25/01/2014
estateace India Real Estate Weekly Newsletter – Jan 25
Tata Housing Plans to launch Signature Villas priced at Rs 130 -170cr in Delhi
According Times of India reports Tata housing plans to launch Super-luxury residential Villas near Connaught Place on Hailey Road in 1 acre of land bought in 2012. Tata Group plans to develop 4-5 signature villas in a price range of Rs 130-170 crore each.
Tata housing has presence in 13 cities; Delhi-NCR with 3 projects in Gurgaon and this is first in Delhi. Since 2006 it has emerged as the fastest growing realty player in India.
Capri Global Capital to fund $7 Million for 2 realty projects in Mumbai
Capri Global Capital Ltd, India a subsidiary of US Based real estate asset management firm Capri Global plans to fund $7 million (Rs 45 crore) to Monarch Universal’s two real estate projects in Roadpali and Kalamboli on the outskirts of Mumbai. Ramesh Kelkar, head of risk, wholesale lending, Capri Global Capital says “This transaction is a testimony to the fact that residential developments on the outskirts of Mumbai is an emerging market for quality real estate and will continue to attract interest of financial institution”.
Capri Global capital now thinks the demand for mid-segment housing is attractive and plans to extend financing for such projects to Tier 2 & 3 cities.
Hyderabad Metro Rail expects 50-55% of its revenues from real estate
According to Business standard reports CEO & MD Hyderabad (L&T) Metro Rail Vivek Gadgil says “50-55% of Hyderabad metro revenue will come from real estate rest from its riders in it initial years”. Stage-1 of the project between Nagole and Mettugada will be commissioned by March 2015. Rs 15000 crore project covers 72 km of Elevated metro rail and six million of Transit-Oriented development (TOD).
Mantri Developers announced the launch of Mantri Euphoria in Hyderabad
Mantri Developers Private Ltd announced the launch of Mantri Euphoria- super premium ultra-luxury villa in Hyderabad. It comprises of 151 uber luxurious villas spread across well designed and innovative landscape, nestled against a forest reserve at the Narsingi Junction.
The project ranging from 3055 sq.ft to 5170 sq.ft with price starting from Rs. 2.3 Crore onwards. Mantri Euphoria is in close proximity to key public amenities as well as well connected to the business districts, educational institutions and commercial establishments.
Real estate firm Supertech to invest Rs.750 crore in Uttarakhand
Real estate firm Supertech Thursday said it will set up a University in Uttarkhand that will require an investment of Rs.750 crore in the first phase, expected to be completed by the end of 2015. This is the first venture of the real estate major in the education sector.
Supertech chairman and managing director R.K. Arora said the company has acquired 50 acres of land on which the new institution will be located. Our target is to get another 50 acres and have 100 acres campus . He said new university will be funded and managed by Supertech Foundation, a trust backed by the company.
2014 and 2015 expect a stable real estate market in Bangalore
According to Deccan herald reports Real estate players , analysts and developers expect a stable 2014 and 2015 for Bangalore’s real estate market compared to Delhi, Mumbai, Hyderabad and Chennai. Steady growth in the IT sector has ensured a boom in the real estate market.
According to real estate analyst Naveen Nandwani, the residential realty market will continue to be dominated by the mid-end segment primarily driven by the end-user buyers. “The demand will be primarily concentrated for residential units in range of Rs 6-10 million price brackets in submarkets like south-east, north and east owing to ongoing commercial activities and numerous options in these submarkets. Given the anticipated demand, capital values in these locations are also expected to witness an upward trend. Considering the ongoing infrastructure initiatives like Metro Rail, Hebbal-BIAL Expressway and Peripheral Ring Road locations like Kanakpura Road, Tumkur Road, Mysore Road, Thanisandara Road and Hennur Road are expected to witness increasing traction of residential activities.”
Suresh Hari of Credai Bangalore said, “Going by the trend witnesses in the last couple of years and given the ground reality of election year, the expected off take in residential real estate should be in the range of 25 to 30 per cent more. The price appreciation should be in the region of five to 20 per cent. In the supply front, the level will be same as 13, if not slightly more. As regards commercial realty — again based on the earlier trend, office and retail space should see a growth of five to 10 per cent over the previous year. Rental appreciation should be in the region of five to 20 per cent on an average. On supply front, an increase of five to 10 per cent over previous year is expected
According to Brotin Banerjee, MD & CEO, Tata Housing, Bangalore has outperformed most of the other metros in the country, with minimum impact of the current slowdown. Bangalore is touted as the 10th most favoured property investment destination in Asia-Pacific. With improvement in infrastructure and connectivity to Bangalore International Airport Limited, north Bangalore has been the best performing locations in the city. Banashankri and Devanahalli in particular may outperform due to their locational advantages in coming quarters.
IT companies bought large parcels of land in Sarjapur, south east Bangalore to enhance their staff strength. Sarjapur’s residential space is therefore expected to see good demand.
Considering the ongoing infrastructure initiatives like Metro Rail, Hebbal-BIAL Expressway and Peripheral Ring Road locations like Kanakpura Road, Tumkur Road, Mysore Road, Thanisandara Road and Hennur Road are expected to witness increasing traction of residential activities.”
CREDAI welcomes rationalization of property valuations
CREDAI today welcomed the West Bengal government’s move to rationalize property valuations.
Harsh Vardhan Patodia, President, CREDAI Bengal, told reporters here, “Rationalization of property valuations by bringing in the circle rates to realistic market levels becomes extremely significant, considering that it was crucial to infuse a positive sentiment in the market to support the home owning aspirations of millions of buyers, especially in the LIG and MIG category.
The real estate industry was also suffering because high stamp values transactions were not happening as both buyers and sellers were affected because of the central law.
