Category: Real Estate News

Land to be Taken on Lease from Farmers

August 6, 2011 – 8:45 pm

The BJP has said that the draft Land Acquisition and Resettlement and Rehabilitation Bill 2011, which is now in public domain, is good but cannot be accepted in its existing format.

Sangh Priya Gautam, the former Union minister said, farmer should be given the right to sell 100% of their land. In Greater Noida, the Formula 1 racetrack required only 1000 acres of land but 2500 acres were acquired and allotted to a private builder by the government.

Land should be taken on lease from farmers. A BJP leader said, “The ownership should remain with farmers”. Another major aspect of the centre’s draft is that the urgency clause can be imposed only at the time of natural calamity or can be imposed in case of national security.

By admin | Tagged , , , | Comments (0)

Monsoon Discounts on Buying Houses.

July 16, 2011 – 9:45 am

The monsoon is usually considered as a lean season in terms of sales for the developers. It’s not just the weather that affects the purchase of property, but also because it is considered inauspicious to buy anything for about two weeks during this period (because of shraadh or pitrapaksh). Buyers prefer to wait till the festival season to buy real estate. So, in order to increase sales, developers are willing to offer ‘monsoon discounts’.

Many people postpone buying a house during these months. This adds to the existing inventory of the real estate developer. The builder, on their part, wants to get relieved from it so he can start a new project in the upcoming festival season. Also, they would need some liquid cash in hand for the new projects.
While only a handful of developers advertise it as a ‘monsoon discount’, most are willing to offer lower rates to serious buyers. The significant of discount varies for different cities, depending on how badly it is affected by the monsoon. So, in Mumbai and Kolkata the quantum of discount is likely to be higher than that in Delhi and Chennai. In Mumbai, a buyer can expect discounts ranging from 10-20%,  a Mumbai-based real estate marketing company.

Besides the entice of discounted property prices, buyers can also avail of the monsoon special offers on home loans by banks.

By admin | Comments (0)

Risk Factor Increases in Investing in Real Estate

May 21, 2011 – 11:23 am

The first quarter of this fiscal would be a difficult one for the real estate sector. Many of the big players in metropolitan cities have had to borrow funds to pay their installments on loans due to banks by the end of March 2011. In smaller cities and towns, the situation is not any better. Realtors who had overerated actual end user demand for housing, and had received advances from pioneers and investors are coming under pressure to deliver promised projects to enable them to cash in on their investments.

Projects are not moving ahead because of lack of cash, and banks are not falling over themselves to lend money to the sector any longer – especially as the RBI has restricted such flows and had asked banks to be cautious of offering out too much money to real estate companies. What does all this mean and how are these indications going to affect the person who wants to invest in real estate?  Firstly, potential investors should be very, very careful of where they invest in. In the absence of a real estate regulatory body in place the old statement of requirement , or buyers beware is more relevant today than ever before. Developers are facing a double setback this year.

Even if their projects come up, the support of foundations and substructures promised by government agencies such as power, water , sewage, and above all, road and transport connectivity – is just not happening on time, so projects may be finished, painted and polished, but may not be livable . The high cost of borrowing money is also hitting developers and with banks becoming cautious of extending credit to the sector, many developers are now looking towards private equity and similar sources of finance, many of which are much more expensive than bank funds. Apart from expenses, many financiers are also more wary about the money they lend.

By admin | Comments (0)

SBI Hikes Lending Rate by 75bps

May 12, 2011 – 4:04 pm

Country’s largest lender State Bank of India has declared a hike in loan interest rates by 75 basis points (bps), making housing, auto and other loans dearer for both new and existing debtors. State-owned SBI has increased the base rate, or the minimum lending rate, by 0.75 % to 9.25%. The new rate is effective from 12 May 2011, the Banker said.

The increase in State Bank of India’s loan rates comes a week after the Reserve Bank of India raised its lending and borrowing rates by 50 basis points. SBI has also increased its standard prime lending rate by 75 bps which would mean that existing borrowers will also have to pay more for their loans. With this, BPLR goes up to 14 %.

State Bank of India has also elevated deposit rates by up to 225 bps on selected 04 maturities. Many banks have been on a rate increment spree since the RBI’s decision to raise short-term key rates in its annual credit policy on 03 May 2011. Over a dozen banks, including PNB, ICICI Bank, Oriental Bank of Commerce and Corporation Bank, have raised interest rates in past one week.

By admin | Comments (0)

Keerthi Estates Instigates Luxury Residential Villas in Hyderabad

April 30, 2011 – 12:15 pm

Keerthi Estates, a Hyderabad-based real estate developer with huge experience and long term operations in Hyderabad and Bangalore, has launched its premium luxury residential complex – Richmond Villas – in Hyderabad. The gated-villas project, consists 157 villas of 4BHK, is coming up over 24 acres of blossoming green land near Andhra Pradesh Police Academy circle, close to the new International Airport.

Managing Director, Keerthi Estates, K Anil Kumar Reddy, said, “Each villa, ranging from 3,400 sq ft over 300 square yards to 4,000 sq ft over 466 square yards, will be built as triplex and will have a huge multipurpose hall, which could be converted into a mini theatre or bar or gym based on the buyer’s choice”. Each villa would cost between Rupees 1.25 crore and Rupees 1.85 crore.

The project is well connected to all the reachable amenities within 10-15 minutes like hospitals, educational institutions and shopping, the IT hub, financial district, Hi-tech city, international schools. The company has to complete the project by the end of 2013, so it has already taken all the approvals for the project and began construction. They have already completed two model villas and work on 15 villas is now at a later stage. There has been good response to the project so far and more than 30 villas are booked.

With around 52 per cent open area in the gated villas project, the company is offering key facilities such as a smartly designed clubhouse along with sports facilities, a swimming pool and an air-conditioned gym among others. The project also offers a waste management system with sewerage treatment plant, supported by water harvesting system and solar fencing all around.

Keerthi Estates has so far built over 3-million sq ft of residential and commercial space and some 1 million sq ft is currently under development in Hyderabad and Bangalore.

 

By admin | Comments (0)

SBI Ends Its Teaser Home Loan Schemes by End of April 2011

April 27, 2011 – 11:31 am

State  Bank of India (SBI) will put to an end to its puzzled home loan schemes by the end of April 2011. The interest rates offered on its home loans will now be recalled by floating interest rate schemes, which are comparable with those offered by  other commercial banks and housing finance companies. All loans from May 1 will  draw an interest rate of 9.5-10.25 per cent, depending on the loan amount.  Loans up to Rs 30 lakh will be available at 9.5 per cent (one percentage point  above their base rate). Loans in the Rs 30-75 lakh range will be charged 9.75  per cent (125 basis points above the base rate). And, those above Rs 75 lakh  will be charged 10.25 per cent (175 basis points above the base rate). Though,  these rates would move in line with the changes in the bank’s base rate that is  reviewed every quarter.

Earlier,  the RBI had asked banks to stop giving teaser loan rates,  since it believed such loans would blow the asset quality of the bank’s home  loan portfolio. Puzzled loans offer advances at a comparatively lower rate of  interest for the first few years, after which rates were re-set at higher  rates. SBI is the last one to discontinue such special loans. Under its SBI  Easy Home Loan and SBI Advantage Home Loan products, one could get loans for  8-8.75 per cent in the first three years. After the third year, the rates would  get reset at the current floating rate structure. At 8.75 per cent, a  20-year-old loan on Rs 30 lakh would come to Rs 884 a lakh. At 9.5 per cent,  you would now be paying Rs 932 a lakh.

Those who already have SBI’s puzzled home loans  and are still in the initial three years, the old rates remain applicable. The  new rates will only apply to new applicants. Among the housing finance  companies, LIC Housing Finance is still offering a fixed interest rate of 9.9-10 per  cent for the first five years and, thenafter, the existing rates will apply. A quick calculation on apnaloan.com showed that the average  rate for a 20-year period still works out in SBI’s favor. The average rate for  SBI was 9.5 per cent, while that for LIC Housing was 10.5 per cent for the same period.

SBI  has also said there would be no penalty on foreclosure on home loans. The bank  used to charge customers a 02 per cent penalty on fore – payment of the home  loan. It will also introduce a graded processing fee, which will increase   according to the loan amount.

By admin | Comments (0)

Smarter Way of Buying a Home.

April 18, 2011 – 1:41 pm

Profit is the keyword, when it comes to Investment and Investment in real estate rotates around purchase, ownership, management, rental and sale of property.  It involves a lot of planning, especially because of the rapid changes in the economic scenario.

Here’s a checklist of the things you need to keep in mind:

  • The Location: While buying a home, location is the most important factor. It is essential to take several factors into account. If you are to reside in a house, it becomes important to see the other factors such as propinquity to the work place, school, family and friends. No one would mind spending a few lakhs of rupees if the house were close to ones child’s school or ones office.
  • Th Condition of the Home: If you are buying an old house, scrutinize it carefully. No one don’t want to waste a lot of money in repairs later on.
  • Nearness to leisure time areas: You may want to live in a neighborhood with parks, libraries and walking trails, local markets, shopping malls, etc. as these are the points where you can relax or have fun on daily basis and also fulfils your basic needs of life.
  • Future Prospects: You can have an idea about the property by the area is going to develop by looking at the current local real estate trends. Upcoming malls and hotels are a key of the kind of development that the region is expected to undertake. The more developed an area, the more valuable your property becomes. High property values are especially useful when you want to go in for rent out or selling, so that it gives you good profit.
  • Your Neighbors: Try to meet the people living in the neighborhood of the choice of your area. If they are unfriendly to the idea of having you as their neighbor, it’s likely to show in their behavior.
  • Finance: You need to work out the financial implications of buying a home. You will have to decide whether which home loan, which bank at pertaining interest percentage you want to opt for to finance your property. If you already have the money, you need to work out whether investing your money in a property will affect your other expenditures in any way as you may need some for unforeseen emergencies.
By admin | Also posted in Real Estate Information, Real Estate Investment | Comments (1)

Master Plan 2025 Revealed

December 20, 2010 – 11:13 am

The national capital’s satellite township of Gurgaon, is currently witnessing a growing trend of high rise residential apartments in its skyline. As much as 60% of the total population residing in Gurgaon lives in these high rise societies built by private developers like DLF, Unitech, Emaar MGF, among several others.

Most of these colonies are gated domains; the trend is gradually shifting from individual plots to gated colonies, add experts, who add that more such residential high rises will come up in new sectors under the Master Plan 2025 which is still to be notified. Individual homes have issues concerning security, maintenance and cost of construction on plots, which are many times higher compared to owning an apartment. This is because the land prices are at an all time high and affordability is prime concern, especially when it comes to the middle-income groups.

The new draft development plan-2025 of Gurgaon-Manesar Urban Complex will cater to the needs of a projected population of 39.7 lakh, compared to the earlier notified plan of 2021, which was planned for a population of 37 lakh.

Under the new plan, the area covered has increased from 37,069 hectares to 37,314 hectares, of which 15,009 hectares has been reserved for residential purposes, which was 14,930 hectares earlier. Out of 12 projects announced in the new sectors, nine are residential highrise apartments while only three are individual plots and villas.
Individual villas in these projects are 3/4/7 BHK and of price range between Rs 1.75-3.05 crores for areas ranging from 2,500-5,889 square feet, depending on the location of the project. On the other hand, residential apartments of 2/3/4 BHK projects with average areas between 1,600-2,200 square feet are priced in the range of Rs 50-70 lakh.
The only plotted colony which was recently announced was in Sector 73, by a private developer. It seems some time away before Gurgaon sees more plots floated by HUDA with the growing land rates and security still a major concern.

By | Tagged , , , | Comments (0)

Building Trust

December 14, 2010 – 6:54 pm

Bellevue — the Phase 1 condominium towers of Central Park II in Gurgaon has been creating stir in the buyers in Gurgaon, for the infrastructure it provides.

“Bellevue is a rare example in India to have obtained quality certificates from Grant Thornton, Jones Lang LaSalle-India, KCB Associates, Dema Consulting and Manu Jain leading auditors and consultants. These certificates carry seal of approval from the consultants on specifications relating to the construction quality and the structural integrity of Bellevue. Certificates are going to be handed over to each apartment owner at the time of possession” says Vineet Nanda, vice-president of business development at Central Park.

Bellevue, comprising over 400 exclusively-designed apartments of 2,350 square feet to 4,650 square feet, offers modern range of amenities. These apartments overlook the swimming pool and the sprawling greenery on one side and the Aravali skyline on the other. The amenities offered by Bellevue include an amphitheatre, a basketball court, tennis and badminton courts, power backup, double-level basement parking, solar water-heating, fire safety systems, highspeed communication networks and beautifully designed park and play areas for children.

State-of-the-art construction technology, known as Mivan shuttering has been used in the project, to impart solid structural integrity and a high-degree of seismic resistivity. The project has been designed by one of the world’s largest and well-regarded architectural firms HOK (formerly Hellmuth, Obata + Kassabaum).
Bellevue is very close to the heart of the Gurgaon city centre, IFFCO Chowk, the Metro station and the international airport.
Central Park is jointly promoted by Amarjit Bakshi and K S Bakshi. It also has Ashmore PLC, a leading international PE fund based out of UK as a third partner with an equity participation in the company. Currently, Central Park has over 2 million sq ft of existing development and another 6 million sq ft are in an advanced stage of planning and execution across verticals like upscale residential development, hospitality and Special Economic Zones. The company has the distinction of being a ‘Zero Debt’ company and its market cap is valued at over Rs 5,750 crore by the PE fund.

By | Tagged , , , , , , , , , | Comments (0)

The METRO Effect

December 13, 2010 – 6:38 pm

As the Delhi metro rail moves to the various parts of the national capital region, easing the day to day life of locals in the capital, market watchers term it as a perfect opportunity to expand its real estate business.

Most of the people are seeking rental accommodation close to metro stations, which is making life comfortable and better for them. It is has also boosted the demand for rental accommodation as well as commercial properties close to metro stations. As the metro network expands beyond the capital, it is has improved infrastructure and real estate demands. Ghaziabad is one such example, with metro touching Anand Vihar and slated to move into Vaishali and Vasundhara in Ghaziabad soon, the realty scene of the entire area has suddenly witnessed a major change.

The Delhi metro network has served to be a huge relief to large number of daily and occasional commuters, who had to struggle to reach their destinations due to a poor public transport system and chaotic traffic.

Metro’s ingress into NCR cities would prove to be a game changer for realty players, and the metro factor has led to the increase in demand for flats of almost all the realty firms, said Anil Sharma, CMD of Amrapali group.    While the Metro is on the move, there is still a great scope to improvise its service.

By | Tagged , , , , , | Comments (0)

Anil Ambani’s answer to Antilla

December 8, 2010 – 6:24 pm

Antillia, Mukesh Ambani’s 4500 cr Altamount Road residence and world’s most expensive family home, will soon have competition from Anil Ambani’s new house at Bandra’s Pali Hill. Antillia towers hover almost all of south Mumbai at 170 m, if Anil’s 150 m new house gets the clearance, it would dwarf everything in its sight in Bandra.

Ravi Muthreja, spokesperson for the Anil Ambani-controlled Anil Dhirubhai Ambani Group (ADAG), confirmed that the plot on the Nargis Dutt road will house a residence for Anil Ambani and his family. The 1537 square meter plot where the Ambani house is being built came to their possession in early 2000, when Reliance gained control of BSES.

Members of the Pali Hill Residents Association (PHRA), who are opposing the project, revealed that the Ambanis have got permission to build a 66 m tall structure and applications have been moved to raise the height to 150 m.

Meanwhile, they are building their case to oppose any move to allow Anil’s house to rise to 150 m. According to them the building will affect the water reservoir which supplies water to the Bandra and Khar residents and would also be in flight path of the planes.

Anil Ambani currently stays with his wife, sons and mother at the 17-storeyed Sea Wind building at Cuffe Parade.

By | Tagged , , , , , , , | Comments (0)

Chintels India’s New Venture

December 6, 2010 – 5:36 pm

In a press conference today, Realty firm Chintels India Ltd. said it will invest about Rs 310 cr over the next 3 years to develop a residential project  in the National Capital Region. The company has already acquired 12.3 acres of land for Rs 103 cr. Chintels India Ltd. has been active in the field of real estate in the NCR since 1992.

“This project will be developed in a location next to our ongoing township with Sobha Developers at Gurgaon. We will invest about Rs 205 cr in construction work of this group housing project,” Chintels India Joint Managing Director Prashant Solomon told PTI.

Chintels Serenity, group’s housing project will house 555 flats of 1,720-3,200 square  ft., with prices between Rs 64 lacs and Rs 1.2 cr. Construction is likely to start from May next year. Currently, Chintels India, has a land bank of about 450 acres, and is developing one integrated township and four group housing projects in association with Sobha Developers in Gurgaon.

By | Also posted in Real Estate Information | Tagged , , , , , | Comments (0)

REAL plans for Godrej

December 4, 2010 – 10:28 pm

Godrej Properties Limited (GPL), real estate segment of Godrej Group, has revealed its plans for the development of residential housing project at Mohali in Punjab, involving a capital of about four hundred and fifty crore rupees.

The company also has future plans for several cities, including NCR, Mumbai, Bangalore, Pune, Chennai and Chandigarh for development of residential projects in line to cash in on the growing demand for housing from urban sector.

“We are looking to develop a residential project in Mohali with a minimum land of 20-25 acres…we are in talks with certain land owners here for (entering into a) joint venture in this project,” stated the company’s MD Milind Korde.

GPL is already in the process of developing its first Rs 400 crore commercial project in Chandigarh, going to be completed by September next year. Company’s focus towards growing in the real estate sector of northern region can be realized from the fact that it has set up a 3,500 square feet office which will take care of its projects in northern region.

GPL, has presence in 11 cities across country, and plans to develop 83 million square feet of area in the span of next 8 to 10 years. It seems Godrej Properties is also keen on redevelopment of real estate projects particularly in Mumbai as they revealed their plans to go into redevelopment of areas like old buildings, cooperatives society houses and slum area in Mumbai. The company’s has other ongoing projects in Gujarat, Mangalore, Kochi, Chennai, Gurgaon, Pune, Bangalore, and Hyderabad.

By | Also posted in Real Estate Information | Tagged , , , , , , , , | Comments (0)

Loan Scam Backwash

December 2, 2010 – 4:38 pm

After the loan scam was unearthed last week, realty developers and companies providing home loan are finding it difficult to raise money from retail investors through corporate fixed deposits, despite offering coupon rates close to the maximum permissible limit of 12.50%.
The retail investors have become very cautious of the investments they make in the corporate schemes in the real estate sector. The schemes which were popular among the investors are also suffering from this blow.
Realty majors like Ansal Housing & Construction , Ansal Properties, Jaiprakash Associates and Unitech are offering coupon rates in the range of 10.5-12 .50%. Godrej Properties is said to be offering 8-9 % as interest on deposits.
In future the real estate companies may have to face more strict checks and laws say investment experts.  They also fear that the real estate companies will have to suffer if the alternative sources of funding are blocked. This may lead to the fall in actual sale of properties.
As one of the consequences of correction in overall property prices the realty developers may have to replenish margins that have fallen and will have to either borrow money or build more property in order to fill the gap in the lost margin.
In the wake of the loan scam Maneesh Kumar MD, Burgeon Wealth Advisors, added  “Real estate companies have not had an easy time ever since the meltdown of 2008 in rising funds. Recent headlines have further dampened the already difficult fund raising efforts by them.”

By | Tagged , , , , , , , | Comments (0)

35% people believe there will be no change in market

August 19, 2010 – 3:14 pm

Homeowners doubt these days of the future home values due to which they plan to put their home up for sale if they see the same conditions prevailing in next six months too.

According to a survey, 33% people believed that home values in their housing market are still above the bottom line while 38% believe that they have already reached a bottom.

28% homeowners expect a decrease in home values in the next six months. However, 30% of them are expecting an increase in their local market.

In totality, 27% of homeowners hope for an increase in their home values in the next 1 year, 12% expect a decrease in value, 35% say the value ill be same and 26% don’t have any opinion yet.

By | Tagged , , , , , | Comments (0)

CRISIL rated Raheja Universal Ltd at 3 stars

August 17, 2010 – 7:02 pm

Three stars
Raheja Universal Ltd’s is rated a three star on the scale of CRISIL. This implies that the proposed issue of Rs. 864 cr. is an average proposal as compared to other listed ones.

Mumbai will soon be gifted around 70 million sq ft of developed area by Raheja Universal out of which 26 million sq ft will be the commercial segment and 44 million sq ft will be residential segment.

The three stars received by the company from CRISIL reflect its strong position in the realty business in Mumbai. Due to its good execution track record and high quality construction, it has been able to maintain its image as a good brand. This brand name has been the major reason for the company being able to command premium prices over its competitors.

Also, other than this, the company owns an area of 1,202 acres across eight Indian cities.

By | Tagged , , , , , , , , , | Comments (0)

Melancholy of Realty

June 6, 2010 – 10:59 pm

Banksy in Boston: F̶O̶L̶L̶O̶W̶ ̶Y̶O̶U̶R̶ ̶D̶R̶E̶A̶M̶S̶ CANCELLED, Essex St, Chinatown, Boston
Photo by Chris DeversThe destiny of realty is dependent on the economy’s progress. But setting price targets is an empty exercise. Derivatives did infuriated problems but the issues started with lending aberration.Rating agencies gave bad loans higher ratings than deserved and due diligence was pathetic. Some Related Stories News Now - Tall is beautiful for realty players in Mumbai - MARKET VOICE: Senior VP, Jaypee Capital - Textile mills,Saurav Arora, ride realty boom to sell land, raise cash - Real estate projects upgrading in Tier-II and Tier-III cities. Most derivatives were extensions of securitisation, which is a well-established system. A loan can be reduced to a net present value at a negotiable discount rate. For instance, a one-year loan of Rs 100 is made at an interest rate of 10 per cent, when the fixed deposit rate is 9 per cent. The NPV of that future Rs 110 is Rs 100.92 at a discount rate of 9 per cent.The risk involved is directly proportional to discount rate. Note that since the future cash flow is zero the NPV of a bad loan is zero . Bonds may be issued against aggregate cash flow. If the parceled loans have different ratings and rates, the holders of more secure loans (senior tranches) receive less interest while the holders of high-risk tranches receive more interest. If contributors to such securities want protection, they can take out credit default swaps. The US real estate industry built impressive pseudo programs upon these concepts. Collateralised debt obligations (CDO), as the securities issued on bad contracts were called, were covered by CDS. If there had been honest ratings on loans, the CDOs would have been priced close to zero. But CDOs weren’t traded on exchanges. As a result, there was no price-discovery. Abdicating all derivatives as a consequence of elementary intermission in due diligence is not so intelligent. If CDOs had been standardised into lots and exchange-traded, the problems would have been a bit light far before. Information would have been immensely available and exchanges would collect quite appreciable margins from traders. So prices would have crashed but defaults would have survived. Off-exchange derivatives are often non-standard because they are adjusted for particular requirements. Suppose typical currency and interest rate swaps. An importer needs some predetermined amount of a given currency this month and decides to return that amount next month. Or, somebody wants to convert a fixed interest rate to a floating rate. A negotiable swap is a more sensible decision. So regulators will have to opt some ways to allow normal business transactions while preventing absurdity. India lacks a secondary debt market and lack of timely legal recourse in case of default. This makes lenders extra alert. This is not cause for self-praise. Financing would be easier if liquid debt markets existed and lenders were more assured of debt-recovery. This will lead to a faster growth.Indian realty developers are permanently cash-smacked. For a short while, they found it comparatively easier to raise money before the US crash. In the past one year, housing finance loan volumes have shown some signs of recovery but this is confined more in tier 2 and tier 3 cities and in “affordable housing”. The global gradual halt also meant project slowdowns so there won’t be enough action presently. Credits are only booked when a project is completed and sold. As a result, many developers will gain significant credits in 2011-12. Most developers have projects ready but those will be delivered in 2011 and 2012. Using assumed prevailing prices at the time of delivery, the NAV per share of a real estate developer can be calculated. Share valuation methods all depend upon imaginations. But this system has so many complicated valuation aspects that it’s probably best ignored. If the economy hikes, real estate will make a recovery. But, setting price targets is an exercise in vain.

By | Tagged , , , , , , , , , , , , , , , , , , , | Comments (0)

“Kasa Isles” by Jaypee Greens

May 16, 2010 – 12:19 am

Welcome Sunlight
“Kasa Isles” is the new project recently launched by Jaypee Greens. This is an anomalous project which has taken inspiration from the Mediterranean style architecture. This project will introduce high rise flats and is located at Sector 129, Jaypee Greens, Wish Town, Noida.

There will be somewhere 2000 apartments in “Kasa Isles”. These flats fill you with delight and make your living worth. These luxurious flats are in the reach of common man and thus have the potential of attracting individuals. Studio apartment, Duplex Penthouses and 2/3/4 BHK apartments in sizes ranging from 550-3100 sqft will be offered in this project.

This project is highly influenced by the Mediterranean style architecture, especially its ambience and landscaping. The green parks guarantee hi-quality lifestyle for its residents with its large range of recreational facilities like central club and with low-height stone fountains. Some more facilities are Italian style swimming pool, sports facilities for Tennis, badminton court, jogging tracks, Card room, Mediterranean cuisine restaurant and many more.

The price list has a BSP of Rs 3390/- per sqft.

The most attractive feature of Kasa Isles is the club it is offering to the residents. In order to give its members a warm welcome, it has soothing interiors created with terra cotta walls blended with stacked stones in the club. A complete home is offered with wide & low windows, arched entrance opening to wide sitting areas, a stone fireplace, and beautiful hardwood floors.

By | Tagged , , , , , , , , , , , , , , , , | Comments (0)

New Project by Jaypee Greens-Kensington Boulevard

May 15, 2010 – 8:28 am


Jaypee Greens, a division of Jaiprakash Associates Limited brings you high-rise flats with cool environment as they launched a new project-‘Jaypee Kensington Boulevard at the Jaypee Greens Wishtown, Noida. All modern amenities such as thematic gardens, symmetric flow of the elevations of the apartment towers and of the residential plots will be offered.

One of the key attractions of Kensington Boulevard is its clubhouse which has shopping areas, swimming pool, sports facilities for outdoors like Squash, Tennis, Skating rinks, Table Tennis , Health Club with well equipped Gym, Sauna etc, enclosed hall for Martial arts / yoga & meditation and many more.

2/3/4 BHK Apartments, Studio flats and 3/4 BHK Duplex Penthouses will be offered. A total of about 2500 flats exist under this project. Exclusive apartment layouts with un-ending views for the residents exhibit the uniqueness of this project. The Price List has BSP @ 3330/sq ft.

By | Tagged , , , , , , , , , , , , , | Comments (0)

Apartments in Demand Again

May 4, 2010 – 4:04 pm

Aarti Yadav, an IT sector worker adjourned her plan to buy a new home,  is searching  for a 2BHK apartment in Hinjewadi according to her budget. Job security, easy sanction of home loans and other signals of economy being back on track are attracting many others, who were in a wait-and-watch mode, to buy flats, supporting an outburst in realty demand in the city.

Vice-president of Confederation of Real Estate Developers of India (CREDAI), Rohit Gera, Pune, said the commotion in demand had prompted many builders in the city to go for new projects, which they had been avoided during the downturn. “In the last few years, unenthusiasm of builders was noticed to take up new projects. Also, many good and promising projects were on a slow pace. But now, with the market showing positive signs, builders have started to pitch in.” The construction has hiked again.

According to Gera, the realty sector in Pune had begun to catch the increasing pace as observed from October last. “People who had some plans for new homes were waiting as there was an ambiguity in the job scenario and banks were not interested to give home loans. People have started to buy properties with the industry recovering on a hike and the RBI lending support to banks, creating a rush in demand.

Demand has hiked for budget apartments along with the luxury sector. “There is a rise of at least 12-15% in the property.”

Vice-president, Estate Agents Association of Pune, Kishen C Milaney, reported that the builders had started “customising” the apartments. “Previously, developers used to offer spacious 2BHK apartments of above 13,000 sq ft that came with a higher price tag. But now, 900-950 sq ft apartments are offered at a lower price, and they are finding many takers.”

He said the demand for apartments was increasing efficiently. “The demand is not restricted to any particular area, but the city is growing in all areas.”

The overall optimism in all sectors and better job visibility among the salaried class are the reasons for the new-found boom.  An attempt made to increase in prices may decrease the demand.

By | Tagged , , , , | Comments (2)

Wonder of Connectivity

April 18, 2010 – 8:58 am

Express way - Greater NOIDA

Development of new connectivity can add immense value to an area. It not only provides opportunity to the developers to do more business but it also provides new options to end users. Best of all, it helps in containing the price rise of real estate in the main districts of a town.

The newly built bridge over Hindon river near sectors 121 and 119 in noida has reduced the distance of Greater Noida Sectors 1 and 4 from main noida to almost half. Because of the bridge, noida’s connectivity has improved so much that the new area is termed as noida extension. Since then a number of developers in the area have launched apartments in the price range of Rs 9 lakh for 1BHK apartment to Rs 15 lakh for a 2BHK and Rs18 lakh for 3 BHK.

The distance of sector 1 and sector 4 of greator noida, where a number of townships are being developed, has reduced to about 11km from main market place, sector 18 in noida, because of the bridge. Earlier, the distance from sector 18 to the place was around 18km. The distance from main commercial centers like sectors 61 and sectors 62 too has come down to around 8km from the earlier 14km.

The new bridge has also added value to Crossings Republik, a township on around 350 acres of land being developed by a consortium of around 10 developers. In this township, a number of projects are near completion and possessions are likely to be given to the buyers in the next couple of months.

Before the construction of this bridge, one had to travel to reach areas via NH 24. Not only is the distance via NH 24 longer, but NH 24 also remains congested most of the time, and as a result homebuyers were reluctant to purchase these apartments in these areas.

The National Highway Authority of India (NHAI) is planning to expand NH 24 to six lanes, which will further improve the connectivity to the trans- Hindon area. But the implementation will take time.

The new bridge on Hindon has come up on a 130 meter-wide connectivity road from South Delhi via a bridge over Yamuna at Kalindi Kunj.

If this road is completed and NH 24 is six laned, the connectivity to this whole area to delhi and Ghaziabad will further improve. The Crossings Republik, which is also just across the river, will be hugely benefited because  of this new connectivity.

By | Tagged , , , , , , , , , , , , , , , , , , , | Comments (0)

RBI Increases Loans On Realty

April 16, 2010 – 8:01 am

Reserve Bank of India, Kolkata

The Reserve Bank of India has asked banks to set aside more pelf for loans to realty projects which may eventually make borrowing more costly for builders. An increase in capital requirement will force banks to hike the rate of interest on such loans.

SA Bhat, chairman and managing director of Indian Overseas Bank gave his perception saying “If RBI does not raise cash reserve ratio and keep signalling rates undisturbed, my feeling is that it may strictly check the prudential norms. A hike in risk weight, particularly on real estate loans, is not ruled out.” According to the latest available data, banks exposure to commercial real estate is approximately Rs 88,581 cr.

The money that is kept aside to calculate adequacy ratio is called the Risk Weight which is 9% for all banks. Banks have to set aside less capital for borrowers with higher credit rating. For a triple A clients, the risk weight is 20%, which means banks have set aside Rs 1.80 of its own capital for every Rs 100 loan to such borrowers.

The risk weight for realty sector companies is 100%,  that is Rs 9 have to be kept aside for every Rs 100 loan to builders. This may increase to 125 percent or even 150 percent in the policy that are yet to come. To help builders and banks cope with the crises, RBI had lowered it to 100% from 150% during the decline.

As said by Hemindra Hazari, head of research Karvy Stock Broking said “Government and banks released real estate companies by financing them. Prices did not come off significantly because the growth in the realty sector was higher than the overall credit growth.Revival in the sector has landed in hike in the realty prices and now RBI may need to make an effort to lower down prices.”

Unlike personal loans, which increase only 0.7% as banks slowed down when customers began to default, they continued lending to builders. It was not justified since it meant financing a high risk sector.This did not dropped the realty prices to the extent that it actually should.Some bankers think that RBI may raise standard provisioning on commercial real estate loan, which is now at 1%. It is the money that banks set aside from their earnings on standard loans to protect their books if the borrower defaults.

By | Tagged , , , , , , , , , , , , , , , , , , , | Comments (0)

Brokers Turning into Consultants

April 13, 2010 – 8:27 am


Orlando 08 nickgigante.jpg
April 13, 2010

In order to face the competition from foreign rivals, the local brokers plan to renovate their image by turning themselves from brokers to consultants. To give a tough competition and appear professional, their idea is to transform their appearance. Laptop in hand, Necktie, some executive finesse and changed destination might assist the task of refurbishing the image.

Mr. Vibhoo Mehra,a broker from the western suburbs protested that they should not be addressed as real estate brokers. It sounds very downmarket. They should rather be called realtors or consultants. Even a conference took place on this concern which was attended by around 600 real estate agents.

Brokers must look professional and presentable is the belief of some panelists at the conference organized by the National Association of Realtors India (NAR).

NAR treasurer Kalpesh Shah said that not just the outlook will be changed; rather they want brokers to be well informed about their projects too. It will gain the attention of buyers. He also informed that the international broking firms are posing a threat to local brokers since they have started biting a chunkier share of the day-to-day brokerage pie.

City builders like Sunil Mantri, Niranjan Hiranandani and Pravin Doshi were also seen in the conference.

By | Tagged , , , , , , , , , , , , , , , | Comments (0)

Jaypee Greens Launches Kingswood Oriental Project

April 13, 2010 – 8:23 am

Jaypee Greens

Kingswood Oriental, a new project launched by Jaypee Greens, has got attestation from oriental architecture.

Jaypee Greens in Noida is introducing a new product at Jaypee Greens Wish Town,Noida that will be called “Kingswood Oriental”. This construction will consists of independent residential villas extravagant view of golf greens on one side and a chip & putt golf course on the other.

The built up area is approx 3,700 sq ft and 4,600 sq ft.The suggested price of these exclusive homes starts from Rs 3 cr at a basic selling price of Rs 8,100 sq ft where each villa will have three floors.

Community special features

Kingswood Oriental is planned to be a separate community within Wish Town and admittance will be restricted only to the buyers and their guest. It also offers Multicoloured Oriental style wall paintings in common areas like social clubs,etc

Home features

To match the compatibility with oriental feel use of wood and bamboo is made in Private lily ponds in each home Provision for elevators in each home Jacuzzi in the master bathroom Miniature gazebo in the back garden of the house Terrace garden with barbeque Top-of-the-line security system featuring videophones and burglar sensors

Oriental clubhouse

Especially designed clubhouse which has been designed using essence from the Southeast Asian architecture, takes approximately 60,000 sq ft of built up area Wellness zone with state-of-the-art gymnasium and fitness centre;yoga,aerobics areas accompanied with Multi-cuisine restaurant Exclusive members lounge area Party halls & gardens

Range of sports facilities

Apart from all the world’s luxury Jaypee also provides yours residence with sports facilities. Tennis courts Squash Swimming pool Pool/snooker Library. The Kingswood Oriental residences will be a perfect accordance of luxury lifestyle with a touch of oriental architecture, combined with the latest technology for leisurely life.
you should prefer  Wish Town because of its location that is close to the Noida-Greater Noida expressway.Also,it is just 10 minutes drive from Ashram Chowk and it is marked to have Metro connectivity in the near future.

Jaypee Greens in Greater Noida bagged the Best Golf Development-India from CNBC Asia Pacific Property Awards in 2008.

By | Also posted in Real Estate Events | Tagged , , , , , , , , , , , , , , , , , , , , | Comments (0)

Vision India Arrives IN Chennai

April 10, 2010 – 3:20 pm

survivors

A business group in the US named Vision India Real Estate is bankrolling a sum total of $5 million in an upcoming residential project in Chennai. The project belongs to Gem Group. This is the first time that the US Company is going for a joint development project. It is proposing an investment of $100 to $200 million (approx. Rs 920 crore) in the coming 3 years.

The company delegates was studying the market for previous 24 months and the entered India 2 years ago.

The company is in colaboration with Chennai-based Gem Group to build a Rs 320-crore project at Padur on Old Mahabalipuram Road. The company is thinking upon to develop logistics parks in Bangalore and Chennai, which will be spread over 47 acres each.

A special purpose vehicle has been floated for the purpose. The plan is proposed in such a manner that the Vision India would develop the residential projects on the land provided by Gem Group.

The concerned authorities said, “We have also initiated talks with retail houses, automobile majors, pharma companies and others”. Vision India Realty is a unified property development and asset management group that manages and also develops the hospitality residential facilities in India. It will also invest in some other projects as well.

Over the upcoming three years, Vision India Real Estate is planning to invest $100 to $200 million, as told by Mr Elad to ET. The company has set a target of $500-700 million (Rs 2,300-3,220 crore) turnover in the next three years.

Since the Chennai Market is much more stable than other cities therefore the initial focus will be on this for housing projects. It will touch the hospitality sector in the next year.

The progress reports by Ilan Elad say that about 40 million sq ft has been developed which includes about 5 million sq ft towards hospitality and about 15 million sq ft has been for residential segment.

A project called Gem Grove is planned to be built on 6.64 acres of land at Padur on the Old Mahabalipuram Road in Chennai. The project is a residential project of about 320 cr. It will accommodate 712 housing units covering a built-up area of approximately 8 lakh sq ft.

The chairperson of Gem Group R Veeramani complemented the decision to partner with Vision India saying that it is to tap their excellence in developing such projects in the US and Europe.
The projects by Gem Group are marketed by Homebay, starting at Rs 2,399 per sq ft.

It will set its 3 blocks ready for  occupancy by July 2012 with the remaining three blocks ready by May 2013.

By | Tagged , , , , , , , , , , , , , , , , , , , , , | Comments (0)