Real estate India

Real estate prices for commercial space in Capital are likely to remain buoyant in the short term while realty prices in Mumbai are expected to witness a dip in medium term, global consulting firm has said. Lease rentals and capital values are expected to remain high in
Delhi property market in the short term, Cushman and
Wakefield said in its latest updates.  

It pegged office space supply at 7.8 million sq ft in the Capital during the year. During last quarter (January-March), office rentals rose by 10-16 per cent in booming satellite city Gurgaon.  

On Mumbai property market, C&W said supply of 12 million sq ft of new office space in the next 24-36 months was likely to bring a downward correction.  

This much-needed downward price correction over medium term would help retain Mumbai’s competitiveness over the long term, the realty consulting firm said.  

C&W, however, predicted the rising trend of Capital and rental values of office space to remain for few quarters to come due to short supply of quality space

The thaw in Indo-Pak relations has attracted investment in mega projects, worth Rs. 3,204.59 crore, in
Amritsar. Moreover, with a majority of the projects belonging to the real estate sector, it seems that the city will soon have more malls, multiplexes, townships, and penthouses. This investment also includes infusing fresh capital of Rs.765 crore by four industrial houses. 

Of a total of 25 projects, 21 projects are from the real estate sector. Real estate developers like Alpha G Corporation Ltd, Dynamic Continental (P) Ltd, PVP Entertainment (P) Ltd, PVP Entertainment (P), Ansal township & Project Ltd, DLF, Parsvnath Developers Ltd. are making their presence felt by building township, malls and multiplexes. Confederation of Indian Industry (CII) Northern Zone Chairman Gunbir Singh said: “There is immense Potential in
Amritsar. Also, the modernization of the city will help in attracting tourists. At present, in the absence of professionally managed hotels, most of the tourists do not want to stay in the city.” 

Alpha G Corporation is investing Rs. 239 crore for the development of a city center and a hotel, Dynamic is investing Rs. 100 crore, PVP Entertainment Rs. 105 crore, DLF Rs. 463 crore, and Ansal Township Rs. 800 crore. While DLF will develop an SEZ in
Amritsar, Ansal will concentrate on building townships. 

Alpha G Corp CEO S K Sayal said: “Developers planned by the state through private-public partnership is also a large motivating factor.”  

Also,
India’s largest waste paper unit at a single location, Khanna Paper Mills, will be investing Rs. 500 crore for capacity expansion, while Rana Sugar Mills has already set up their distillery unit with a total project cost of Rs. 35 crore. Also, Khusi Ram Bihari Lal, a company engaged in rice processing, is investing Rs. 205 crore in a new unit in
Amritsar. 

Already, 17 companies (three industrial houses and 14 real estate companies) have signed the memorandum of understanding (MoU) with the state government and the remaining would also sign the MoU shortly. According to sources at the district industries center, these projects will be completed within three years from the date of signing the Mou. The development has also led to a sudden hike in land prices immediately after the announcement of advent of big business houses.

Gera Developments, one of western
India’s most progressive real estate developers, and pioneers of the intelligent building in Pune, will make their first venture into
Goa with
Gera’s Imperium, a 75,000 sq. ft. commercial project in Panjim, to be completed in 15 months. The building will be
Goa’s first ‘IntelliPlex’, combining futuristic building technology with intelligent features. The project will boast of ‘intelligent’ features such as motion sensor lights, lux sensors for external lighting control, intelligent fire alarms and safety systems, intelligent building monitoring systems and optional technologically advanced security systems such as biometric access control, making it a premium commercial destination. The property is strategically located in

Patto
Plaza, behind Kadamba bus stand and opposite the office of the Commissionerate of Custom and Excise.
Gera’s Imperium, like all other
Gera projects, will have a five-year warranty to ensure that it stays in premium condition. This warranty covers two areas: preventive maintenance in areas of carpentry, electrical diagnostic works, plumbing and bathroom tiles; and repairs as a result of improper installation or supply of any of the building’s fixtures or fittings

The government is thinking hard about the ways to accommodate urban poor, a goal which can bring a round of applause for politicians. Urban housing is struck in between the outdated policies and bureaucracy. 

Considering housing for poor a prime responsibility, the government has largely focused its attention towards development of large number of houses and allotted them to the poor. Funds have been garnered for development of such units, with the remaining cost shared between a bank and the beneficiary. 

Demand for residential property among urban poor is increasing because of a rapid urbanization. Since, there is a shortage of land in cities; an effective urban policy requires to be brought into effect to optimize proper land use. 

Outlined below are some suggestions for drafting housing policies for poor: 

Housing policies must meet broader economic goals in the best way, thereby ensuring regulated urban development.  

Any urban housing policy must give the first priority to urban poor who actually run the urban growth engine. Else, it will only serve as one of the futile incentives, which do nothing than promoting indiscriminate migration. Government should look towards developing enough stock of rented housing for the poor. It will set a new paradigm instead of transferring ownership to inhabitants.  

The rents will seldom be an additional burden on the poor, as they pay s 500 – 1,000 per month for dingy huts in slum, without access to basic facilities. Contrary to this, residents will not suffer from the problem of uncertainty in tenure. In any case, the government housing schemes now have a significant bank loan share, which the beneficiary (who can be allotted rent vouchers) repay in monthly installments. Rent Vouchers will only be helpful in replacing the rent payments.  

Seeing the large demand for lower income housing units and the pool of long tenure financing prospects, these ventures offer large potential for builders.  

A contract can be signed with private builders to develop these housing units for poor. A build-operate-transfer contract for tenure of 15-20 years can be an attractive proposition. They can collect predetermined rents and the rental subsidy from the government can be directly transferred to the builders. The move can help to ensure better focusing of the subsidies.

Indian firms are being bullish on to buy or rent office space in Mumbai, a factor which has fuelled the prices of commercial property in the city. Another factor pushing the average rentals in the commercial business district areas is a sharp increase in value of rupee. The rentals are believed to be more than those in
New York. 

The average per sq ft cost in Nariman Point and Bandra Kurla Complex (BKC) stands at 1.5 times higher than
Manhattan. According to the market trend, the rentals in BKC will rise higher than the existing rates. 

Rentals in Mumbai are going through the roof. Knight Frank finds it cheaper to lease 1 lakh sq ft of commercial space for $55 per sq ft per annum than to pay $90 for the same in Mumbai. 

Close on the heels of BKC, Nariman Point is also fetching rentals which are around 1.5 times higher than Manhattan, says Pranay Vakil, Chairman, Knight Frank India. 

The weighted average rental in
Manhattan hovers around $60, according to the latest survey. It all started a year ago when Lehman Brothers leased a property in BKC for Rs 300- 400 per sq ft per month, adds Mr. Vakil. 

The cost per sq ft per annum in Mumbai’s CBD was never heard to exceed $30. As compared to it, it has been three times higher in the past 18 months. 

The overall average rental in
Manhattan was $53.43 sq ft, says Cushman & Wakefield. The amount was the highest ever recorded. 

Rents for class A offices in
Manhattan are now $64.54 per square foot. Shortage of Grade ‘A’ supply and increase in demand has caused a sharp increase in Mumbai by 20-30% over the last quarter.

Andhra Pradesh Chief Minister Y S Rajasekhara Reddy turned down the proposal of bringing a further hike in property tax to increase the revenue of local bodies. 

The minister has also expressed his displeasure over the manner in which the municipalities and municipal corporations raised the property tax even after the dissent of the state government for the same. 

Reddy has asked the municipal administration department to issue a fresh government order canceling the revision of property taxes for residential purpose after 2004. 

Instead of making the things worst for common man as far as buying the property is concerned, municipalities should think of another way to bring improvements in their non tax revenue. 

The municipalities have also been assigned the work of identifying lands to develop commercial property  to add to their income.  If it is a government land, municipalities need not pay for it. On the other hand, if it would be a private land, the expenditure will be borne by the state government. 

Commercial complexes would be developed on a public private partnership (BOT). The local bodies will be permitted to use the revenue generated from such complexes to execute other development activities. 

The minister also agreed for outsourcing necessary staff like managers, sanitary inspectors, bill collectors and ministerial staff by the municipalities. 

People buying residential property in Ahemdabad can now also buy parking space by shelling out some extra money. They can easily get it in around Rs 1.2 lakh to 1.5 lakh in upmarket areas of the city. 

However, some economically less well-off parts may charge near about to Rs 20,000 for the same. The trend will soon be seen in both commercial and residential property market. Earlier, the prospect of buying parking space was available with only a few builders in areas such as Prahladnagar,

Road, Navrangpura, Ellisbridge and Satellite. 

As such, the legality of selling parking space has not been specified under the existing norms. It requires some space reserved for parking of the total permissible floor space index, says I P Gautam, Ahemdabad Municipal Commissioner (AMC). 

Selling parking space in a megacity can be an attractive option for builders. Considering the increase in number of vehicles in Ahmedabad, the trend to buy the space is likely to boom. 

The cost of parking space should be determined by studying the density of parked vehicles in the area, construction costs, and parking management costs, says Saswat Bandyopadyay, a CEPT Professor. 

In case the property buyers narrow down on the option of buying parking space, they should demand added facilities such as car wash area, proper sheds, and maintenance of the parking space.

Currently the real estate market is going through a phase of correction in prices and there are inflated possibilities that the artificially inflated/increased prices are likely to come down. 

 Before the slow down phase in the past, the projects were sold instantly without any hitch at an   exorbitant rate.  But that would be a thing of past now.  The negative impact is explicitly visible as lots of high-end /cost oriented projects are still lying unsold. In such an eventuality,  there may be blessing in disguise as high profile speculators will be out making way for the actual users. 

It is but natural that with price correction, the market will turn towards end users thereby enabling the developers to sell out their remaining products.Meanwhile, the beginning of correction phase started with the increase in home loan rates by the banks/ government since February/ March onwards which mainly, interalia, eroded the purchasing power of middle and upper middle class majority of whom are covered in the category of end users or actual users. Now the real estate marketing is passing through the scene of wait and watch for seizing the best opportunity clubbed with the hope of reduction in home loan rates.  

Zameen-zaidad.com supports your plans for buying and selling properties in Gurgaon. From gaining access to current property rates to sale and purchase of property, our real estate solutions apply to a whole host of situations across the economic value chain in commercial (retail and office space), industrial & residential/rental properties in Gurgaon. The initiative by the Government of Haryana in inviting investments to Gurgaon has brought about the active growth in knowledge based industries like IT Services. This has created demand for office space and consequently to residential properties in Gurgaon.  

In commercial space reputed developers like DLF, Unitech, Vipul, Vatika, JMD, Omaxe Parsvnath, Suncity Projects Ltd. are pushing the concept of workspace, urban living and leisure time in all directions. The realty boom is unbridled but eminently sustainable. 

Malls in Gurgaon have been instrumental in giving a pattern to mass affluent household spends as retail and commercial business is becoming specialized. There are a number of large format retail stores in Gurgaon and existing formats are changing radically according to size and category. Office spaces in corporate buildings as well as in commercial centers like IMT Manesar,

Pace
City, InfoCity and Udyog Vihar in Gurgaon have catapulted Gurgaon to become the Commercial hub of
India.  

The proposed expressway to Jaipur, Metro Rail connection to
Delhi and the Special Economic Zone to be developed by Reliance Industries are already adding value to Gurgaon apartments for builders and owners. About eight SEZs are expected to be set up which have mandates to build up residential areas or zones in order to improve the total infrastructural class in their respective areas.  

The varieties existing in residential segment have Bungalows, Houses, Villas, Flats, Farmhouses, Penthouses and much more. Most of the residential units have power backup club house facilities, multipurpose hall, pool, day care, car washing facilities and children’s play area. 

Other areas developing fast as a shopping street are

,

no 8, Dlf Phase I, Dlf Phase II, Dlf Phase VI, Sector 15 Part 2 and many more. Hilton Hotels Corp., the second-largest
US provider of rooms, and joint venture partner DLF Ltd, have plans to invest $30 Billion for setting up a chain of hotels across the country, around 50 to 75 hotels. 

Zameen-zaidad.com welcomes you for most competitive & transparent property deals in real estate Gurgaon. 

Faridabad the once sleeping town of
Haryana is on the fast track to be one of the emerging and happening cities of NCR. The city is fast catching up to be a favorite for buyers and the corporate world are moving in as the neighboring cities like Gurgaon and Noida reach a saturation level. As
Faridabad develops into a preferred destination for MNCs, the IT, ITES and the BPO sector, the retail sector is also in its best with sprawling malls and swanky offices donning the streets of
Faridabad. 

As
Faridabad moves on to be the next happening city in NCR, the capital values and rental values of property are gradually on the rise. It’s high time to explore the growing opportunities in
Faridabad realty sector which is on a constant upswing. Be it investments in residential properties in Faridabad, commercial property or rental properties;  

Zameen-zaidad.com is the perfect platform to cater to your demands and provide professional services to your real estate needs.  

If you are planning to buy a property in
Faridabad, then you’re at the right place as zameen-zaidad.com has tied up with
India’s best and world class builders, promoters, constructors, real estate agents and brokers for providing you the ultimate real estate solution and best property deals. 

As Indian economy experiences unprecedented growth, be it in economic development, infrastructure, foreign investments and related business opportunities; real estate in India is experiencing the boom. This boom is further strengthened by the relaxation of FDI in the real estate and construction sector and also retail which has opened the doors for the commercial real estate sector.  

The industrial town of
Faridabad is fast becoming the next hot destination for expanding developers and the pace of real estate growth is expected to prosper as more and more companies are now choosing to opt for
Faridabad as its connectivity to
Delhi and the nearby NCR cities like Gurgaon and Noida is proving to be a favorable factor.  

Top developers from
Delhi and the neighboring NCR like Ansals, Omaxe, Parsvnath Developers, Eldeco Group among many others are making headway for
Faridabad which is much evident from the fast track construction in progress - from integrated townships, group housing projects, residential apartments, malls cum multiplexes, business parks and state-of-the-art office spaces. So we welcome to you to buy, sell, rent properties, commercial, residential plots/flats, office and retail space from reputed builders/developers by our qualified real estate agents with extensive experience in
Faridabad properties.