Indian Property News on 'March, 2007'

Committee Promises to Change the Face of Mumbai

A committee has been formed to give Mumbai a major facelift. First step in that direction is the proposed federation to undertake the task in joint ventures with government agencies by Lalit Gandhi, chairman and managing director of Lok Group.

However, Gandhi has already made the presentation to politicians, city planners and former bureaucrats. The presentation focused on reconstruction of unsafe buildings and up-gradation of city infrastructure through public-private partnership by a proposed Remaking of Mumbai Federation. Read More »

Mall Management: A Challenge for Indian Retail Industry

Mall mania that has gripped the Indian real estate has some challenges for the malls owners that need to be taken care of. A study done by ICICI Property Services-Technopak, on Indian retail sector, said that mall management is going to be a major challenge for the retail industry.

So far, the trend is that some property developer develops a mall and then, he sells it to some investor, who then leases it out to retailers and this whole process creates ownership issue, which creates problems in maintaining the malls. Read More »

UK, Israel Real Estate Firms to Invest $400m in India

Indian real estate industry that saw $1 billion being pumped by foreign real players has got two more new entrants with UK-based Plaza Centers NV and Israel’s Alony Hetz. These firms are planning to invest approximately $400 million.

These companies have acquired major stakes in real estate projects floated by textile company Wearology, Pune-based real estate developer Panchshil group and Avinash Bhosale group, to develop FDI complaint property projects in Mumbai and Pune. Read More »

Centre to Notify Amendments in SEZ Rules this Week

This week will be keenly watched by the Indian real estate industry as centre will notify about the amendments in the SEZ Rules. According to officials, the commerce ministry had discussions about the amendments in SEZ Rules with the revenue departments and will notify about it this week.

Some of the amendments will be increasing the processing area in multi-services Special Economic Zones (SEZs) from 35 percent to 50 percent of their total area as well as directly giving formal nod to those proposals with land. Read More »

Is It Good Time for Retail Investors?

Real estate investors seem to be in two minds. Going by the recent trends, they seem to be confused on where to invest and where not to?

According to a senior market analyst, the market was down due to host of international as well as domestic factors that always happen. Such short-term movement of the market does not have any connection with the economic or corporate fundamentals.

A financial planer was of the opinion, that the market performance is still very good. In the short-to-mid term, the market is likely to be volatile due to various reasons like higher inflation, interest rate and asset prices. But that shouldn’t bother the investors. Read More »

Budget Burdens Builders, Buyers

Budget 2007 will be remembered by the real estate and construction industry for the wrong reasons. It is a budget that has pushed up cement prices thanks to increased levies; it is a budget that has made renting or leasing of commercial property more expensive; and it is a budget that offers little salve to the thousands of middle class housing loan borrowers who are facing an increase in their liabilities following the rising interest rate environment.

The only positive announcement is that the National Housing Bank will soon introduce a reverse mortgage product designed to help senior citizens without a secure source of income in the twilight of their lives. Institutions such as Dewan Housing Finance already offer reverse mortgage products and the proposal is not novel anyway. Let’s examine each of these proposals individually. Read More »

Kochi Builders Stage Protest Against Kerala Govt

Marking there protest against the discriminatory policies of the Kerala government, The Joint Action Committee of the construction industry, represented by the Kerala Builders Forum, Builders Association of India and Kerala Builders Association (KBA) stopped there work in the city.

They were protesting against the reduced Floor Area Ratio (FAR) allotted to Kochi and threatened that it would launch an indefinite strike if the government does not take into consideration their demands. The FAR allotted to Kochi was only 1.25 where as in other cities it was up to four. Read More »

Centre Approves Road Improvement Projects for Tamil Nadu, Karnataka

The centre government has approved various road improvement projects for tsunami affected areas of Tamil Nadu and Karnataka. The projects were given a green signal by T.R. Baalu, who heads Ministery of Shipping and Road Transport and Highways.

For Ramanathapuram highway, NH-49, in Tamil Nadu, the government has granted Rs. 230.83 lakh for the repairing of road that was badly affected by the killer tsunami waves that killed thousands and rendered many homeless. Read More »

AIG Forays into Indian Real Estate Sector

Now, even the global financial firm, American International Group (AIG), too succumbed to the tempting Indian real estate business, as it buys an 11-acre plot in Chennai along with Bangalore-based realty developer RMZ Corporation for approximately Rs 300 crore.

The US-based firm, American International Group (AIG) in partnership with RMZ Corporation, has bought this piece of land from Hindustan Teleprinters Ltd (HTL), a subsidiary of Himachal Futuristic Communications Ltd (HFCL). Read More »

Rs. 32,000 Cr to Roll into Indian Real Estate

These days all roads and funds lead to the ever-growing Indian real estate sector. According to a news report, listed domestic, overseas investors and private equity funds are looking to invest more than Rs 32,000 crore into the country’s real estate.

“The upcoming improvements in the property market has contributed the surge in investment flows by domestic and financial institutions”, says an ICICI Property Services –Technopark and added that it helped major players dealing in real estate like Hiranandani Group’s Hirco, Unitech Corporate Parks, Indiabulls’ Dev Property Development. Read More »