Stocks of real estate companies suffered widespread losses on the BSE today dragging down the sectoral index by 3.14 per cent on all-round selling by funds on fears of rate hike by RBI to curb inflation.
Times Realty India 2011, a two-day exhibition being held in Dubai on the realty sector of India opens today in Dubai. The exhibition will see participation from some of the biggest organizations in the property industry from India.
The Finance Minister seems to be getting more appreciation than brickbats for renewing focus on the housing needs of Aam Aadmi. Even the real estate sector is divided and while the long awaited demands have not been fulfilled, a section of the realtors with affordable housing projects have appreciated the efforts.
Real Estate developers across the country have termed the Union Budget 2011-12 as a tie cricket match which can’t be termed as won or lost. However, they are all unanimous that it is not a game changer budget for the sector.
The limit of funds to be invested by foreign investors in the Indian infrastructure sector has been raised with Finance Minister Pranab Mukherjee also allowing mutual funds to accept foreign funds in the national budget presented on Monday.
Real Estate may boast off to be the second largest economic activity and the largest employment provider in the economy, but when it comes to have a say in the policy making, they are found to be sulking.
The cash strapped realty companies can have a breather in budget for 2011-12 as the Finance Minister is expected to make announcement of a guarantee corpus for banks on realty lending. Track2Realty has learnt that the banks will get this guarantee corpus of Rs. 1000 crore to lend for housing projects.
Nearly all the real estate developers, a whopping 96 per cent, across the country are cribbing for the sectors’ continued under representation in the Union Budget over the years.
While the realty sector is cribbing for under representation in budget for the last few years, Atul Modak, Head of Mumbai-based Kohinoor City goes a step further to say realty sector not only gets under represented but also it is treated with a bias. He asserts that instead of seeing it as one of the sector responsible for growth of the economy, it is looked with a bias and taxed accordingly. In an interview with Ravi Sinha, he shares his budget wish list and concerns for the sector.
As world business and political leaders today convene at the World Economic Forum Annual Meeting 2011 in Davos, Switzerland, Jones Lang LaSalle Chief Executive Officer Colin Dyer is speaking on four commercial real estate trends that are emerging as dominant forces supporting the global economic recovery in 2011.