Parsvnath Starts A New Housing Project.

Parsvnath Developers has announced the construction of their new housing project in sonepat, Parsvnath Preston. They have predicted that this project will make a profit of Rs. 500 crore in three years. This project consists of 12oo units, out of which 500 units will be available in first phase. It has saleable area of 2.2 million square feet and it will provide housing solution with great efficiency.
Mr. Pradeep Jain, Chairman, Parsvnath Developers, said that this project has all the amenities and facilities and will definitely meet to the demand of buyers who are in search of their dream house at an affordable price in Delhi. For the convenience of customer, Parsvnath group has also introduced special EMI reimbursement scheme to provide substantial benefits in payment plans.

Singapore Realty Developer plans to tap Indian Market.

Singapore’s largest private property developer, the $4-billion Far East Organization, is keen to get a toehold in India. The Singapore conglomerate is talking to prospective Indian partners for its proposed foray in the booming realty market, especially in major metros like Delhi, Mumbai, Kolkata and Chennai.
Mr.Chia Boon Kuah, executive director, said “We are talking to partners who will complement our property development expertise. Big realty players who know the four markets don’t need a partner, but regional ones who have the land and are in the business may find partnering with us beneficial”.
But discussions are at a preliminary stage; Mr Kuah added and declined to name realtors who are in talks with them. The Singapore firm has developed a string of high-end residential and commercial properties, including the iconic Fullerton Hotel in Singapore.
It is also building Orchard Central as part of $1.6-billion makeover of Orchard Road, the city state’s throbbing shopping district. Elaborating, Mr Kuah said, “We are very interested in coming to India. Ideally, we would look at the hospitality segment and high-end service apartments. We would like to develop four star and five star hotels in India and operate them.

Jewel Of India Taking Shape.

Suncity Projects, a New Delhi-based real estate company, is branding its upcoming mega malls (typically a million sq ft plus area) as Jewel of India. The company, promoted by media baron Subhash Chandra’s younger sibling Lakshmi Goel, has identified Jaipur, Mohali, Chandigarh, Greater Noida, Indore and Bareilly as focus cities for its new mall brand. The company disclosed that more than Rs 15,000-crore will be invested over the next two-five years to develop these properties.

Mr. Ankit Goel, Projects director, Suncity, told, “Through this initiative, we plan to create a niche brand identity for Suncity malls.” With over 400 new malls slated to open in the next two-three years, differentiation is becoming the key, not just to attract shoppers but tenants too.

Apart from size, another unique feature of Jewel of India would be exclusive space for ethnic products, much on the lines of government-run Delhi Haat. Mr Goel added “It will provide a traditional flavor to the malls. We strongly believe that these products symbolize the true essence and culture of our society”. However, Mr Goel denied that they have similar plans for their existing, smaller Suncity malls.

Currently, the company has three shopping malls — Cross River, North Square & Vasant Sqaure — in Delhi, which are all spread over less than a million sq ft. Suncity Projects, a consortium of the Essel Group, Action Group and Odeon Builders, intends to tap the capital markets though an initial public offering in the second half of 2009.

DE Shaw to invest $250 million in HDIL Group Company.

Real estate firm Housing Development & Infrastructure (HDIL) on Wednesday said the private equity firm DE Shaw is investing $250 million in Mack Star Marketing, an HDIL group company.
Mack Star Marketing holds development rights for a 54,000-metre commercial complex being constructed in Andheri. Last week, HDIL had transferred its development rights to this complex to Mack Star for Rs 900 crore.
DE Shaw’s investment is in the form of equity and debt. HDIL managing director Sarang Wadhawan said DE Shaw will hold a minority stake, but declined to give details.
The investment comes at a turbulent time for India’s capital and real estate markets. The steep meltdown in January and the withdrawal of Emaar MGF’s IPO in February rattled real estate firms who rely on equity to fund their expansion projects.
PE money, which was always sought after, has become attractive now, but funds are being very selective and managements are also being forced to offer realistic valuations.
PE investment in the real estate sector is down 25-30% in the past year on a volume basis, a leading consultant said on Wednesday. Investment bankers said the real estate and private equity funds are very selective and all funds are now scouting for most viable projects.
Mr Wadhawan said, “Compared to other cities, the real estate story in Mumbai is different as the demand supply mismatch in the financial capital is very huge. Real estate funds and PE are happy to associate with real estate projects in Mumbai”. HDIL shares rose 2.3% to Rs 855.70 on BSE
on Wednesday.
HDIL had entered into a sale of development agreement with respect to its project named Kaledonia at Sahar Road, Andheri (East) with Mack Star Marketing for a consideration of Rs 900 crore.
HDIL, one of the leading real estate developers with operations in the Mumbai Metropolitan Region, is a part of the Wadhawan Group which has been involved in real estate development for almost three decades.
The company recently bagged the slum rehabilitation project of MIAL that aims at rehabilitating slums in and around Mumbai airport spread over an area of 276 acres.
The company has also been short listed by the state government for bidding for the prestigious Dharavi Slum Rehabilitation Project. The company is also in the process of executing commercial, residential, and retail projects across the country.

Dubai Properties displayed at Mumbai Extravaganza aiming Indian Investor

Foremost master real estate developer Dubai Properties has participated at the premium luxury show ‘Mumbai Extravaganza 2008’ in Mumbai, India to showcase its most recent portfolio of realty developments including the latest to be announced ‘Mudon’ project, to an elite audience of high net worth visitors and top tier conglomerates.
Mohamed Binbrek, CEO, Dubai Properties, said, “Mumbai Extravaganza gave us an opportunity to present investors with instant information on the latest developments from Dubai Properties, as well as introduce our latest project launches to a new market. Indian nationals are amongst the top investors within the booming real estate market in Dubai”.
In 2007, Indian Nationals spent Dh4 billion on real estate in Dubai and over the past 10 years, they have spent a total of Dh6.5 Billion on the Dubai property sector. While the greater part of these buyers were Indians living within the UAE, 10% of them were living in India or otherwise, proving the existence of a substantial demand for Dubai real estate from outside the UAE.

Indiabulls Real Estate buys entire stakes in UK unit.

MUMBAI – Indiabulls Real Estate Ltd said on Thursday its board had approved acquiring the entire stakes in Dev Property Development Plc in a 138- million-pound sterling (10.9 billion rupees) share-swap deal.
Dev, which listed on London’s junior stock exchange in 2007, is promoted by the Indian property developer and holds stakes in several of Indiabulls projects in India.
Indiabulls Real Estate will issue their own shares to Dev’s investors, which include Farallon Capital, Fidelity, Govt of Singapore and Citigroup.Dev shares closed on Wednesday at 75.50 pence, valuing the firm at around 120 million pounds sterling.Several Indian developers, keen to expand in a booming urban real estate market, have raised funds from London’s AIM exchange in the past two years. These include Mumbai-based developers such as the Rahejas and Hiranandani group.

Budget wishlist permits REIT companies to list on stock exchange.

New Delhi: Real estate companies are feeling the need to pitch in as competing investment avenues. As a result, the tax structure for Real Estate Investment Trusts (REITs) could be similar to that of equity-based mutual funds which are registered under the Indian Trust Act, 1882.
REIT has to operate as a trust that owns and operates income-generating real estate assets such as shopping centres, hotels and offices.
This will allow small investors to participate in real estate and generate income for shareholders through lease rentals and property appreciation, which is a global practice.
Further, these trusts would be permitted to deduct dividends paid to shareholders from their corporate taxable income.
REITs are expected to be exempt from tax keeping the stockholders paying dividend distribution tax.
REITs would be a huge success in India with the market comprising listed Indian real estate companies estimated to touch the Five billion dollar mark in the next 4 to 5 years, REITs offer a tremendous opportunity.

Property Boom Continues In India.

Market experts are visualising a high growth in Indian real estate value. It is expected to rise from US $12 billion to $90 billion by the year 2015.
 Martin Bowen, Sales Director, Profile Europe (UK) Ltd, expressed his views, “The residential property market is experiencing exponential growth right across India, but especially in urban areas and those close to the government’s new specialized industrial zones”. Further he added, “Recent figures cited by the Bank of Baroda’s Chief Economist show properties have appreciated by as much as 60% to 100% over the last 12 months in most towns.” Bowen further expressed his views and said that there is a loss of some 20 million units. The main reason behind this is, about 55% of Indian population being under the age of 25 and the fact that the economy is booming. Other reason behind it is growing middle class who is looking for quality accommodation due to growing disposable incomes. Further he added that the growth in mortgage market and declining interest rates which have made property more affordable despite actual property price increases.

Realty CO Eldeco Eyes $250 mn PE Investment.

Delhi-based tier II realty player Eldeco Group is in discussions with AIG and Merrill Lynch for raising $200-250 million from a clutch of private equity (PE) investors. As part of the plan, Eldeco has already raised some funds from Xander PE. Sources said group company Eldeco Infrastructure & Properties (EIPL) was in the market for raising funds at the entity and special purpose vehicle (SPV) level for upcoming projects in Ludhiana and Jalandhar, in Punjab, and in two cities in Maharashtra. The company is also looking at raising funds through four SPVs and may be at the holding entity level as well. Mr. NK Ahuja, CFO, Eldeco, said,“We look at raising funds from time to time, but there is no need for us to comment on it”. The company denied it was holding talks with the PE firms, and that it has raised funds from Xander. The move comes after the group’s earlier plans to merge the listed entity Eldeco Housing & Industries (EHIL) with EIPL and raise funds from the capital market was abandoned, sources said. Lucknow-based EHIL is a smaller group company compared to the privately-held EIPL, which has notched up 80%, annualized growth since being incorporated in 2000. EIPL claims that it has developments worth over Rs 3,500 crore across segments. The development comes even as some analysts predicted that PE cash flow into the realty sector in some key markets could be tightening on account of oversupply concerns as well as a slowdown in off take. This includes markets like NCR, Bangalore, Chennai and Hyderabad where there is a growing concern, especially on the commercial space off take, industry observers said. However, there’s a contrary view that more PE funds are being committed to Asian markets, with the outlay for the first time bigger than what is in the pipeline for Europe in 2008. This could see fund action remaining robust in markets like India. Further, developers, which are seeking funds for developments in smaller cities, could be relatively better placed as tier II markets are expected to open up in a significant way for the realty boom.

India to have first green hotel in Hyderabad.

NEW DELHI: For the new-age green consumer and those who believe in sustainable tourism here is a good news. After eco-friendly hotels, India will have it’s first green hotel — The Park Hotel in Hyderabad. The investment in this 280-room hotel, scheduled to start operations by mid-2009, will be around Rs 350 crore, 15% higher than a regular hotel. And it might not be a good idea for smokers to book a room in the hotel as 90% of it’s area will be non-smoking.

Another Park Hotel property lined up in Pune, for which the group recently acquired 90,000 sq ft, will also be built on the lines of green buildings. “For the Hyderabad property, we will be seeking US Green Building Council’s (USGBC) certification. We will be targeting at least LEED (Leadership in Energy and Environment Design) gold rating for this hotel.

However, for the Pune project we will be only going for a LEED certificate and not gold or a platinum rating,” says Deepak Bali, V-P, projects, The Park. There will be designated smoking lounges in the property and more than 90% of the property space will be non-smoking.

There are around nine eco-friendly hotels in the country with ECOTEL certification such as Lotus Suites in Mumbai and Uppal’s Orchid in New Delhi. An eco-friendly hotel is constructed using recycled materials, whereas a green building aims at saving energy. “Though the initial cost of construction is almost 15% higher for a green hotel, we will be able to recover that through efficiency in operations. A green hotel saves 34.7% of the energy costs,” added Bali.

India has 17 green buildings and around 170 are registered with Indian Green Building Council (IGBC), awaiting LEED certification Though an exact fix is not available, globally there are very few certified green hotels such as San Francisco-based Orchard Garden Hotel. But according to IGBC’s estimates, there will be at least 100 green hotels worldwide in the next two years.

ING Unit Launches Asian Real Estate Fund In Hong Kong

HONG KONG ING Group NV’s asset management unit Monday launched a fresh Asia real estate fund in Hong Kong that invests in listed real estate securities across the region.

Most of the portfolio will be invested in real estate companies and real estate investment trusts, ING said. The fund is at first being offered only to retail investors in Hong Kong, but ING is looking into offering it in other regional markets.

Portfolio manager Justin Pica said the sector is poised to gain from continued solid economic growth in Asia. He said Asian real estate markets are less mature and therefore have greater possibility to grow.

The market capitalizations of Singapore- and Hong Kong-listed real estate companies are expected to increase by 61 percent and 46 percent, correspondingly, through 2013. Furthermore, real estate has a low correlation to equities and bonds, Pica said.
ING Investment Management currently manages more than US$2 billion in real estate portfolios in Asia.


Realty seeks tax, input price relief.

New Delhi: Real estate companies wish for taxes to be lowered and prices of construction materials controlled in the forthcoming budget.
Vipin Agarwal executive director of Omaxe Ltd states that they want tax breaks on infrastructure, which were there till last year. Infrastructure improvement is important for the improvement of the country. So they should get some encouragement in the form of tax breaks to invest in it.
Realty firms are also bothered about the towering prices of construction materials in India. Abhinandan Chatterjee, president and chief financial officer of BPTP Ltd told that the rocketing prices of steel and cement are affecting construction cost, the government should try to rationalize prices of construction materials so that the costs of developed properties remain under control and the benefit is passed on to the buyer.
Real estate firms want all incomes from rent to be exempted from income and service taxes.
“Service tax should be abolished as it is an unnecessary burden for us,” said Ashish Gupta of Aerens Goldsouk International Ltd. Developers also want a cut in lending rates in construction and housing finance. “I think interest rates on loans should be lowered substantially to make purchasing properties easier,” said Chatterjee. “The demand is low at the moment because of high interest rates,” he added.
However, interest rates are an outside-the-budget decision to be taken by banks.

Noida’s Got A New Hot Spot “Sector 119?

Sector 119 is now becoming center of attraction. Builders as well as People are also getting attracted toward this because all the major facilities are available near by sector 119. Oil Industry Development Board Office Complex is coming close by it. Various Builder groups are coming here with their projects.

A new high-rise residential project Aamantran is launched by Eldeco Infrastructure and properties limited. It is expected to be completed by 2011. Its location is strategic. It is on the vantage point of Greater Noida Road and Faridabad-Noida-Ghaziabad (150m wide) Corridor and it is easily approachable from NH 24. Golf course is only about 10-15 minutes away. The nearest Metro station is at Sector 32, just a 10 minute ride. It is likely to be completed before the scheduled time i.e. April 2008. Sector 18 market is just at 20 minute drive.

A Hugely successful and renowned infrastructure giant, IVRCL Infrastructures & Projects Ltd, has an urban development arm, that is, IVR Prime Urban Developers Ltd. They have launched their project, Scarlet, with a host of facilities.

Gaur Grandeur has also entered into Sector 119 with its home plans and with a long list of facilities. It is hardly 7 km away from proposed Metro Station at Sector 32.

Amrapali Group has presented the biggest residential project, Amrapali Platinum. It also has good connectivity. Metro-station and Fortis Hospital are about 5-7 minutes drive. Faridabad-Noida-Ghaziabad express highway is about 2-3 minutes drive. It takes 10-15 minutes to drive from Atta Market, sector 18.

So, now people have lots of choice and they can choose home of their preference according to their budget. They can compare the facilities provided by different projects and then can finalize the home of their dreams.

BJP will Advise The Government For Real Estate Regulatory Authority

NEW DELHI: The BJP will represent to Prime Minister Manmohan Singh, now the need for setting up the Real Estate Regulatory Authority, in order to prevent fly-by-night builders from cheating innocent people, who put in their lifetime earnings into their dream house project.

The Real Estate Regulatory Authority should be on lines of TRAI, SEBI and IRDA. Senior BJP leader Murli Manohar Joshi will lead the delegation of BJP investors cell that has collected 10 lakh signatures on the memorandum to be submitted to Prime Minister Manmohan Singh on Monday, on issues affecting small investors.

The BJP wants its demands to be reflected in the Union Budget to be presented on February 29. Murli Manohar Joshi said, “We appeal to the Government to protect the small investor, who is the backbone of the Indian economy.” Joshi said that the money of the small investors is not secure and they are not immune to the ups and downs of the market.

Among the other demands of the BJP restoring 80 (L) in the Income-Tax Act, in order to make savings more attractive to the people. Joshi said farmers, students, housewives and senior citizens, who are not income-tax assessees, should be exempted from the requirement of producing PAN Card for starting the Demat account.

National Security Adviser M K Narayanan had said at the 43rd Conference on Security Policy at Munich, “Isolated instances of terrorist outfits manipulating the stock markets to raise funds for their operations have been reported.

Besides, he wanted housing projects to spread to small towns and cities, in order to reduce pressure on land in metros. With metros spreading, there is mounting pressure on the agricultural land, which could hot food security. The bank loans for housing, also was on the higher side, which is hidden even by the banks.


Finding Manhattan on india’s real estate map.

The miraculous journey unfolds in a new housing development in Bangalore’s Electronic City named “Concorde Manhattans”, which sits on prime real estate across from a Wipro Technologies campus. While location is the major draw, developer Concorde Group is also betting that its American naming scheme will help attract Wipro’s globe trotting employees.

Mr. Alok Mishra, The marketing manager of company, said,“Manhattans is a brand associated with grandeur”.
Turns out naming each street and section of the gated community also was an exercise in workplace bonding. Mr. Gangadhar Gowda, company’s human resource executive, said, “We searched the Net, and everybody gave one name”.
Buyers are booking new suburban luxury flats before ground-breaking, so developers must build up several projects and have to generate names by the dozen.

Gurgaon is filled with such aspirational places. In DLF City, Phase V, residential developments such as Wellington Estate, Princeton Estate and Carleton Estate overlook a landscape that is still defined mostly by construction and open dirt fields. A handful of security guards sit at the entrance to Princeton Estate, keeping track of everyone that comes in and out. Manicured shrubs and short, pruned trees line the paved roads that lead to each of the 20-storey peach-coloured towers that, again, have their own security guards.

NH-24 Emerges As Cradle Of Housing Investment.

The National Highway-24 has emerged as the cradle of investment for housing properties due to the surge in prices of residential real estate across key UP cities – Noida, Greater Noida and Ghaziabad. In recent years, NH-24 has risen as a prime alternative for those seeking affordable homes. NH-24 has seen the establishment of settlements like Crossings Republik, Indirapuram, Ansals API Aquapolis, and Hi-Tech city.

Mr. Sanjeev Srivastava, chief executing officer (CEO), Crossings Infrastructure, says: “NH-24 absorbs the influence of Delhi and the neighbouring ‘hot township’ of Indirapuram. We landed here after realizing a logical growth potential in the area. The highway has a number of colleges. If the highway is being widened, it offers a lot of scope for inhabitants and residents of these future townships”. These townships promoted by single firms or consortium of builders say that they are offering premium facilities within reasonable range.

New Real Estate Opportunities include Hospitals, Logistics Warehousing and Airport.

The traditional real estate areas are residential, commercial, retail and integrated townships. But the future trend will not be the same. Future real estate area will include medicities, hospitals, logistics and warehousing, airport or port based business districts, mass housing and slum rehabilitation, and education infrastructure.

The healthcare sector is growing at an yearly growth rate of 16% and is projected to touch a turnover of $50.2 billion by 2011. It is expected that an investment of $77.9 billion will have to be made in order to achieve the best possible target of 1.85 beds per thousand population. Out of this $77.9, $69.7 billion is expected to come from the private sector.

Medical tourism is projected to grow into a $1.5 billion industry by 2010. Over the last five years, the number of patients visiting India for treatment has risen from 10,000 to about 1,50,000

The concept of health cities has already started in the country. The Apollo group has developed the Apollo Held City in Hyderabad, which has a 300 bed much the specialty hospital and the total built-up area of 2 lakh sq ft. Other corporate as Aditya Birla group and Reliance (ADAG) have shown interest in developing cities. Several foreign groups such as Harvard Medical International and Cleveland Clinic have also entered the country for the same.

Landlords Build Riches On EMIs.

Person owning flats in Mumbai are taken as privileged one. The owner-tenant divide is almost as pronounced as the rich-poor divide.
Mr. Shishir Baijal, managing director of Kshitij, the realty fund of Future Group, earns a big amount, but still he is a tenant. He has no home of his own. He stays in 3500 square feet flat for which he has to pay a staggering rent of Rs4 lakh a month.
His landlord has purchased a luxury juhu flat on home loan. Initially, he found EMI very scary. Today’s scenario is that he can pay his EMI, Rs. 1.5 lakh approx, from the rent he earns and along with that he is getting almost Rs. 2.5 lakh as rent.
Mr. Chetan Narain, CEO of Narains Corp and president of the India Institute of Real Estate, is not at all surprised by the steep rise in rentals. He says,“With high rise in capital values, the rental rise was only expected”. Further he added,“In premium locations like Napean Sea Road, Bandra, Juhu, Andheri and Powai, the rise has been as much as 80 to 100% from the 2006-end rentals.”
Mr. Pranay Vakil, chairman of Knight Frank global real estate consultants, says, “Rentals are always 5 to 6 per cent of the market value of the property. So, with the steep rise in property prices, it is not surprising that rentals have shot up”.

Loans to get cheaper as SBI cuts rate again.

SBI has decided to cut the home loan repayment rate. After going up for months, EMIs are set to come down. This follows a decision by four public sector banks, led by SBI, to cut their prime lending rates further by 0.25% to 0.50%. SBI’s new PLR will be 12.25%, effective from February 27. Canara Bank, Bank of India and Union Bank have all cut their PLRs to 12.75%.

People who need home loans and car loans can now bargain for a better deal. It is also expected to make the borrowing cheaper for businesses.
Industry analysts say that this move was inevitable. Over the last couple of quarters, bank lending had dropped considerably after RBI raised interest rates in an attempt to contain inflation. The credit-to-deposit ratio, which was at a high of 90%, is now 55%. With borrowers shying away, banks are flush with funds. Bankers would like to have people and businesses borrow more because that will help the economy grow.

India’s Prime Real Estate Plans $500 Million Fund.

Indian fund manager Primary Real Estate Advisors is planning to launch a fund worth as much as $500 million, probably in the second half of this year, but said it will tread carefully as the country’s property boom stutters.
Foreign investors have taken advantage of such funds to rush into property development in India since it eased rules on inward investment in the construction industry in early 2005, sparking rampant land speculation and a near quadrupling in prices.
But despite signs of a slowdown — home sales volumes have fallen by one-fifth in Mumbai and 40 % in Bangalore in the last year — the head of Primary Real Estate, Ashwin Ramesh, is convinced that North American and European investors will invest.
“We would typically underperform in a raging bull market but overperform in a flattish market.”
Ramesh expected to launch the new fund within six months to a year, and hoped to raise between $300 million and $500 million.
“At the moment there’s interest in North America and London, but we’re in touch with people all over the place,” he said, adding that he was busy expanding a team that is now investing a $32 million fund closed in mid-2007.
Primary Real Estate would aim for internal rates of return of 15 to 20 percent, Ramesh said, below the usual 20 to 25 percent often advertised by funds in Asia’s up-and-coming property markets of India, China and Vietnam.

Predicted Features Of The Budget.

The key feature of this budget is that this is the last budget to be presented by the present government before it faces the general elections next year. For that reason, it will be targeted at getting votes. This means that it could well be a populist budget with pay-off for voters in terms of lesser taxes. Another possibility is that tax rates are left unchanged for corporate, but there are a host of announcements on increased outlays to social sectors like education and health.
The major challenges that this budget also needs to address certain areas:-
(a) Inflation.
(b) The reduced speed in the GDP, mainly in the manufacturing sector.
(c) A much tougher global environment and its impact on growth through the external sector in the months ahead
(d) A rising subsidy burden, which does not fully reflect in the fiscal deficit.
As a result, on balance, the entire broking house’s expects that the key features of this budget will be as given below:
1. Reduction in direct tax rates for individuals but not for corporate Some reduction or elimination of dividend distribution tax.
2. Rationalization of excise duties, including the auto sector.
3. Rationalization of exemptions for corporate.
4. Lower customs duties for commodities to contain inflation and rationalization of inconsistencies.
5. Enhanced credit availability for the agriculture sector.
6. A sharp increase in the outlays for social sectors like health and education

So it can be expected that the sectors to be positively impacted by the budget are auto, capital goods, cement, construction, FMCG, logistics, oil and gas, metals, fertilizers and pharmaceuticals. However, it expect largely neutral for the sectors like media, telecom, information technology and the real estate.

Ahmedabad New Center of Real Estate Boom.

The real estate development in Ahmedabad has seen tremendous growth over the past two years. The property prices have shot up faster than even Delhi or Mumbai and investors are making beeline to buy them.
A. Mukhopadhyay, an NRI is looking to purchase a house in Ahmedabad. Mukhopadhyay has his roots in Kolkata but he is not paying attention on investing in property there.
According to him buying a property in Kolkata will not give return like investing in a property in Ahmedabad.
Gujrat capital Ahmedabad is moving much faster and so the cash. The land prices have more than doubled in the last couple of years, which gives details about the rush at the first ever summit of housing and real estate developers.
In the previous two years a lot of companies have opened up in the city. As a result, the demand for houses has gone up so has the price. Last year, a two-bedroom flat at a well-known location used to cost Rs 12 lakh but today it is of almost Rs 25 lakh.
Rushabh Patel, Secretary, GIHED told that the way property prices got doubled in last one year in Ahmedabad, thanks the town planning, people are buying more and more properties as these houses are bringing in not only faster return on investment but steadily,” said
A city that was earlier believed suitable for industries is now considering a real estate boom for residential purposes as well. Over the past year the property prices have shot up faster than even Delhi or Mumbai.
According to the director of Kunj Properties “they are looking for lands in remote places as customers are ready to buy there also, mostly NRIs and people coming from outside”.

Red Fort capital increases investment in Indian Real Estate.

Red Fort Capital Advisors has planned to bring in an additional $500 million in the next two years. It is a well known international private equity firm. The firm is considering upon its portfolio into growth sectors like logistics, especially the warehousing in the near term. It has $425 million real estate investment focused fund for India and plans to bring in an additional $500 million in the next two years.
Mr. Kuldip Chawlla, one of the Directors said,“We are looking at housing projects, especially affordable one’s in the top 15 cities as well as re-development projects, especially in cities like Mumbai through this fund”. Further he said that Red Fort Capital, which has already committed $250 million last year, in projects in Chennai, Bangalore and Hyderabad, sees affordable housing (apartments of 1,000 sq.ft. between Rs 10 and 25 lakhs), as a high growth segment.

India at 3rd Position in global Realty market rising.

Growing realty sector of India has attracted overseas investors and figures in the top three property markets round the world, presenting the finest prospect for capital appreciation after the US and China. In the group of the most favorite property market in between foreign investors globally, US has retained its top position, while China was ranked 2nd followed by India, a survey carried out by the Association of Foreign Investors in Real Estate (AFIRE) said. China moved to the 2nd position, garnering 21.4 % votes and displacing India in the process, which was preferred only by 16.7% of the respondents favoring the country as the most fancied place for real estate investment.
In 2006 China got 14.6 % votes while India had 18 % and was ranked in the 2nd position. One of the important findings that cannot be unnoticed is the jump in investor’s confidence in China.
AFIRE Chief Executive J A Fetgatter told that this is the 2nd time in 3 years, China has been chosen as the country offering the 2nd best chance for capital appreciation after the US. Interestingly, the United States, whose economy continues to be bogged down by the subprime crisis and faces the danger of a recession, still managed to preserve the top position in the ranking list.Among those surveyed, 26.2 % said America offered the greatest prospect for capital appreciation in the real estate sector as compared to 23 % recorded in 2006.

Housing Scheme Expands In Greater Noida.

Greater Noida Industrial Development Authority has decided to launch a new expandable housing scheme. In this proposed scheme, 5000 single-storeyed houses will be allotted. They are going to announce the scheme soon. Mr. Lalit Srivastava said,” The total plot area of each house would be 120 square meter. It will have a covered area of around 100 square meters. These would be single-floor built-up houses. Allottees will hava the right to construct one- and-a-half storeys over it as per building byelaws. Further he said, “Total cost of each housing unit is expected to be around Rs 30 lakh. Payment terms have been relaxed. Earlier cash down applications were given preference, but then the needy persons were not able avail the scheme”. 
Mr. Srivastava also said about the deferred payment schedule.
The main aim of this is to bring the end user and populate the city.
Early rate were planned lower but view the hike, land compensation, rates have also been revised accordingly.