Real Estate – Page 22

Revised Flat Size Norms a Major Demand Boost for Larger Homes in Tier 2/3 Cities

Anuj Puri, Chairman – ANAROCK Property Consultants

The housing ministry’s decision to tweak the eligibility criteria for MIG-I and MIG-II home buyers for houses eligible for interest benefit under PMAY is a phenomenal move to boost sales of large-sized apartments.

As per the revised norms, MIG-I category home buyers with household income between ₹ 6 lakh – ₹ 12 lakh are now eligible for a subsidy for homes up to carpet area of 160 sq. m. from the earlier 120 sq. m.

Similarly, MIG-II category home buyers with household income between ₹ 12 lakh – ₹ 18 lakh are also eligible for a subsidy for homes with a carpet area of up to 200 sq. m. from the earlier it was 150 sq. m.

This change will have a significant impact on home sales in tier II and tier III cities where the land costs and therefore capital values of properties are low and larger apartments are within the reach of such buyers.

The timing of this increase in carpet area eligibility norms is perfect, as the RBI recently decided to revise the housing loan limits for Priority Sector Lending (PSL).

by Anuj Puri

Anuj Puri, Chairman – ANAROCK Property Consultants

When it comes to Indian real estate, the topic of NRI investments is pretty much an evergreen one. The fact that Indian developers had, in the past, launched and marketed projects with an almost exclusive eye on NRI customers is certainly no secret.

There were many reasons for this, but the primary one was that NRIs – especially NRIs based in the Gulf and the US – were seen as cash cows with more money than sense.

Time has proved this theory erroneous. NRIs are among the savviest property investors on the Indian market today. This is amply demonstrated by how adroitly they have gauged the new investment trends on the Indian real estate market.

For a long time, the returns on investments that NRIs could get on residential assets were extremely rewarding, considering the significant capital appreciation whilst the rental yields have always been low.

However, during the last couple of years, the market slowdown resulted in capital appreciation on residential assets no longer being as per NRI investors’ expectations.

In the current market conditions,

by Prashant Thakur

Prashant Thakur, Head – Research, ANAROCK Property Consultants

Located in south-eastern peripheries of Pune, Undri was once a small and unremarkable village outside the Pune municipal corporation limits. After opposition from residents regarding merging of Undri into the Pune Municipal Corporation (PMC) in 1997, it was demerged in 2002.

In 2017, Undri came under the purview of the Pune administrative authority – Pune Metropolitan Region Development Authority (PMRDA). Many residents of the region, whose primary occupation was agriculture, sold their land parcels to private real estate players, thus paving the way for rapid growth of residential and commercial developments in Undri.

Surrounded by micro-markets such as Hadapsar, Pisoli, and Handewadi, Undri offers relatively serene surroundings with thick green cover. It has good social infrastructural facilities including educational institutions, healthcare facilities, and entertainment options.

Various IT-ITeS establishments including Magarpatta City in Hadapsar, Eon Free Zone in Kharadi and SP Infocity in Phursungi have created massive residential demand in and around the regions, eventually hiking property prices in these areas.

Undri caught the spill-over demand from these nearby markets with its relatively lower property values.

by Arun Chitnis

PRESS RELEASE

HVS And ANAROCK Join Forces To Tap Into India’s $210 Billion Hospitality Market

Partnership to boost HVS India’s annual turnover by up to 75%
Multiple big-ticket hotel funding, divestments & acquisitions already underway

Mumbai, 17 May 2018: India’s leading real estate services firm, ANAROCK Property Consultants, today announced its partnership with HVS, the global hospitality sector leader.

As a new business vertical under the ANAROCK Group, HVS ANAROCK will focus on brokerage, feasibility studies, operator searches, appraisals, executive search and other hospitality sector consulting and advisory services throughout South Asia.

Anuj Puri, Chairman – ANAROCK Property Consultants takes on the added role of Chairman – Hospitality at HVS ANAROCK and the Firm’s soon-to-be-appointed CEO will report to him. Shobhit Agarwal, MD & CEO – ANAROCK Capital will head the transactions vertical at HVS ANAROCK.

Stephen Rushmore Jr, President and CEO – HVS, commented, “We are very excited to partner with ANAROCK as we share a strong professional and cultural fit.

by Prashant Thakur

Prashant Thakur, Head – Research, ANAROCK Property Consultants

Pune, once known as a ‘pensioners paradise’, has transformed significantly over the past few years.

The booming IT/ITeS and manufacturing sectors led to a rapid makeover of the city, and working professionals from all parts of the country started flocking to Pune. The concentric development pattern of the city helped expansion in the suburbs and peripheral regions.

Undri and Ambegaon, located in South Pune, are in the process of becoming Pune’s next vibrant property boom areas over the next few years. More and more of Pune’s homebuyers now seek out residential destinations which still offer the unspoiled natural splendour and healthy environment which Pune was once famous for.

Such areas are increasingly hard to find in the face of the rampant real estate construction drive all over the city. The availability of large, contiguous land parcels for development in Undri and Ambegaon is another big advantage for the area, which for this reason lends itself particularly well to sizeable township projects.

This region’s history as far as real estate development is concerned is not very long.

by Anuj Puri

Anuj Puri, Chairman – ANAROCK Property Consultants

With the advancement of the Internet and e-commerce, the ‘human touch’ and ‘face-to-face’ interactions are on the decline.

Hand-written letters and postcards have gone the way of the dinosaurs, and even e-mails are rapidly becoming passé as the world shrinks into smartphones and messaging apps replace almost all other modes of communication.

The way we shop has definitely undergone a massive sea-change over the past few years. Less than five years ago, ordering food, groceries, clothes, furniture and a whole lot of other commodities and services with the click of a button would have seemed like far-fetched science fiction, but it is a reality today. And it’s not only in shopping where the human touch faces obsoletion, but almost all forms business.

The Internet was not the only factor involved in the ‘dehumanizing’ process. As an asset class, real estate had become increasingly commoditized and home purchase became more of an investment play done purely for financial gains.

Thankfully, the slowdown in the Indian property market put paid to the extremely damaging speculative activity that drove up prices and created a staggering burden of unoccupied homes held solely for capital appreciation.

by Anuj Puri

Anuj Puri, Chairman – ANAROCK Property Consultants

2017 was an unprecedentedly rough one for the Indian real estate sector with the implementation of RERA, GST, demonetization and several other reforms and initiatives.

The residential market was beset by more policy changes in this single year than in the two preceding decades. The resulting distress signals that this notoriously change-averse sector sent out were loud, though not necessarily clear. However, there were also positive vibrations.

Tuning Into Residential Real Estate’s Distress Signals In 2017

In 2017, the residential property sector saw:

The lowest rate of new project launches in last five years:

2017 witnessed a significant fall in new launches across top 7 cities, which declined by around 45-50% compared to the previous year. While in 2016 the top 7 cities added around 2.4 lakh units, new launches shrunk to only 1.25 lakh units in 2017.

Property prices either stagnating or correcting:

In 2017, due to a massive burden of unsold stock and low demand,

by Prashant Thakur

Prashant Thakur, Head – Research, ANAROCK Property Consultants

Once an anonymous destination comprising of small villages in the peripheral areas of Pune, Hinjewadi is now a prime real estate hotspot.

With the launch of the Rajiv Gandhi Infotech Park and consequent entry of various IT-ITeS majors and multinational companies, Hinjewadi has witnessed spectacular growth in working population.

The accompanying demand for homes, backed by improving social and physical infrastructure, has made Hinjewadi one of Pune’s fastest-growing micro-markets in Pune.

During the early 2000s, the Maharashtra Government introduced its game-changing IT-ITeS Policy which offered liberal incentives to the technology-driven industries to set up operations in Hinjewadi.

Waiving off stamp duties for owned and leased properties built on MIDC land also aided the large-scale development of this region. Thus, the 2,800 acres Rajiv Gandhi Infotech Park, also known as Hinjewadi IT Park, came into existence.

IT Leads the Way

The establishment of the Hinjewadi IT Park acted as a powerful magnet for IT-ITeS companies, whose arrival and expansion have been the primary growth drivers for the real estate market of Hinjewadi.

by Anuj Puri

Maximum City’s real estate triumphs, tribulations and opportunities on the road to future-readiness

Mumbai, 2 November 2017: ANAROCK Property Consultants today released its research report ‘Mumbai Redefined’ in association with ACETECH – the world’s 3rd largest exhibition and Asia’s leading trade fair for architecture, building materials, innovation and design, driven by Economic Times.

The report was unveiled by Maharashtra Chief Minister, Devendra Fadnavis, during the conference at Bombay Exhibition Centre in Goregaon, Mumbai.

Mumbai is in the midst of major ongoing infrastructure upgrades, aimed at making the country’s financial capital more livable and ‘workable’.

by Anuj Puri

Anuj Puri, Chairman – ANAROCK Property Consultants

The year 2017 has not exactly lived up to the expectations of the residential property sector. RERA has been deployed, but as of today, only 18 states and 7 Union territories have notified RERA, while 10 states are yet to notify it.

While RERA has certainly already made its expected effects felt in states like Maharashtra – which includes very important markets like Mumbai and Pune – it has not yet extended its full influence over parts of the country where RERA it is probably needed the most.

Though Haryana and UP have notified RERA, they are yet to set up the portal via which developers can upload their applications for registration of their projects. The web portal is also critical for buyers, as this is where they can check the details of projects. Also, these two states have come under heavy criticism for diluting the Centre’s RERA norms.

Revised Flat Size Norms a Major Demand Boost for Larger Homes in Tier 2/3 Cities

The Changing NRI Real Estate Investor Landscape

Undri, Pune – from Nondescript Hamlet to Residential Hotspot

HVS And ANAROCK Join Forces To Tap Into India’s $210 Billion Hospitality Market

Undri-Ambegaon – Major Growth Areas With Pune’s Historic Charm

Is The ‘Human Touch’ In The Real Estate Business Now Obsolete?

Why 2017 Was The Year Of The Home Buyer In India

The lowest rate of new project launches in last five years:

Property prices either stagnating or correcting:

Pune’s Hinjewadi: From Rural To Urban At The Speed Of IT

ANAROCK Launches Report ‘Mumbai Redefined’ At Economic Times’ ACETECH

A 2017 Festive Season Primer For Homebuyers