Track2Realty Exclusive-Yearly Analysis: To say that Indian real estate is standing on a shaky foundation would be like stating the obvious. Pressure is increasingly building on Indian developers. High mortgage rates and the slowest economic growth in nearly a decade are taking a toll on demand. Costs are rising, too. The Price of steel and concrete has jumped to double digit. The pipeline of cash has already dried up.
Track2Realty: Office space absorption dipped by 23 per cent during 2012 in major cities to 29 million sq ft as corporates remained cautious of expanding businesses amid global uncertainties and slowdown in the Indian economy, property consultant Cushman and Wakefield has said.
Track2Realty-Agencies: Azure Capital, the promoters of India Realty Fund I, launched its India Realty Fund-II (IRF2), a rental yield fund that focuses on commercial properties across the top seven cities of India. The size of the fund is Rs 250 crores with an additional Green shoe option of Rs 250 crores aggregating to Rs 500 crores.
Track2Realty: Cushman & Wakefield estimates commercial office space demand of over 180 million square feet (msf) in the next five years (2012 – 16) in the top 8 cities of the country. This was released in the annual publication entitled “Evolving Paradigm – Future of Indian Real Estate” in association with Global Real Estate Institute (GRI) at their India Summit 2012. The report also estimates the total expected supply for the next five years in these eight cities as 219. 6 million sqft, basis announced projects and current pace of construction; indicating a condition of excess supply in the coming few years.
Track2Realty: The total new demand that could be generated for residential dwellings in the period 2012 – 16 will be 11.8 million units across India, says a new report by Cushman & Wakefield. Of the total additional demand, the top 8 cities will be constituting 18% or 2.1 million units across categories. The annual report “Evolving Paradigm – Future Of Indian Real Estate” is in association with Global Real Estate Institute (GRI).
Track2Realty-Agencies: More than 70 builders across India will showcase their properties at Times Realty India-2012 event to be held on Septmber 28-29 at J W Marriott Hotel, Deira.
Track2Realty-CRIENGLISH: In a country where majority of the people do not have decent homes and the volume of sales of housing units in Indian markets is under pressure,a growing number of Indians are keen to buy homes abroad, particularly in the United Kingdom.
Track2Realty: The top six cities of India are expected to see a total of 50,000 new hotel rooms across categories in the next 5- 6 years. This is in response to the steady growth the hospitality sector has recorded over the last few years. 2012 alone is expected to see 14,800 fresh keys by the end of the year. Out of the total expected supply for 2012, 2000 new hotel rooms have already entered the market. These are the findings of a report by Cushman & Wakefield (C&W)and Confederation of Indian Industries (CII).
Track2Realty-JLLI: Recently, the annual GDP number (6.5% GDP growth during FY April 2011-March 2012) released by the Reserve Bank of India resulted in a negative sentiment throughout the real estate industry. Consistent with this, in 1H12, the demand for commercial real estate moderated on the back of office occupiers that remained cautious about their expansion plans.
It is just the pipeline visibility that is driving developers like Supertech which is building north India’s tallest residential as well as tallest mixed land use project. Theyrather assert that changing demographics, lifestyle and growing aspirations have encouraged them to launch conceptually designed projects with facilities which are matchless and desired by the people.