Monthly Archives: May 2021

10 Best Area to buy Flat in Pune 2021

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Looking for the best area to buy flat in Pune 2021? Confused which is the best area to invest in Pune? In this article, we have discussed the top 10 areas or localities which are perfect for buying an apartment in Pune.

Maharashtra has been a pioneer in the effective implementation of RERA, thereby creating positive momentum in the real estate industry and increasing consumer interest. This has been a huge boost in the Pune real estate market supported by new transparency and accountability. The Pune housing market has preserved its momentum, even under difficult economic conditions. According to research, in recent years Pune has become one of the most efficient residential real estate markets.

It has gained a reputation as one of the most popular places to live after retirement. In addition to retirement, this city is desirable for living. So, if you are planning to settle in Pune, this article is for you. We have selected some of the best area to invest in Pune based on feedback from residents, proximity to major social centers, career centers, and proximity to airport and railway stations.

Best area to buy flat in Pune | Best Locality to buy flat in Pune 2021

1. Baner

Baner is located in the northwest of Pune and is a residential and commercial city just off the Mumbai Highway. Its nearby places are Balewadi, Pashan, Mahalunge, Aundh, Sus. Housing demand is primarily driven by professionals working in Baner-based software companies and other nearby employment centers, such as Rajiv Gandhi Infotech Park located in Hinjewadi.

Connectivity-  The city has road links via Baner Road, Mumbai Highway (NH-48), and Pashan-Sus Road. It has a good public transport system that connects it with other areas of Pune. Pune Junction Station and Pune International Airport are 12 km and 18 km and can be reached within an hour. In addition, the planned 23.3 km of metro line 3 (Hinjewadi Phase III – Civil Law) would further increase connectivity in the region and improve the overall infrastructure. 

Rajiv Gandhi Infotech Park is closely linked with Baner, a large 3-phase employment center in Hinjewadi. Therefore makes it the best area to buy flat in Pune. It has the presence of different IT / ITeS & BPO units together with some biotechnology and car companies. The main companies here are Cognizant, Infosys, Wipro Technologies, Tata Consultancy Services, Capgemini, etc.

Price of flat in Baner – The price of an apartment or flat in Baner starts from Rs 6,000/sq ft and goes up to Rs 9,400 per sq ft.

Check out:- flat for sale in Baner

2. Viman Nagar

Viman Nagar got its name because of its connectivity to Pune Airport, which is only half a kilometer from the city. It is also considered as one of the posh localities in Pune, with areas like Mhada Colony and Kargil Vijay Nagar. It is surrounded by Pune Airport to the north, Sanjay Park to the west, Kargil Vijay Nagar to the south, and Tata Nagar to the east.

Connectivity:- The city is well connected to the rest of the localities in Pune through the Pune-Ahmedabad highway. Pune railway station is situated just 8 km from the city. Viman Nagar has close proximity to Pune International Airport. It is just 0.5 km away which makes it best area to invest in Pune. The upcoming Ramwadi metro station on line 2 of the MahaMetro line expected to open in 2023, would further improve the connectivity of this area.
Koregaon Park, Kharadi, Tingre Nagar, Mudhva, are some of the nearby employment areas, which are 5 to 10 km from Viman Nagar. Proximity to these areas makes it the best area to buy flat in Pune. Generally, most of the retail markets and office space are situated on main roads like Samrat Ashok Road, Symbiosis Road, and Viman Nagar.

Price of flat in Viman Nagar. The price of an apartment or flat in Viman Nagar starts from Rs 6,700/sq ft and goes up to Rs 10,200 per sq ft.

Check out:- flat for sale in Viman Nagar

3. Hinjewadi

Hinjewadi is one of the largest IT centers in Pune and also the most popular real estate center in the city today. It offers a number of investment opportunities in premium and middle-class housing projects and therefore best area to invest in Pune. The area offers excellent connectivity to the Baner, Hinjewadi, and Aundh IT parks. As well as the Pune-Bangalore ring road and the Mumbai-Pune highway.

Connectivity:- The government has proposed a metro line between Hinjewadi and Shivajinagar which reduces traffic during peak hours. Hinjewadi is extremely safe as there are CCTV cameras everywhere. It has some well-known educational institutions like Euro Kids and Indira School of Career Studies.
The area offers excellent connectivity to Mumbai, Bangalore, and other central Pune areas via the Mumbai-Pune Expressway and Pune-Bangalore bypass. Pune Airport is 25 km away from the Hinjewadi Aundh highway. Thus, makes it the best area to buy flat in Pune. It has some well-known IT parks like Rajiv Gandhi IT Park, Embassy Techzone. Quadron Business Park, and Blueridge that attract IT professionals from all over India.

Price of flat in Hinjewadi. The price of an apartment or flat in Hinjewadi starts from Rs 4,600/sq ft and goes up to Rs 6,800 per sq ft.

Check out:- flat for sale in Hinjewadi

4. Kharadi:-

Another very notable place for housing is Kharadi. Kharadi is located east of Pune on the banks of the Mula Mutha River. It is located on the ring road that connects the Pune-Solapur National Highway with the Mumbai-Ahmednagar Highway. Public transport is not a problem and there are numerous public buses running in the area. It is a very beautiful place and one of the best area to invest in Pune. You can find all modes of transportation from this part of the city to any major industrial area in the city.

Connectivity:- Kharadi is close to the airport and major residential areas such as Cyber ​​City and Koregaon Parkbut. Also, it has excellent road links that make the city easily accessible to all major parts of Pune. Kharadi is Pune’s upcoming IT hub supported by a fast-growing micro-market across multiple industries, including IT, hospitality, education, and retail. It borders important locations such as Kalyani Nagar, Mundhwa, Viman Nagar, Wagholi, Hadapsar, and Koregaon Park. IT parks like WTC, Zensar, and EON are the main attractions in this region which make it best area to buy flat in Pune. The infrastructure in Kharadi is really good and it has some well-known hospitals as well.

Price of flat in Kharadi. Affordable housing is available in Kharadi, making it perfect for both home buyers and investors. If you want to sell property in Pune, this area is the best option for you. Also, it is one of the best rental markets in Pune and fetches a good amount of income for you. The price of a flat in Kharadi starts from Rs 5,700/sq ft and goes up to Rs 8,500 per sq ft.

Check out:- flat for sale in Kharadi

5. Undri

Undri has become a one-stop destination for builders with high-level projects. One of the benefits of this region is its amazing links through city roads and highways. Although Undri has far surpassed our notions in recent years, it still retains its natural beauty.
With MIDC in Hadapsar Industrial Zone and Swami Vivekananda Industrial Zone in Handewadi, it has become best area to invest in Pune. Small and large companies have been established ranging from automobiles, electronics, biotechnology, chemistry, pharmaceuticals, textiles, etc.

Connectivity:- Nearby localities include Purandar taluka in the east, Velhe taluka in the west, Pune taluka in the north, and Pimpri-Chinchwad in the south. The Mumbai-Pune ring road is easily accessible from Undri, and the NH-9 is just 7 km away and makes it the best area to buy flat in Pune.

The airport is just 12 km away and the nearest railway station is situated at a distance of 8 km. Undri has some big malls like Seasons Mall and Dorabjee’s Mall. Mumbai-Bangalore Highway, Pune-Saswad Highway, Mumbai-Hyderabad Highway, and NIBM Highway are the main life trails in this region. Pune Junction and Hadapsar railway station can be reached by train and can be reached from Undri in 20 minutes. The proposed Greenfield International Airport in Saswad Purandara will be about 22 km from Undri.

Price of flat in Undri. The price of an apartment or flat in Undri starts from Rs 4,000/sq ft and goes up to Rs 6,100 per sq ft.

Check out:- flat for sale in Undri

6. Hadapsar

Hadapsar is located east of Pune and is one of the best and most developed cities in Pune and the best place to stay for the whole family. Hadapsar, the center of IT in Pune, has undergone a huge transformation. There were once farms in Hadapsar, but now it has undergone radical changes. Corporate companies like TCS, IBM, Accenture, and SAS, to name a few, have offices here. The town of Magarpatta and Fursungi IT Park are famous names in the region. From a housing perspective, there are many entertainment and recreational facilities, and real estate development makes it an ideal place for living.

Connectivity:-
Hadapsar connected to major cities such as Nagpur and Mumbai via NH 9 and NH 27. The railway station is only 4.0 km from Hadapsar and the airport is 14 km away. Hadapsar used to be little more than agricultural land. But now it has become the city’s IT center which makes it an ideal or best area to invest in Pune.

Price of flat in Hadapsar. The price of a flat in Hadapsar starts from Rs 5,300/sq ft and goes up to Rs 9,000 per sq ft.

Check out:- flat for sale in Hadapsar

7 Balewadi

People looking for a new home can easily choose the Balewadi region when they have budget constraints. Balewadi has the most affordable houses in their class and you can easily find a home for both family and solo person.

Connectivity:-
Balewadi is a northwestern suburb of Pune, located on the outskirts of the old town. It is famous for the location of the Shiv Chhatrapati sports complex. Balewadi is very close to the Baner, Aundh, and Mumbai-Pune Expressway. Therefore, real estate in Balewadi is highly desirable and is best area to buy flat in Pune.

Price of flat in Balewadi. The price of an apartment or flat in Balewadi starts from Rs 6,000/sq ft and goes up to Rs 8,900 per sq ft.

Check out:- flat for sale in Balewadi

8 Kondhwa

Kondhwa is one of the oldest southeast colonies of Pune. It is one of the most recently built residential areas and the fastest growing suburb of Pune. Kondhwa has connectivity to Pune Railway Station, Baner Airport, etc.

Connectivity:-
NIBM Road, a 3.5 km stretch that connects Kondhwa Road with the Katraj-Hadapsar city road, will become a potential destination for investors. Good transport connectivity, planned surroundings, and the availability of all kinds of necessary infrastructure promote the demand for real estate here. This in turn affected property prices in the area, which took a bullish move and makes it the best area to invest in Pune.

Price of flat in Kondhwa. The price of an apartment or flat in Kondhwa starts from Rs 4,500/sq ft and goes up to Rs 7,100 per sq ft.

Check out:- flat for sale in Kondhwa

9 Mundhwa

Mundhwa is an east area of Pune. It is bounded by the Mula River to the north, Manjri to the east, Ghorpadi to the west, and Hadapsar to the south. This is the ideal place for new buyers looking for cheap or affordable housing options. Located on the outskirts, but at the same time very well connected, which makes it an ideal destination for home buyers.

Connectivity:-
Mundhwa considered an affordable investment destination in Pune. It is close to most IT parks and is still located between the Manjiri Green Area in the east and Ghorpadi in the west. Mundhwa has a number of options when it comes to real estate. It is the best area to buy flat in Pune for people living near Manjiri Green Area. The locality has everything from apartments to mansions, villas, and independent houses.

Price of flat in Mundhwa. Property prices in Mundhwa are quite affordable these days. The price of an apartment or flat in Mundhwa starts from Rs 5,100/sq ft and goes up to Rs 7,500 per sq ft.

Check out:- flat for sale in Mundhwa

10 NIBM Road

NIBM Road in Pune has become one of the most suitable places to live in Pune. It is famous not only for homebuyers but also for the rental community. The factors that determine its popularity range from solid infrastructure to competitive housing. Wide connectivity to the popular areas of Hadapsar, Magarpatta, Kondhwa, and Kalyani Nagar as well as many modern conveniences and infrastructure.

Connectivity:-
Although NIBM does not have its own IT center, it provides easy access to nearby technology parks. For example, Magarpatta IT Park is 8 km from NIBM along Solapur Road. Some of the global giants in Magarpatta IT Park include HCL Technologies, Capgemini, Mphasis, and New York Mellon. In addition, NIBM also offers unobstructed connectivity to Hadapsar via Vitthal Rao Shivarkar Street and Mumbai Highway. It has many manufacturing companies and IT professionals. Such as Serum Institute of India Pvt.Ltd, Maruti, IB Automation, Kirloskar Pneumatic Company Ltd. Presence of MNC companies makes it an ideal or best area to invest in Pune.

Price of flat in NIBM Road. The price of an apartment or flat in NIBM Road starts from Rs 5,200/sq ft and goes up to Rs 7,700 per sq ft.

Check out:- flat for sale in NIBM Road

Conclusion:-

In this article, we have described some best area to buy flat in Pune. The price of flats stated in this article is based on research and may differ from the actual one. You should always invest your money considering your budget and requirements. Also, the ongoing pandemic has disrupted or changed the plans of both home buyers and investors. As the ever-increasing prices in these areas show. Property prices here are likely to improve in the future following the execution of several major infrastructure projects.

Greater Noida development body starts new industrial plot scheme

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To increase investment, the authority of Greater Noida (GNIDA) has launched a scheme of industrial plants, around 41 sites, ranging from 905 to 4062 square meters in Ecotech sectors 10 and 11.

Online applications for the program can be submitted at www.niveshmitra.up.nic.in by June 30. The process of allotment will begin on July 1 through lotteries and interviews for plots over 4,000 square feet. From this allocation, the GNIDA expects an investment of Rs 93 crore, which will cover a total area of ​​83,000 square meters.

Deep Chandra, additional CEO of Greater Noida Administration, said, we have developed a layout of an industrial plot scheme, where 38 plots or lands from 905 to 4062 sqm will be available in the Ecotech 10 and 11 GNIDA sectors. In addition, there are three plots of more than 4,000 square meter in these two sectors.

Narendra Bhuhsan, CEO of GNIDA, said, while GNIDA invites investment under the “ease of doing business model” proposed by the state government. Its goal is to encourage more multinational companies to set up operations in the area. “Many electronics manufacturers from Japan, Korea, and Taiwan have expressed interest in opening their manufacturing setup in Greater Noida. So, even in the Covid era, we launched an industrial land scheme to stimulate more investment. In addition, the Greater Noida administration will soon unveil new housing schemes for institutional, commercial, information technology, builders, and housing groups.

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Chandigarh Housing board set up help desk for property auction

Andhra Pradesh’s housing to use energy-efficient building technology

Chandigarh Housing board set up help desk for property auction

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The Chandigarh Housing Council (CHB) is setting up five help desks to help bidders bid on 79 housing units in different parts of the city through e-tender.

On 17 May, CHB began an auction process for the sale of 79 residential properties in various sectors of the city. The auction is done through an electronic bidding process, and bidders can submit their bids for properties before 31 May. The help desk can be found in sectors 38 west, 49 and 51 as well as two in sector 63.

In the last auction, the CHB was able to auction 36 freehold dwelling units. The highest bidders were required to deposit 25% of the bid amount within five working days. However, the six highest bidders could not deposit the 25% amount within the prescribed period. And accordingly, their earnest money deposit (EMD) amount of Rs 2 lakh each has been forfeited by the board.

Change in Reserve Price

Yashpal Garg, CEO of Chandigarh Housing Council, said, they listed the six properties at the next auction and that a total of 79 properties were up for auction. The board of directors adopted full secrecy at the last auction and that the same formula will be applied at the next auction. CHB has compiled a list of 270 properties, including 11 residential (rent), 109 residential (non-ownership), and 150 commercial (leasehold) for sale. CHB has started auctions for the sale of residential properties first. The rest of the properties are offered for sale at a later date.

Privacy to bidders identity  

In order to get response the CHB has reduced the property reservation price by 10%. Since the reserve price for residential and commercial properties was too high. Therefore none of the bidders showed interest in the CHB real estate auction in 2019. 

This time, CHB decided to replace the real estate e-auction process with the e-tender process. In the e-auction, the deposit money (EMD) for participation cannot paid be online. The applicant pays the same into the CHB account and provides proof. CHB officials will confirm the payment before allowing the auctioneer to take part in the e-auction process. Thus, the number of applicants for a particular property and their identity are not entirely confidential.

In e-tender, EMD can be paid for online and no approval is required, so the number of bidders and their identity is completely secret and confidential.

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MahaRERA Orders Acme Housing to pay interest of 21 months of delay

Andhra Pradesh’s housing to use energy-efficient building technology

MahaRERA Orders Acme Housing to pay interest of 21 months of delay

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Maharashtra Real Estate Regulatory Authority (MahaRERA) has commissioned developer Acme Housing India Pvt. Ltd to pay interest on deferred ownership. The authority has directed to pay 21 months of interest to homebuyers of the Alpinia project in Thane. In accordance with section 18 of the RERA Act.

The order from MahaRERA member Vijay Satbir Singh was received in response to a complaint from home buyers Aniket and Rajashri Alashe. They had booked an apartment in this project in December 2014 with the promise of ownership until 31 December 2017. The buyer also made a payment of Rs 1 crore. But the developer did not transfer the property under the registered sale and purchase agreement.

Thane Municipal Corporation was responsible for the delay!

Advocate K.R. Shekhawat, quoted by Acme Housing India Pvt. Ltd. strongly opposed the demand for deferred ownership. He said clause 9.2 of the agreement allows home buyers to terminate the agreement if the ownership has not been transferred. But they had not canceled the agreement. Shekhawat said that clause provides for an extension of the period of ownership in the presence of force majeure. (Force Majeure refers to a clause included in contracts to exclude liability for unpredictable and natural disasters that disrupt the course of events and obstruct participants from completing their task).

Claiming that Mumbai High Court did not allow Thane Municipal Corporation to issue building permits and Occupancy Certificates (OC) for projects on Ghodbunder Road due to lack of water in PIL (Public Interest Litigation). He said the Alpinia project suffered from this stay order because the project was near Ghodbunder Road.

Shekhawat also claimed that the demonetization and implementation of RERA and GST created a monetary crisis. This creates a lack of funds and daily wage laborers could not hire for construction work. He also cited a lack of sand, cement, and ready-mixed concrete in 2013-2014 as well as a ban on sand mining as reasons for the delay in project completion.

K.R. Shekhawat also accused Thane Municipal Corporation and said the OC granted four months after the completion of the project. He further said the ownership offered to home buyers after receiving OC. But they approached MahaRERA instead and therefore their complaint could not be resolved after granting the OC.

Violation of sale and purchase agreement

Lawyer Tanuj Lodha, representing home buyers, filed an objection and firmly rejected the developer’s claim. He claimed that the developer had accepted significant capital from buyers and the excuse of force majeure is baseless. He claimed that the developer had violated the terms of the sale and purchase agreement and the Maharashtra Real Estate Court of Appeal. In addition, the Bombay High Court has clearly ruled that the developer is obliged to pay interest on deferred ownership. Under section 18 of the RERA in the event of a breach of the terms of the agreement.

Developers should be aware of market risks!

MahaRERA member Vijay Satbir Singh noted that the sale agreement refers to a six-month extension or grace period until June 30, 2018. But by that date, the developer had not granted ownership. He rejected arguments about demonetization, RERA, GST, sand mining, etc. He said that the developer should have a good understanding of the real estate sector and market risks before starting the project. The developer failed to inform the applicants about the restrictions and also did not provide explanation on delayed possession. 

He claimed that the Maharashtra Ownership of Flats Act (MOFA) allows the developer a maximum extension of six months or until June 30, 2018. After RERA came into force on May 1, 2017. The developer should pay interest on late ownership in accordance with the provisions of section 18.

Singh also noted that the buyers filed a lawsuit on June 20, 2020, after the developer received the OC and offered ownership of the apartment on March 3, 2020. “In that sense, MahaRERA feels that under the provisions of section 19 RERA. The buyers are obliged to take possession of the apartment within 2 months from the date of OC. However, the applicant violated the provisions of section 19(10). He noted and denied the increase in interest after March 3, 2020. The order stated that Acme Housing should pay 9.3 percent interest for each month from July 1, 2018, to March 3, 2020.

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Promoters of Omkar Group arrested for laundering Rs 87 crore

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PAG invest Rs 175 crore in Century Real Estate for luxury housing project

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Century Real Estate, headquartered in Bangalore, has raised Rs 175 crore from the investment firm PAG to develop a luxury housing project. Century Real Estate, is a leading developer and one of the largest landowners in southern India. They have received an investment of Rs 175 crore from global investment firm PAG for its ultra-luxurious Century Ethos project.

The company said the funds will be used to repay existing debts and to speed up the construction work of the project.

Project Location

The estimated area of the Century Ethos project is about 7.3 acre. It is currently under construction phase, and is located in North Bangalore. The project includes approximately 330 luxury apartments. The price of these apartments varies and starts from Rs 3.4 crore and goes upto to Rs 12.5 crore.

Ravindra Pai, Managing Director at Century Real Estate, said, this new investment from PAG in Century Ethos confirms the growing confidence of local and foreign investors and consumers in the growing northern Bangalore region.”

The fund will help the company in faster completion of the project. Last year was the best year for the project since its launch. Another indicator that the demand for larger, higher-quality homes with luxurious outdoor areas is steadily rising.

Varied Portfolio 

Century Real Estate said it has over 3,000 acres of land and over 20 million square feet of residential and commercial property under construction. Representing more than 3 billion dollar in asset value. Its development portfolio of over 20 million square feet includes hotels, office buildings, residential buildings, and educational institutions.

Last month, Prestige Estates Projects announced a joint venture with Century group to develop an office park in Bengaluru with an estimated construction cost of around Rs 900 crore.

PAG is one of the leading investment companies in Asia. He manages 40 billion dollar in capital across all strategies including private equity, real estate, and absolute profits.

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Promoters of Omkar Group arrested for laundering Rs 87 crore

Revised bids submitted by Suraksha group for Jaypee Infratech

Andhra Pradesh’s housing to use energy-efficient building technology

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The new “Indo-Swiss energy-efficient building technology” will be used in Andhra Pradesh’s housing scheme: Pedalandariki Illu (housing for all the poor).

As part of the initiative, around 30 lakh of affordable housing is being built in the state. Indo-Swiss energy efficiency technology will lower the indoor temperature by about two degrees. Thus save about 20 percent of electricity, officials said.

Training will be provided 

Within the framework of the “Energy Efficiency in Buildings” project, the Bureau of Energy Efficiency (BEE) through Indo-Swiss BEEP will train engineers and staff in the district and village secretariats and the housing department. This will help effectively apply the Energy Conservation Building Code-Residential (ECBC-R) in this affordable housing scheme.

Initially, 50 engineers will be trained as Master Trainers, so that they can provide training to other engineers.

Ajay Jain Explained project details

Chief Secretary of the Housing Department Ajay Jain attended a recent webinar hosting the Indo Swiss Building Energy Efficiency Project (BEEP), India. In the webinar Jain elaborates the complete government’s strategy for implementing this ambitious project.

The heat transfer rate to the roof can be reduced by means of roof insulation or reflective roof paint. Autoclaved aerated concrete blocks, hollow walls, hollow bricks, etc. would further reduce the net heat flow to the building. Using proper window protectors such as blinds or rollers stored outside the windows also reduces the net heat gain. 

The construction of the first stage covers about 14 lakh housing units. The government has decided to introduce energy-efficient and thermally comfortable structures in houses. This housing project will use energy-efficient design strategies that are in line with the Eco-Niwas Samhita 2018 (ECBC-Residential) Code for BEEP. ECBE-R provides adequate natural ventilation, reduces energy consumption by at least 20 percent. Improves thermal comfort, natural light, and provides a safer and healthier environment in the houses.

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Revised bids submitted by Suraksha group for Jaypee Infratech

Promoters of Omkar Group arrested for laundering Rs 87 crore

Promoters of Omkar Group arrested for laundering Rs 87 crore

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The Enforcement Directorate (ED) is investigating a loan of Rs 2,000 crore from Piramal Group to Omkar developers accused of money laundering. Those were days when the Omkar group was considered the largest slum redeveloper in Mumbai.

ED officials gathered paperwork related to the loan and last month called the Chief Financial Officer (CFO) of Piramal Group’s to register his statement.

Last week, Rajesh Ladda, CEO, and CFO of the Piramal Group met with ED and presented some important documents. The Piramal group has issued over Rs 2,000 crore loans to Omkar disbursed in different installments. ED representatives said that once they have finished examining the documents, they can call Laddha or other Piramal Group leaders again for further explanation.

It was purely a business deal

An industry insider said Laddha had been called to the usual questions and answers regarding the Omkar group’s business loans. The source also added that Piramal Group received about 80% of the loan amount from the Omkar Developers.

A Piramal official is believed to have told ED that the group was in financial business and disbursed loans to Omkar. This comes under a purely commercial deal and agreements have been signed between them. These agreements, together with related documents, have been sent to ED.

Earlier, the Omkar group also told ED representatives that several years ago it took loans from the Piramal group and other financial institutions for its various projects. ED investigated the Omkar group when it took out a loan of about Rs 400 crore from Yes Bank to build buildings for slum dwellers. Under the Slum Rehabilitation Authority (SRA) scheme in Wadala, but diverted the money to other groups of companies.

Promoters arrested

Actor and businessman Sachin Joshi helped Omkar for laundering about Rs 87 crore. The loan money was not used for the intended purpose. In January, ED arrested Babulal Varma and Kamal Kishore Guptu (Omkar Group promoters). In a case along with JM Joshi Groups. Kamal Kishore Gupta and Babulal Varma are currently in jail. But the high court releases Joshi on bail for two months for health reasons.

The ED recently filed a charge of money laundering of Rs 400 crore against the arrested defendant and 14 companies associated with him. Further ED in the charge sheet stated that Omkar group manages 8 projects throughout the city for Rs 23,000 crore. They have taken out a loan of around Rs 8,000 crore from various banks and financial institutions. Yes Bank issued Rs 2,755 crore to Omkar Groups at a price of Rs 8,260 crore. The accounts for three Omkar group projects became NPA, including the Yes Bank loan for the Worli project.

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Revised bids submitted by Suraksha group for Jaypee Infratech

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The state-owned NBCC and the Suraksha group are seeking to acquire Jaypee Infratech. They have submitted revised proposals and improved their proposals to financial lenders as part of the insolvency resolution process. According to sources, NBCC and the Suraksha group presented their revised proposal on Monday. Suraksha group has now offered a credit of Rs 3,000 crore as working capital for the construction of the project compared to the previous offer of Rs 2,000 crore.

It has also given undertaking or promised to cover any shortcomings from dissenting creditors.

NBCC offers up to 1,903 acres of land, and Suraksha Group has offered over 2,600 acres to lenders. The Suraksha Group has allocated 1,486 acres to dissident lenders out of the total land area proposed in the proposal.

NBCC has offered an additional 377 acres of land in the event that dissenting financial lenders are dissatisfied with their original 1,525-acre offerings bringing their total offer to around 1,903 acres.

Fourth round bidding 

The Suraksha group has offered to keep the Yamuna Expressway project, NBCC has offered to transfer more than 80 percent of its stake in the project to lenders.

This is the fourth round of the Jaypee Infratech bidding process, which began insolvency proceedings in August 2017. The lawsuit was initiated following a plea bargain by a consortium led by IDBI. In March this year, the Supreme Court referred the CoC (Committee of Creditors) to approve Jaypee Infratech’s resolution plan. Which states that no new expressions of interest are expected to acquire the company and only NBCC and Suraksha Realty could submit revised proposals.

The Supreme Court also decided to extend the conciliation process by 45 days, which has now expired. In March 2020, NBCC received approval from the NCLT to acquire Jaypee Infratech.

Jaypee Insolvency 

Jaypee Infratech went into insolvency proceedings or filed for bankruptcy in August 2017. Anuj Jain has been appointed a temporary Interim Resolution Professional (IRP) to handle the bankruptcy proceedings as well as manage the company’s affairs.

In the first round of insolvency proceedings, lenders rejected an offer of Rs 7350 crore from Lakshadweep, a member of the Suraksha group. CoC rejected bids from Suraksha Realty and NBCC in the second round, held in May-June 2019.

The case then referred to the National Company Law Court of Appeals (NCLAT) and then to the Supreme Court. On November 6, 2019, the Supreme Court decided to end Jaypee Infratech’s bankruptcy proceedings within 90 days. And ordered that the revised liquidation plan should only be invited to NBCC and Suraksha Realty.

In December 2019, the CoC, consisting of 13 banks and about 21,000 home buyers, approved NBCC’s resolution plan and received 97.36% of the votes in the third round of the bidding process.

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Builders asking for support of RBI to deal with Covid second wave

UP-RERA working with state government to end flats registration deadlock

Over 25% construction workers have left, projects may delay: Realtors

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Confederation of Real Estate Developers (Credai) and The Indian Builders’ Association said that due to labor shortages on construction sites, the timing of real estate projects may be affected as more than 25% of migrant workers have gone to their hometowns. UP-Rera is aware of the situation and says that it can increase the project’s timelines.

Greater Noida and Noida together have about two lakh ready to move in apartments. Also on March 25, 2020, the UP-Rera has already given developers an extension of their under-construction apartments.

Given labor shortages at construction sites, the Confederation of Real Estate Developers (Credai) and Indian Builders’ Association said the delivery timing of real estate projects could be affected. Since more than 25% of migrant workers traveled to their homes. UP-Rera has become aware of the situation and says that it can extend deadlines of projects.

Although work resumed after unlock, cities could not regain all the labor force as previously. In contrast to the pre-pandemic strength of about four lakhs, there are hardly about 1 lakh workers in the cities.

Pankaj Bajaj, president of Credai-NCR, said. Material supply was again an issue due to the closure of markets over the weekend. In addition, more than 25% of migrant workers traveled to their place of residence. As a result, daily work became a problem. We can not meet deadlines. This may affect the completion timing of the ongoing projects.

Balvinder Kumar, UP-Rera member said, we understand the current situation and may consider some relaxation for builders in the coming days, though nothing has been decided so far.

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NAREDCO urge builder to make isolation cabin for construction worker

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On Thursday Naredco to developers of all real estate projects in the cities and Yamuna Expressway area have been asked to create isolation structures for Covid-affected workers at their construction sites.

The isolation departments on construction sites will be equipped with basic medical services, including beds, wheelchairs, oximeters, and disinfectants. Authorities in Noida, Greater Noida, and Yamuna Expressway have commissioned Naredco to help build these facilities so that these facilities can provide emergency assistance to workers affected by Covid before serious patients are transferred to hospitals.

Noida, Greater Noida, and Yamuna Expressway together account for over two lakh housing units in various construction stages. UP-Rera is already aware of this problem but has not yet offered builders any particular relief in terms of extending the deadline. Despite the fact that more than 25% of migrant workers left the area and went to their place of residence. According to an estimate these cities today still have a lakh people working at nearly 240 under-construction project sites.

RK Arora, president of Naredco-UP, said, the initiative was led by the authorities of the cities of Noida, Greater Noida, and Yamuna Expressway. We are promoting this initiative and have so far instructed builders. To create isolation structures for workers at 250 project sites in these three urban areas. The aim is to provide basic support to Covid affected workers before they are transported to the nearest hospital. However, according to builders, no serious outbreaks of Covid have yet been recorded at any construction site. However, builders said the ongoing pandemic will affect the construction time frame.

Pankaj Bajaj, Credai-NCR president said, there are no reports of any major Covid 19 leak anywhere yet. However, the reduction of the vacant workforce and the disruption of the supply chain during the lockdown period affected the work at the project sites and the end date. Projects are likely to be postponed.

Builders asking for support of RBI to deal with Covid second wave

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Builders have urged the Reserve Bank of India (RBI) to consider a loan restructuring, a moratorium on interest payments, and extra liquidity support to the real estate sector. This comes after RBI Governor Shaktikanta Das announced on Wednesday a covid relief package for individuals, small businesses, and MSMEs.

The RBI Governor has mentioned a number of measures and arrangements in his statements. Such as the second round of loan restructuring and other relief measures as well as the term liquidity facility of about Rs 50,000 crore for healthcare and SLTRO for Small Finance Banks. The central bank also recognized the difficulties faced by individuals, small businesses, and small and medium-sized enterprises. Due to downsizing, and provided resolution 2.0 measures to restructure loans to small borrowers of up to Rs 25 crore.

CREDAI encouraged and hoped that similar measures would be announced in the coming days. To address the problems of large companies and labor-intensive sectors such as real estate.

It is hope that RBI consider real estate sector as well!

This was stated by the President of CREDAI Harsh Vardhan Patodia. We are convinced that the measures that make accounts classified as SMA 1 and SMA 2 also suitable for restructuring. An interest rate moratorium together with additional liquidity under ECLGS 3.0 transferred to real estate projects will help in reviving the economy and create jobs that are most important to compensate the influence of the second wave.

This was stated by the President of NAREDCO, Niranjan Hiranandani. The RBI governor announced a number of plans. Including the second round of loan restructuring and other relief measures, steps in the right direction. It is hoped that he will also look at industries as real estate that need similar support in these difficult times. We expect consistent, calibrated, and timely action across industries such as real estate.

Samantak Das, chief economist and head of Research & REIS, JLL India said. Apart from individual borrowers, this will be of great help to SMEs associated with the real estate sector, especially resource providers for this sector.

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