Track2Realty-Agencies: Shriram Properties the Bangalore-based realty arm of the Shriram Group, is understood to have up lined up discussions with key global players including Mapletree and Ascendas to sell its Gateway SEZ, a 1.3 million square feet information technology special economic zone in Chennai for $150 million.
Track2Realty Exclusive: Property market in India is no more metro centric as major national players have already made an entry into tier II and III cities across India. An extended period of high interest rate have dissuaded buyers in metros to move towards more affordable housing in tier II and III cities, as these cities have the potential to fetch higher rentals as well.
Track2Realty-Agencies: Indian retailers feel that the clarification by DIPP on FDI in multi-brand segment, which among others require mandatory fresh investment in back-end infrastructure, will create hurdles and neither encourage foreign players nor domestic firms.
Track2Realty Exclusive: It is true that the property investment pattern of young professionals is changing as they are no longer demand drivers of metro property and want to invest in tier-II and III cities.
Track2Realty Exclusive: Some developers assert the redevelopment can add value in ways more than one and depends on the location and area of redevelopment. Diipesh Bhagtani Executive Director Jaycee Homes says in a particular location where the flats are already huge, a developer cannot offer a still larger space but can offer luxury.
Track2Realty Exclusive: While the real estate fraternity, legal experts and others had strongly questioned the basis of the CCI order and the enormous penalty of Rs 630-crore levied on the real estate major, the sector itself eventually approached the CCI through its industry associations against the cement cartel. Acting on the sector representatives’ complaints, the CCI imposed a penalty of Rs. 6, 307 crore on 11 cement companies for cartelisation.
Track2Realty Exclusive: Consumer rights advocate Lakhendra Singh is even more forthright when he says if CCI has to establish its credibility in the collective conscience; it must make its economic analysis more scientific and full-proof. There can’t be different parameters of defining relevant geographic market and product category for different real estate companies. According to him, CCI instead of being seen as an anti-monopoly watchdog and inspiring confidence has, of late, been in the news for consumer activism.
Track2Realty: Omkar Realtors & Developers, one of the leading players in making the slum redevelopment a success story in Mumbai believes slum projects are generally feasible in Metro Cities and more particularly in Mumbai. Shifting focus on Slum Rehabilitation for ECB will really help the sector.
Track2Realty Exclusive: The realty market has been pretty exposed to the greedy investors and vulture funding, not venture funding. In desperation the developers often lost track of what kind of funding was required and met with the disaster. Amidst the cyclic very high and very low there has been off balance debt-equity ratio as well. Of late, some developers tried within the box and some outside it. The needs and solutions are different for listed and unlisted companies. Still the sector is in search of right funding mechanism and as Track2Realty finds, are guinea pigs in the funding market.
Track2Realty Exclusive: What Indian realty needs is holistic reforms and for that what is needed is change in mindset. We wonder why every person in office doesn’t realise that his indecisiveness hurts interest of the country. Why authorities are trying to take a pro-publicity and anti-development stand whereby nobody gains?