Indian Property News on 'May, 2008'

Carrefour may Opt Parsvnath for India Foray

Carrefour, the world’s second largest retailer, is considering the franchise model to initially expand its presence in the country and may announce a local partner in four weeks, people involved in the development said.

The French retailer, which has held talks with as many as 50 domestic business houses including Mumbai-based Wadia group and Mukesh Ambani-led Reliance Industries and real estate companies, such as DLF, in the past five years, may choose Parsvnath, a New Delhi-based real estate company, as its partner. Read More »

PE Money coming in Full flow into Indian Realty

The private equity (PE) graph in India’s real estate sector is growing as high as its skyscrapers. The first five months of 2008 has PE commitments in Indian real estate companies surpassing the total PE investments committed in the whole of 2007—that is $3 billion.

Experts say PE funding in the second half of the year will be even more. This is a good time for PEs to invest as there is a liquidity crunch and valuations of many real estate players are down. PEs also expect a further lowering of valuations, somewhere in the tune of another 20%. Even as private equity money comes into the market, there are concerns among investors about the execution capabilities of many of developers. Read More »

Non-Enforcement of Provisions of Tenancy Act in Goa

This article is to remind the government, the agriculture, revenue and panchayat departments, the block development officers (BDOs), the village panchayats and the gramsabhas about their statutory role clearly laid down since June 1975 and responsibilities regarding the agricultural land assets. The gramsabhas may continue to agitate against mega projects, tourism, mining and other issues but it is their duty to make their own panchayats work to enforce the statutory directives under the agricultural tenancy act, 1964.

It is the duty of every gramsabha to verify the enforcement of the directives to be followed by tenants in cultivating lands held by thema issued by revenue department on 13 June 1975 and published originally in the official gazette, Series II, No. 12 dated 19 June 1975. If the government authorities, the BDOs, the respective village panchayats and the gramsabhas fail in enforcing these simple, common sense directives then there needs to be a judicial cognizance of such failure. These directives were made in the right spirit of agricultural advancement and for bringing certain discipline in agricultural operations. Otherwise what was the purpose of the agricultural tenancy act, 1964? On careful scrutiny of the traditional farming operations under the communidades and the work undertaken by the serious farmers, I found that there was nothing extraordinary about these directives. The government only provided strong statutory support in the interest of enhancing the agricultural production. So why these simple directives are not given wide publicity every year? Why are these not enforced scrupulously? Read More »

Record Breaking Realty Deal by Indian

Mr. Mittal, Britain’s richest man, is understood to be in negotiations to buy the property in Kensington Palace Gardens, one of the most prestigious addresses in London.

When the deal goes through, the house will be the magnate’s second property in the tree-lined private avenue near the Royal residence that was home to Diana, Princess of Wales.

Mr. Mittal is close to an agreement with the owner, Noam Gottesman, a 47-year-old Israeli-American financier with a reputation as one of the most formidable traders in the City. Read More »

Saffron aims Leading Place in Realty Funding

India-focused real estate private equity firm Saffron Group today said it has chalked out a two-pronged strategy to become a leading player in the burgeoning market staying put for a minimum of five years in upcoming properties and buying out assets with assured rental income.

The Group, a brain-child of Ajoy Veer Kapoor and his peers from the banking fraternity, is the promoter of Euronext listed Yatra Capital, an India-focused real estate fund. It has also launched Saffron India Real Estate Fund-1. Read More »

Enticing Buyers with Freebies

Stung by the bearish realty market, which is reeling under a price correction, real estate developers are now unleashing discounts, freebies and innovative schemes to lure buyers into residential space. Consider these: TDI is offering a free international trip for its Kingsbury Luxury Apartment buyers; Ansal Buildwell has advertised an inaugural discount on its project Florence Abode; scores of players are offering an ‘EMI holiday’ till possession on specific projects; while yet others are willing to waive prime location and such other charges or throw-in complimentary club memberships for new homeowners.

“In various markets, despite a slowdown in demand, developers have refrained from reducing rates. Instead some of them have started offering incentives such as club membership, parking lot, and better amenities to attract buyers,” says Ms Shveta Jain, Associate Director (Residential), Cushman & Wakefield India. Read More »

Lohia Group to Invest Rs 350 cr in Real Estate Projects

Amidst correction in the country’s real estate scenario, diversified business house Lohia Group is planning to invest up to Rs 350 crore in developing three projects in the National Capital and Uttar Pradesh by 2011.

The group’s subsidiary - Lohia Developers Pvt Ltd plans to develop two townships in Lucknow and Moradabad, and a commercial complex in Delhi. Read More »

LIC to Buy Land Worth Rs 2,000 cr

Life Insurance Corporation of India (LIC), which is among the largest property owners in India, is planning to acquire land worth Rs 2,000 crore this year to develop commercial and residential complexes.

This will be in addition to the Rs 1,100 crore it spent last year for purchasing lands across the country. The public sector insurance giant has identified Kolkata, Jaipur, Agra, Vishakhapatnam and Bangalore as possible cities where it may acquire land and develop it. Read More »

Aamir Khan Ready to Pay Rs 33 cr for Mumbai Property

Bollywood star Aamir Khan has plans to buy a residential society in Mumbai for his personal studio.

Reports say the actor-director has offered to shell out Rs 33 crore for the society, Vrindavan, in Santacruz.

Aamir Khan Productions has approached the owners of the society to buy the 22-apartment complex. Read More »

Agra getting a Massive Makeover

Agra is getting a massive makeover and coming out of the time warp to embrace modernity, replete with marvelous shopping malls, resorts, townships and commercial centers.

Keeping pace with the private sector, the Agra Development Authority (ADA) has charted out an expansion plan with a new 4,000-acre hi-tech township of international standards on the outskirts of the city. Read More »