Development Authority (DDA) announced its budget for the financial year 2008-09 on Friday and approved revised budget estimates for the year 2007-08. Expenditure for the year 2008-09 has been projected as Rs. 3,622.6 crore as compared to Rs. 2,309.08 crore in the revised estimates for the year 2007-08. Under the new budget, areas like Rohini, Dwarka, Narela, Dheerpur, Jasola and Bakkarwala will see an increase in the expenditure on development work like housing for economically weaker sections (EWS) and village redevelopment.
For almost five decades now, DDA has played a crucial role in providing more than a million houses to the people of Delhi, housing about half the population of the national capital. DDA has been constructing as well as facilitating the construction of some 10.80 lakh dwelling units in Delhi, according to the requirements and purchasing capacity of people, especially those from the lowest strata of society.
Future and ongoing plans include a pilot project on public-private participation at Tehkhand in South Delhi -- which envisages construction of 750 higher income group flats and 3,000 units under the Economically Weaker Section scheme. The project assumes significance, for it would pave the way for public-private participating in such similar ventures across the Capital.
www.zameen-zaidad.com
Courtesy: HT 13.03.08
GOVT ISSUES RULES FOR FOREIGN INVESTMENT
India on Wednesday set out conditions for automatic approval of 100 per cent foreign investments in industrial parks. Such parks would have to house a minimum of 10 industrial units and at least 66 per cent of their developed area would have to be allocated for industrial activity, a trade ministry note said. No single unit could occupy more than half of the allocable area, the note added. If these conditions were met, investors would not need to conform to guidelines on minimum investment and minimum area developed, which are applicable for housing, commercial and regional infrastructure projects, it said.
Courtesy: HT 13.03.08
Courtesy: HT 13.03.08
GOVT ISSUES RULES FOR FOREIGN INVESTMENT
India on Wednesday set out conditions for automatic approval of 100 per cent foreign investments in industrial parks. Such parks would have to house a minimum of 10 industrial units and at least 66 per cent of their developed area would have to be allocated for industrial activity, a trade ministry note said. No single unit could occupy more than half of the allocable area, the note added. If these conditions were met, investors would not need to conform to guidelines on minimum investment and minimum area developed, which are applicable for housing, commercial and regional infrastructure projects, it said.
Courtesy: HT 13.03.08
Courtesy: HT 13.03.08
Real estate law
The government is all set to bring in a law to regulate the booming real estate sector in Delhi that could be model for the rest of the country, minister for urban development Jaipal Reddy told the Rajya Sabha.
Industrial upgrade
The commerce ministry has approved six industry clusters worth Rs 373 crore under the Industrial Infrastructure Upgradation, Scheme, out of which Rs 247 crore will be in the form of the central government’s grant.
Industrial growth
The latest government data on industrial growth has painted a gloomy picture but economic think-thank Center for Monitoring Indian Economy (CMIE) says all is not lost and has pegged the expansion at 10.4 per cent for fiscal 2009.
Courtsey: Bus.Sandard March 14 2008
Industrial upgrade
The commerce ministry has approved six industry clusters worth Rs 373 crore under the Industrial Infrastructure Upgradation, Scheme, out of which Rs 247 crore will be in the form of the central government’s grant.
Industrial growth
The latest government data on industrial growth has painted a gloomy picture but economic think-thank Center for Monitoring Indian Economy (CMIE) says all is not lost and has pegged the expansion at 10.4 per cent for fiscal 2009.
Courtsey: Bus.Sandard March 14 2008
Thursday, March 13, 2008
Real estate law
The government is all set to bring in a law to regulate the booming real estate sector in Delhi that could be model for the rest of the country, minister for urban development Jaipal Reddy told the Rajya Sabha.
Industrial upgrade
The commerce ministry has approved six industry clusters worth Rs 373 crore under the Industrial Infrastructure Upgradation, Scheme, out of which Rs 247 crore will be in the form of the central government’s grant.
Industrial growth
The latest government data on industrial growth has painted a gloomy picture but economic think-thank Center for Monitoring Indian Economy (CMIE) says all is not lost and has pegged the expansion at 10.4 per cent for fiscal 2009.
Courtsey: Bus.Sandard March 14 2008
Industrial upgrade
The commerce ministry has approved six industry clusters worth Rs 373 crore under the Industrial Infrastructure Upgradation, Scheme, out of which Rs 247 crore will be in the form of the central government’s grant.
Industrial growth
The latest government data on industrial growth has painted a gloomy picture but economic think-thank Center for Monitoring Indian Economy (CMIE) says all is not lost and has pegged the expansion at 10.4 per cent for fiscal 2009.
Courtsey: Bus.Sandard March 14 2008
Wednesday, March 12, 2008
INDIA’S BIGGEST LAND DEAL IN NOIDA
Noida: In the biggest land deal in the country, a consortium led by Delhi-based Business Parks and Town Planners {BPTP} on Tuesday bagged a 95-acre commercial plot in Noida Sector 94 for a mind-boggling Rs 5,006 crore from the Noida authority.
The price per square meter in the deal – clinched after sealed bids were submitted – comes to Rs 1, 30, 207, or Rs 52.69 crore per acre. The next highest bid for the site was Rs 1, 17,000/sqm by DLF and the third highest, Rs 80,000, by Omaxe. Ansal Properties and Infrastructure was earlier disqualified in the technical bid. According to a Noida authority spokesman, the permitted floor area ratio for development of the site will only be two. Only an area of 8.2 million sq ft will be allowed to develop. At this rate, the per sq ft construction right has cost BPTP a whopping Rs 6,100.
The astronomical amount paid for the site is a clear indication that, in terms of sentiment, there is no downturn in the real estate sector It also points to Noida emerging as an alternative to Delhi and Gurgaon for office space. At present, office rentals in Delhi’s high class areas range between Rs 200 to Rs 350 per sq ft. In Gurgaon, it varies between Rs 80 and Rs 120 per sq ft. As against this, rentals in Noida are in the range of 40-60 per sq ft. This has made Noida an attractive destination for commercial space in NCR. In the previous biggest land deal in Noida, Unitech had walked off with an approximately 340-avre residential plot for Rs 1,582.83 crore.
NOIDA SITE IS STRATEGICALLY LOCATED
Noida: the proposed commercial complex in Noida Sector 94, which attracted mind-boggling Rs 5,006 crore, is strategically located close to Delhi. It will be around 16 km from Connaught Place and around 10 km from south Delhi via the DND flyover.
According to Kabul Chawla, chief of Business Parks and Town Planners {BPTP}, a company which has considerable real estate interests in Faridabad, Gurgaon and Hyderabad, “We will ensure that this become the country’s most prestigious commercial complex. And, we are already in touch with planners and consultants like Norman Foster, for hotels, commercial complexes and financial hubs.”
Courtesy: TOI dtd 12-3-08
The price per square meter in the deal – clinched after sealed bids were submitted – comes to Rs 1, 30, 207, or Rs 52.69 crore per acre. The next highest bid for the site was Rs 1, 17,000/sqm by DLF and the third highest, Rs 80,000, by Omaxe. Ansal Properties and Infrastructure was earlier disqualified in the technical bid. According to a Noida authority spokesman, the permitted floor area ratio for development of the site will only be two. Only an area of 8.2 million sq ft will be allowed to develop. At this rate, the per sq ft construction right has cost BPTP a whopping Rs 6,100.
The astronomical amount paid for the site is a clear indication that, in terms of sentiment, there is no downturn in the real estate sector It also points to Noida emerging as an alternative to Delhi and Gurgaon for office space. At present, office rentals in Delhi’s high class areas range between Rs 200 to Rs 350 per sq ft. In Gurgaon, it varies between Rs 80 and Rs 120 per sq ft. As against this, rentals in Noida are in the range of 40-60 per sq ft. This has made Noida an attractive destination for commercial space in NCR. In the previous biggest land deal in Noida, Unitech had walked off with an approximately 340-avre residential plot for Rs 1,582.83 crore.
NOIDA SITE IS STRATEGICALLY LOCATED
Noida: the proposed commercial complex in Noida Sector 94, which attracted mind-boggling Rs 5,006 crore, is strategically located close to Delhi. It will be around 16 km from Connaught Place and around 10 km from south Delhi via the DND flyover.
According to Kabul Chawla, chief of Business Parks and Town Planners {BPTP}, a company which has considerable real estate interests in Faridabad, Gurgaon and Hyderabad, “We will ensure that this become the country’s most prestigious commercial complex. And, we are already in touch with planners and consultants like Norman Foster, for hotels, commercial complexes and financial hubs.”
Courtesy: TOI dtd 12-3-08
INDIA’S BIGGEST LAND DEAL IN NOIDA
Noida: In the biggest land deal in the country, a consortium led by Delhi-based Business Parks and Town Planners {BPTP} on Tuesday bagged a 95-acre commercial plot in Noida Sector 94 for a mind-boggling Rs 5,006 crore from the Noida authority.
The price per square meter in the deal – clinched after sealed bids were submitted – comes to Rs 1, 30, 207, or Rs 52.69 crore per acre. The next highest bid for the site was Rs 1, 17,000/sqm by DLF and the third highest, Rs 80,000, by Omaxe. Ansal Properties and Infrastructure was earlier disqualified in the technical bid. According to a Noida authority spokesman, the permitted floor area ratio for development of the site will only be two. Only an area of 8.2 million sq ft will be allowed to develop. At this rate, the per sq ft construction right has cost BPTP a whopping Rs 6,100.
The astronomical amount paid for the site is a clear indication that, in terms of sentiment, there is no downturn in the real estate sector It also points to Noida emerging as an alternative to Delhi and Gurgaon for office space. At present, office rentals in Delhi’s high class areas range between Rs 200 to Rs 350 per sq ft. In Gurgaon, it varies between Rs 80 and Rs 120 per sq ft. As against this, rentals in Noida are in the range of 40-60 per sq ft. This has made Noida an attractive destination for commercial space in NCR. In the previous biggest land deal in Noida, Unitech had walked off with an approximately 340-avre residential plot for Rs 1,582.83 crore.
NOIDA SITE IS STRATEGICALLY LOCATED
Noida: the proposed commercial complex in Noida Sector 94, which attracted mind-boggling Rs 5,006 crore, is strategically located close to Delhi. It will be around 16 km from Connaught Place and around 10 km from south Delhi via the DND flyover.
According to Kabul Chawla, chief of Business Parks and Town Planners {BPTP}, a company which has considerable real estate interests in Faridabad, Gurgaon and Hyderabad, “We will ensure that this become the country’s most prestigious commercial complex. And, we are already in touch with planners and consultants like Norman Foster, for hotels, commercial complexes and financial hubs.”
Courtesy: TOI dtd 12-3-08
The price per square meter in the deal – clinched after sealed bids were submitted – comes to Rs 1, 30, 207, or Rs 52.69 crore per acre. The next highest bid for the site was Rs 1, 17,000/sqm by DLF and the third highest, Rs 80,000, by Omaxe. Ansal Properties and Infrastructure was earlier disqualified in the technical bid. According to a Noida authority spokesman, the permitted floor area ratio for development of the site will only be two. Only an area of 8.2 million sq ft will be allowed to develop. At this rate, the per sq ft construction right has cost BPTP a whopping Rs 6,100.
The astronomical amount paid for the site is a clear indication that, in terms of sentiment, there is no downturn in the real estate sector It also points to Noida emerging as an alternative to Delhi and Gurgaon for office space. At present, office rentals in Delhi’s high class areas range between Rs 200 to Rs 350 per sq ft. In Gurgaon, it varies between Rs 80 and Rs 120 per sq ft. As against this, rentals in Noida are in the range of 40-60 per sq ft. This has made Noida an attractive destination for commercial space in NCR. In the previous biggest land deal in Noida, Unitech had walked off with an approximately 340-avre residential plot for Rs 1,582.83 crore.
NOIDA SITE IS STRATEGICALLY LOCATED
Noida: the proposed commercial complex in Noida Sector 94, which attracted mind-boggling Rs 5,006 crore, is strategically located close to Delhi. It will be around 16 km from Connaught Place and around 10 km from south Delhi via the DND flyover.
According to Kabul Chawla, chief of Business Parks and Town Planners {BPTP}, a company which has considerable real estate interests in Faridabad, Gurgaon and Hyderabad, “We will ensure that this become the country’s most prestigious commercial complex. And, we are already in touch with planners and consultants like Norman Foster, for hotels, commercial complexes and financial hubs.”
Courtesy: TOI dtd 12-3-08
Tuesday, March 11, 2008
Saltlec land at new high: Rs 33.33 cr per acre
Kolkata: LAND rates for big ticket IT ventures have scaled a new peak in Kolkata’s Tech town, Salt Lake. In one of the biggest city property deals in recent times, a consortium of South City Projects and Merlin Group has shelled out a whopping Rs 143 crore to KMDA to acquire a prized 4.3-acre plot in the Salt Lake Electronic Complex (Saltec) to develop an IT logistics center. This pegs the deal size at an unprecedented Rs 33.33 crore per acre. Government sources confirmed that it’s the highest payout for project land in north 24 Parganas,which is a reflection of booming reality prices for IT projects.
The South City-Merlin deal supersedes the Rs 27-crore per acre shelled out by DLF Hilton for its city hotels. And it is merely a shade below the Rs 33.81-crore per acre that Dubai-based Emaar MGF forked out for a 6.24-acre-plot on the EM bypass to set up premium hotels.
Visit www.zameen-zaidad.com
Courtesy: ET March 9, 2008
The South City-Merlin deal supersedes the Rs 27-crore per acre shelled out by DLF Hilton for its city hotels. And it is merely a shade below the Rs 33.81-crore per acre that Dubai-based Emaar MGF forked out for a 6.24-acre-plot on the EM bypass to set up premium hotels.
Visit www.zameen-zaidad.com
Courtesy: ET March 9, 2008
Saltlec land at new high: Rs 33.33 cr per acre
Kolkata: LAND rates for big ticket IT ventures have scaled a new peak in Kolkata’s Tech town, Salt Lake. In one of the biggest city property deals in recent times, a consortium of South City Projects and Merlin Group has shelled out a whopping Rs 143 crore to KMDA to acquire a prized 4.3-acre plot in the Salt Lake Electronic Complex (Saltec) to develop an IT logistics center. This pegs the deal size at an unprecedented Rs 33.33 crore per acre. Government sources confirmed that it’s the highest payout for project land in north 24 Parganas,which is a reflection of booming reality prices for IT projects.
The South City-Merlin deal supersedes the Rs 27-crore per acre shelled out by DLF Hilton for its city hotels. And it is merely a shade below the Rs 33.81-crore per acre that Dubai-based Emaar MGF forked out for a 6.24-acre-plot on the EM bypass to set up premium hotels.
Visit www.zameen-zaidad.com
Courtesy: ET March 9, 2008
The South City-Merlin deal supersedes the Rs 27-crore per acre shelled out by DLF Hilton for its city hotels. And it is merely a shade below the Rs 33.81-crore per acre that Dubai-based Emaar MGF forked out for a 6.24-acre-plot on the EM bypass to set up premium hotels.
Visit www.zameen-zaidad.com
Courtesy: ET March 9, 2008
Sobha to start work on villas project
Reality major Sobha Developer (SDL) will commence construction of its first presidential villas project –Sobha Lifestyle-at Devanahalli in Banglore with an investment of around Rs 260 crore over to years. SDL has partnered with Banglore-based reality firm Renaissance Holdings, which owns the land parcel, for the project.
Currently, SDL has about 12 million sq ft under construction projects across the country -95% of which is in the residential space. “The next fiscal (2008-09) will see the company start a host of project across segments to develop an additional 12 million sq ft. The cumulative investment into these projects is estimated at over Rs 2000 crore,” said Sobha Developers managing directors J C Sharma. At present, the cost of development stands at Rs 1,700 per sq ft, he added. Of the 12-milion sq ft, 4million sq ft will be in the commercial, hospitality and retail spaces and 8 million sq ft in residential development. The company will begin work on the 3-million sq ft Sobha Global Mall in Banglore (Minerva Mills property) and a 4-lakh sq ft Mall in Mysore apart from two hotel projects in Banglore. All projects, according to Mr Sharma,will be funded through a mix of pre-sales, debt and internal accruals.
Visit www.zameen-zaidad.com
Courtesy: ET March 9, 2008
Currently, SDL has about 12 million sq ft under construction projects across the country -95% of which is in the residential space. “The next fiscal (2008-09) will see the company start a host of project across segments to develop an additional 12 million sq ft. The cumulative investment into these projects is estimated at over Rs 2000 crore,” said Sobha Developers managing directors J C Sharma. At present, the cost of development stands at Rs 1,700 per sq ft, he added. Of the 12-milion sq ft, 4million sq ft will be in the commercial, hospitality and retail spaces and 8 million sq ft in residential development. The company will begin work on the 3-million sq ft Sobha Global Mall in Banglore (Minerva Mills property) and a 4-lakh sq ft Mall in Mysore apart from two hotel projects in Banglore. All projects, according to Mr Sharma,will be funded through a mix of pre-sales, debt and internal accruals.
Visit www.zameen-zaidad.com
Courtesy: ET March 9, 2008
Sobha to start work on villas project
Reality major Sobha Developer (SDL) will commence construction of its first presidential villas project –Sobha Lifestyle-at Devanahalli in Banglore with an investment of around Rs 260 crore over to years. SDL has partnered with Banglore-based reality firm Renaissance Holdings, which owns the land parcel, for the project.
Currently, SDL has about 12 million sq ft under construction projects across the country -95% of which is in the residential space. “The next fiscal (2008-09) will see the company start a host of project across segments to develop an additional 12 million sq ft. The cumulative investment into these projects is estimated at over Rs 2000 crore,” said Sobha Developers managing directors J C Sharma. At present, the cost of development stands at Rs 1,700 per sq ft, he added. Of the 12-milion sq ft, 4million sq ft will be in the commercial, hospitality and retail spaces and 8 million sq ft in residential development. The company will begin work on the 3-million sq ft Sobha Global Mall in Banglore (Minerva Mills property) and a 4-lakh sq ft Mall in Mysore apart from two hotel projects in Banglore. All projects, according to Mr Sharma,will be funded through a mix of pre-sales, debt and internal accruals.
Courtesy: ET March 9, 2008
Currently, SDL has about 12 million sq ft under construction projects across the country -95% of which is in the residential space. “The next fiscal (2008-09) will see the company start a host of project across segments to develop an additional 12 million sq ft. The cumulative investment into these projects is estimated at over Rs 2000 crore,” said Sobha Developers managing directors J C Sharma. At present, the cost of development stands at Rs 1,700 per sq ft, he added. Of the 12-milion sq ft, 4million sq ft will be in the commercial, hospitality and retail spaces and 8 million sq ft in residential development. The company will begin work on the 3-million sq ft Sobha Global Mall in Banglore (Minerva Mills property) and a 4-lakh sq ft Mall in Mysore apart from two hotel projects in Banglore. All projects, according to Mr Sharma,will be funded through a mix of pre-sales, debt and internal accruals.
Courtesy: ET March 9, 2008
Monday, March 10, 2008
REALTY COS JOIN THE RUN OF LUXURY MALLS
After DLF and UB, Parsavnath, Ansal , APL and MBD Group are firming up plans for niche luxury malls in metro. Real estate players are tired of being mall rats. So, it's luxury malls that are now hogging the limelight. After DLF and UB Group's foray into the luxury retail segment, other players such as Parsvnath, Ansal API and MBD Group are firming up plans for niche luxury malls in metro cities. Besides housing top-of-the line luxury brands such as Armani, Mont Blanc, Gucci, Ferragamo, Jimmy Coho and Louis Vuitton, the malls will also have features such as amphitheatres, opera shows, in-shop dining and rooftop helipads to attract the umber-rich.
Real estate major Parsvnath Developers plans to build luxury malls in the top metro cities. Parsvnath chairman Pradeep Jain confirmed the development to ET. "We will announce plans this financial year and are looking only at metros. There is a pressing need for luxury malls in capital cities and their demand is huge. Moreover, luxury retailers are also keen to enter India through a tie-up. The timing is just right for luxury malls in India." Agrees Kunal Banerji, president, marketing, Ansal API, "We do have luxury malls on our agenda. With the burgeoning economy, it is quite clear that such niche malls do have a strong market in India. We have already announced a project in Greater Noida and eventually we will look at markets like Mumbai and Delhi as well."
Earlier, five-star hotels were home to luxury brands, both hospitality and luxury brands are now moving to mall. MBD Group is coming up with a luxury mall, Zephyr, which will also have a 450-room luxury hotel in Bangalore. Some of the key features of the mall will be wine cellars, art auctions, fashion previews, opera, in-shop dining (a la in-room dining concept of five-star hotels) and outdoor theatre. The mall will be operational by the end of 2010. The group is also looking at developing luxury malls in Hyderabad, Chennai, Delhi and Mumbai. "The long-term success of luxury malls will depend on the kind of pre and post shopping experience that they provide and not just on luxury brands that they house," says Sonica Malhotra, executive director, MBD Group. The mall will have luxury automobile players such as Porsche, Rolls Royce and Lamborghini.
According to industry estimates, for a standard mall, the cost of construction is around Rs 2,200 and that of interiors is Rs 1,200-1500 per square foot. On the other hand, for a luxury mall the cost of construction is Rs 2,800 per square foot and that of interiors Rs 3,500 per sq ft, almost double of a standard mall.
India's largest real estate developer DLF, which rolled out its plans of luxury mall, Emporia, almost two-and-a-half year's back, is bullish about the luxury retail market in India. "Luxury brands have good potential in India. The product has to be one that offers a mix reflective of class, economic status and ambience. We will be looking at metros and super metros in the near future to build more such luxury one-stop destinations with the best names in the market," asserts Rajeev Talwar, group executive director, DLF. UB Group's luxury mall, The Collection, located in UB city in Bangalore, is scheduled to start operations this year. It will house brands such as Louis Vuitton, Salvatore Ferragamo, Canali, Rolex, Omega, Dunhill, Mont Blanc, Zegna, Gucci and Kimaya.
Courtesy: ET March 7, 2008
Real estate major Parsvnath Developers plans to build luxury malls in the top metro cities. Parsvnath chairman Pradeep Jain confirmed the development to ET. "We will announce plans this financial year and are looking only at metros. There is a pressing need for luxury malls in capital cities and their demand is huge. Moreover, luxury retailers are also keen to enter India through a tie-up. The timing is just right for luxury malls in India." Agrees Kunal Banerji, president, marketing, Ansal API, "We do have luxury malls on our agenda. With the burgeoning economy, it is quite clear that such niche malls do have a strong market in India. We have already announced a project in Greater Noida and eventually we will look at markets like Mumbai and Delhi as well."
Earlier, five-star hotels were home to luxury brands, both hospitality and luxury brands are now moving to mall. MBD Group is coming up with a luxury mall, Zephyr, which will also have a 450-room luxury hotel in Bangalore. Some of the key features of the mall will be wine cellars, art auctions, fashion previews, opera, in-shop dining (a la in-room dining concept of five-star hotels) and outdoor theatre. The mall will be operational by the end of 2010. The group is also looking at developing luxury malls in Hyderabad, Chennai, Delhi and Mumbai. "The long-term success of luxury malls will depend on the kind of pre and post shopping experience that they provide and not just on luxury brands that they house," says Sonica Malhotra, executive director, MBD Group. The mall will have luxury automobile players such as Porsche, Rolls Royce and Lamborghini.
According to industry estimates, for a standard mall, the cost of construction is around Rs 2,200 and that of interiors is Rs 1,200-1500 per square foot. On the other hand, for a luxury mall the cost of construction is Rs 2,800 per square foot and that of interiors Rs 3,500 per sq ft, almost double of a standard mall.
India's largest real estate developer DLF, which rolled out its plans of luxury mall, Emporia, almost two-and-a-half year's back, is bullish about the luxury retail market in India. "Luxury brands have good potential in India. The product has to be one that offers a mix reflective of class, economic status and ambience. We will be looking at metros and super metros in the near future to build more such luxury one-stop destinations with the best names in the market," asserts Rajeev Talwar, group executive director, DLF. UB Group's luxury mall, The Collection, located in UB city in Bangalore, is scheduled to start operations this year. It will house brands such as Louis Vuitton, Salvatore Ferragamo, Canali, Rolex, Omega, Dunhill, Mont Blanc, Zegna, Gucci and Kimaya.
Courtesy: ET March 7, 2008
REALTY COS JOIN THE RUN OF LUXURY MALLS
After DLF and UB, Parsavnath, Ansal , APL and MBD Group are firming up plans for niche luxury malls in metro. Real estate players are tired of being mall rats. So, it's luxury malls that are now hogging the limelight. After DLF and UB Group's foray into the luxury retail segment, other players such as Parsvnath, Ansal API and MBD Group are firming up plans for niche luxury malls in metro cities. Besides housing top-of-the line luxury brands such as Armani, Mont Blanc, Gucci, Ferragamo, Jimmy Coho and Louis Vuitton, the malls will also have features such as amphitheatres, opera shows, in-shop dining and rooftop helipads to attract the umber-rich.
Real estate major Parsvnath Developers plans to build luxury malls in the top metro cities. Parsvnath chairman Pradeep Jain confirmed the development to ET. "We will announce plans this financial year and are looking only at metros. There is a pressing need for luxury malls in capital cities and their demand is huge. Moreover, luxury retailers are also keen to enter India through a tie-up. The timing is just right for luxury malls in India." Agrees Kunal Banerji, president, marketing, Ansal API, "We do have luxury malls on our agenda. With the burgeoning economy, it is quite clear that such niche malls do have a strong market in India. We have already announced a project in Greater Noida and eventually we will look at markets like Mumbai and Delhi as well."
Earlier, five-star hotels were home to luxury brands, both hospitality and luxury brands are now moving to mall. MBD Group is coming up with a luxury mall, Zephyr, which will also have a 450-room luxury hotel in Bangalore. Some of the key features of the mall will be wine cellars, art auctions, fashion previews, opera, in-shop dining (a la in-room dining concept of five-star hotels) and outdoor theatre. The mall will be operational by the end of 2010. The group is also looking at developing luxury malls in Hyderabad, Chennai, Delhi and Mumbai. "The long-term success of luxury malls will depend on the kind of pre and post shopping experience that they provide and not just on luxury brands that they house," says Sonica Malhotra, executive director, MBD Group. The mall will have luxury automobile players such as Porsche, Rolls Royce and Lamborghini.
According to industry estimates, for a standard mall, the cost of construction is around Rs 2,200 and that of interiors is Rs 1,200-1500 per square foot. On the other hand, for a luxury mall the cost of construction is Rs 2,800 per square foot and that of interiors Rs 3,500 per sq ft, almost double of a standard mall.
India's largest real estate developer DLF, which rolled out its plans of luxury mall, Emporia, almost two-and-a-half year's back, is bullish about the luxury retail market in India. "Luxury brands have good potential in India. The product has to be one that offers a mix reflective of class, economic status and ambience. We will be looking at metros and super metros in the near future to build more such luxury one-stop destinations with the best names in the market," asserts Rajeev Talwar, group executive director, DLF. UB Group's luxury mall, The Collection, located in UB city in Bangalore, is scheduled to start operations this year. It will house brands such as Louis Vuitton, Salvatore Ferragamo, Canali, Rolex, Omega, Dunhill, Mont Blanc, Zegna, Gucci and Kimaya.
Courtesy: ET March 7, 2008
Real estate major Parsvnath Developers plans to build luxury malls in the top metro cities. Parsvnath chairman Pradeep Jain confirmed the development to ET. "We will announce plans this financial year and are looking only at metros. There is a pressing need for luxury malls in capital cities and their demand is huge. Moreover, luxury retailers are also keen to enter India through a tie-up. The timing is just right for luxury malls in India." Agrees Kunal Banerji, president, marketing, Ansal API, "We do have luxury malls on our agenda. With the burgeoning economy, it is quite clear that such niche malls do have a strong market in India. We have already announced a project in Greater Noida and eventually we will look at markets like Mumbai and Delhi as well."
Earlier, five-star hotels were home to luxury brands, both hospitality and luxury brands are now moving to mall. MBD Group is coming up with a luxury mall, Zephyr, which will also have a 450-room luxury hotel in Bangalore. Some of the key features of the mall will be wine cellars, art auctions, fashion previews, opera, in-shop dining (a la in-room dining concept of five-star hotels) and outdoor theatre. The mall will be operational by the end of 2010. The group is also looking at developing luxury malls in Hyderabad, Chennai, Delhi and Mumbai. "The long-term success of luxury malls will depend on the kind of pre and post shopping experience that they provide and not just on luxury brands that they house," says Sonica Malhotra, executive director, MBD Group. The mall will have luxury automobile players such as Porsche, Rolls Royce and Lamborghini.
According to industry estimates, for a standard mall, the cost of construction is around Rs 2,200 and that of interiors is Rs 1,200-1500 per square foot. On the other hand, for a luxury mall the cost of construction is Rs 2,800 per square foot and that of interiors Rs 3,500 per sq ft, almost double of a standard mall.
India's largest real estate developer DLF, which rolled out its plans of luxury mall, Emporia, almost two-and-a-half year's back, is bullish about the luxury retail market in India. "Luxury brands have good potential in India. The product has to be one that offers a mix reflective of class, economic status and ambience. We will be looking at metros and super metros in the near future to build more such luxury one-stop destinations with the best names in the market," asserts Rajeev Talwar, group executive director, DLF. UB Group's luxury mall, The Collection, located in UB city in Bangalore, is scheduled to start operations this year. It will house brands such as Louis Vuitton, Salvatore Ferragamo, Canali, Rolex, Omega, Dunhill, Mont Blanc, Zegna, Gucci and Kimaya.
Courtesy: ET March 7, 2008
Sunday, March 9, 2008
THERE’S NO REAL ESTATE BUBBLE HERE
HOMES ARE 3 TIMES MORE AFFORDABLE TODAY THAN THEY WERE 10 YEARS AGO: HDFC’S MISTRY.
The absence of exotic, complex home loans have helped stave off a sub prime like crisis in India, according to HDFC managing director Keki Mistry.
“There are several reasons why India has been shielded from the sub prime crisis. Indian borrowers are typically debtaverse and cautious, simple plain vanilla home loans are offered and not exotic complex products, the loan-to-value ratios are conservative, the securitisation and structured product market is still in a nascent stage and the central bank has been vigilant and has taken pre-emptive measures to prevent asset bubbles,” said Mr Mistry, in his speech at the Corenet Global Summit this week.
Quality of mortgage assets worldwide has come into focus, following the sub prime crisis in the US. In India, home loans have been growing at over 30% for 3-4 years on the back of increase in the number of borrowers and a sharp rise in property values. In the US, the sub prime crisis was triggered by aggressive lenders, extending uniquely structure loans where repayments were backended against equated monthly installments (EMIs) in India.
Moreover, loans were provided to even those without adequate income against the security of the property. These loans turned bad when the borrowers could not repay and the property values fell. Mr Mistry pointed out that although the housing shortage indicated that owning their home was beyond the reach of many, affordability had increased three-fold in the last 10 years.
“Compared to, say, about 10 years ago, where it took close to 15 times one’s annual income to buy a home in a Mumbai suburb, today this ratio has come down to 4.9 times. But the key reason why affordability has improved is due to a substantial rise in incomes, as job opportunities have increased manifold. Other factors that have contributed to increased affordability are relatively stable and moderate interest rates and tax incentives.” He added that as a result of rising incomes today, the average age of a person availing a housing loan is in the mid-30s. Despite a healthy supply of residential accommodation, especially in tier-II cities, the strong demand has ensured a healthy price appreciation across the country, said Mr Mistry.
He added that some areas that saw an extraordinary run-up in prices include places like Gurgaon, Noida and Whitefield in Bangalore. Parts of Pune and Mumbai have seen a correction recently. “The important thing about the residential real estate sector in India is that most of the end users are genuine. In fact, most are first time home buyers. Today, I believe speculators in the residential markets are not prominent,” he said.
Courtesy-: ET 7 March, 2008
The absence of exotic, complex home loans have helped stave off a sub prime like crisis in India, according to HDFC managing director Keki Mistry.
“There are several reasons why India has been shielded from the sub prime crisis. Indian borrowers are typically debtaverse and cautious, simple plain vanilla home loans are offered and not exotic complex products, the loan-to-value ratios are conservative, the securitisation and structured product market is still in a nascent stage and the central bank has been vigilant and has taken pre-emptive measures to prevent asset bubbles,” said Mr Mistry, in his speech at the Corenet Global Summit this week.
Quality of mortgage assets worldwide has come into focus, following the sub prime crisis in the US. In India, home loans have been growing at over 30% for 3-4 years on the back of increase in the number of borrowers and a sharp rise in property values. In the US, the sub prime crisis was triggered by aggressive lenders, extending uniquely structure loans where repayments were backended against equated monthly installments (EMIs) in India.
Moreover, loans were provided to even those without adequate income against the security of the property. These loans turned bad when the borrowers could not repay and the property values fell. Mr Mistry pointed out that although the housing shortage indicated that owning their home was beyond the reach of many, affordability had increased three-fold in the last 10 years.
“Compared to, say, about 10 years ago, where it took close to 15 times one’s annual income to buy a home in a Mumbai suburb, today this ratio has come down to 4.9 times. But the key reason why affordability has improved is due to a substantial rise in incomes, as job opportunities have increased manifold. Other factors that have contributed to increased affordability are relatively stable and moderate interest rates and tax incentives.” He added that as a result of rising incomes today, the average age of a person availing a housing loan is in the mid-30s. Despite a healthy supply of residential accommodation, especially in tier-II cities, the strong demand has ensured a healthy price appreciation across the country, said Mr Mistry.
He added that some areas that saw an extraordinary run-up in prices include places like Gurgaon, Noida and Whitefield in Bangalore. Parts of Pune and Mumbai have seen a correction recently. “The important thing about the residential real estate sector in India is that most of the end users are genuine. In fact, most are first time home buyers. Today, I believe speculators in the residential markets are not prominent,” he said.
Courtesy-: ET 7 March, 2008
Saturday, March 8, 2008
G NOIDA MAY GET 1ST FINANCE PARK
Knowledge parks, software parks & SEZs are now passé, as the Greater Noida Industrial Development Authority (GNIDA) now plans to develop, what will probably be the country's first Financial Park. To be spread over an area of 100 acre, the park apart from housing companies from financial services sector (insurance, banking, brokerage, asset management, consulting) will also boast of a stock exchange at a later stage.
"The initiative is part of developing Greater Noida as a future city. We have asked in-house consultants to prepare a project report. The report has already been documented and sent to the authority. It is expected to be formalized within a period of one month," GNIDA chairman Lalit Srivastava told ET.
The GNIDA intends to earmark over Rs 50 crore for land development purpose. "Currently, we are in the process of inviting all financial companies and regulators. The land will be allocated to the interested parties through a biding process," disclosed Mr Srivastava.
Further, a confessionals rate is expected to be offered by the GNIDA for development
and creation of required facilities at the proposed site. "This is so because each financial firm will require a different set up specific to their needs," he explained.
Though the GNIDA hasn't finalised the location, Mr Srivastava said that it will be somewhere Saurabh Deb enroots the planned road that will connect sector-62 with Greater Noida. "We are constructing a 130 meter road which will connect it to the proposed site," he said. As far as the exchange is concerned, Mr Srivastava clarified that it could depend upon the regulator; however, a small & medium enterprise exchange cannot be ruled out. The initiative to develop a financial hub at Greater Noida is yet another attempt of GNIDA to be at par with the best cities in the world. The GNIDA already follows an Ecotech concept, as part of which only zero pollution industries are allowed to set up office in the city. Companies such as Honda Sale, LG, Pepsi, Denso India, Yamaha, Moser Baer and Videocon already have a presence in the city.
http://www.zameen-zaidad.com
Courtesy Friday 7th March E.T, 2008
"The initiative is part of developing Greater Noida as a future city. We have asked in-house consultants to prepare a project report. The report has already been documented and sent to the authority. It is expected to be formalized within a period of one month," GNIDA chairman Lalit Srivastava told ET.
The GNIDA intends to earmark over Rs 50 crore for land development purpose. "Currently, we are in the process of inviting all financial companies and regulators. The land will be allocated to the interested parties through a biding process," disclosed Mr Srivastava.
Further, a confessionals rate is expected to be offered by the GNIDA for development
and creation of required facilities at the proposed site. "This is so because each financial firm will require a different set up specific to their needs," he explained.
Though the GNIDA hasn't finalised the location, Mr Srivastava said that it will be somewhere Saurabh Deb enroots the planned road that will connect sector-62 with Greater Noida. "We are constructing a 130 meter road which will connect it to the proposed site," he said. As far as the exchange is concerned, Mr Srivastava clarified that it could depend upon the regulator; however, a small & medium enterprise exchange cannot be ruled out. The initiative to develop a financial hub at Greater Noida is yet another attempt of GNIDA to be at par with the best cities in the world. The GNIDA already follows an Ecotech concept, as part of which only zero pollution industries are allowed to set up office in the city. Companies such as Honda Sale, LG, Pepsi, Denso India, Yamaha, Moser Baer and Videocon already have a presence in the city.
http://www.zameen-zaidad.com
Courtesy Friday 7th March E.T, 2008
G NOIDA MAY GET 1ST FINANCE PARK
Knowledge parks, software parks & SEZs are now passé, as the Greater Noida Industrial Development Authority (GNIDA) now plans to develop, what will probably be the country's first Financial Park. To be spread over an area of 100 acre, the park apart from housing companies from financial services sector (insurance, banking, brokerage, asset management, consulting) will also boast of a stock exchange at a later stage.
"The initiative is part of developing Greater Noida as a future city. We have asked in-house consultants to prepare a project report. The report has already been documented and sent to the authority. It is expected to be formalized within a period of one month," GNIDA chairman Lalit Srivastava told ET.
The GNIDA intends to earmark over Rs 50 crore for land development purpose. "Currently, we are in the process of inviting all financial companies and regulators. The land will be allocated to the interested parties through a biding process," disclosed Mr Srivastava.
Further, a confessionals rate is expected to be offered by the GNIDA for development
and creation of required facilities at the proposed site. "This is so because each financial firm will require a different set up specific to their needs," he explained.
Though the GNIDA hasn't finalised the location, Mr Srivastava said that it will be somewhere Saurabh Deb enroots the planned road that will connect sector-62 with Greater Noida. "We are constructing a 130 meter road which will connect it to the proposed site," he said. As far as the exchange is concerned, Mr Srivastava clarified that it could depend upon the regulator; however, a small & medium enterprise exchange cannot be ruled out. The initiative to develop a financial hub at Greater Noida is yet another attempt of GNIDA to be at par with the best cities in the world. The GNIDA already follows an Ecotech concept, as part of which only zero pollution industries are allowed to set up office in the city. Companies such as Honda Sale, LG, Pepsi, Denso India, Yamaha, Moser Baer and Videocon already have a presence in the city.
http://www.zameen-zaidad.com
Courtesy Friday 7th March E.T, 2008
"The initiative is part of developing Greater Noida as a future city. We have asked in-house consultants to prepare a project report. The report has already been documented and sent to the authority. It is expected to be formalized within a period of one month," GNIDA chairman Lalit Srivastava told ET.
The GNIDA intends to earmark over Rs 50 crore for land development purpose. "Currently, we are in the process of inviting all financial companies and regulators. The land will be allocated to the interested parties through a biding process," disclosed Mr Srivastava.
Further, a confessionals rate is expected to be offered by the GNIDA for development
and creation of required facilities at the proposed site. "This is so because each financial firm will require a different set up specific to their needs," he explained.
Though the GNIDA hasn't finalised the location, Mr Srivastava said that it will be somewhere Saurabh Deb enroots the planned road that will connect sector-62 with Greater Noida. "We are constructing a 130 meter road which will connect it to the proposed site," he said. As far as the exchange is concerned, Mr Srivastava clarified that it could depend upon the regulator; however, a small & medium enterprise exchange cannot be ruled out. The initiative to develop a financial hub at Greater Noida is yet another attempt of GNIDA to be at par with the best cities in the world. The GNIDA already follows an Ecotech concept, as part of which only zero pollution industries are allowed to set up office in the city. Companies such as Honda Sale, LG, Pepsi, Denso India, Yamaha, Moser Baer and Videocon already have a presence in the city.
http://www.zameen-zaidad.com
Courtesy Friday 7th March E.T, 2008
Friday, March 7, 2008
PARSVNATH BEGINS CONSTRUCTION IN SONEPAT
Parsvnath Developers Ltd., India's leading real estate developers announced the start of construction of 'Parsvnath Preston', a high-end group housing residential project, in Sonepat, Haryana. The expected realization from the project is over Rs 500 crore in the next three years, including this financial year the project is spread over a saleable area of 2.2 million sq.ft. Pradeep Jain, Chairman, Parsvnath Developers Ltd. said, "Preston has all the amenities and facilities and will cater to the demand of buyers who are on the lookout for their dream house at an affordable price close to Delhi. Keeping in view the requirements of our esteemed customers the company has also introduced special EMI reimbursement scheme to provide substantial benefits in payment plans".
Courtesy:HT ESTATES 8 March, 2008
Courtesy:HT ESTATES 8 March, 2008
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