Track2Realty-Agencies: Government plans to set up a tough regulator for the real estate sector with provisions for even jail term for the developer for putting out misleading advertisements about projects.
Ravi Sinha: In 2013 when most of the PE Funds are maturing, they may not be investing again in the real estate. So, from where will you generate the funds?
Track2Realty: India faces shortage of fresh supply of houses, the Technical Group on the Estimation of Housing Shortage projects the total shortage of dwelling units in urban areas in 2012 to be 18.78 million, said a report by Knight Frank Research.
Track2Realty-Agencies: Sudhakar Shetty-promoted real estate company Sahana Group is set to foray into television media segment with two news channels.
Track2Realty Exclusive: The Indian real estate today stands at a crossroad where it seems the government is confused, the developer is confused, the financer is confused and the buyer is confused. They all seem to be in a wait and watch mode but not sure as to waiting for what. While the government is sitting over two crucial bills that has far reaching implications on the future of Indian real estate, reforms and regulation means different things to different stake holders. With a tectonic shift expected this year, all the stake holders are evaluating their own cost-benefit.
Ravi Sinha: All said and done, land acquisition bill is going to be a reality. What are the issues that make you so critical of it? Is it just the fresh cost of acquisition?
Ravi Sinha: The point here is how feasible are the wishful thoughts of the sector in 2013?
Sunil Dahiya: The commercial essence of our product has been taken out. Now the consumer is saying let me wait for something, and he is waiting in eternity for something better to come. What he is waiting for, we also don’t know. So, the consumer has been loaded with confusion, and we are loaded with a product which is dead.
Ravi Sinha: I think Mr Tripathi has a very valid point that the CCI has emerged. You have also seen the wrong side of consumer activism in a Noida Extension kind of a situation. When we think of reforms, government is looking for a regulator and a whole lot of sector’s wish list has not gone down well with the government. Do you think that the sector will move ahead with some sort of reforms in the year ahead?
I welcome all the panelists in the final roundtable for Track2Realty Focus 2013. As we come to the end of 2012, it is time to look in & look ahead as far as the prospects of the realty sector are concerned. In this discussion, we would try to wrap up the year 2012, and see where the sector has been heading to in 2013. So, when you look at the year Mr Sharma, don’t you think “oh! what a waste.” So much was expected this year but nothing has moved forward, be it in terms of administrative reforms, fiscal reforms or land reforms; nothing has gone right for the sector.
Track2Realty: Today there is no entry barrier in the sector for any fly-by-night operator with black money to back his initial pomp and show to lure customers. But for a serious start-up there are many perils that plague. Problem is all the voices are being raised to ease only a section of the developers with often myopic vision with regard to the future of the sector.