Real Estate – Page 21

Q3 2018 – 3% Rise In New Housing Launches, 9% Jump In Buys: ANAROCK

MMR, Pune, Bengaluru & Chennai accounted for 76% of the new supply
MMR saw max. jump in buys with 16% increase, NCR & Hyderabad lowest with 2% increase
Overall unsold housing inventory reduced by 2%

As anticipated, the real estate market across the top 7 cities in Q3 2018 stayed subdued. The quarter saw a meagre 3% increase in the overall fresh housing supply as against the preceding quarter.

These new launches were largely dominated by the lower-budget segment (< Rs. 40 lakh) with nearly 42% of the total new supply. 33% launches were in the mid segment (Rs. 40-80 lakh) and the remaining 25% in the luxury and ultra-luxury segments.

The third quarter of the year is usually a lull period due to the 15-day shraddh period, which is considered inauspicious for buying property. Consequently, builders keep new projects on hold for the ensuing festive season beginning early October.

In terms of purchases, there was a slight increase of 9% during the Q3 as compared to Q2 2018 across the top 7 cities of India.

by Arun Chitnis

PRESS RELEASE

80% Of Navi Mumbai Launches Affordable-To-Mid-Segment – ANAROCK-CREDAI Report

Housing sales have exceeded launches in the past two years
At 36,400 units, Navi Mumbai has only 15% of MMR’s overall unsold supply
Navi Mumbai ranks 2nd in Ease of Living out of 111 cities, surpassing Greater Mumbai & Thane

Navi Mumbai, 5 October 2018: Nearly 80% of the overall residential project launches in Navi Mumbai from 2013 to H1 2018 are in the affordable (< INR 40 Lakh) and mid-segment (INR 40 Lakh – INR 80 Lakh) budget range, states a report by ANAROCK Property Consultants and CREDAI.

The report ‘Navi Mumbai – City of Possibilities‘ was released at the Capital Connect event organized by CREDAI BANM in Vashi, Navi Mumbai today.

Anuj Puri, Chairman – ANAROCK Property Consultants says, “If we focus on the unsold inventory, it emerges that Navi Mumbai has a mere 15% of the overall pent-up housing stock in MMR.

by Anuj Puri

Anuj Puri, Chairman – ANAROCK Property Consultants

Technology has disrupted almost every facet of the real estate business today. However, the creation of the core product is and will remain the most important aspect of this business, and advanced technologies are certainly playing a major role there.

By adopting innovative technologies like automation in construction, innovative designs, sustainability, use of prefabricated material and online marketing, developers can value-engineer their product.

Let’s look at some of the existing and upcoming technology disruptions in real estate construction.

3D Printing

Among the many new technologies already adopted by the construction sector, 3D Printing (large-scale printing of homes) is anticipated to change the way real estate is built over the next decade.

Though still very nascent, 3D Printing can potentially replace a substantial amount of construction across major segments, including residential, commercial or even retail.

This will be a massive paradigm shift in real estate development. Apart from seriously reducing waste, cost and labour requirements, 3D printing will help builders penetrate the hitherto inaccessible areas of dense urban centres,

by Prashant Thakur

Prashant Thakur, Head – Research, ANAROCK Property Consultants

Panvel, previously seen as a destination on the outskirts of Navi Mumbai and far off from Mumbai, has now evolved into an integral part of Mumbai Metropolitan Region (MMR) and is, in fact, a buzzing real estate market.

Strategic Location

Located on the eastern side of the Mumbai-Bangalore National Highway (NH-4) and the Mumbai-Pune Expressway, Panvel is well-connected to the rest of India by road and rail. Also, being located on the Mumbai-Pune Expressway, Panvel has garnered a huge amount of interest from end-users and investors of both Mumbai and Pune.
Excellent connectivity to workplace destinations of Navi Mumbai and Pune
Panvel is a 30 – 45 minutes’ drive from CBD Belapur and Vashi, which are prominent workplace destinations of Navi Mumbai, and a 2-hour drive from Pune’s thriving IT hub Hinjewadi. This makes Panvel a convenient destination for working IT professionals who shuttle between the two cities.

Infrastructure upgrades to take Panvel to the next level

Numerous infrastructure initiatives are planned to upgrade the connectivity and profile of this city.

by Arun Chitnis

Piramal Capital & Housing Finance Announces the Launch of its Housing Finance Business in Nashik

25+ start-ups and 6,000 angel investors sharp-focusing on the city
726 MahaRERA registered projects in Nashik city out of 904 new and ongoing projects in Nashik
₹2,200 Crore as an estimated cost to turn Nashik into a Smart City

Nashik, 31st August 2018: CREDAI Nashik Metro & ANAROCK Property Consultants released a research report on Nashik: Land of Opportunities at the Capital Connect event held today in collaboration with Piramal Capital & Housing Finance. The report findings state that Nashik is emerging as a favoured investment destination.

The report focuses on Nashik’s immense potential as an exciting new destination for domestic and global businesses. In addition, Mr Jijina formally announced the launch of the housing finance business of Piramal Capital & Housing Finance in Nashik.

Mr Khushru Jijina, Managing Director – Piramal Capital & Housing Finance Ltd. Said, “Nashik exhibits tremendous potential as a promising new investment destination in North Maharashtra. We are delighted to announce the launch of our housing finance offering in Nashik – which marks our strategic foray into selective non-metro markets.

by Anuj Puri

Anuj Puri, Chairman – ANAROCK Property Consultants

Highly-delayed units in MMR and NCR are worth a whopping ₹3,60,000 crore
Hyderabad has least project delays with around 8,900 units worth ₹5,500 crores delayed
Dilutions in RERA make it ineffective in some states

Incessant project delays, dodgy activities of some developers and land litigation issues have plagued the Indian real estate sector over the last several decades, not helping its domestic and international image.

Realizing the significance of real estate on the economy of the country, the Government has, over the last few years, been taking active measures to bring in greater transparency and efficiency.

However, despite the implementation of game-changing policies like RERA and GST, the issue of stalled or delayed projects that has primarily been at the core of buyers’ discontent is yet to be addressed satisfactorily.

If we add up the numbers for the top 7 cities, it emerges that the residential real estate launched in or before 2013 that is stuck in various stages of (non) completion is collectively worth a whopping ₹4,64,300 crore for a total of 5,75,900 units that are yet to be delivered to their respective homebuyers.

by Anuj Puri

Anuj Puri, Chairman – ANAROCK Property Consultants

Maharashtra has the most RERA-registered projects with 17,353, UP with 3,950 projects
Serious developer-favouring dilutions impacting demand in many states

More than a year after RERA was formally implemented, we are beginning to see some real impact on the ground. However, the results are still far from scintillating.

Progress so far

Out of all the states and Union Territories in India, Maharashtra takes the first place when it comes to proactive RERA adoption, implementation and integration, followed by Uttar Pradesh, Gujarat, Madhya Pradesh and Karnataka.

As per the latest registration updates, more than 32,306 projects and 23,111 real estate agents have been registered under RERA across states.

Maharashtra has the highest share of registered projects under RERA, accounting for 17,353
Uttar Pradesh has 3,950 projects registered
Gujarat with 3,300 projects registered
Karnataka has 1,982 projects registered
Madhya Pradesh has 1,901 projects registered.

by Santhosh Kumar

Santhosh Kumar, Vice Chairman – ANAROCK Property Consultants

Real estate is a dynamic industry where things can change from year to year and even from quarter to quarter. The Indian real estate market has certainly been in flux after the recent policy upheavals. As such, investment decisions must necessarily move with the times.

Here are 2018’s top-ranking real estate investment hotspots in West and North India.

West India

Beyond a doubt, the Mumbai Metropolitan Region (MMR) and Pune have remained West India’s most favourable cities for real estate investment in 2018. The MMR realty market has regained a lot of momentum over the last few quarters, with both sales and new supply increasing q-o-q.

MMR: As per ANAROCK data, out of the total new supply of approximately 50,100 units across the top 7 cities (NCR, MMR, Chennai, Bengaluru, Pune, Kolkata and Hyderabad) in Q2 2018, MMR saw maximum new launches with nearly 13,600 new units entering the market. There was a 59% increase in this new supply as against Q1 2018. On the sales front too,

by Santhosh Kumar

Santhosh Kumar, Vice Chairman – ANAROCK Property Consultants

For a very long time, real estate developers and investors focused almost exclusively on the metros and tier 1 cities, as these were considered the safest bets for sales and returns on investment. After all, these cities were generating the most employment and therefore inward migration.

As a result, the metros and tier 1 cities across India are currently experiencing the immense pressure of overpopulation due to urban migration in search of better livelihood and enhanced quality of life, thus resulting in an inadequate infrastructure for the citizens.

The Smart Cities Mission, launched in 2015, aims to tackle the escalating problems being faced in urban areas with regards to transportation, energy supply, governance, basic urban infrastructure services and overall quality of life.

Although the mission is trying to address these issues to a certain extent, the challenges of remodelling India’s tier 1 cities into smart cities are considerable, as many of them have reached their saturation point.

Tier 2/3 cities stage a comeback

As a result, more and more real estate demand and supply are now drifting down towards tier 2 and tier 3 cities of the country.

by Anuj Puri

Anuj Puri, Chairman – ANAROCK Property Consultants

The landmark reform of Goods & Services Tax (GST) was, in many ways, the final bullet shot to the Indian real estate sector in July 2017. The industry was already reeling under the immediate impact of DeMo and RERA.

GST was touted to be a gamechanger for all sectors including real estate. It was largely anticipated that GST will provide a much-needed respite to homebuyers by way of reduced property prices. Unfortunately, with GST completing one year, it emerges that these expectations were unrealistic.

While the tax-on-tax has been eliminated with the advent of GST, the overall outgo from homebuyers’ pockets seems to have increased by as much as 8% across cities. This ultimately reduces the demand in real estate.

Also, the higher tax rate on purchasing a home – an already staggering expense for most Indians – has kept many home buyers and investors off the market.

Let’s understand this better.

In real time, the cost of raw materials under the GST regime underwent minor changes – cement, paints and plasters were taxed at 28%,

Q3 2018 – 3% Rise In New Housing Launches, 9% Jump In Buys: ANAROCK

80% Of Navi Mumbai Launches Affordable-To-Mid-Segment – ANAROCK-CREDAI Report

5 Technologies Disrupting the Construction Sector

3D Printing

Panvel: Strategic Location + Excellent Connectivity = Growth

CREDAI, ANAROCK, Piramal Capital & Housing Finance Release Research Report on Nashik – Land of Opportunities

Can RERA Rescue ₹4,64,330 Cr of Stuck Housing?

RERA – Still Rare On The Ground

Top Property Investment Hotspots 2018 – West And North India

Smart City Mission – Tier 2 and Tier 3 Cities Take the Lead

GST Enters Year 2 – Real Estate Still Flummoxed