tag:blogger.com,1999:blog-306704612012-01-31T16:54:51.922+05:30Everyday Update on Real Estate Market in India.Webmasternoreply@blogger.comBlogger5381100tag:blogger.com,1999:blog-30670461.post-74051637712579638952012-01-23T12:20:00.001+05:302012-01-23T12:23:36.366+05:30

Mumbai residential prices registered CAGR of 14.6% over the last 8 years. Anecdotal analysis shows CAGR growth of 9-10% over the last 2-3 decades. We believe the unprecedented growth in Mumbai prices is not sustainable and will undergo mean revision over the next 1-2 years.Ears on the Ground and site-visits verified availability of discounts up to 5-7% depending on the project. Developers have

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-43124948989387737372012-01-15T11:45:00.002+05:302012-01-15T11:47:31.473+05:30

The following Chart Shows the Historical Housing Loan Accounts Data in India. By this we can estimate the top 5 Real Estate Markets in India - Mumbai, Delhi NCR, Bangalore, Chennai and Pune.

Webmasternoreply@blogger.com1tag:blogger.com,1999:blog-30670461.post-25650529543318882012011-12-28T13:11:00.000+05:302011-12-28T13:11:00.178+05:30

Bangalore / BengaluruAbsorption in Bengaluru remains healthy; average for the past one-year is more than 6msf per month.New launches were the least in past one-year. 4msf of new launches compared to monthly average of 7msf for the past one-year.Inventory level maintained at 80msf, high but not alarming. Inventory level in months of sales is at 15, within the range of 13-15 for past 12 months.In

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-16066405562580663622011-12-27T13:09:00.000+05:302011-12-27T13:09:00.632+05:30

In Mumbai, absorption has been declining since November 2010; absorption at 6msf is at its 25-month low.New launches at 4.5msf less than half on YoY basis; however, launches can jump up sharply, if the approvals are back on track.Even though new launches have reduced considerably, the reducing absorption level has kept inventory levels at 99msf. The inventory in months of sales is 16 doubled from

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-16997419243856975442011-12-26T13:06:00.001+05:302011-12-26T13:08:12.060+05:30

As we end the year 2011, here is the Real State of Real Estate in India.Absorption in NCR at 10msf has reduced considerably from 15-20msf witnessed six months back. However, it is significantly higher than the lows of 3-5msf attained in 2008-09.The dearth of investor demand has pushed new launches to as low as 8msf, compared to 20-25msf a year back. We do not see any possibilities of this demand

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-8622804926861671552011-12-18T10:41:00.004+05:302011-12-18T10:47:53.862+05:30

We visited the Lodha World One site in Lower Parel (Mumbai), where India's proposed tallest residential building is under construction. We found a lot of activity at the site and currently basement construction work is underway.The contract is executed by Arabian Construction Company (ACC)- Simplex Infrastructures consortium, with a duration of 48 months from February 2011. Lodha World One: The

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-60129776548387659142011-12-06T11:00:00.002+05:302011-12-06T11:05:23.805+05:30

Residential apartment sales data for the festive season (i.e. Oct/Nov month) is not available as yet, channel checks suggest that festive sales haven’t been encouraging (as compared to last two years).Bangalore / Chennai continues to witness healthy absorption trends. Launch activity has come down in Nov after witnessing a meaningful pick in Oct (given festive month). In terms of markets,

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-79462546518274956622011-11-28T09:11:00.002+05:302011-11-28T09:19:00.759+05:30

51% Foreign Direct Investment(FDI) in Retail is a positive for the Land Owners as well as Commercial Realty & Mall developers as well. In short, it is good for the Real Estate Industry as a whole. However, Government has restricted this investment only for the Following 52 Cities. Also note that if the Government in your State is non-Congress, they may oppose the FDI move as Retailers need

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-53093424854274468672011-10-16T22:23:00.003+05:302011-12-06T11:09:28.649+05:30

The following Chart shows New Residential Apartment Sales Trend in Major Cities of India (4Q10 - 3Q11).Source: Jones Lang LaSalleResidential Property Sales Trend in Last 18 Months in Indian Cities

Webmasternoreply@blogger.com1tag:blogger.com,1999:blog-30670461.post-87478591729678129812011-10-14T11:58:00.002+05:302011-10-14T12:02:21.425+05:30

The much awaited Ban on GPA / SPA / Agreement for Sale used in Land Deals by Politicians and Goons to artificially jack up the price comes to an end by an order of the Supreme court which has termed these documents as il-legal effective dats of the order.This will weed out parasite money making property agents who neither have business sense nor the will to work hard but make quick buck on some

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-1516289852521853292011-10-02T15:55:00.002+05:302011-10-02T15:55:00.114+05:30

The Following Chart Shows the Residential Property Prices / Apartment in various Parts of Kolkata and the Monthly Rental Yields on a 2 BHK Apartment / House. Rupees / SFT Monthly Rent BT to Road 2,200 6,000 DumDum 2,200 4,500 JessoreRoad 2,800 6,000 Lake to wn 3,500 10,000 PaikPara 3,500 5,000 Sinthimore

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-23252781987185918222011-10-01T15:45:00.001+05:302011-10-01T15:51:32.255+05:30

The following Table Shows the property Prices in Various Parts of Hyderabad and Monthly Rental Yields for a 2 BHK Residential Apartment / House. Price / SFT Monthly Rent Alwal 2,000 6,000 Kapra 2,000 5,000 Kompally 2,300 5,500 Medchal 1,500 4,500 Secunderabad 5,000 12,000 Shamirpet 1,600 3,000 Attapur

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-49046069421515632952011-10-01T15:38:00.003+05:302011-10-01T15:45:21.534+05:30

The Following Chart Shows Property Prices in Various Pockets of Chennai,Residential Property Prices and MOnthly Rental Yields in the Following Areas of Chennai CityKilpauk Adambakkam Korathur Chromepet Madhavaram Madipakkam Perambur Medavakkam Tondiarpet Nanmangalam Villivakkam Padur Kelambakkam Karapakkam Sholinganallur Semmencherry Ambattur Selaiyur Aminjikarai Tambaram Annanagar

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-22539129106330656582011-10-01T15:34:00.002+05:302011-10-01T15:37:10.820+05:30

The following chart shows the property prices in Various Pockets of Bangalore and the Monthly Rental Yields for the same.

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-32884389477355437112011-09-27T16:16:00.003+05:302011-09-27T16:24:26.308+05:30

Here are the latest Property prices in various parts of Delhi NCR. We have also covered the Rentals in these areas. The following chart shows the latest residential property prices and rental yields on the same.Delhi Gate Kashmere Gate Darya Ganj Model Town Pitampura Civil LinesVasant Vihar Anand Niketan Golf Links Chanakyapuri Panchsheel GK I JorbaghSafdarjung South Extension Lajpat NagarPreet

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-84951761724784582742011-09-27T15:49:00.004+05:302011-09-27T15:58:42.172+05:30

We would like to present the Property Prices in Various Parts of Mumbai Metro Region along with the Rentals as captured at the end of July-2011. The following Chart Shows the Same,Mumbai - Mahim, Prabhadevi Worli Lower Mahalaxmi Mumbai Mazgaon Byculla Colaba Peddar Altamont Road Walkeshwar Malabar Napean SEa Road Wadala Sewri SionNavi Mumbai:Palm Beach Road Kharghar Koparkhairane PanvelWestern

Webmasternoreply@blogger.com2tag:blogger.com,1999:blog-30670461.post-79039829671257487012011-09-25T20:56:00.002+05:302011-09-25T21:02:10.657+05:30

2006 - India Real estate sector was in a sweet spot in 2006/07. With buyers coming in hordes to book apartments, land available at throwaway prices and regulators providing incentives, developers started making supernormal profits. Availability of capital was never a problem with foreign investors eager to invest and banks clearing loans at a rapid pace. All the above Can be summed up in the

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-79424026345734517012011-09-16T11:25:00.002+05:302011-09-16T11:30:10.051+05:30

Ashutosh Limaye, Head of Research at Jones Lang LaSalle India, discussed the proposed Land Acquisition and Rehabilitation & Resettlement Bill (LARR) 2011.Residential Real Estate Development:Mr. Limaye said that Land acquisition cost may not go up, since most transactions are done at market price, which is higher than the prescribed formula (using guidance rate, which could be a lot lower than

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-28903288651536944522011-08-08T09:21:00.002+05:302011-08-08T09:25:53.187+05:30

The Indian Real Estate sector directly under the control of Developer & Politician Nexus is the Worst Performing in India and across Asia. The lack of determination by successive Governments to handover the sector to a STRONG regulator like RBI makes the Government Self Witness in CRIME.Check out on how the Stocks have Halved over the last 6 months destroying Investors Wealth. Check out Today's

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-70146819845559666902011-07-07T23:31:00.002+05:302011-07-07T23:34:11.197+05:30

As per the Maharashtra state stamps and registration department, in June'11, 4,272 property sale agreements were registered within the city of Mumbai (excluding Thane and Navi Mumbai), a fall of 30% YoY. This is the lowest figure in the past six months. Between Jan'11-Jun'11, 29,684 property purchase agreements were registered, a fall of 20% YoY. While this does point towards a slowdown in the

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-6401166294197937992011-06-28T11:02:00.002+05:302011-06-28T11:08:31.058+05:30

In a Conclave of Real Estate Developers, Banks, Architects, Government representatives the question of Challenges faced by the Indian Realty sector was discussed. So what do you think is the hurdle in executing the projects timely ? Developers opine that delayed approvals and cumbersome processes are the core issues facing the sector [and not to forget the corruption] - regulatory bodies have

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-42100087502088539212011-05-24T23:16:00.002+05:302011-05-24T23:21:25.205+05:30

After a 6-month lull during which very few building plans were approved, municipal authorities in Mumbai recently approved a number of building plans. None of these approved plans deviated from the development control regulations and did not seek any "concessions" that would allow developers to sell more than the applicable FSI on the plot.New approvals hold promise of new supply. However, the

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-52960146168037175192011-05-12T12:26:00.000+05:302011-05-14T02:26:38.304+05:30

We present to you the historical Home Loan / Mortgage Rates in India in the past 20 years which are directly coupled to the RBI Monetary Policy. Source of this Data is HDFC, India's leading Housing Finance Provider.So if you are planning to BUY your house you can use this and see when to enter so that your EMIs are affordable.

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-26441239144611897562011-04-27T14:45:00.000+05:302011-04-27T14:45:00.689+05:30

In continuing our Analysis on the Residential Apartment Trends in Delhi NCR Region, we are covering the Noida Market. Here is a brief excerpt of the ground survey,Volumes have been high in Greater Noida and Noida Extension because of a low ticket size (a studio apartment can be bought at as low as Rs 1mn).We expects residential supply to outstrip the demand generated by commercial activity in the

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-13770814171644359302011-04-26T11:33:00.000+05:302011-04-26T11:33:00.495+05:30

We all have read about the India's Sub-Prime Realty Developer - BPTP. Citigroup which came to the sinking ship of Chawla, squeezed with very tough conditions and clauses. Here is an excerpt from the same.Citigroup has the right to exercise a swap option (Swap Option) if BPTP fails to achieve a listing of its equity shares within 24 months from the closing date. On the exercise of the Swap Option,

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-10173312621524534302011-04-25T14:34:00.004+05:302011-04-25T14:45:17.506+05:30

We recently held a road show with a NCR-based broker to enlighten our readers on the Residential Property Trends in Gurgaon. Here are the key takeaways.Established builders with better track records find it easy to sell properties. DLF and Unitech are selling properties faster (and at a premium) than their smaller peers.Volumes are likely to remain flat helped by volumes from emerging areas.Good

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-67554089675719984112011-04-25T11:09:00.002+05:302011-04-25T11:32:35.013+05:30

Following the slump in late 2008, many projects invested in were either significantly delayed or, in some cases, found to be unviable in the changed scenario and it is quite likely that a large number of investments are currently incurring losses.Most investments have clauses in the form of put or call options which protect the investor and make it mandatory for the developer to buy-back the

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-2571767439038751132011-04-25T10:40:00.005+05:302011-04-25T11:09:15.687+05:30

Here is an excellent piece of data that shows historical Private Equity Investments in the Indian Real Estate sector which has now touched a whopping $8.8 Bn.The following Charts Show the Data.Chart - 2 You can also download the same data sheet here. [PDF}

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-69541043236693323612011-04-13T11:06:00.003+05:302011-04-13T11:14:40.338+05:30

PropEquity data suggests a recovery in sales volumes in CY11 ytd. But our channel checks suggest this is speculator driven and not sustainable as home buyer sentiment remains weak.Ears on the Ground suggest that rising speculative demand (encouraged by the low down payments), especially in cities, such as Gurgaon, could be boosting sales volumes which we believe is not sustainable. We believe

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-71999174579151231122011-03-29T10:44:00.002+05:302011-03-29T10:47:28.479+05:30

The residential volumes in Gurgaon increased 50% MoM on account of higher sales in new markets, while Mumbai volumes remained flat MoM.Gurgaon recorded strong volumes in February at 7.7msf (vs. 5.2msf in January ―11) backed by absorption in New Gurgaon (prices at Rs 3,000–4,000psf, Fig 9) and Southern Periphery Road (Rs 5,000–7,000psf). There have been a number of pre-launches with actual

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-35547267357736276002011-02-04T10:41:00.002+05:302011-02-04T10:53:36.846+05:30

A comparison of volumes during the peak 2007 and end of 2010 data suggests that Gurgaon, Noida / Greater Noida and Chennai property Markets recovered to cross the previous peak volumes consistently for the last 6 months while the rest of India exhibited mixed trends.Noida / Greater Noida - Sold 2 Mn SFT / Month in 2007. The figure went up as high as 10 Mn SFT / Month in the last 6 months and has

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-47253290835125561782011-01-25T10:19:00.002+05:302011-01-25T10:22:51.659+05:30

Recent data suggests absorption (demand) volume in India’s top 7 cities has either been flat or declined over the past two quarters. The Mumbai region and Pune have reported sharp drops, while Gurgaon and Bangalore have shown flat-marginally negative growth.While developers could hold prices firm in the near term due to stable balance sheet liquidity, we think this will only hurt demand as

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-69702411016952265182011-01-17T11:24:00.002+05:302011-01-17T11:26:59.283+05:30

After a weak 2009, private Equity Funding in Realty saw a pick-up in 2010. ~$1.5 b (~Rs68 b) was invested across 46 deals in the sector vs $749m across 23 deals in 2009. To put this in perspective of sector funding, $1.7b equity was raised through IPO/QIP route in CY10. Of the total PE pool.Developers are increasingly approaching PE funds, likely due to lack of other options. As an after math of

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-25244988510429659772010-11-26T10:00:00.004+05:302010-11-26T10:57:15.264+05:30

The Indian Real Estate Stocks which have always been a pack of cards falling at the slightest jerks have taken a severe beating on the Stock Exchanges today. RBI which has been an indirect hand in glove to the real estate industry backed by Government sponsoring Black Money / Unaccounted - Non taxed Money to be used in deals makes this the least preferred choice for investment.Investors deserted

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-1352335688541223042010-11-25T10:18:00.002+05:302010-11-25T10:29:23.615+05:30

The CBI has arrested officials of several financial institutions ranging from CEO to deputy general managers for allegedly accepting bribes from a debt syndicate company, "Money Matters", for facilitating loans to companies across many industries including Indian property developers.Details of those arrested: Personnel from LIC Housing Finance (CEO), LIC (Secretary, Investments), BOI (GM),

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-64589170375670135952010-11-23T15:27:00.002+05:302010-11-23T15:30:30.903+05:30

JP Morgan was able to capture four transactions in four major markets that gives pointers to a long term price growth trend.Mumbai (Napeansea Road) over a period of 90 years returned 15% ;Prime Delhi (Kasturba Gandhi Marg, Barakhamba Road) over 40 years has returned 17%Gurgaon over a period of last 20 years returned 20%Chennai (T Nagar) over a period of 80 years returned a CAGR growth of 20% ;[

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-51875021254438248412010-11-03T08:42:00.002+05:302010-11-04T08:44:18.492+05:30

The RBI has introduced three measures, which we believe will primarilyimpact premium and luxury residential projects.The RBI has increased the risk weight for residential housing loans of INR7.5m and above, irrespective of the loan-to-value (LTV) ratio, to 125%. However, risk weights for other loans remain unchanged.So Luxury in India means over 75 Lakhs.The LTV ratio for home loans has been

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-24719475838758100312010-10-28T13:45:00.002+05:302010-10-28T13:56:27.325+05:30

Across all the major micromarkets, prices have risen by 10-30% since April 2010. This is after the 20-40% increases in the period October 2009–April 2010. For example, prices in Borivli, a western suburb in Mumbai, are currently at Rs8,000-11,000p sq ft, up from last year’s Rs6,000–8,000p sq ft.Here are the latest property prices as we obtained from the Exhibition,Ackruti Sunmist Andheri 16,600

Webmasternoreply@blogger.com1tag:blogger.com,1999:blog-30670461.post-58956817968738285102010-10-14T10:36:00.001+05:302010-10-14T10:38:07.410+05:30

Here is the Rate at which DB realty has sold some of its properties in Mumbai.INR / SFT.Orchid Ozone Dahisar 4,947 Orchid Suburbia Kandivili 9,470 Orchid Woods Goregaon 10,778Orchid Turf View Island City 40,000Orchid Heights Island City 19,997 Orchid Crown Island City 23,888

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-89760372320241366792010-10-07T10:20:00.002+05:302010-10-07T11:22:26.085+05:30

The Real Estate Absorption has been the highest in 2 years in Aug-Sept in most markets. Realtors are slowly exhausting their inventory and have slowed down new launches. Here is what he scenario is in the Metros.Gurgaon recorded average monthly absorption of 1,726 units/months in Jul/Aug. This is 23% lower than 2Q average. On YTDCY10 basis the absorption run rate is down 4% as compared to CY09

Webmasternoreply@blogger.com1tag:blogger.com,1999:blog-30670461.post-79585843131658797532010-10-04T11:47:00.002+05:302010-10-04T12:08:36.357+05:30

It is a well known fact across the world that Indian Real Estate is a shady business backed by Politicians and Mafia Dons taking hardworking legal & ethical Indians for a ride. It may come as a surprise to readers of this article from else where in the world, but the fact is the Indian society has accepted the evil of Parallel Economy / Black Money and majority of the elected representatives are

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-31727645007716066852010-10-03T11:36:00.000+05:302010-10-03T11:36:00.376+05:30

Here is the latest update on the REsidential Apartment Property Prices in Delhi / NCR - Gurgaon, Noida, Manesar and Greater Noida as of Sept 2010.Prices in INR / SFT.New Delhi:Prithviraj Road 50,000Aurangzeb Road 50,000Chanakyapuri 45,000Golf Links 45,000Shanti Niketan 35,000Vasant Vihar 30,000Anandlok 27,000Friends Colony 25,000Greater Kailash - I & II 20,000Mayur Vihar 14,500Okhla Tehkhand

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-41095213493932840562010-10-02T10:29:00.003+05:302010-10-02T10:29:00.103+05:30

Here is the latest prices in Bangalore / Bengaluru for Residential Apartments in various pockets of the city. Bangalore is probably the only city in India which has severely lacked in developing infrastructure compared to the Industrial Growth rates witnessed in the City. Courtesy - Highly Corrupt Politicians Across the Entire State.Lavelle Road 18,000Ulsoor 15,000Malleswaram 6,000Koramangala

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-60304072214429290362010-10-01T10:24:00.000+05:302010-10-01T10:29:23.486+05:30

In contnuing our coverage on Mumbai Property Prices for Residential Apartments at the end of Sept-2010, here is our data in Western Mumbai and Navi Mumbai.Western Suburbs Property Prices: Residential Apartment Price INR / SFTBandra West 20,000 Bandra East 15,000 Khar 18,000 Santacruz 15,000 Vile Parle 13,000Andheri 11,500 Jogeshwari 8,000 Goregaon 9,000 Malad 8,000 Kandivali/Borivali 7,500

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-30542500566325597982010-10-01T10:18:00.002+05:302010-10-01T10:24:52.567+05:30

Here is the Latest property Prices for Residential Apartments in South Mumbai and Central Mumbai. These prices have been taken into account after following and tracking deals at these locations for Residential Apartments in Sept-2010.South Mumbai & City Residential Apartment Prices:Colaba/Cuffe Parade 50,000 Marine Drive 40,000 Napean Sea Road 40,000 Worli 30,000 Mahalaxmi 25,000 Mumbai Central

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-6948882265441643142010-09-21T16:58:00.002+05:302010-09-21T17:01:14.589+05:30

Merrill Expects the Street to be positively surprised by a 10-15% price increase with sustained volume growth in Bangalore over the next 12 months. Key reasons for strong trends are: 1) expected high-income growth for IT employees (50-60% of demand) led by attrition and wage hikes, 2) falling inventory levels due to lower launches and strong sales, and 3) four fold increase in IT/ITeS employees

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-56673542333744308762010-09-21T14:40:00.002+05:302010-09-21T14:44:19.478+05:30

Unlike China, India doesn't have any control on Costs. Right from day one we have said that India can never replicate the Chinese model of SEZs and you know the mess 4 years after we have said.As India moves to a higher growth trajectory, industrialization and urbanization will necessitate the continuing need for land acquisition. There will constantly be issues that will warrant an effective

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-53514495443626862952010-09-15T10:22:00.002+05:302010-09-15T10:25:31.314+05:30

Omaxe Ltd CEO, Rohtas Goel has the following views for the Industry and the Real Estate Regulator.Indian Real Estate is still in the initial stage of business cycle. There is still gap of more than 25 million dwelling units and 90% of demand falls in affordable housing category. It is going to be a long-term game and this business shall be perceived as any other manufacturing business where the

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-14795720984273110002010-09-13T12:56:00.001+05:302010-09-13T12:57:34.461+05:30

Slum-free Mumbai: Myth to Realty - Steps envisaged. The CEO, SRA reiterated government focus on slum rehab in Mumbai, with 0.2m houses under construction (vs. 0.15m delivered). He also highlighted plans to amend some laws in favour of private developer participation in North Mumbai rehab.Commercial Property: Road ahead. Commercial recovery can be faster than estimated, given improving

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-89406518337021670452010-09-07T14:39:00.001+05:302010-09-07T14:41:55.051+05:30

Changes to the Direct Tax Code (DTC) Bill introduced in the parliament last week should retain the attractiveness of (new) Special Economic Zones (SEZs) for both developers and tenants at least for the next 3-4 years.Profit-linked tax exemption (100% for a block of 10 years in the first 15 years) for developers for SEZs notified before April 1, 2012.Profit-linked tax exemption (100% for the first

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-56507497800738965002010-08-10T19:51:00.002+05:302010-08-10T19:51:00.570+05:30

Here is the pricing of Prime Residential Real Estate in the following Cities. All prices in INR / SFTMumabi South Central (Altamount Rd., Malabar Hill, Napeansea etc) 44,000Central (Worli, Prabhadevi, Lower Parel / Parel) 22750North (Bandra (W), Khar (W), Santacruz (W), Juhu) 20000Far North (Andheri (W), Malad, Goregaon) 10500North East (Powai) 7500Delhi NCRSouth East (New Friends Colony, Kalindi

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-43012694481975490462010-08-09T19:58:00.002+05:302010-08-09T20:01:09.704+05:30

Carefully study the Residential Apartments absorption rate and available inventory to see where the prices will go next. Government policy likely to be fairly stable.Gurgaon recorded average monthly absorption of 2,242 units/months in 2Q10. This is 13% higher than 1Q average and largely stable at CY09 average. Months of unsold inventory (~6 months) continued to decline in the market and is

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-7372269437154427012010-08-09T19:47:00.002+05:302010-08-09T19:51:52.048+05:30

Leasing activity picked up during the quarter with 7.3msf of office space being absorbed in 2Q10 vs. 6.3msf in 1Q10. 2010 is expected to witness 52msf of office supply as against estimates absorption of 29msf. This will further push the vacancy levels higher to over 20% from 18% currently.Majority of the supply expected to be added in 2010/2011 is at advanced stages of construction.Delhi NCR2Q10

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-25775319273376350692010-08-05T13:53:00.001+05:302010-08-05T13:55:14.746+05:30

Supply has been smartly constrained in Chennai over the past two quarters while demand in 2Q CY10 was the highest since 3Q CY08. As a result, rents have stabilised although since upcoming supply is large, upsides to rents may still be further away. Due to the low supply, vacancies have shown a small correction and now stand at 22%, with most vacancies on the OMR and GST Road locations. Chennai

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-44230142886165607552010-08-01T13:52:00.000+05:302010-08-05T13:53:46.391+05:30

Bangalore registered a large spike in supply in 2Q CY10, with Whitefield accounting for 77%. This is on very low supply in the previous four quarters. Vacancy levels remained stable, although in the 16% range, and demand remained moderately strong. Larger transactions have also started as confidence amongst IT/ITeS companies returns. Rents have also started showing signs of a pick-up and we

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-16081675027975226452010-07-15T19:57:00.002+05:302010-07-15T20:02:25.668+05:30

As per press reports, there is expectation that current regulations on FDI into the sector could be relaxed on two fronts (1) clarification that the three-year lock-in is applicable to only minimum capitalization (US$10 million for wholly owned subsidiaries and US$ 5 million for joint ventures with Indian partners) versus the current interpretation that the entire capital invested is locked in

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-87093493195867110222010-07-09T01:44:00.000+05:302010-07-09T01:44:00.721+05:30

The volume trend in Chennai after falling in Feb and Mar 2010 has recovered in Apr and May 2010 to resume its flattish trend. Average monthly volumes between Apr 2009 and May 2010 are at 1.5mn sqft, lower than the 1.8mn sqft between Jul 2007 and Jun 2008. Inventory with developers continues to decline with unsold stock at 18.7mn sqft. In terms of months of sales, it is at 11 months, which

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-48899026322671743742010-07-08T10:40:00.003+05:302010-07-08T10:40:00.348+05:30

Gurgaon is in a similar situation as Mumbai with volumes, which were falling till Apr 2010, reviving to some extent in May 2010. Prices in Gurgaon have now moved up 20% y-y on average and volumes are not likely to show any significant upward movement in the medium term, in our view. Unsold stock with developers at 29mn sqft has come down 44% from the peak, while inventory is down to just 6 months

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-22226906148652503282010-07-07T10:37:00.001+05:302010-07-07T10:39:04.929+05:30

Residential volumes in Mumbai have moved down since Dec 2009, and in Apr 2010 volumes were down almost 35% before recovering somewhat in May 2010 to about 5mn sqft. Pricing increases of 35% y-y have stalled the recovery in volumes, although prices could still be considered reasonably healthy.Inventory with developers has started moving up again as new launches have shown a sharp increase in the

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-2555923670199772582010-07-07T08:04:00.002+05:302010-07-07T08:07:21.213+05:30

Bangalore property market is showing steady signs of improvement on the back of a pick up in hiring activity and wage growth returning to the IT sector. Managements’ confidence in the physical market has markedly improved as seen in aggressive new launch plans for FY11 which are now being announced after a gap of almost 2-3 years. Most companies are launching projects that are 3-4x their

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-33633875103800219012010-06-30T10:19:00.004+05:302010-06-30T10:28:42.461+05:30

HDIL is one of the main Developers in the Island City of Mumbai. HDIL's promoter Sarang Wadhawan in an interview has the following views of the City's changing landscape.Outlook on residential prices and volumes in the island city of Mumbai and in the suburbs of Mumbai?Across Mumbai prices have gone up substantially in last 12 months. In most cases it has reached peak of 2007, while in some it

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-91676244091914074262010-06-23T11:46:00.000+05:302010-06-23T11:46:00.369+05:30

Here is the Latest Delhi NCR Latest residential Property Launch PricesPrice in INR / SFT [Super Built-Up Area]DLF Capital Greens III Delhi, Shivaji Marg 12,000Ireo Victory Valley Gurgaon, Sector 67 5,250-5,650Unitech South City - II (Independent Floors) Gurgaon 4,100-5,100Unitech Vistas Gurgaon, Sector 70 3,200Unitech Sunbreeze 2 Gurgaon, Sector 69 3,900Ansal API Esencia Gurgaon, Sector 67BPTP

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-54489454082776992852010-06-22T11:43:00.002+05:302010-06-22T11:46:32.287+05:30

Morgan in a Property Ground Survey of Delhi has the following report,New launch momentum continues (35.5k in 1Q, the highest in the last nine quarters) and new sales were strong – 21.6 k units pre-sold. Gurgaon prices appear to be rising quickly and Noida volumes appear too good to sustain.Three corners of Gurgaon offer “something for everyone” – Sectors 92-110 (IBREL, Raheja and Mahindra

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-7429532533751684252010-06-18T12:18:00.003+05:302010-06-18T12:23:52.110+05:30

Often as a Home Buyer you must have wondered what is the margin for Realty Developers. Here is authentic data from Edelweiss Capital on the margins of each project of Mahindra Lifepsaces.

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-21445146691519683422010-06-09T12:29:00.001+05:302010-06-09T12:31:13.821+05:30

Lower Parel has emerged as a major corporate destination in South Mumbai after Nariman Point, particularly after seeing significant commercial development on defunct mill land. Many corporates have built corporate offices in the area while many more are in the pipeline. The area has also seen the development of many high-end residential projects, particularly in the last three to four years,

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-42004846361854118692010-05-28T13:38:00.000+05:302010-05-28T13:38:00.526+05:30

We have obtained the rates of premium property launches in Central Mumbai and they are as follows.Name of Property / Developer / Location / Price INR/sft / CompletionOrchid Heights DB Realty Jacob Circle 22,500 Mar 2013Orchid Turf View DB Realty Mahalaxmi 60,000 Mar 2013Orchid Crown DB Realty Prabhadevi 27,000 Dec 2012Orbit Terraces Orbit Corporation Lower Parel 22,000 2012Orbit Grand Orbit

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-40458006748923775752010-05-28T11:01:00.004+05:302010-05-28T11:05:51.159+05:30

Property Bulls have a big reason to worry as NHB Residex data confirms the myth that Property is no more a safe investment as it is in the minds of real estate people.Look at what has happened to the Bangalore property market in the past 3 years. More volatile than the BSE Sensex which is playing to the tunes of Global economies.You can track the NHB Residex on the official Website here.

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-54376469884595648172010-05-27T17:05:00.002+05:302010-05-27T17:09:09.018+05:30

Although absorption continues to be healthy in NCR, we believe increased FSI for group housing projects in Noida and fresh land auctions would cap rapid price rise. We estimate marginal 5-10% appreciation across the NCR over CY10-11. During Q1CY10, over 50,000 apartments were launched with delivery timeline of 36 months.After registering a slowdown in new project launches in CY09 due to

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-35752720209651892562010-05-27T13:35:00.001+05:302010-05-27T13:38:25.381+05:30

Lodha Developers bagged a 6-acre plot in Wadala, Central Mumbai, for a cumulative price of Rs40.5bn. The plot has a developable area of 495,000sqm or 5.3msf. With total estimated saleable area of ~7.6msf (70% residential), we estimate the project’s NAV at Rs31.3bn and has the potential to add over Rs100bn of housing stock in Central Mumbai over FY11-16. We believe this project would result in an

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-73934835251146770862010-05-11T08:29:00.002+05:302010-05-11T08:33:24.386+05:30

In the Mumbai region about 4,700 units/month were sold on average in 1Q10, down 18% from about 5,700 in 4Q09. However, the months of unsold inventory is 8, which is the lowest level since January 2008.In Gurgaon, about 1,950 units/month were sold in 1Q10 vs. about 2,400 in 4Q09 and about 2,100 in CY09. There was a pick-up from about 1,650 units sold in February to over 1,900 units in March. Sales

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-69787590339362205312010-05-02T23:29:00.002+05:302010-05-02T23:29:00.326+05:30

The Manesar Technology Park project is almost complete. The project is located in Sector 8 in Manesar which is being developed by the government as Technology Park Complex across 140acres.Office component ready and delivered: Anant Raj has completed the office development with leasable area of 1mn sq ft. Some of the tenants are in advance stages of completing the fit-outs and are expected to

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-12013155608134378962010-05-01T23:24:00.004+05:302010-05-01T23:28:37.613+05:30

Here are thoughts of Realty Developer Mr. Pranav Ansal of Ansal Properties and Infrastructure.Most exciting real estate markets: Mr. Pranav Ansal believes that Gurgaon, Greater Noida and Kundli (on NH 1) in Delhi NCR, Lucknow and some select cities in Punjab including Mohali will be most exciting in terms of new launches and sales revenues in the next 12-month period.Key segments expected to

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-69307826971809498302010-04-16T13:13:00.001+05:302010-04-16T13:14:54.361+05:30

Soft interest rates coupled with a strong response to its earlier scheme has prompted HDFC to relaunch a limited period dual-rate home loan scheme. HDFC is now offering two-year fixed rate home loans (8.25% for 1st year followed by 9% for 2nd year) as compared to 8.75% floating rate (for loans up to Rs3 mn) offered currently. The scheme is currently available for limited period (loan applicants

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-46369325676399814162010-04-15T10:02:00.003+05:302010-04-15T10:12:41.449+05:30

Just seconds ago, BOFA-Merrill Lynch Analysts Pushed the Go on the Indian Realty Sector Report which talks of a Bubble in NCR property Market and a Recovery in other parts. Excerpts from the report,The National Capital Region (NCR) is the area around New Delhi, the capital of India. This area has traditionally been one of the three key real estate markets in India (along with Mumbai and Bangalore

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-51668908558062948042010-04-12T10:34:00.001+05:302010-04-12T10:35:12.545+05:30

Here is the chronology of regulatory actions in Real Estate in the last 3 years in India.Feb-10 -Withdrawal of teaser home loan rates by a number of banks ICICI, HDFC, BOI etcFeb-10 -Budget proposes imposition of service tax on sales/rentals and increases input costs (excise hike).Feb-10 -RBI disallowed restructuring of loans for real estate developers.Oct-09 - Increase in provisioning

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-89842152071226894912010-04-09T12:00:00.000+05:302010-04-09T12:01:13.578+05:30

Firstobject Technologies has received final approval from Visakhapatnam SEZ for setting up, operation and maintenance of the IT/ ITES unit in Visakhapatnam SEZ (VSEZ). The VSEZ built up space has state-of-the-art satellite earth station within the zone premises for high speed data connectivity. The company is in the process of ramping up its manpower for kick-starting the operations by this month

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-66854765082947015632010-04-08T10:29:00.001+05:302010-04-08T10:31:29.955+05:30

Affordable housing has been the bellwether in the recovery path, and most developers forayed into this segment during the liquidity crisis given the attractive demand/supply metrics. However, we had adopted a muted stance then on the sustainability of this model, as profitability was yet to be tested due to cost escalations/delays - this seems to be turning true now.With economy bouncing back,

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-54749993249506088032010-04-01T00:01:00.002+05:302010-04-01T00:04:56.462+05:30

Goldman Sachs visited leading sites of Realtors in Delhi NCR and after Research on the ground, here is a snapshot of findingAbsorption has slowed down from levels seen in late 2009, which may be as a result of significant price hikes. Channel checks suggest that overall market absorption may remain lower than 4Q2009 until the end of the monsoon season, but steady nonetheless.Prices of some

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-82938302653526443992010-03-29T11:10:00.001+05:302010-03-29T11:12:08.770+05:30

Property registrations in Mumbai (upto Dahisar in the north and Mulund in the east) remained steady but first signs of slowdown in transaction volumes are evident. After achieving a peak of 9,118 registrations in Dec 2009, Mumbai saw 6,022 registrations in Feb 2010, which represents about 6% MoM drop compared with 6,398 registrations in Jan 2010 and is the lowest number of monthly registrations

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-43129207859981285522010-03-27T08:06:00.003+05:302010-03-27T08:11:27.769+05:30

Kolkata Residential - The market for residential property has witnessed a distinct movement as Kolkata is breaking with the past. Projects of reputed builders such as DLF and Unitech are burgeoning in the peripheral suburban areas of Kolkata due to the emergence of the city as an upcoming IT destination of India. Upscale localities and high rises have started dotting the city's skyline. Rajarhat

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-88786284954386524522010-03-21T10:58:00.000+05:302010-03-21T10:59:22.417+05:30

A 10-year township project of >40msf development (over ~300 acres) off SG Highway, 20 minutes from the heart of the city. While it is largely a residential land development, a minimum of 70% will be residential (given the ambiguity about township rules in Gujarat). It is a JV with a local builder, which is to acquire all the land.Management mentioned that the bulk of the 300 acres has been

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-76391908382591745572010-03-06T11:44:00.003+05:302010-03-06T11:49:26.261+05:30

You've got to love this because the Real Estate Residential market has become so sensitive to price rise that volumes and registrations tell us the consumer behavior in this market. It is evident from what Anuj Puri of Jones Lang Lasalle Meghraj India said,Residential volumes have come down by 25-30% Q/Q in 4Q09 given an increase in prices. Volume moderation has primarily happened in mid market

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-26109985673853623102010-03-02T19:47:00.002+05:302010-03-02T19:49:52.452+05:30

The imposition of a service tax on the buying of under-construction property will likely result in an additional cost of up to 3.3%, which we believe will be passed on to the buyer.Budget documents indicate that government intends to recognize construction activity as a service provided by the developer to the buyer. We believe the imposition of service tax will be debated extensively and full

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-86016008649346274832010-02-27T08:29:00.000+05:302010-02-27T08:29:00.498+05:30

Here is the OUTLOOK for Residential Property Market in Chennai, Hyderabad and Kolkata.Chennai 2,800 7,000 [Rs /sft] Decent market depth with multiple industries and emerging pockets of IT/ITeS as an alternative to Bangalore. Tends to be driven by the broader economy and the IT sector. Prices have stabilized and are likely to inch up by 2H10.Hyderabad - 2,700 6,000 [Rs /sft] Came into prominence

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-8354038835184930522010-02-26T08:20:00.001+05:302010-02-26T08:20:00.685+05:30

Here is an OUTLOOK for Delhi / NCR and Pune Residential Property Market.New Delhi 8,000 25,000+ [Rs /sft] Capital of India and important economic center. Should see some improvement with a broader economic recovery. Prices likely to inch up through the year.NCR - Gurgaon 2,700 6,000[Rs /sft] Important suburb of Delhi and large IT/ITeS center. Prices have stabilized and are likely to inch up by

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-27005982261453681742010-02-25T08:15:00.003+05:302010-02-25T08:20:20.820+05:30

Here is OUTLOOK of Mumbai and Bangalore Residential Property Markets for the next 12 months.Mumbai - Island City 15,000 - 40,000+ [Rs/ SFT] Typically, the first market to recover as the economy turns around and oligopolistic pricing. Given the rise in the last 6-8 months, prices in general are back to 2007 peak and may consolidate now. We may see a near-term correction of 5-10% but prices are

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-64249718061623201292010-02-24T18:04:00.004+05:302010-02-24T18:10:30.146+05:30

We were shouting at the top of our voice how the Government had failed to handle the Real Estate Bubble in India. Tough measures and the much talked about Real Estate regulator was essential, but all in Vain.The above Sales Data from DLF shows how Developers Sold Virtual Projects as if Sky was the limit. If it was a ONE-WAY traffic, then why did consumers stay away from BUYING during 2009, when

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-20886084605652231042010-02-23T08:45:00.002+05:302010-02-23T08:50:40.066+05:30

This is what Ambit Equity Research has to say about Bangalore Real Estate,Residential sale prices have increased by approximately10-20% from the trough. While the current sales volumes are extremely weak, we expect a gradual increase in the volumes with improving confidence in the IT/ITES sector and improvement in hiring.Weak VolumesWe were surprised by the persistent weakness in sales volume

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-45321364926550922152010-02-18T15:46:00.002+05:302010-02-18T15:49:31.663+05:30

RBI has disallowed restructuring of real estate loans for real estate companies. JP Morgan tested cash flow assumptions for major real estate companies under our coverage to study the impact of the regulation.According to JP Morgan, most listed companies seem to be comfortable but Industry is still not out of the woods. Overall system Debt/Equity at 0.8x is still relatively high and the industry

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-88427196465892437102010-02-13T15:02:00.002+05:302010-02-13T15:07:04.101+05:30

Here is the Wish List of Property Developers of India in the forthcoming Union Budget.Doubling the deduction for home loan interest to Rs0.3m (vs. Rs0.15m) and principal repayment to Rs0.2m (vs. Rs0.1m). Extend IT exemptions for affordable housing under construction after Mar-08; also introduce restriction on value of apt, along with fixing eligibility ofbuyers;Relax ECB norms in dev of township

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-29329124339643373662010-02-08T11:24:00.002+05:302010-02-08T11:27:32.227+05:30

Study of recent reports from Cushman, Jones, etc indicates that prices are stabilizing across most micro markets in Q4, with demand now picking-up outside Mumbai and NCR markets (the first to recover)…though caution prevails over unreasonable hikes at this stage - an unreasonable hike could hamper demand and come in way of the recovery of housing segment.Pune is seeing renewed demand; prices have

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-51692465622108348332010-01-07T10:24:00.002+05:302010-01-07T10:27:48.165+05:30

Development area of 157msf, spread over 18,000 acres - Revised business plan of Lavasa now factors in development area of 18,000 acres, vs initial 13,500 acres. This entails development of 157msf, FSI of ~0.20x. The project now envisages 300,000 permanent residents and 2m visitors pa. Lavasa has a lake line length of 60 kms, and is spread across 100sq kms; equivalent to the size of Paris and

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-23368603256083770382009-12-29T15:23:00.001+05:302009-12-29T15:27:36.561+05:30

Spate of new launches in the last 2-3 months, well spread over the city landscape.Based on the market feedback, we understand that the volume off take was quick at the lower end of these price bands and slow at the upper end. Primary sale prices have risen rapidly (10-20%) over the last 2-3 months, around 15% shy of end 2007 peak levels.Story will be different this time around, and unlike the

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-77556744287435958392009-12-11T09:32:00.002+05:302009-12-11T09:40:24.128+05:30

According to a survey just published by Colliers Investment, Mumbai and Delhi are the hottest destinations. Here is a complete result of the survey[City - Preference of Respondents, Upcoming Supply, %of Supply as Affordable homes, Price Trend]Mumbai - 75%, 56K Units, 8% affordable, Mild UpswingDelhi - 53%, 3.3K units, 2% affordable, Still near the troughBangalore - 52%, 45K units, 2% affordable,

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-38167092857015055072009-12-09T18:03:00.000+05:302009-12-09T18:07:18.128+05:30

We studied the proposed Model Real Estate Act and here are some potential problems.Prohibits development of land into a colony or construction of apartments for marketing without registration.This will prove tough on small developers given its inflationary impact on project cost. The key concern here is whether licencing would occur at the Centre or State level licencing at the Centre level

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-17166062740243264402009-12-08T06:17:00.001+05:302009-12-08T06:17:00.245+05:30

PropEquity has done an excellent job of taking stock of the residential apartment inventory across various cities in India [Mumbai, Gurgaon, Noida, Thane, Bangalore, Kolkata, Hyderabad and Pune] for projects priced around INR 3 mn. Here is the latest availability chart. [Expandable]Volume recovery in the residential segment has primarily been driven by improved affordability on the back of

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-20050035703453865232009-12-06T10:47:00.002+05:302009-12-07T10:50:24.202+05:30

PropEquity research data highlights that developers who had hurried into this segment, to improve their cash flows at a time when high-end residential segment was suffering, are sitting with >40% unsold stock. Of ~0.1mn units that were launched between Nov08-Oct09, only 57% found buyers.Already seems to be a crowded space; we believe this segment will always remain price sensitive and any steep

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-75191510322635217532009-11-30T11:44:00.002+05:302009-11-30T11:46:58.363+05:30

Mumbai's apartment registrations data reveals that demand remains strong despite 5-30% rise in prices in the past five months. Thus, while prices in many pockets in the city are new highs, registrations in October 2009 were the highest in almost two years. he data suggests that the increase in prices has failed to make a dent in residential demand in the city.Also, the Reserve Bank of India (RBI)

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-56278938306635453442009-11-24T13:05:00.002+05:302009-11-24T13:11:16.415+05:30

The government may do away with the lock-in period for foreign direct investment (FDI) in the real estate sector that was imposed earlier in wake of worldwide realty rally and concerns of asset price bubble formation. The Department of Industrial Policy and Promotion (DIPP) has proposed the scrapping of the three-year lock-in for FDI in realty. The DIPP has already drafted a cabinet note on the

Webmasternoreply@blogger.com0tag:blogger.com,1999:blog-30670461.post-55749023205103734242009-11-06T11:12:00.001+05:302009-11-06T11:14:40.468+05:30

DLF expects a slowdown in the launch of luxury homes in the next 2-3 quarters. Though the mid-income housing business showed sales of c.2.74 msf, higher than 1Q FY09 (c.2.09 msf), they are not robust in comparison to the last quarter of FY08 (c.7.72 msf). A decline in sales coupled with execution delays show signs of a worsening situation. The company indicated significant slowdown in hospitality

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