The situation seems impossible for the property prices, especially in the metro cities, to fall downward in near future or ever. Will there be a price correction, sooner or ever?
Property prices will remain stable; despite no takers are around.
The situation in India shows that there will not be a fall of property prices, especially in the metros like Bangalore, Delhi, Mumbai or any other metros. Though everyone wishes a fall in the property prices, it is almost impossible to happen, neither in the near future nor in the longer- future.
Developers have taken loans from the banks and housing finance companies. Some of the builders have even taken loans from private equity firms which normally lend loans at 25 to 30 %. Still, builders are forced to cut down prices as many of the projects remain without any demand as buyers’ sentiment has been hurt by the sky rocketing property prices. Continue reading →
Offering opportunity to the NRIs who wish to own a home in India, HDFC Ltd presents a property fair in Muscat. The two-day property fair will take place on January 31 and February 1.
Property exhibition, presented by HDFC, will act as a plaform for the NRIs in Musket to own Indian Properties.
India’s Premier housing finance company HDFC Ltd will host a two-day property fair in Muscat, enabling the NRIs to know more about the prime properties located across India. The two-day property event, which will have properties exhibited by 32 developers of good reputation, will be held at Hotel Muscat Holiday.
Mr. JS Mukul, Indian Ambassador to Oman, will inaugurate the property event in the presence of Mr. Ajay Sachdewa, HDFC Middle East Regional Head. This property exhibition titled ‘India Homes Fair’ will be opened to the visitors from morning 10 am to evening 8 pm. Continue reading →
New York-based private equity and realty firm AIG Global has purchased 50% stake in a mall project in Hyderabad from Bangalore-centered RMZ Corp.
AIG Global to develop residential project in Hyderabad
AIG Global, a New York-based private equity and realty firm, has bought 50% stake of RMZ in their shopping mall project in Hyderabad. The mall project is a joint venture which has been stalled due to many reasons. RMZ has divested its stakes worth Rs.53 Cr in the stalled mall-cum-office project.
AIG Global plans to turn the mall project into a residential project with some additional investment. The project, spreading over 11 acres, is expected to be launched by the first quarter of next financial year. However the launch will be subject to internal approvals, an official with direct knowledge revealed.
Mr. Bamasish Paul, MD at AIG Global Real Estate India refused to comment on the issue. On the other hand, while commenting on the development Mr. Raj Menda, managing director of RMZ, said that the dispute was cordially settled down. Continue reading →
Finally, Reserve Bank of India (RBI) declared a cut in its main interest rate on Tuesday. As a result the banks will be pushed to provide home loans at lower interest rates.
Home loans will become cheaper as RBI cuts rates.
Home buyers finally heard the much-awaited good news when the Reserve Bank of India cut its main interest rate (Repo Rate) and cash reserve ratio (CRR). As the central bank cut the rates the impact will be on the subsidiary banks. They will be able to provide home loans at lower interest rates.
Home loans will become cheaper. The banks will remain capable of providing easier EMI loans (Equated Monthly Installments) to the home buyers. D Subbarao, Honorable Governor of RBI, said that the act of RBI will boost the investments. He added that the RBI rate – cut will keep inflation in a moderate level. Further, the rate cut will improve liquidity and credit flow. Continue reading →
The soaring property prices have really attracted some of the English Cricketers. They are very keen to have some investment on Indian properties.
Some English cricketers are attracted to Indian properties.
Seeing property prices soaring in India, some top English Cricketers have expressed their interest in investing in Indian properties. Reliable sources close to the English Cricket Team reveal that around five top-cricketers are interested in Indian real estate market.
Available sources reveal that they have already entered into talks with the developers regarding their property purchase. These cricketers will purchase land parcels or properties in major Indian cities like Bangalore and Mumbai. Some of them prefer to purchase properties in Goa, one of the most favorite tourist destinations in India.
While some of them prefer to own land parcels, others prefer to own apartments in partnership with the Indians. Sources told the Times of India that they have been searching for properties for a quite long while. Sources revealed that the English Cricketers have shortlisted three cities now. Continue reading →
TVS Motors, a leading auto and two-wheeler developers, has entered into the real estate business by launching their first residential project in Chennai.
TVS Motors has entered into real estate business.
TVS group, the auto-major, has stepped into the real estate business with their new residential project in Chennai. This is the first major expansion of the group since it was established nearly four decades back. Emerald Haven Realty, promoted by the auto major, has already launched a residential project in Chennai.
Their initial project- Green Hills is launched at Perungalathur in South Chennai. Each housing unit, the project has total 448 housing units, is priced between Rs.25 lakh to Rs.45 lakh. However, TVS Motor’s CMD Mr. Venu Srinivasan could not be contacted for any comment on the group’s entry into the real estate sector. Continue reading →
Pointing to the falling property prices, global property consultancy firm CBRE reports that the residential market is on the verge of a price-correction. The property consultancy firm added that the builders are pressured to cut down the prices by the weak home-sales.
Residential Market will soon experience a price correction.
Mr. Anshuman Magazine, CBRE’s chairman & MD for South Asia, pointing the fallen property prices in Mumbai and other major cities of India, said that the housing segment will soon experience a price-correction. He said that if the lower sentiment remains the same in the residential market, it can be sure that there is a bigger flow of black money.
Compared to the second – quarter prices, prices for the newly launched homes in the third quarter are down by 2 to 5% in Mumbai, reported CBRE. Substantiating their report, another property consultancy reported that the property prices in Mumbai have fallen. According to the report of Liases Foras, the prices in Mumbai have fallen by 1%. Continue reading →
Jones Lang LaSalle, global real estate consultancy firm, reported that foreign investors will invest nearly $4-5 billion in the Indian realty market. JLL added that Bangalore, Delhi and Mumbai remain the favorites of foreign investors.
Indian realty Market attracts more foreigners.
According to the real estate consultants Jones Lang LaSalle foreign investors are planning to invest around $4-5 billion in the Realty market of India. While speaking in an interview, Mr. Alastair Hughes, CEO at JLL Asia Pacific, said that the foreign investors are keen now to interest in realty market of India.
He added that Indian realty market offers better returns to the investors. He was visiting India to participate in the World Economic Forum Annual Meeting. According to him the foreign investors will invest mainly in Bangalore, Delhi and Mumbai as these cities assure higher returns to the investors. Continue reading →
NAREDCO, the National Real Estate Development Council, demanded that the housing segment should be given infrastructure status as it will enable them to gain tax benefits.
NAREDCO demands industry status for housing segment.
National Real Estate Development Council has recently demanded infrastructure status for the housing segment. The Housing ministry expressed that infrastructure status can be given to the affordable housing segment.
Favoring the real estate sector, Finance Ministry expressed its view that the realty firms should be permitted to run banks by the Reserve Bank of India (RBI).
Will RBI permit realty builders to run banks as Finance Ministry suggests?
Finance Ministry, favoring the realty sector and broking firms said that they should be permitted to run banks. The ministry said that the RBI should permit the real estate firms and broking firms to run banks. Finance Ministry was commenting on the RBI’s plan over giving new bank licenses.
Koramangala, lying in the South eastern parts of Bangalore, is expected to offer higher returns to the investors. It has become one of the most sought after residential areas in the Bangalore Metropolitan Region (BMR).
Koramangala in Bangalore has recently become a hot home -destination.
Guaranteeing higher returns to the investors, Koramangala has become one of the hotter real estate destinations in India. The large number of upcoming ultra-luxury residential projects, commercial malls and posh villas show how fast the area develops and becomes a better home- destination.
While speaking to Shweta Rao of Economic Times, Mr. Gaurav Pandey, Vice-President of PropEquity Research & Consulting, told that “having close proximity to many established commercial hubs in the Central, East and Southern regions of Bangalore, Koramangala has evolved as a premium residential market.” Continue reading →
Bangalore-centered Embassy Group has entered into talks with JP Morgan, a global financial services group, for raising a real estate fund of Rs.500 Cr.
Embassy Group will invest Rs.500 Cr in Bangalore realty along with JP Morgan.
Embassy Group has entered into talks with the global financial services group for raising a fund for real estate development. The Indian firm plans to invest the fund of Rs.500 Cr into two real estate projects in Bangalore.
Embassy Property Developments plans to develop a top-end villa project and another residential project with IT campus. They have the plan to develop the projects on the Bangalore – Bellary Road.
Embassy Group had recently sealed a real estate transaction with Blackstone, a global private equity firm. This real estate transaction is considered as the biggest commercial transaction of India.
However the CMD of Embassy Group Mr. Jitu Virwani kept his lips closed when asked about their talks with the financial services firm. Mr. Yesh Nadkarni of JP Morgan too declined to comment on the ongoing talks. He told the media persons that as a matter of policy he could not comment on the issue. Continue reading →
Hyderabad witnesses a steady improvement in the sales of affordable housing units. With the increased demand for affordable housing units, the city has become one of the most affordable realty markets in India.
Hyderabad city offer homes of affordability
With large number of affordable housing projects launched, Hyderabad has become one of the most affordable real estate markets in India. Due to the IT and ITeS development in the city, Hyderabad is more demanded and has become a favorite home destination.
Global real estate consultancy firm Knight Frank reported that Hyderabad has become one of the most affordable real estate markets. The city achieved greater popularity as builders are up with their new affordable housing projects. Continue reading →
Bhupendra Kumar Modi- led Spice Global has plans to enter into the most booming hospital and realty businesses in India. Spice Global will develop Saket City Hospital, a super specialty hospital in Saket, as the first venture.
Spice Global enters hospital sector with Saket City Hospital
Spice Global has stepped into hospital and realty businesses with their new super specialty hospital in Saket. The 1000- Bedded Saket City Hospital, the first super specialty hospital of Spice Global, will be completed by 2014. The estimated investment of this hospital is Rs.1,400 Cr.
Spice Global’s Chairman Mr. Modi said that the group has already invested Rs.250 Cr for the development of its first phase. The first phase of Saket City Hospital will be completed by June 2013 with an estimated amount of Rs.400 Cr. The first phase will have 230 beds. Mr. Modi said that the group will raise the fund from internal turnover. Continue reading →
Gurgaon based Maxxed Realtor, a real estate advisory firm, goes online as it launched new website Maxxed.in. The firm expects to widen its services to the NRIs as well.
Aiming the NRIs, real estate advisory firm launches new website.
With the aim to reach out the Non- Resident Indians (NRIs), Gurgaon based real estate advisory company has launched a new website. The real estate advisory firm also aims to create awareness about the brand among them.
Maxxed Realtor believes that they will be able to widen their services to the NRIs by using the online systems. While launching the new website, Mr. Sandeep Singh, Chairman of Maxxed Realtors, said that website has become essential for all sorts of businesses. He added that his firm never wanted to get behind others in this case. Continue reading →
Developers differ on the real estate regulatory bill as it is ‘one- sided’ in their opinion. The bill which has provisions to send the default builders to jail,exclusively avoid the punishment of default buyers.
Real estate regulatory bill: Builders remain suspicious.
Real estate regulatory bill is expected to be introduced in the upcoming parliament session. Some of the provisions in the regulatory bill are supposed to become a burden on the shoulders of the default builders. Some builders opined that the bill will curb and control the unscrupulous and dubious builders.
According to Mr. Pradipta Kumar Biswasroy, Real Estate Developers Association’s (REDA) Odisha Head, a commission is necessary to look after the real estate sector. He blamed that, at present, many unscrupulous builders exist because there is no proper law to curb them. He said that the sector loses its face due to the dubious acts of such unscrupulous builders. Continue reading →
Compared to 2011, the office space absorption has fallen in Bangalore. Experts opine that the situation was the result of weaker demand from the IT and ITeS sectors.
Office space absorption in Bangalore fell due to the lower demand from IT and ITeS sectors.
Real estate experts said that the office space absorption in Bangalore has been dropped as the IT (Information Technology) and ITeS (IT enabled Services) did not raise much demand. The reports show that the office space absorption has dropped by 24% last year.
Cushman & Wakefield, a global real estate consultancy, reported that in 2012 nearly 7.3 million sq. ft. of office space was absorbed. This rate of absorption is very lower to the 9.59 million sq. ft. of 2011. If the IT and ITeS sectors had shared nearly three fourth of the total supply in 2011, in 2012 their absorption is just above two fourth of total supply. Continue reading →
Supreme Court discarded Sahara’s appeal to have a review on the refund – case. Supreme Court finding no valuable reasons for a review, dismissed the appeal.
Supreme Court discards Sahara’s appeal
Sahara’s appeal, against the SC verdict which orders Sahara firms to refund nearly Rs.25,000 Cr to its investors, was turned down by the Supreme Court of India.
Two subsidiary firms of Sahara- Sahara Housing Investment Corporation Ltd (SHICL) as well as Sahara India Real Estate Corporation Ltd (SIRECL) were fined Rs.24000 Cr as they were found guilty of amassing investments. The SC had found that many of the investors’ details lacked clarity.
Mahanagar Telephone Nigam Limited (MTNL), the state- run telecom provider, plans to raise an amount of Rs.5000 Cr though divesting their real estate assets. MTNL plans to divest its properties located in Delhi and Mumbai.
MTNL struggles? When Mobile capitalizes!
MTNL has revealed its plans to raise an amount of Rs.5000 Cr through divesting its realty assets located in Delhi and Mumbai. With this plan, the state-run telecom provider has approached a global real estate consultancy.
The debt –driven telecom service provider has directed the real estate consultants to explore the possibility of mixing up of lease and sale. The telecom also has plans to redevelop land parcels on a public – private partnership basis. In short the MTNL’s monetization plans include redevelopment of land parcels, besides leasing and selling.
Noida Authority has recently found out that nearly fifty real estate developers are not paying the due payments to the Authority. It is estimated the government loses around Rs.3000 Cr due to the default buyers.
Many Builders are identified by Noida Authority as default payers.
BSP government had made it a rule to pay a mere 10% of the total amount for attaining land parcels for ‘group housing’ projects. This scheme was introduced with a plan to make Noida an affordable home-destination. However, recently, the Noida authority has found out that many developers have stopped the payments.
Realizing that many developers have skipped paying off the amount prescribed by the scheme, three Gautam Budh Nagar Authorities plans to amend the scheme. Sources close to these authorities said that the amendment may be applied in their next board meeting. Continue reading →
Real estate market shows signs of improvement as there was a steady increase in the cash flows. Builders hope to pay off their debts as they have better cash flows now.
Real estate market showed signs of recovery as there is an increased cash flow.
With better cash flows the real estate market is back on the track. The increased cash flows lights the rays of hope in builders as they were looking for ways to pay off their debts. Fitch Group’s India Ratings & Research reported that the real estate market, compared to last year, now has better cash flows.
India Ratings, the rating agency has revised the sector from ‘negative’ of last year to ‘stable’ now. The agency said that the inflow of cash is better this year than the last year due to the increased demand. Continue reading →
USA’s Walt Disney Company plans to follow ‘theme home’ business initiated by Disney India, its Indian Subsidiary. Disney India plans to bring in ‘theme home’ concept to Indian market while Walt Disney Company aims make ‘theme home’ popular in the global market.
Disney India comes up with theme home business.
Disney India will lend its popular characters like Mickey Mouse and Goofy to the builders under their new ‘theme home’ concept. Under this new scheme of Disney India, the Indian Builders will be able to use the prime characters to promote their real estate projects.
This ‘theme home’ business is believed to be taken up worldwide level as Disney India’s mother firm Walt Disney plans to follow its Indian Subsidiary firm. The reports predict that the designers and builders across the world will be utilizing the prime Disney – characters to promote their projects. Continue reading →
CII-ITC Sustainability Award 2012 was conferred to Mantri Group of builders, one of the leading real estate developers in South India. Honorable President of India, Mr. Pranab Mukherjee gave away the award to Mr. Sushil Mantri , CMD of Mantri Developers Pvt. Ltd.
CII-ITC Sustainability Award 2012 is an initiative to create sustainability.
By attaining CII-ITC Sustainability Award 2012, Manrtri Group has become the first real estate firm to achieve the coveted award. The CII-ITC Sustainability Awards are given to the domestic companies which show excellence in Sustainable Development.
The award was instituted by the CII-ITC Centre of Excellence for Sustainable Development in the year 2006. The award is considered as a unique initiative of CII- ITC center for identifying and appreciating the domestic firms for their excellent performance. CII- ITC center considers entire dimensions of the firm including its environmental, economic and social dimensions of their operatives. Continue reading →
To implement the pending Real Estate Regulatory Authority Bill, finally Prime Minister’s Office had to step in. PMO has directed both housing and urban poverty alleviation and urban development ministries to sort out their issues and implement the bill soon.
Pending Real Estate Regulatory Authority Bill sped by PMO.
The implementation of Real Estate Regulatory Authority Bill has been delayed due to the war between the Ministry for Housing and Urban Poverty Alleviation (MHUPA) And the Ministry for Urban Development. Finally, these ministries are ordered to solve out the issues and soon implement the Bill.
Real Estate Regulatory Authority Bill aims to protect the property buyers from the developers who often use canny methods. MHUPA initiated the Real Estate Regulatory Authority Bill to protect the buyers’ interest and placed it in the Cabinet for Clearance. Continue reading →
Secura Investment Management (India) Pvt. Ltd. has raised Rs.50 Cr in the form of real estate fund through its Scheme- 2. Secura’s first real estate fund was launched in the year 2009.
New real estate fund launched in Kerala by Secura.
Secura Real Estate Fund Seheme-2 is the first SEBI– certified realty fund in Kerala. As Secura’s new fund comply with the Islamic Finance rules, it has been certified by Shariah. By this it has become the first Shariah- Certified realty fund in India.
After the successful completion of Scheme-1, Kozhikode – based SECUM Investment Management has come up with Scheme -2 of Secura India Real Estate Fund. The Rs.50 Cr fund is the first of Kerala funds to be certified by Securities and Exchange Board of India (SEBI). Continue reading →