Track2Realty: With BJP controlling the Centre and the two biggest real estate markets in India – Mumbai and Gurgaon – the government has to focus on 3 I’s – Infrastructure, Interest reduction and Income generation. With the BJP’s remarkable show in Maharashtra, the state will give a new lease of life to its infrastructure projects across all sectors.
Track2Realty: The month of October saw the government easing Foreign Direct Investment (FDI) norms to boost India’s construction sector. The announcement is expected to widen the sector’s investor-base by allowing FDI in smaller projects of 20,000 sq. m. instead of 50,000 sq. m. from firms with capitalization of US$5 million instead of US$10 million.
Track2Realty: Knight Frank India in association with the Federation of Indian Chambers of Commerce & Industry (FICCI) in its fourth set of findings of its flagship report – the Real Estate Sentiment Index for Q3 2014 (July – September) finds that sentiments are still riding high, though investors remain cautiously optimistic. The report captures the sentiments of the supply side stakeholders on the current real estate market conditions and gives a view into the near future.
Track2Realty: A few years back, Hyderabad was offering the likes of Bangalore stiff competition for attracting office space investments. Today, the formation of a new state, a new government and a stabilized political environment are yet to instill the confidence that is needed to revive Hyderabad’s real estate fortunes.
Track2Realty Exclusive: The commercial property is looking forward to sunny days with the forecast of capital values across the commercial segment expected to rise in the next few quarters. The rental market has already started showing the renewed interest level of the occupiers. The widespread economic recovery and the stable government at centre with some of the positive announcements has revived the sentiments across the property market and the commercial property is the first to pick up in the Indian market before other segments also join the rally.
Track2Realty: Demand for housing across leading cities remained subdued in the first half of 2014. Owing to high pricing and lending rates, buyer preference remained focused on secondary and emerging markets of leading cities; while developers began to offer discounts to boost sales ahead of the festive season. This general slackness in housing sales has been primarily triggered off by the Affordability Index going down in certain cities; although home buyers have been investing in markets that they perceive to be offering value for the product, as well as the preferred location.
Track2Realty: Pune is no longer the small city whose only claim to fame was its proximity to the country’s financial capital, whose real estate market survived on rural demand emerging from the hinterlands of Maharashtra.
Track2Realty: Pune is no longer the small city whose only claim to fame was its proximity to the country’s financial capital, whose real estate market survived on rural demand emerging from the hinterlands of Maharashtra. Today, the perfect blend of its manufacturing and services sectors make Pune a standalone economic powerhouse in all respects, with a rate of job generation that is hard to match.
Track2Realty Exclusive: It was only a few years back that when a couple of high-end luxury projects were launched in Pune analysts were busy with the cost-benefit analysis of the splurge in the market. The rising interest of NRIs, HNIs and even global realty baron soon made everyone realise that Pune has already made its presence on the luxury landscape of India.
Track2Realty: Real estate is a business that requires regular funding, be it at the acquisition or execution stage. To raise funds, developers in India opt for modes like joint venture, pre-sale and construction finance. Construction finance can work out cheaper but is difficult to obtain because of the strict guidelines laid down by the Reserve Bank of India.