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Tuesday, December 29, 2015

Construction industry should be regularised to check pollution: ASSOCHAM

With fast deteriorating air quality in big cities like Delhi-NCR leading to tougher regulatory norms such as the odd-even policy for private cars, the high stake construction industry should be prepared to deal with possible public outrage and must devise ways for meeting such challenges, an ASSOCHAM Paper noted. 

"There are a number of environmental concerns that impact the Indian construction industry. These include erosion, contaminated soil, lead paint removal, air contamination by asbestos particles, disposal of hazardous material, dust control and noise level," it said. 

Mapping various policy and regulatory risks which have increased with rising environmental concerns, the paper stated these issues were also flagged by a working sub-group of the erstwhile Planning Commission. 

"We have begun this exercise of sensitising various stakeholders in the construction industry since a perception is gaining ground as if unplanned construction, done in a crude and unscientific ways is among the main culprits of pollution in big cities," ASSOCHAM Secretary General D S Rawat said. 

The paper highlighted the fact India is urbanised only the extent of 31 per cent but urbanisation at a faster pace is imperative for a sustainable economic growth. The construction industry has a major role in stepping up the urban development. 
  
"After an aborted attempt to smoothen land acquisition, any controversy on environment pollution is the last thing that the industry wants," the ASSOCHAM said. 
  


In the absence of planned and organised urban development, cities have witnessed mushrooming of slums which now account for a quarter of all urban housing. Mushrooming growth of slums with lack of sanitation and absence of waste disposal add to the city pollution.

“Pollution in some of the big cities is becoming unbearable and as happened in the past, the court intervention, accompanied by pressures from civil society, health activists and environmentalists would bring in tougher regulatory norms for a host of industries which should be living up to these challenges by technology innovation and going green in their approach,” the chamber said.  
  
Except for the top 20 players, the Indian construction industry is highly fragmented, family owned, or based on individual ownership. "The process of evolving has been painfully slow and unplanned. Even a lot of construction happens in the primitive way with concrete and bricks being moved by head load. Mechanisation has crept in as projects have become large but these are only a small fraction of the construction market, ASSOCHAM noted.

Friday, December 18, 2015

Carlson Rezidor Signs MoU to Open Seven Hotels in Jammu and Kashmir

NEW DELHI: Carlson Rezidor Hotel Group, one of the world's largest and most dynamic hotel groups, has announced the signing of a portfolio agreement with Mushtaq Group of Hotels to open seven hotels comprising 817-rooms under the Radisson Blu, Radisson and Country Inns & Suites By Carlson (SM ) brands, in Jammu and Kashmir. 

The seven hotels will be located in the main gateway markets throughout the state and will position Carlson Rezidor Hotel Group as the largest international hotel operator in Jammu and Kashmir. The first hotel is expected to open in the fourth quarter of 2016 in Srinagar, a release said.

"This multiple-hotel portfolio deal underscores the rapid rate of Carlson Rezidor's expansion and reinforces our leading position in India, a key market that we remain deeply committed to. We are pleased to be forging a new partnership and will be employing our proven strategy of signing conversions as well as new builds to establish a strong brand presence efficiently and expediently," said Thorsten Kirschke, president, Asia Pacific, Carlson Rezidor Hotel Group.

Raj Rana, chief executive officer, South Asia, Carlson Rezidor Hotel Group added, "The region enjoys strong domestic leisure demand and is home to some of the most visited leisure destinations in India. Integral to our growth in India is an emphasis on expanding in leisure markets and state capitals. With the signing of this portfolio, we will make inroads into the summer and winter capital of Jammu and Kashmir, as well as provide our Club Carlson members an international brand choice in high demand leisure driven markets such as Srinagar, Pahalgam and Gulmarg."

Across India, Carlson Rezidor has close to 120 hotels in operation and under development. Currently, the group's footprint extends across 45 Indian cities, including 14 state capitals. By 2020, Carlson Rezidor expects to have more than 170 hotels in operation and pipeline in India. The group's growing brand portfolio in the country spans the mid-scale to upper upscale segments. In 2015, the hotel group signed 15 new agreements in India, indicative of the strength of its brands and relationships.

"We are excited to tie up with Carlson Rezidor Hotel Group. We are a leading hospitality group with ownership across all major locations in Jammu & Kashmir. We have grown rapidly during the last decade and aim to continue this momentum. Our vision is to promote Jammu & Kashmir and make it a preferred tourist destination not only for travelers within the country but globally. I am confident our partnership will accelerate realization of our vision," said Mushtaq Chaya, chairman, Mushtaq Group of Hotels, that has interests in hospitality and commercial real estate development.

Radisson Blu Srinagar is a 225-key new build hotel located in the heart of Srinagar city. The site is well located and is within easy reach of Dal Lake and the city's main attractions. The hotel is located approximately 3 kilometers from the city centre and 10 kilometers from Srinagar Airport. Radisson Blu Srinagar is scheduled to open in the second quarter of 2020.

Radisson Blu Resort Tangmarg is a 150-key new build hotel nestled within a 25-acre site in the Himalayan mountains. The site is just 13 kilometers from Gulmarg, which is widely regarded as one of the top winter sports destinations of the world. Radisson Blu Resort Tangmarg is scheduled to open in the fourth quarter of 2021.

Radisson Srinagar is an 89-key conversion located in the heart of Srinagar within 2 kilometers of the main commercial and retail hubs of the city. It is close to golf courses, Dal Lake, Sher-i-Kashmir International Conference Center and Asia's largest tulip garden. Radisson Srinagar is scheduled to open in the fourth quarter of 2016.

Radisson Pahalgam Golf View Resort is a 118-key conversion located in Pahalgam, approximately 7,200 feet above sea level. It offers direct access to the picturesque Pahalgam Golf Course. Radisson Pahalgam Golf View Resort is scheduled to open in the third quarter of 2018.

Country Inn & Suites By Carlson Gulmarg is an 80-key conversion. Gulmarg has been rated amongst the top five ski destinations in Asia by CNN. Country Inn & Suites By Carlson Gulmarg is scheduled to open in the first quarter of 2020.

Country Inn & Suites By Carlson Jammu is a 55-key conversion located in Gandhi Nagar, an upscale commercial and residential area in the heart of Jammu city. The hotel is close to Jammu Airport and Jammu Railway Station. Country Inn & Suites By Carlson Jammu is scheduled to open in the third quarter of 2017.

Country Inn & Suites By Carlson Sonamarg is a 100-key new build hotel located close to scenic Himalayan glaciers and trekking routes in Sonamarg. The hotel is accessible by the Srinagar-Ladakh highway. Country Inn & Suites By Carlson Sonamarg is scheduled to open in the fourth quarter of 2018.

Carlson Rezidor currently has 102 hotels in operation across Asia Pacific and 92 more hotels in the pipeline. For more information and development opportunities, please visit www.carlsonrezidor.com.

Maharashtra Housing Regulator Will Ensure Fair Deals For Home Buyers


Arvind Jain, Managing Director - Pride Group

When the ruling NDA government at the Centre is still fighting to get Real Estate Regulatory Bill passed in the Rajya Sabha, Maharashtra is all set to have its own State-level realty regulator, as chief minister Devendra Fadnavis has cleared the decks for this much-awaited initiative.

The Maharashtra housing regulatory authority has the best of intentions at heart, and will enforce higher levels of transparency. It will fill a number of gaping loopholes at one go. One of the highlights of the policy is that it will make registration of real estate developers and contractors under a competent authority mandatory. Without such registration, developers and contractors will not be granted permission to conduct business at all.

Because registration was so far not been required by law, it was possible for literally anyone with some land and capital to become a real estate promoter. This is one of the primary reasons why there has been such a massive spate of illegal buildings of spurious construction in the peripheral areas of our cities. 

Unfortunately, a majority of buyers - especially in the budget housing segment - maintained a kind of blind faith that anyone who has the capacity to raise a building has to be registered somewhere, and that his activities are therefore happening according to some basic industry norms. This has led to countless buyers in Maharashtra being cheated by unscrupulous people who do not honour even the most fundamental criteria of ethics. 

The MHRA will go a long way in protecting home buyers from delays in possession timelines, literally empowering them to take control of a project that has been stalled because of any reason. In fact, the regulator will literally separate the wheat from the chaff by presenting a firm legal rationale for buyers to opt only for registered, properly capitalized developers who have a convincing record of timely completions and standardized quality of construction. 

In short, the HRA marks the beginning of the end for fly-by-night operators and the plague of malpractices that has been holding the real estate sector in Maharashtra to ransom for far too long. However, in its current draft, it does not appear to acknowledge the massive issues that real estate developers have been facing on their part. 

Apart from protecting buyers from unscrupulous developers, it should also protect developers from unscrupulous government bureaucrats and agencies who have rendered the entire development process an expensive nightmare. If the state government intends to play the role of facilitator and enabler with this policy, it should work both ways and ensure that credible developers are not hampered.  

About the Author:

Arvind Jain is Managing Director of The Pride Group, a world-class property development conglomerate that is changing the cityscapes of Pune, Mumbai and Bangalore. Established in 1996, Pride Group has built and delivered over 10 million sq.ft. of constructed area. Pride Group has recently launched Pride World City, the 400-acre luxury mega-township at Charoli, Pune.

Disclaimer: The opinion/s expressed by the author is his own and the moderator doesn't necessarily endorse the same.

Parliament Lockjam: Will Real Estate Regulatory Bill Ever See the Light?

Real Estate Regulatory Bill

K Ramanathan

The tall climes of steady upward growth are notwithstanding, the real estate sector in India, which is the second largest employment generator after agriculture, has been in doldrums for the last few years owing to economic downturn with developers looking for a ‘miracle’ which can turn the tide for the sector in 2016.

There have been a few positive developments in the recent past such as opening up of Foreign Direct Investment (FDI), introduction of REITs and recently, the cabinet passing the much-awaited Real Estate Regulatory Bill which have created positive vibes among the real estate community.

Though the success of the first two initiatives can be gauged on the basis of investment scenario, which again depends on the economic growth, the enactment of real estate regulatory Bill as law is expected to add the much required impetus to the sector’s growth vehicle in the year 2016, feel real estate experts. 

N. Nandakumar, President, CREDAI Tamil Nadu & Managing Director, Devinarayan Housing & Property Developments Pvt Ltd.

N. NandakumarThe Bill will become a reality as the Government has given great impetus to Real Estate (Regulation and Development) Bill (RERA).  It is only a matter of time before the Rajya Sabha clears the Bill and consequent adaptation by the State Governments in setting up the Regulatory authorities.  The transition time for this would take about 9 to 12 months and thereafter which, implementation is expected to commence.

The year 2015 has been a turbulent year for the Real Estate industry in India.  The market conditions being extremely volatile would have cascading impact for the immediate future. The Bill will bring the much needed push to the real estate sector’s growth.

Anil Pharande
Anil Pharande, Vice President, CREDAI Pune Metro and Chairman - Pharande Spaces
The Indian real estate sector has historically been unregulated and unorganized with the later having the largest share of the market. It is in this segment consumers face a lot of problems due to unscrupulous practices followed by ruthless developers. 

The Real Estate Regulatory Bill was conceived to give assurance and clarity to home buyers through various means. After several changes, it has now overcome the important hurdle. As an enforceable law post clearance, it will have a far reaching positive impact on both domestic and global investors. Most importantly, the independent regulators will give homebuyers a strong sense of assurance.

Anuj Puri, Chairman and Country Head at JLL India

Anuj Puri
The Real Estate Regulatory Bill has seen several changes in the recent past. The latest one, which has made amendments as per a Rajya Sabha committee, is expected to pass in the Upper House in the current session. 

The Bill, if becomes a Law after President’s assent, will provide the much needed boost to the sagging real estate sector and have far-reaching consequences in terms of operating procedures and creating transparency in consumer redressal system. If it happens, it will be a year-end bonus for the struggling realty sector. 

The Bill will bring in much-required accountability and transparency in the real estate sector. It will also guarantee consumer right protection, thereby increasing customers’ confidence and also aid improved quality and timely delivery of projects.

Surendra Hiranandani, Founder and Managing, Director of House of Hiranandani

Surendra Hiranandani
The Real Estate Regulatory Bill should act as a level playing field between home buyers, builders and authorities. Though we believe that the proposed Bill will bring in transparency and protect consumers’ interests, the lack of clarity on certain proposed measures is likely to add the construction costs through delay. 

This will make the housing projects more expensive thus buying homes will become a distant dream for middle-class and poor.

Setting up of state-wise regulators, compulsory registration of all residential and commercial projects, enhancement of power to grievances cells will help regulate the sector further by bringing in a systematic approach and transparency.

With opposition parties headed by Congress making tough for the ruling NDA to pass Bills in the Rajya Sabha by bringing in various issues to adjourn the Houses repeatedly, several important bills such as GST, Real Estate Regulatory Bill, Prevention of Corruption Bill, Whistle-blowers Protection Bill, and many more are waiting endlessly to see the light. 

Will these parties rise above the petty politics and help nation building by doing some serious works at the Parliament? Only time will tell!

The article also published in Merinews.com.

Wednesday, December 16, 2015

Tata Value Homes Presents 'Double Your Dollar Benefit' for NRIs

Tata Value Homes, a wholly-owned subsidiary of Tata Housing and one of the fastest growing real estate companies in India, has announced a limited period offer "Double Your Dollar Benefit" exclusively for the Non Resident Indians (NRIs) looking to own a home in India. 

With the Dollar getting stronger by almost 7% from Jan 2015 till date, under the current scheme, consumer can avail an immediate appreciation of up to 7% across the projects of Tata Value Homes in India. The customer can book their dream homes ranging from 17 lacs - 75 lacs across the country by paying a booking amount of Rs. 30,000 on http://www.TataValueHomes.com, press release said.

The registrations for the same have already begun and the bookings would open on 17th Dec on first come first basis.

With this being the most beneficial time for NRI's to invest in their dream homes, Tata Value Homes has designed the 'Double Your Dollar Benefit' where NRI buyers can avail the additional benefit of upto 7% per cent on bookings till the 20th of December, 2015 across all its properties in India.

Announcing this offer, Brotin Banerjee, CEO & Managing Director -Tata Housing, said, "We believe this is the best time for NRI's to buy their dream homes in India.The weakened rupee has made this decision economically sound for the NRI'sas it allows them to acquire aproperty at a lesser amount.To collaborate this trend,we have seen the percentage share of NRI queries going up from existing 15% to upto 18%,and with an endeavor to broaden our engagement with this segment, we have introduced this offer which will furtherincentivize NRI's to purchaseproperty in India."

Tata Value Homes has carefully addressed all the concerns of NRI home buyers by providing houses at par with international quality and design standards. The company is developing large townships and differentiated theme based projects in major and mini metros. 

As a comprehensive real estate developer of choice, Tata Housing straddles across all consumer segments from value to luxury housing. To maintain safety of financial transactions, the company has launched an integrated payment gateway which allows customers to complete the entire home-buying transaction online.

SolarTown Lit Homes when neighbourhood Went Dark During Chennai Floods

CHENNAI: When the whole of Chennai went dark and people remained incommunicado for more than three days during the recent floods, there were some who were leading a normal life with bright homes,fully charged mobile phones and UPS batteries. These were the lucky few who were using solar powered electrical system provided by SolarTown Energy Solutions Pvt. Ltd. (SolarTown).


SolarTown, a pioneer in solar rooftop systems for residential, commercial and industrial customers, has helped Chennai customers with its off-grid solar systems to remain online and provided critical support to them and neighbourhood communities when the State Electricity Board suspended power supply following the devastating floods early December.

Soon after the grid shut down, communications to and from the city had failed, cell phone batteries went dry and that of other personal electronics were depleted. Off-grid solar systems from SolarTown was the sole source of electricity for citizens in Chennai in many areas. SolarTown's customers were able to assist neighbours too by charging their phones and helping them connect with their loved ones. 

“Occurrences like the recent floods in Chennai demonstrated the need for off-grid power sources which can provide critical power during natural disasters,” said Vikram Dileepan, CEO of SolarTown.

The SolarTown's off-grid solar rooftop systems were fully operational during all three days of the grid shutdown in Chennai. They continued to operate even with cloudy conditions, Vikram said.

“Committed to constant innovation, SolarTown has developed a hybrid solution which includes solar microinverters, solar PV, and battery which can work on-grid as well as off-grid during power shutdowns,” said Vikram. SolarTown has successfully implemented this technology into a rooftop solution for residential and small commercial installations throughout Chennai.

Vikram further said that hybrid technology helps customers cut electricity cost considerably. Most of SolarTown off-grid customers have purchased solar system and took advantage of accelerated depreciation tax benefits, with payback periods as low as five years. In addition to purchasing a solar system, SolarTown offers home-owners and businesses the ability to lease a solar rooftop system with no down payment and a fixed monthly lease rate guaranteed to be lower than the DISCOMs, shielding them from rising electricity rates.

With over 100 installations, SolarTown has an impressive customer base of some of India’s top corporates, such as Infosys, Renault-Nissan, Plant Engineering and Aachi Group, and can meet the demand from 1 kW to 300 kW.

After floods its business as usual for Chennai real estate

The recent unprecedented floods in Chennai has indeed put a spanner in the works of the real estate firms in the booming southern metropolis and its fledgling outskirts, albeit briefly.

After almost two weeks of hibernation and bright sun shine for almost ten days now, it is business as usual for real estate firms which are using innovative means to lure people to sell their projects.  While some draw people’s attention by claiming that the areas where their residential projects are coming up are safe as they have not been affected by floods, others are making indirect attempts to sell their projects in worst affected areas in and around Chennai by becoming good Samaritans.


The floods have virtually stopped all construction activities in the southern city and its outskirts. The real estate sector, which is already reeling under stagnation and negative growth for the last few years due to sagging economic growth, will find it hard to withstand the effects of the recent floods.

Several residential projects in Chennai’s most sough-after fringe areas on OMR, ECR and GST Roads and other prominent locations such as Maraimalainagar, Perungalathur, Thoraipakkam, Porur, Poonamalle,  Ambattur and Avadi were remained unsold and the floods have made the situation even worse. People may go choosy in selecting the areas now and most of the ground floor apartments will likely to find ‘no’ takers, feel real estate experts.

Under pressure, the developers and builders are worried to sell their homes. Take for example, the areas in west Tambaram and Mudichchur, which have several independent homes and villas bore the maximum brunt, with almost all of them went under water sinking the silt and ground floors inundating several cars and destroying properties worth crores of rupees.



Before the floods, these areas were one of the hottest destinations for home seekers in Chennai and real estate firms were making no mistakes in tapping the opportunities.  But now, there is not even a single real estate advertisement appearing on national dailies giving details about housing projects in Tambaram, Mudichchur, Nandambakkam or Velacherry. 

All these areas were the worst affected as several lives were lost here and several well-to-do-families virtually came on roads after losing their belongings due to the burgeoning Adayar River on the fateful night on December 1 when officials suddenly opened the flood gates of Chembarambakkam reservoir near Chennai.


After more than ten days now, some areas in KK Nagar, Valasaravakkam, Madippakkam are still under knee-deep water.  But sun slowly has started shining again on real estate firms in Chennai.

One can see a lot of real estate ads making their way in local and national dailies luring people with discounts and goodies to sell flats and plots, and in another month or so, people may even go for sight visits in areas of west Tambaram, Madipakkam, Keelkattalai or Mudichchur to purchase properties forgetting the fact that these areas were once the water bodies and now busy residential areas, thanks to the “efforts” taken by real estate sharks and corrupt officials.


With the state government, private organizations and enthusiastic individuals taking efforts to help the affected people, real estate firms in Chennai are now busy as usual, trying to reach out to their customers by all available means to sell their projects taking advantage of Chennaiites eternal affinity of owing homes.
K Ramanathan

Also published in Merinews.com.

Wednesday, December 9, 2015

Cabinet approves Real Estate (Regulation and Development) Bill

The Union Cabinet, chaired by the Prime Minister Narendra Modi, has approved the Real Estate (Regulation and Development) Bill, 2015, which was forwarded by a select committee of Rajya Sabha which has done some modifications from the original draft.

The Bill will now be taken up for consideration and passing by the Parliament, a PIB release said. 

The Real Estate Bill is a pioneering initiative to protect the interest of consumers, promote fair play in real estate transactions and to ensure timely execution of projects. 

The Bill provides uniform regulatory environment to ensure speedy adjudication of disputes and orderly growth of the real estate sector. It will boost domestic and foreign investment in the Real Estate sector and help achieve the objective of Government of India to provide ‘Housing for All’ by enhanced private participation. 

The Bill ensures mandatory disclosure by promoters to the customers through registration of real estate projects as well as real estate agents with the Real Estate Regulatory Authority. 

The Bill aims at restoring confidence of consumers in the real estate sector; by institutionalizing transparency and accountability in real estate and housing transactions which will further enable the sector to access capital and financial markets. 

The Bill will promote orderly growth through consequent efficient project execution, professionalism and standardization. 

The salient features of the Realty regulatory Bill are as under: 

  • Applicable both for commercial and residential real estate projects. 

  • Establishment of ‘Real Estate Regulatory Authority’ in States/UTs to regulate real estate transactions. 

  • Registration of real estate projects and real estate agents with the Authority. 

  • Mandatory disclosure of all registered projects, including details of the promoter, project, layout plan, land status, approvals, agreements along with details of real estate agents, contractors, architect, structural engineer etc. 

  • Deposit of specified amount in a separate bank account to cover the construction cost of the project for timely completion of the project. 

  • Establishment of fast track dispute resolution mechanisms for settlement of disputes through adjudicating officers and Appellate Tribunal. 

  • Civil courts jurisdiction prohibited from taking up matters defined in Bill, however, consumer court allowed to hear real estate matters. 

  • Promoters barred from changing plans and design without consent of consumers. 

  • Provision of Appropriate Government to make rules for the matters specified in the Bill, and the Regulatory Authority to make necessary regulations.

Monday, December 7, 2015

JLL Forms India Desk in Dubai to Boost Cross-border Realty Investments

Jones Lang LaSalle (JLL), the leading real estate investment and advisory firm, has announced the launch of its ‘India Desk’ in Dubai, a new medium aimed at facilitating cross-border investment between India and the GCC.

This new initiative will support GCC investors in managing their real estate investments and holdings in India while also advising investors and developers from India on entering the UAE and wider GCC markets. The desk is currently advising investors in Dubai to fund a development project in Mumbai, and is also shortlisting land acquisition opportunities in India for an Abu Dhabi-based group.

Anuj Puri, Chairman and Country Head, JLL India said: “We continue to see a significant interest from investors and developers from the GCC for India, and vice versa. By establishing this channel, we will ensure that our clients receive the same high quality of services that they are accustomed to across the globe.”

Commenting on this new initiative, Gaurav Shivpuri, Head of Capital Markets JLL MENA said: “India has had a long-standing partnership with the UAE, and it continues to play a huge role in the region’s economic success. As business interests resonate across borders, it is an opportune time to set up a platform to facilitate cross-border investments.”

The desk will be led by Swati Shanker, Lead – India Desk, who is based in Dubai and Amit Pande, Head of Private Wealth, India & Middle East,  based in Mumbai.

Sunday, December 6, 2015

Brigade Partners with Kin Housing to Sell Housing Projects in Bangalore


Brigade Group, a leading builder based in Bangalore with 29 years of industry experience have joined hands with Kin Housing to promote few projects in Bangalore as a part of New Year campaign.

As a part of the marketing campaign, Brigade Group is selling five projects across different locations of Bangalore through digital medium using Kin Housing’s digital distribution platform. 

All the projects come with special new year offers giving customers a chance to buy quality branded homes at a lesser investment then normal price.

Discussing the launch of this campaign, Viswa Prathap Desu, V.P Sales and Marketing, Brigade stated: “Kin Housing has a 360 degree digital distribution & lead generation model coupled with a strong offline property advisory team which enables a unique online-offline model for customer acquisition and engagement.  This approach will help us reach out and service customers better”.

Kin Housing was started around 18 months back and provides real estate advisory for projects across India with focus on Bangalore & Pune.

Friday, November 27, 2015

Owning a home in Chennai is a boon or bane?

This is not to dissuade anyone to buy home in Chennai. But the fact is the fact! Chennai is among the top real estate destinations in India. The prices of properties, both within and outside the city, are steadily going up irrespective of the fact that some of the pin codes still to have basic facilities like black-top roads, clean drinking water, clog-free drainage network and reliable power supply.

As an added bonus, people’s most cherished homes and swanky cars can go under water during the monsoon season aided by depressions in Bay of Bengal. One can imagine the plights of the residents residing in city’s fringe areas, who had spent fortune to own a home there.

Scenic Chennai outskirts are under the thick cover of flood water

They have only houses sans basic amenities - No roads, no sewage and water connections, poor transportation facility, unsafe and unhealthy surroundings, lack of security and utility services like bank, post office, ATMs hospital, etc, and the list just goes on and on. But the real estate prices in these areas are touching the roofs making the salaried class to only day-dream of having a home in Chennai.

But is it worth owning a home in Chennai?

The recent rains brought by a depressed in Bay-of-Bengal and its aftermath flood inundating the so-called posh areas of Chennai and most sought-after areas in the city outskirts have opened up the floodgates of debates again among the denizens that whether or not the city is a megapolis, which is ill-prepared to withstand a few hours of rainfall.

Most of the areas having very high real estate value like Velacherry, Kotturpuram, Anna Nagar, Mugappair, KK Nagar, Ashok Nagar, Porur, Kolathur, Kodambakkam, Valarasavakkam, T-Nagar, to name a few, have been inundated with knee-deep to hip-level water while the entire world witnessed what has happed to the residents of West Tambaram, where water entered houses and remained there for more than a week. More than 100 people lost their lives in the state and properties worth crores have been lost. One could only see the top of the parked cars on the roadsides in several ‘posh’ areas.

Thambaram-Mudichhur high-way was completely invisible, and areas on both sides looked like a huge lake dotted with partly submerged buildings. Residents remained indoors for days as rescue and relief operations were selective and lackadaisical, allege residents.

Why the areas of West Tambaram, which have not seen such floods over several years, gone under water, making the residents to use of boats to reach various places to meet their daily needs? Rain water got mixed with drainage in several areas and people had horrific experience in finding food and answering nature’s call.

Some of the residents allege that real estate sharks, to sell a chunk of their land in low level areas, had illegally changed the course of the rain water flow in West Tambaram which had resulted in flooding in other nearby residential colonies. Several of the water bodies in and around the cities have been usurped by illegal residential colonies, which resulted in flooding in adjoining areas.


Take for example, Alappakkam near Valasaravakkam, which had a huge lake, now became a full-fledged residential area. So, whenever, Porur or Chembrambakkam reservoir overflows, excess water instead of coming into the Alappakkam Lake, now inundates adjoining areas in Virugambakkam, says real estate experts.

Same holds true for areas around Kattupakkam, Kolathur and Madipakkam. Shocking it may be, but as per a recent report in a leading daily, the Porur Lake in West Chennai, whose original area was around 800 acre, has shrunk to a meager 200 acre now, thanks to the overwhelming illegal constructions under the aegis of some political powers and real estate sharks.

So, no one is sure whether one area is safer than other in Chennai. May be this time an area would have been spared from flood, but may not be the next time, thanks to the intelligent planning of officials which lacks farsightedness and wide-spread illegal construction activities by unscrupulous real estate companies.

Another issue in Chennai is the mindless practice of re-laying of roads by the Corporation. Instead of ‘milling’ the road to remove the old asphalt and then re-lay the road, they lay the fresh aggregate on the old road itself, thereby increasing the road’s level by two to four inches every time. This makes the houses on the either side of the road dwarf in few years making them vulnerable to floods.


The construction of ambitious rain water drains, which had started way back in 2011, has not seen its light yet, despite spending fortune on the project. In many areas, flood water entered due to incomplete drain works. Roads have to be cut to drain out the excess water in several areas. Almost all roads in Chennai have been affected due to the recent rain, and to repair or relay them, the government needs huge funding and man power.

This year’s flood is not a “once-in-blue-moon affair for Chennaiites. They are used to such conditions and have been suffering for years. It was in 2005, 2008, 2009, 2011 and then now in 2015. Every time, precious lives lost, crores worth properties perished, but no lesson learnt.

So, no prize for guessing, whether owing a home in Chennai is a boon or a bane? 

The article also appeared on Merinews.com.

Despite rate cut, real estate sentiments remain lukewarm: ASSOCHAM

Despite the recent rate cut of 50 bps by Reserve Bank of India (RBI) and great offers made by developers on the festive season, the investment in the property have remained lukewarm in and around the NCR region due to lack of confidence in state of economy, delay in project execution, lack of fresh employment generation and overall slowdown, reveals the ASSOCHAM recent study. 

"The sentiment in the housing market is really at a low key. The prices have almost crashed but they are still un-affordable. Be it Rohini, Dwarka, South Delhi, Noida, Gurgaon, the prices of property are down by 25-30% as compared to the last two years.”, said D S Rawat, Secretary General ASSOCHAM while releasing the survey.

The ASSOCHAM conducted a random survey of nearly 125 real estate developers in Delhi-NCR. The survey reveals that demand for buying property have decreased by over 30% over the last year.

As per the ASSOCHAM paper, inordinate delays in getting necessary approvals from multiple regulations and authorities result in cost and times overruns. The resale or secondary market is also dull this festival season as there is very little resale going especially in the NCR and surrounding areas, adds the survey.

According to survey, the residential market has witnessed a steep decline by 25-30% in new launches as well as demand resulting a significant shrinkage. The unsold inventory pressure in NCR region is the highest among all other cities.

According to the majority of real estate developers in NCR regions said, about 62% of the unsold real estate in NCR is in areas which are currently uninhabitable. The problem has been confounded by delays in regulatory clearances and litigations, points out the survey.

The NCR residential market still has an estimated 1,70,000 units of unsold inventory which is approximately 30% of the units under construction, adds the survey. As per the survey, there are nearly 8.5 million workers engaged in building and other construction activities in India. 

The ticket price 3-bedroom, 2 BHK  and single room flats has seen correction by 30 per cent in Noida, 25 per cent in Gurgaon and 15 per cent in some key areas of Delhi but still, the demand stays subdued, adds the survey.

Modular kitchen, LED televisions and air conditioners are among the most common freebies on offer this Diwali. Some developers offered hefty discounts to the basic sale price for early investors. Many others warned of sharp revision in property rates post Diwali. However, the lure of freebies failed to charm home buyers, the survey noted.

Majority of the developers have complained that inordinate delays in getting necessary approvals from multiple regulations and authorities resulted in cost and time overruns.

To counter the slump in sales, developers have been offering some discounts and incentives. But even these steps have failed to attract buyers. The sales continued to remain low despite developers offering attractive pricing schemes and discounts to attract buyers.

Festive season considered to be auspicious for home buying and offering bargains, contributes over 30 percent of annual realty sales. But with the prevailing depressed market sentiment, the sector has been witnessing muted sales since the festive season of 2015, recording 30-35 percent lower sales compared to the healthy period of 2010-11.

Besides offering standard freebies like parking and club facilities, modular kitchens, air-conditioners, developers are taking just 5-10 percent of the house price as booking amount and that too in installments, with the balance payment on possession.

Thursday, November 26, 2015

Govt approves Rs 3120 cr to improve infrastructure for 102 cities under AMRUT

Seeking to improve basic infrastructure in urban areas, the Ministry of Urban Development has approved an investment of Rs. 3,120 cr for enhancing water supply, sewerage network services, storm water drains, non-motorised transport and availability of public spaces in 102 cities, under Atal Mission for Rejuvenation and Urban Transformation (AMRUT). 

An inter-ministerial Apex Committee chaired by Madhusudhan Prasad, Secretary (Urban Development) approved State level Annual Action Plans for 2015-16 with an investment of Rs. 438 cr for Haryana which has 18 Amrut cities, Rs. 573 cr for Chattisgarh (9 cities), Rs. 416 cr for Telangana (12 cities), Rs. 588 cr for Kerala (9 cities) and Rs. 1,105 cr for West Bengal which has 54 Atal Mission cities. 

Total investment in water supply projects in 58 mission states will be Rs.2,386 cr, sewerage projects-Rs. 495 cr in 17 cities, Storm water drains- Rs.106 cr in 9 cities, Urban transport - Rs.61 cr in 9 cities and Rs.72 cr for development of parks and green spaces in all the 102 cities, a PIB release said.

The Apex Committee approved investments in different basic urban infrastructure areas as proposed by respective state governments. Ministry of Urban Development will provide an assistance of Rs.1,540 cr which is about 50% of total project expenditure approved on Thursday. 

With these approvals, the Ministry has so far cleared a total investment of Rs.11,654 cr in 272 Atal Mission cities for improving infrastructure for ensuring water and sewerage connections to all households in Atal Mission cities besides enabling water supply as per the norm of 135 litres per capita per day for urban areas etc. 

At present only about 50% of urban households are provided with water connections and water supply is about 75 lpcd. Availability of sewerage connections is very low. Atal Mission seeks to bridge this deficit. 

As per the State Annual Action Plan (SAAP) for 2015-16, presented by the Haryana Government, water supply at present in all the 18 mission cities is below the norm for urabn areas. It is only 43 litres per capita per day in Jind, 88 lpcd in Sonipet and a maximum of 130 lpcd in Gurgaon. 

In other mission cities of Rohtak, Ambala Cant, Thaneswar, Sirsa, Hisar, Palwal, Karnal, Yamuna Nagar, Kaithal, Bhiwani, Ambala City, Rewari, Panipat, Bahadurgarh and Jagadhari, present water supply is in the range of 102 lpcd to 127 lpcd.

Siddha Group Builds World's Longest Rooftop Skywalk in Kolkata

Siddha Group, one of Eastern India's leading real estate developers, has launched world's longest rooftop skywalk, 'Starwalk', as a part of 'Siddha Galaxia, its affordable luxury apartments on Rajarhat Main Road, Kolkata. 

Sanjay Jain, Managing Director, Siddha Group and renowned actor Gargi Roy Chowdhury who unveiled the project, said:


"With Siddha Galaxia, we aim to redefine modern living in Eastern India. The major draw there is Starwalk, a rooftop skywalk at the 14th floor level, connecting eight towers with a 1.1 kilometre long rooftop skywalk and open landscaped greens, water bodies with fountains, sit-outs and a deck for telescope viewing. It will be the world's longest rooftop skywalk, offering a whole range of outdoor experiences, 140-feet above the ground level which makes this the world's longest jogging track at the highest level." 

"To meet the demand of open spaces within close reach, features like skywalks have become a necessity now. It's a quick-fit solution for the residents who want to experience open greens, leisure and collective activities within the complex. For them, the project's igh-in-the-sky activities will be a fascinating experience! I am quite sure that Siddha Galaxia would be unique and trendsetting - a luxury statement for an average middle class," added Jain.

Siddha Galaxia Phase II, featuring Starwalk, will be completed within the committed time frame. Phase I, ready already, has six towers while the Phase II will have eight. Siddha Galaxia is one of the largest affordable luxury complexes in Rajarhat. With open greens, Siddha Galaxia will eventually have 2500+ families and 10,000+ residents.

The project will also feature a star-studded Club, 'Stella', for its residents. The club spreads across 40,000+ sq ft with all modern facilities and amenities.

Located on the Rajarhat Main Road near City Centre II, Siddha Galaxia will offer spa, steam and massage room, yoga and meditation zone, health zone, gymnasium, swimming pool, aqua aerobics, badminton court, tennis court on the MLCP, squash court, multi-activity room, library-cum-lounge, indoor games room, coffee shop with WiFi, crèche, toddlers' zone, an AC banquet hall, plus, a 24-hour surveillance and security system, ensuring the experience of an ultra comfortable lifestyle at convenient prices starting from Rs 40 lakh.

DHFL Launches National Influencer Outreach Program

Dewan Housing Finance Corporation Limited (DHFL), India's second largest housing finance company in the private sector, has recently launched a national influencer outreach program in a bid to reach out to the tech-savvy younger generation in the age group of 18-25 years. 

This segment turns out to be the main influencer group for the prospective home loan customers in the lower and middle income (LMI) segment. The Company has launched two infomercials as part of the initiative to educate customers on the intricacies of home loans and would be launching a new video every month to update the customer on various home loan queries. This video will not only educate the customer on easy accessibility to home loans but also will imbibe confidence within them for buying their dream home.

The infomercials launched by the Company plan to convey the message to the younger generation that it is very simple to avail a home loan besides also educating them on the processes involved for applying for a home loan. The duration of each infomercial is close to three minutes and will be showcased across all digital mediums. The Company will also conduct workshops through its large network in the tier II and tier III locations. The video plans to reach out to over 5 lakh viewers through various social networking platforms.

The need for an educational approach arose because of the myths surrounding home loans and the indecisiveness on part of customers when it comes to applying for a home loan. The insights for the infomercials have been drawn from the expertise that DHFL enjoys for over three decades of servicing the low and middle income customer in the tier II and III towns and also through surveys conducted by the Company.

The video will further help increase awareness amongst the online searches on home loans, which stands at four and half lakh people seeking home loan information every month.

Speaking on the initiative, Harshil Mehta, CEO, DHFL, said, "The launch of our national influencer outreach initiative is a strategic move towards imparting knowledge to prospective home buyers, and complements the larger objective of the Indian government of achieving housing for all by 2022."

"The educative series is a step towards educating the target segment about the various benefits of a home loan and how the entire process can be made simple and convenient, thereby enabling them to take a well informed decision for buying their dream home," he added.

This influencer outreach program will further complement the recently launched "Bahanas" ad campaign by the Company to address the myths surrounding home loans. The infomercial will be showcased across branch networks and various digital platforms that are specifically targeted towards the LMI customers or the younger generation of LMI customers. It will be promoted on YouTube, Google+, news websites, Flickr, Pinterest, SlideShare, entertainment websites and high traffic online portals for maximum impact and reach.

Radius Launches Ultra-luxury Residential Project in Bandra

Radius Developers has launched ultra-luxury residential project titled 'Project Bandra', a joint venture between Radius Developers, DB Realty and ABIL, located off BKC Road near MIG Cricket Club.

Spreading across five acres, Project Banda offers 2, 3 & 4 BHK and will have 22-29 storey towers, the company said in a release.

Radius has ropped in well-known architect Hafeez Contractor for this project. While AEDAS will take take care of interior designs, POD Tierra from Singapore will do the landscaping for the project.


Project Bandra's innovative z-shaped layout offers views of the stunning Arabian Sea on one side and lush greens on the other. The unique master plan optimizes the natural essentials like ventilation and sunlight, ensuring that every single residence is airy and bright.

With pricing of the flat starts from Rs. 3.6 cr, the project will be completed by 2018.

Besides three majestic grand double height entrance lobbies spread over 37000 sq. ft. and multi-activity landscaped area, there are a host of amenities that will pamper and invigorate the residents. The project boasts of over 50% open and green spaces.

POD Tierra will develop over 3 acres of elevated lush landscape which will provide the rare sea of green in the heart of the city. Also included in the project are more than one kilometre long jogging track dotted with trees, gardens and orchard walks, 42,000 sq. ft. of amenities including luxurious clubhouse, equipped with world class amenities, state-of-the-art sky gym, swimming pool, toddler's pool, squash court and indoor games zone and a yoga and meditation center with spa, steam and sauna to help relax your body and mind.

Other amenities include, a barbeque deck, mini theatre, bowling alley, poolside cabanas, gourmet restaurant and café.

The project is located closer to Mumbai's largest and first international level CBD  - the Bandra-Kurla Complex (BKC), international schools, hospitals, malls, 5-star hotels, recreation and entertainment centers.

The project brings alive the walk-to-work concept and fosters a work life balance. It is also well connected to important destinations - everything from South Mumbai to the Airport, the city suburbs and the station lie within a 10-minute radius. Linked by the Bandra-Worli Sea Link, Western Express Highway and Eastern Express Highway.

Tuesday, November 24, 2015

Piramal Realty launches luxury tower in Thane for Dubai NRIs

Piramal Realty, a Part of the USD 4 bn Piramal Group, has recently launched Vivaan, one of the Most Premium Towers of Piramal Vaikunth located in the heart of Thane, exclusively for the NRI residents from Dubai.

Offering 2 BHK residences starting from 949 Square Feet carpet area, the limited pre-launch offer is available for select residences for NRIs in Dubai, a release stated.


Piramal Realty is a a diversified conglomerate with interests in Healthcare, Real Estate, Glass Packaging and Financial services, has recently received the largest private equity investment in Indian real estate from Goldman Sachs and Warburg Pincus.

Piramal Vaikunth is Located in the heart of Thane within 25 kms of the Mumbai International Airport.

The booking for Piramal Vaikunth has commenced from November 20. 

Vivaan is situated within the residential complex of Piramal Vaikunth at Balkum, Thane, which is 25 km from Mumbai International Airport.

Monday, November 23, 2015

Vaishnavi Launches mega residential project at Jalahalli off Tumkur Road

Vaishnavi Group, a well-established name in the Bangalore real estate circuit, has launched new residential project - 'Vaishnavi Gardenia' at Jalahalli, on Subroto Mukherjee Road, just off Tumkur Road.

This condominium of 628 apartments is being developed amids an oasis of greenery on the outskirts. Vaishnavi Gardenia has been envisioned to live up to Bangalore's sobriquet of Garden City. Each of the apartments has been configured to have a "garden view", which is the premise for the design of the building, as well as its name. Landscaping of the project began with transplanting of trees from parts of the project to designated areas. The architect retained several trees and planted many new ones in the project.


The development comprises 5 blocks - A, B, C, D and E with a mix of 1, 2 and 3 bedroom apartments, the company said in a release.

Speaking about the project, Harish S.N, Director, Operations of Vaishnavi Group, says, "The idea of the project was to create a residential space that was in complete harmony with its natural surroundings. Rather than place pressure on our environment, we are trying to give back as much as possible."

Gardenia has been designed as a "thinking" landscape. The idea was to create an interwoven, environmentally responsive design. A simple example for such a design; in the play courts area, each play feature is interspersed with tree-lined grids. This provides shade and works on delineating the spaces. The natural sloped terrain of this area has been retained as such, by adding terraced levels with seaters, thereby bringing together a functional requirement with the terrain of the site.

Suresh Marthand, the Principal Architect of Vaishnavi Gardenia, says, "The approach road from Subroto Mukherjee Road slopes downwards from east to west for 12 meters. We have integrated this into the design in terms of creating levels or terraces over which each of the blocks are built. We have also used these contours to provide a natural seating structure for the amphitheater. It has also helped us bring in a beach volleyball court and set up an open air gym, in as natural an  environment as possible."

Besides extensive efforts at green landscaping and tree conservation, the project also incorporates numerous other efforts at reducing carbon footprints and demands on natural resources. Vaishnavi Gardenia offers home dwellers on higher floors the advantage of solar heating.

Rain water harvesting systems have also been put in place to ensure that no natural water is lost from the project. This water is channeled from specific collection pits and used across the project for various needs.

Notable on the project premises is the presence of a sewage treatment plant. Sewage collected here is treated and then used across the project in the garden and for other non-potable needs. Interestingly the water treated here will be circulated in the flushing lines of the WCs ensuring that the demand for fresh water is reduced.

The presence of an organic waste recycling unit ensures that all kitchen waste collected during segregated garbage collection will go towards composting needs of the gardens. 

Thursday, November 19, 2015

Imperia Launches Lake View Apartments at Jaypee Sports City

Delhi–based Imperia Structures Limited, a leading real estate group, has announced a Unique offering – Rent-o-tsav – for the buyers of the newly-launched Lake View Apartments at Jaypee Sports City, located on the Yamuna Expressway.

Jaypee Sports City is part of one of the finest integrated townships in India developed in 4500 acres. Lake View Apartments at Mirage will consist of well-ventilated 3-BHK apartments in sizes of 1350 sq. ft. and 1450 sq. ft.

Residents will also enjoy amenities such as gymnasium with steam, sauna, and Jacuzzi, jogging track, kids’ play area, badminton and tennis courts, swimming pool, ATM facility, and ample parking space. Picturesque lake views and multi-tier security facilities are the some of the other benefits residents can look forward to. The strategically located project enjoys connectivity with two Highways i.e. the Yamuna Expressway as well as the Eastern Expressway. 

Other salient features indicating its prime location are:

  • Vicinity to F1 Race Track, International Cricket Stadium
  • Vicinity to Malls, Hotels, Multi-specialty Hospital, MNCs
  • Proximity to schools, colleges
  • Situated 20 mins away from Sec-18, Noida, and from the proposed KP-4 Metro Station
  • Situated only two hours away from Taj Mahal


Furthermore, prospective buyers can also look forward to ‘Rent-o-tsav’, an excellent festive offer for them to invest Rs. 2.93 Lakhs in a fine 3-BHK flat at Lake View Apartments, and get Rs. 7500 every month as rent till possession. They will also not have to pay EMI till the possession i.e. for 36 months. Housing loans will be furnished by Tata Capital Housing Finance Limited. The attractive offer can only be availed on bookings made from 13 October to 30 November 2015.

 Speaking to media, sales director of Imperia,. Prabhakar said, “Notwithstanding its contemporary ambience and ultra-modern amenities, the idea of the traditional Indian neighbourhood has been retained at Lake View Apartments.  Moreover, the residential complex’ natural surroundings and prime location lend it an edge clubbed with a great festive offer @ Rent-o-tsav making it attractive to investors and future residents alike.”


Headquartered in Delhi, Imperia Structures Limited is one of the top real estate players in North India, particularly the Delhi NCR area. With over 30 years of presence in Delhi/NCR, the Group has developed and leased out 2 million square feet of commercial space to fortune 500 and multinational companies which include Siemens, Samsung, Legrand, Videocon, Larsen and Toubro, GE Money, Airtel, Kotak, Max Bupa, Snap Deal, Flipkart, Reliance, Maharaja Whiteline, Aptra, Voltas, TCS and many more.