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Showing posts from October, 2008

Assotech NEST

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Bubble Gone `Bust'

Bubble Gone `Bust', Developers Build On Dream With Free Gifts To Attract A Market With the Sensex taking one tumble after the other and amid a liquidity scare in the banking sector, the real estate industry is coming up with novel ways to attract a market that is slowing down. Sources said the market has gone down, especially in the suburbs, to an extent that as opposed to 50 to 100 flats booked each day in Gurgaon this time last year, Thursday recorded not a single booking. Therefore the freebies, say experts. Jaypee Group has, for instance, offered a car for every flat booked at its housing projects in Noida and Greater Noida. In the Jaypee Greens project at Greater Noida, one can get a Maruti Swift, a BMW, a Mercedes or a Toyota Land Cruiser as gift, depending on the category of flats bought. "If the value of a villa is Rs 4 crore and you get a Mercedes worth Rs 25 lakh, it is actually a discount being offered by the developer instead of reducing the price of the flat, or o

Developers focus on integrated townships

Amid a depression in demand for residences, builders and international property consultants have started realising that ‘integrated townships’ are the next trend across the country. Even as DLF Ltd is planning to develop 4,840-unit ‘Dankuni’ township in Kolkata, the Housing Infrastructure Development Corporation (HIDCO) is constructing 9,334-unit ‘Rajarhat’ township in the outskirts of Kolkata. Emaar Group is planning to develop 520-unit ‘Boulder Hills’ township in Hyderabad. Parsvanath also is planning to develop 2,500-unit township in Chennai. This is according to a recent market overview done by Jones Lang LaSalle Meghraj. According to the review, Ascendas is planning to set up 5,000-unit township in Chennai. Suncity is also in the process of acquiring land and to develop a 1,500-unit township in Delhi. Uppal Chaddha is acquiring land to construct 2,700-units township in Delhi. Unitech is planning to develop 1,050-unit Unitech township in Chennai. BPTP’s 1,200-unit BPTP Parkland tow

Yamuna Expressway Authority

Yamuna Expressway Authority (YEA) Buys Plots Directly From Farmers A revolution of sorts is reportedly unfolding at Gautam Buddh Nagar here, as the Yamuna Expressway Authority (YEA) has started purchasing plots directly from farmers. It made the first purchase on Friday evening. Greater Noida sub-registrar Rajesh Tiwari informs, "On Friday two sale deeds were executed in favour of YEA by farmers of Atta Gujran and Gunpura for five hectares ." The YEA will develop the land along the Yamuna (Taj) Expressway from Greater Noida to Agra. Farmers here have been clamouring to have a final say in the sale of their lands. The government acquired their lands to carry out development projects after issuing notifications on the land. "Earlier the land was acquired by the authority but no sale deed was executed. Under the direct purchase system, the sale deed is executed, yielding extra revenue in form of stamp duty. We earned stamp duty worth Rs 20 lakh from the two sale deeds,"

GDA to launch 1200-acre mega city

GDA to launch 1200-acre mega city plan next month New Delhi: Owning a house in the National Capital Region might become a reality for many living and working here. After National Building Construction Corporation announced its first residential project in Delhi by this year-end to provide affordable houses, Ghaziabad Development Authority is now gearing up to launch its Madhuban-Bapu Dham mega city project, spread over 1,200 acres, next month. Located about 10 km from Kaushambi border, the proposed scheme will offer about 10,000 plots. The plot size will be in the range of 50 sq feet to 250 sq feet. ‘‘We have already got 800 acres and are negotiating with the farmers for 400 acres more. We are quite sure of launching it next month,’’ said GDA vicechairman S K Diwedi though he was non-committal about the time-frame for the project to be completed. He said the new city will have enough space for commercial development besides having provision for malls and other services. ‘‘Ther

Arihant Ambiance

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Commercial Plot in Noida

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Noida Calling: One More Golden Opportunity to own a Commercial Plot in the Heart of Noida

Expensive Gift Shop

Real Estate In Dumps, Developers Opened An Expensive Gift Shop To Drum Up Demand For Property To Prop up the fall in real estate prices, developers in the Capital's outskirts have opened an expensive gift shop to drum up demand for property. A set of duplex flats is being offered along with a BMW or even a Mercedes as bonus. Some others come with tickets to the Alps or a seven-day sojourn in London. And the most lucrative gift of them all? A flat free if you buy in bulk of five to 10. Diwali has always brought free bies from the developer community. But this year's festivities have come with a liquidity crunch coupled with a drop in sales, builders told Newsline. What's On Offer Assured 12% return on Commercial Property Discount @Rs 50-100 per sq ft on basic property rate Construction linked plan: some developers seek 50% of total amount during construction of project; rest to made at the time of possession Inaaugural discount of Rs 100 per sq ft or more at launch A Gurgao

Towns promise slow on progress

Sonepat, Dharuhera Baghpat, Bhiwadi and Meerut are Pockets of promise slow on progress With the metros getting saturated where development is concerned and the high home loan rates, property in Tier-I cities is going beyond the reach of many people. For those looking at alternate options the obvious choice will be the smaller cities near Delhi. So we have places like Sonepat, Dharuhera Baghpat, Bhiwadi and Meerut, but one wonders how ready are the people of Delhi to move in here. One does get used to a certain kind of lifestyle in the Capital. And though these towns definitely have potential for the fu ture, they have quite a distance to go before they come up with good infrastructure that's somewhat close to Delhi standards. "The problem with development in North India is that of connectivity - a must if people have to look at options out of Delhi. Do that and no one will want to clog the Capital. People work in London but they stay in the countryside, because they have been

GDA plan for guest houses

Plan for guesthouses hits a roadblock, Kaushambi RWA and GDA have locked horns over the issue The Ghaziabad Development Authority's (GDA) preparations for the Commonwealth Games have once again hit a roadblock. The Kaushambi Residents Welfare Association (KARWA) and the GDA have locked horns over developing guesthouses in the area. The issue got a setback when, after initial announcement of developing guesthouses on 14 plots, the GDA increased the number to 19 plots in Kaushambi alone. There are only nine other plots being developed in other areas. "A signature campaign was undertaken with 3,000 participants and on the basis of GDA advertisement we have filed objection on the project in Kaushambi. Each plot, as per GDA announce- ment, will have 20-22 rooms. This will make the area an Why other Paharganj. should Kaushambi have such a large number of guesthouses? There are other areas on the border as well?" says Dr. K. K. Sehgal, member of the delegation that took up the m

GDA To Launch Madhuban Bhapu Dham

GDA Decide To Launch Madhuban Bhapu Dham residential scheme and 5,000 EWS houses The Ghaziabad Development Authority (GDA) has decided its launch its Madhuban Bhapu Dham residential scheme under which plots will be allotted in Madhuban, while builders are also expected to build a township in Sadarpur. Besides, a scheme for 5,000 houses for the economically weaker section will also be launched on October 2, the birth anniversary of Mahatma Gandhi. But the houses that GDA is bringing will be cheaper than those being built by builders, according to the sources. According to GDA vice-chairman S.K. Diwedi, some 10,000 plots will be allotted. He confirmed that builders were also coming up with their scheme for a township at Sadarpur. The GDA is finalising its Madhuban Bapu Dham scheme on Hapur Road, which will be launched on Diwali, he said. Over 1,230 acres of land in Sadarpur, Morta, Duhai, Rasoolpur, Nanglapath and Yakubpur villages has been acquired by the GDA. Some more land would be ac

AC buses proposed for NCR

AC buses proposed between Delhi and Noida, Greater Noida Those travelling between New Delhi and its neighbouring towns of Noida and Greater Noida can look forward to the comfort of air-conditioned buses that would also ease congestion on national capital region (NCR) routes and improve connectivity. The Uttar Pradesh Transport department plans to launch a new fleet of AC buses soon - a proposal that was discussed at a meeting Saturday in the Uttar Pradesh Sadan in New Delhi. About 100 new AC low-floor buses would be introduced between Noida, Greater Noida, Ghaziabad and Delhi. "We are working on deciding the routes, fare structure, economic viability and the model of these buses," said Uttar Pradesh Transport Commissioner Vinod Shanker Singh at the meeting attended by senior transport officials of the state and Delhi and private transporters. "We have also invited suggestions from the private operators running similar service between these regions," he added.

Wait & Watch To Buy Your Dream Home

Rishi and Ria are tired of shifting from one flat to another after every 11 months. They have been searching for their dream home, but the current market scenario has made them think again if it's safe to go in for a buy right now? Real estate developers and international property consultants are also keenly watching the current slowdown in the real estate sector due to an amalgam of reasons. These include high interest rates on home loans, reduced liquidity among developers because of credit crunch apart from lack of availability of affordable housing. Being at a defining point in the history in the real estate, it's time to know as to how will the sector perform in the next year. Rarely has a business sector seen so much churn, conjecture, simultaneous pessimism and optimism and prophetic predictions in just a few months. Anuj Puri, Chairman and Country Head, Jones Lang LaSalle Meghraj says, "Due to the ongoing inflationary trends, the Indian real estate sector is likely

Tax Cuts For Indian Realty Developers

Govt Hints Of Tax Cuts Possible For Indian Realty Developers To Encourge More Affordable Housing A possible swing towards more affordable new homes for sale in India is being bolstered by government hints of tax cuts for related building projects. The Financial Express reports commerce and industry minister Kamal Nath said the government would look at duty breaks for constructors and materials. More expensive sections of the Indian real estate market are currently seeing a serious slump, although demand for cheaper properties remains high. A reverse in the construction of pricier new homes is expected to prompt some developers to start concentrating on mid-level and affordable housing schemes. Quoted by the Express, Mr Nath said: "Affordable housing is important. We need low-cost housing. I favour what stimulates the sector. "The government has to look at it [reducing high duties on construction and building materials]." The paper also said Mr Nath added the Indian real

DDA new housing scheme

If You Miss Out On DDA, Try NBCC,Will Soon Launch A Scheme For 2,000-2,500 Houses In South Delhi If you fail to get a flat in the current DDA housing scheme, don't lose heart. National Building Construction Corporation, the largest public sector construction company, will soon launch a scheme for 2,000-2,500 houses in south Delhi, near Mehrauli. For those who dream of a house in the city, the scheme is a winner as the flats which will come up in an area of about 30-35 acres near Mehrauli, will be available at prices much lower than the prevailing market rate. NBCC, which is set to announce the project by the year-end, is also working on housing projects in Gurgaon and Greater Noida. Preliminary estimates suggest that a two-bedroom flat would cost around Rs 20 lakh, a three-bedroom flat around Rs 30 lakh and four-bedroom flat around Rs 40 lakh. ``NBCC is going to sell these properties at cheaper rates than private sector builders at the same locations,'' said Arup Roy Choudh

Paramount Group In An Interview

'Infra Boom Will Impact Prices': Ashwini Prakash, Executive Dir. of Paramount Group In An Interview With an investment plan of Rs 300-350 crore over the next one year, Paramount is planning to acquire land banks for developing malls and IT parks. Executive director of the company, Ashwini Prakash spoke to Our correspondent. He said that the gap between demand and supply still remains large. Housing is the basic need. He added that this will compel people to buy even at stable rates. Excerpts from the conversation: During a period when developers are witnessing correction, what is your strategy of selling your project? Have you also brought down your prices? The term which you have put as "correction" in my opinion is "wait and watch" situation for customers who are selective and conscious when deciding about the property. In the present scenario we have started broadening our customer base and targeting different segments of customers through the media, by e

Time to buy your dream home?

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Is it time to buy your dream home? With real estate prices now beginning to get real and developers wooing buyers with sops and freebies, experts assess whether it is the right time to buy your home This is one question for which there are no easy answers. With prices high, interest rates steep and the sector slowing overall, buyers are not easy to come by. But the question that inevitably follows is if prices are likely to fall or if it is time for the much talked about correction in the real estate sector. Experts say that with real estate prices now beginning to get real, this is the right time to buy your dream home. In the past six months, prices have plunged 5-10% across India and developers predict a further slide of 10% before the housing market bottoms out. Says Raminder Grover, CEO of Mumbai-based Homebay Residential Pvt. Ltd, a subsidiary of Jones Lang LaSalle Meghraj: "This is a good time to buy your home because you can negotiate with developers. You can bargain for m

UP on township development project

Finance firm to advise Uttar Pradesh on township development project Non-banking finance company SREI Infrastructure Finance Ltd has bagged a contract from the Uttar Pradesh government to advise it on an integrated urban development project, to be developed on public-private-partnership model, a top company official said here Saturday. 'We have got the advisory role for the integrated Uttar Pradesh township development project,' SREI chairman and managing director Hemand Kanoria told reporters on the sidelines of the company annual general meting. The major thrust areas under the purview of the project will be development of power, urban rejuvenation, road infrastructure, health care and education. SREI's role in the project will be to conceptualise and manage the bid process and select appropriate developers. It will play the advisory role for six projects in Uttar Pradesh - Agra, Aligarh, Allahabad, Meerut, Ghaziabad and Varanasi. Sources told IANS that the total size of

Maya’s projects remain on paper

During the last 18 months, since BSP came to power in Uttar Pradesh — the most backward state of the country — Chief Minister Mayawati announced around a dozen mega development projects worth Rs 130,000 crore. But most of these projects still remain only on paper. All these projects are related to development of infrastructure in different sectors, like roads, public transport, technical education, health, tourism, power, aviation, urban development. To project its seriousness to get these projects moving, the state Government unveiled a new State Economic Policy in December 2007. It also created a new Department of Infrastructure. But so far, there has been a very little progress. The only exceptions are the 165-km Yamuna Expressway between Greater Noida and Agra, which is expected to become operational before the 2010 Commonwealth Games in New Delhi, and thermal power projects like Anpara C, Rosa and Meja where work is on currently. Explaining the delays, a government official said:

Panchsheel Wellington

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Realty rebound

The slowdown in the Indian real estate sector will not last long. The Cushman & Wakefield's Real Estate Investment report for 2008, The Metamorphosis, points out that in the long-term perspective, strong demand for real estate will remain intact in India. The report says that the pan-India demand for real estate across office, retail, residential and hospitality sectors is expected to cross 1,000 million sq ft by 2012. A major portion of the demand, at around 876 million sq ft, however, will come from the seven major cities as shown in the chart. A dynamic workforce, liberalized economy, robust demand for real estate across sectors are key factors that will make the Indian market in the coming times more reliable for investment especially in the real estate sector, the report says. The residential segment will continue to drive real estate demand with 687 million sq ft, contributing 63% throughout the term under consideration. Despite the expected slowdown in the office mark

More Hotel Rooms In Delhi by 2010

The tourism ministry will form a panel to suggest measures to increase the availability of hotel rooms before the 2010 Commonwealth Games,which will be held here. Based on the report of the panel, the ministry will come out with schemes. The government is expecting one-lakh visitors at the games. "The whole focus is to create additional accommodation facilities and ensure that there is enough room for all. Besides, short supply has been driving up room rates, which we need to counter," a senior tourism ministry official said. At present, there are only about 11,000 rooms in star-category hotels in the National Capital Region, against the ministry's estimate of 30,000 more rooms during the games. The official said that going by the present trend, only 2,000 more rooms would be available. The government has given a five-year tax holiday to two-, three- and four-star hotels and convention centres in Delhi, Faridabad, Gurgaon, Noida and Ghaziabad. Besides, upgradation and ren

Maya Repackages Noida

Maya Repackages Noida For Investors: The area to the investors in a fresh way With recurrent incidents of violence sullying the image of Greater Noida the industrial showcase of Uttar Pradesh the Mayawati Government is making all out efforts to re introduce the area to the investors in a fresh way. The government is advertising Greater Noida as "a city planned from scratch to remain ahead of times offering world class environment for growth." To attract investors, it is using phrases as "own, develop and operate India's largest Sports City in Noida." The state government has also earmarked 750 acres of land in Noida, exclusively for this purpose. Also to regain the trust of industries, the government has given the additional charge of Labour Commissioners to the CEOs of the twin towns. Besides, it has constituted an Industrial Relations Unit comprising two deputy superintendents of police to sort out the industry related issues. On August 14 during a protest by

35 New Satellite Townships

35 New Satellite Townships, on the lines of Gurgaon and Noida, on the PPP foundation The government is set to create 35 new satellite townships, on the lines of Gurgaon and Noida, on the public-private partnership (PPP) model. Such townships will come up along cities having million-plus population. The urban development ministry has forwarded its proposal to the Cabinet for its approval. Official sources said the finance ministry has approved an initial corpus of Rs 500 crore in-principle for the project. It would be topped up every year depending on the number of projects the government receives from states, an official said. The government is making efforts to accommodate at least 40% of the nation's population in urban India by 2021. According to an official estimate about 70% of the country's population is still living in rural areas. The biggest challenge before the government, however, is to create cities with adequate economic activities, urban development secretary M Ra

NCR sees fall in real estate projects

New housing project launches in the national capital region (NCR) slumped by 20% during January-June 2008. This is explained by the slowdown in demand due to appreciation in real estate prices and rising interest rates for borrowers. The first half of this year also saw a marked shift in developers strategy towards mid-income houses, as the high-end segment witnessed increased resistance from buyers. Project launches in the high-end category fell by two-third to just 5, while mid-income housing project launches rose by over 20% to 37. As per a report by international property consultancy firm DTZ, the absorption of mid-income houses in July at 76% had overtaken that of high end houses (68%). This means that high end houses are selling at a slower pace than the mid income segment. The report says that the share of mid-income housing in the overall residential supply is expected to rise to 62% in three years, compared to 22% currently. This translates into a CAGR of 131% for mid income h