sidelines

Property prices in india – correct after september 2008

by Paul Joseph January 4, 2011

NEW DELHI: Housing regulator, NHB, which is awaiting USD 500 million loan from the World Bank for low cost housing, today said property prices would rise in the next one year, but that would result in correction in these rates in all the metros subsequently. “In the next one year, property prices would be moving northwards which will create a dampening impact on demand, resulting in correction of prices,” NHB Chairman R V Verma told reporters on the sidelines of Skoch summit. He said correction would happen in the prices in all the metros. Correction in property prices started happening in India , after global financial crisis deepened in the middle of September, 2008 with the collapse of US financial services icon Lehman Brothers . But after the economy revived, property prices have moved up again in India. Many experts also believe that rising loan rates as a result of RBI monetary tightening moves would lead to correction in housing prices. Verma also said NHB expects USD 500 million loan from the World Bank for low income home. “It is in the pipeline. We are expecting feedback from the World Bank soon. The funding is in the pipeline for 2011-12,” he said. Verma also said NHB is entering into an agreement with Germany-based bank KFW for 50 million euro loans to fund energy efficient houses. “We expect first tranche of funding in June,” he added. The NHB chairman said the bank has disbursed Rs 7,500 crore this fiscal so far. “In March, we are expected to disburse another Rs 2,500 crore. In July- June 2010-11, we expects disbursal of Rs 11,000 crore of which Rs 2,000 crore will be for rural housing fund,” Verma said.Read more:

Tagged as: property prices, sidelines

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75,000 foreign visitors arrived during CWG, says Selja

by Paul Joseph October 22, 2010 Uncategorized

Commonwealth Games  NEW DELHI: Union Tourism Minister Kumari Selja Thursday said around 75,000 foreign visitors were in India during the Commonwealth Games that ended Oct 14. “Initial estimates said 100,000 visitors – both domestic and foreign – were expected in Delhi during the Games,” Selja said on the sidelines of the

Tagged as: commonwealth, commonwealth games, delhi, games, india, sidelines

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Actor/Producer Ajay Devgan Plans to Develop 2 Real Estate Projects in Mumbai

by Paul Joseph October 5, 2010 Uncategorized

Actor-turned-producer Ajay Devgan has now ventured into real estate and plans to develop a residential and commercial complex in the metropolis. Devgan has allied with the Roha Group , which has been in the sector for the last seven years, for its expertise in the segment. “I am a regular investor in this space. I felt there is a huge scope for coming up with branded products and was waiting for the right associates. Roha Infrastructure (a group company) brings in seven-years of experience in realty sector and so the alliance came into place,” Devagn told reporters on the sidelines of a real estate event here. The company, Ajay Devgan Infrastructure (ADi), will be developing two projects — one residential and other commercial under the brand of ADi in Mumbai. The residential complex — ADi West Coast — would come up at Versova while the commercial building — ADi EGO — will be constructed at Vile Parle (East) on the Western Express Highway. While the residential complex is spread across 60,000- 70,000 square feet of area, the commercial complex would be set up over 20,000 square feet, a company source said. ADi West Coast will have a ground, five podiums and 12 floors. “The residential complex will cater to the luxury segment. Each floor will have only one flat of around 5,000 square feet,” he said, adding that the flats would be sold only by invitation.

Tagged as: delhi, real estate, real estate developers, real estate trends, residential, sidelines, the-commercial

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Commercial realty prices unlikely to go up soon: HDFC

by Paul Joseph July 9, 2010

The mortgage leader HDFC on Tuesday ruled out any upward movement in commercial real estate prices in the near future. “A correction in commercial real estate prices is unlikely…prices are unlikely to show a sharp surge in the coming months. There could be a marginal correction in some areas, but it would be just around 5-10 per cent,” HDFC vice-chairman and chief executive officer Keki Mistry said on the sidelines of an event here. There is over-supply currently which has brought down the prices by 30 per cent besides driving down the rentals, Mistry pointed out. He also said there is a need to curb shady practices in the real estate industry. Source : http://www.realtyplusmag.com/rpnewsletter/fullstory.asp?news_id=9253&cat_id=1 Filed under: Retail/ malls , Serviced apartments/offices Tagged: Commercial Realty

Tagged as: retail/ malls, sidelines

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10-15 pct Hike Expected in Property Prices in 6-9 months

by Paul Joseph May 8, 2010

Realty prices may go up by anything between 10 to 15 per cent in the next six to nine months, with demand exceeding supply, real estate developers said today. “The price is going forward. It is likely to increase by 10-15 per cent in the next six to nine months’ time,” Parsvnath Developers Chairman Pradeep Jain told reporters on the sidelines of a conference organised by Credai’s NCR chapter. BPTP Chief Financial Officer Sunil Jindal also feels that housing prices in the National Capital Region are likely to increase by 8-10 per cent in the same period on the back of rising demand. Both feel that the anticipated price rise would not have any impact on demand for housing units, since the gap between supply and demand is huge and the overall sentiment for the sector has improved since the downturn. “Demand is huge. Now things have improved, funding has improved, purchasing power has improved. Hence, I don’t see any impact even if prices escalate further,” Jain said. Real estate prices have gone up by 10-15 per cent in the last few months on increased demand. “NCR is short of five lakh housing units and there is an incremental demand of at least one lakh units a year. For the past few years, total supply in the region could not even meet the year-on-year incremental demand,” Jindal said, justifying the rationale for prices going up.

Tagged as: delhi, gurgaon, national, real estate, real estate india, sidelines

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Govt Rules out Change in FDI Norms for Banks

by Paul Joseph April 6, 2010

Union Commerce and Industry Minister Anand Sharma on Monday ruled out making any changes in the foreign direct investment (FDI) norms for private banks, asserting that the present rules were doing well. Talking to media persons on the sidelines of a conference organised by the Associated Chambers of Commerce and Industry of India here, Mr. Sharma said the new FDI policy ‘is doing very well,’ indicating that private sector banks like ICICI Bank and HDFC Bank would be treated as foreign entities as majority of their ownership lies with overseas investors. “As of now, the policy, which is there, is doing very well,’’ he said. According to the Press Notes 2, 3 and 4 of the Department of Industrial Policy and Promotion, for a company or entity to be treated as Indian, foreign investment, including American and global depository receipts, foreign currency convertible bonds, convertible preference shares and from non-resident Indians, in it should be less than 50 per cent. While the control in as many as seven private banks is with the Indians, their foreign ownership is above 50 per cent, thus making them ineligible for being termed as domestic entities. “Yes there are some banks and the talks have been there between the Reserve Bank of India, the Finance Ministry and the Commerce and Industry Ministry. But as of now, the policy which is there is doing very well,’’ Mr. Sharma said.

Tagged as: finance, india, indian, industry, press, reserve, sidelines

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Real estate cos concentrating on affordable housing: Selja

by Paul Joseph March 9, 2010

PANAJI: After the prick in real estate boom, the industry is now looking at construction of affordable housing as the next alternative, Union Minister for Housing and Urban Poverty Alleviation and Tourism Kumari Selja said today. “The real estate boom saw the private players to go in for construction of high income housing facilities. Now the market realities have forced these people to look at affordable housing construction facilities,” Selja said. On the sidelines of a tourism event, the minister told reporters that the ministry has always laid emphasis on affordable housing. “We have been urging states and private sector to conceive models providing affordable housing,” she said. The Minister said that the recent CRDAI national convention also had ‘affordable housing’ as its theme. Source:http://economictimes.indiatimes.com/markets/real-estate/news-/Real-estate-cos-concentrating-on-affordable-housing-Selja/articleshow/5652390.cms Filed under: Builders/ Developers , New projects Tagged: affordable housing , Real estate in india

Tagged as: affordable housing, housing, new-projects, real estate, real estate in india, sidelines, tourism, urban

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The Realty Sector Growth Continues

by Paul Joseph March 8, 2010

LIC office in New Delhi On March 7, T.S.Vijayan chairman of Life Insurance Corporation of India (LIC), India’s No. 1 insurer announced that LIC will invest nearly Rs 36,000cr in infrastructure in 2010-11 on the sidelines of a stone-laying function of a housing complex for its policyholders in Kolkata. He said LIC would undertake realty projects, both commercial and residential, across the country and the company expected an income of Rs 200-300cr from its real estate foray this year. LIC contributes to 4% of the country’s GDP as well as pays hefty dividends to the exchequer. Most of the builders have increased prices and thus it is likely that real estate may see some slowdown in demand in the long term despite the fact that the housing finance companies like HDFC, SBI, and LIC Housing reported a strong 30% growth in loan disbursal in the December 2009 quarter over last year. Even the stock market performance of the sector has been good in the recent as The Sensex touched a high of 17,000.01 last week which is a benchmark. The realty sector in India continues to grow particularly more after the fiscal  year 2010-11 budgets was presented. The investors rejoiced when the finance minister Pranab Mukherjee said while reading the budget “We hope to breach the 10% growth mark in the not-too-distant future”. Now Tax allowances are raised, putting more cash in people’s pockets and large housing companies are trying to make full use of it. But Lack of long term strategic thinking will lead to unplanned development that will not only have an adverse impact on real estate investment and development but also on macro economic and societal development. That is why it is important for Indian cities to provide a good quality of life to their people because economic success in the 21st century is going to be determined by the human capital a society is able to attract and nurture.

Tagged as: country, housing, indian, sidelines

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Red Fort Capital Confirms Investment of $1bn in Real Estate Projects

by Paul Joseph February 11, 2010

Real estate private equity firm Red Fort Capital today said it will invest up to $1 billion (around Rs 4,800 crore) in the next three years on various projects, including acquiring promoters’ stake in some major realty developers in India . “We are accelerating our investment programme very significantly amongst major metros and asset class. We are looking to invest up to $1 billion in the next 2-3 years in residential, office, hospitality, logistics and other projects,” Red Fort Capital Director Kuldip Chawla told PTI on the sidelines of a CII real estate event here. The PE fund would acquire stake between 20-70 per cent at both special purpose vehicle (SPV) level and enterprise level, he added. “We are in discussion with some of the biggest developers in Delhi and Mumbai to pick up stakes, at least one deal is expected to be finalised in the next couple of months,” Chawla said, without giving any further detail. The PE firm, which is based in Cayman Island in the Caribbean Sea, has already invested about Rs 700 crore in the last 18 months in five projects worth up to Rs 7,000 crore. It has an allocation of over $400 million for the Indian real estate market.

Tagged as: india, investment, projects, real estate, real estate india, sidelines

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