ASK Property Fund, the real estate private equity arm of Blackstone backed ASK Asset & Wealth Management Group, has announced the successful investment of INR 190 crore in a project being developed by Kalpataru. The project is an upper mid-segment project, located in Borivali West, comprising 310 units and is spread across 6 acres with a total saleable area of about 6.5 lakh square feet.
Between April and June 2024, residential supply witnessed the highest growth rate in the last 24 months, driven by the increasing availability of under-construction properties, shared the recently published PropIndex Report (April-June 2024) by Magicbricks, India’s leading real estate platform. According to the report, the supply of under-construction properties has increased by 11.7% QoQ, while prices have risen by 15.2% QoQ between April-June 2024. This surge has resulted in prices of under-construction properties surpassing those of ready-to-move properties in several cities such as Gurugram, Mumbai, Noida and Thane.
Amit Bhagat, CEO & MD, ASK Property Fund said, “This was a recapitalisation opportunity and before the NBFC crisis. By providing the requisite and flexible working capital, we ensured the project’s completion, supported by sales during the life of the project. The investment was self-liquidating with regular cash flow from the sales and collection linked to milestone. We truly believe all projects in the established suburbs which are job clusters have healthy absorption if completed as per committed timeline.”
The land acquisition expands Sumadhura Group’s Bengaluru and Hyderabad land bank to a significant 100 acres in FY 2023-2024, fuelling their future growth. The company boasts an impressive track record of completing 11 million square feet of residential and commercial projects in the last 30 years. The momentum continues with over 40 million square feet of additional development currently underway or in the planning stages, encompassing residential, commercial, and warehousing projects.
The proposed project, namely Belicia, has been floated by Prescon Group (The real estate arm of Nitin Castings) and House of Hiranandani. ‘Belicia’ offers a range of apartments with configurations of 2, 3 & 4 BHK homes, featuring carpet areas ranging from 779 sq ft to 1546 sq ft, starting at INR 1.85 crore onwards. Each apartment is designed with marble flooring in the living, dining, and bedroom areas, complemented by large decks, ample natural light, ventilation, and select residences featuring foyer areas for enhanced privacy. The project boasts of providing residents with panoramic views of the city and the serene Yeoor Hills with the first habitable floor starting from the 7th level.
The report highlights a continued uptrend in aggregate demand across the top 13 cities between January and March 2024, registering a robust growth of 6.9% QoQ. Moreover, after a period of relatively subdued supply, there has been a modest 0.9% QoQ increase this quarter. Despite this, the demand continues to outstrip supply, resulting in a 2.9% QoQ increase in residential prices across these 13 cities. Noida (7.4% QoQ), Greater Noida (7.2% QoQ), and Chennai (5.5% QoQ) recorded the highest appreciation in property prices.
First, residential project delay is not a pan-India phenomenon and only limited to major metropolitan cities of Delhi NCR and Mumbai in terms of quantum as well as value of projects. Second, the slowdown in completion of projects is not across the entire spectrum of housing categories but significantly visible in upper-mid and premium categories. What is needed is perhaps a push from the government and funding agencies along with a strict code of conduct among developers which will improve the situation. Going forward, developers should take cognizance of the situation at hand and accordingly realign their marketing strategies so that their launches are in sync with people’s affordability and demand.
After witnessing a revival of sorts in 2018 housing sales have witnessed a growth of 14% in the first nine months (January-September) of 2019 as compared to the corresponding period in 2018, according to India Real Estate Market Update Q3 2019, released by JLL . The office segment witnessed strong leasing, registering a jump of 40% during the same period as compared to the corresponding period in the previous year, the report added.
Given the dynamic civic and social infrastructure in the area, the project lies in close proximity to posh localities- Versova, Lokhandwala and Juhu. The project is located between the two major connectivity nodes of New link Road and Veera Desai Road. Some of the major connectivity and infrastructure projects announced like the upcoming metro lines add considerable leverage to the acquisition. The project has easy access and direct connectivity to most of the Mumbai via road and metro.
GIFT City is located on the banks of Sabarmati River, connecting the business capital (Ahmedabad) and the political capital (Gandhinagar) of Gujarat State. It is spread over 886 acres of land. It features world-class infrastructure such as district cooling system, underground utility tunnel, automated waste collection which are being implemented first time in India. The city is designed for walkability and includes commercial, residential, school, club etc. Presently, around 200 companies are operational at GIFT City, employing around 9,000 people.