Tier-I and Tier-II Cities Witness Realty Boom

News Posted - 2010-06-07

To cash in on the demand for residential and office space in Tier-I and Tier-II cities, real estate companies are planning ambitious projects in cities this financial year. Realty major, DLF feels with rapid economic growth in the smaller cities, there will be more demand there. Its DLF Garden City project in Indore has been a major success, with the first phase being sold. It is planning to come up with the second phase during the current financial year. Ansal Properties is also in the process of developing residential projects in Jaipur, Jodhpur, Agra, Ajmer, Kundli and Panipat, among others. In the current fiscal, the company plans to launch a million sq ft area in a commercial project in Lucknow, which will have office buildings and a shopping mall. On the other hand, Omaxe has 40 residential and integrated township projects in Tier-II and Tier-III cities. The projects are primarily in Haryana, Uttar Pradesh, Rajasthan, Madhya Pradesh and Punjab. Industry analysts assert that the demand for residential space has shown growth and will keep growing if the prices are right. "The Tier-II and Tier-III cities are witnessing growth in the residential segment. One can also witness demand in Tier-II cities for office space, primarily from the call centres and Business Process Outsourcing companies," said Mr Anuj Puri, chairman and country head with the realty consultancy of Jones Lang LaSalle Meghraj. Source: 31 May 2010 Business Standard

Ahmedabad's New Realty Hotspot – Makarba

Till some time back, realtors were a little apprehensive to launch a scheme in or around Makarba area in western Ahmedabad as only a few people were willing to buy property in the locality. But the area shows a very different picture now. Several residential schemes have been launched in the area and properties there are selling well. Makarba, along with some parts of Vejalpur, has long been a 'border area' for Amdavadis because of its proximity to Juhapura. But today more and more people are willing to buy property in Makarba, thanks to the growth of infrastructure in the area. Director of Bakeri group, Mr Pavan Bakeri, said, "The main reason why realtors are coming up with schemes in Makarba is its proximity to the city," he said. "If buyers can get homes at affordable rates within the city area, why would they want to go any farther?" he added. Source: 30 May 2010 DNA

Good News For Flats Owners

Good news for lakhs of people who purchased flats in various apartments on general power of attorney (GPA), as the Delhi High Court directed the Delhi Government to immediately execute the provisions of Delhi Apartment Ownership Act, 1986. Sincere implementation of the provisions will help GPA-holders in setting themselves free from the clutches of brokers, builders, promoters and land mafia and protect their rights. These provisions include formation of their own association, membership at par with original allottees and voting rights and right to fix maintenance. The order by a Bench of Justices Mr AK Sikri and Mr Ajit Bharihoke came on a PIL filed by lawyer Mr OS Bajpai, who said vested interests, including brokers and land mafia, continued to retain their hold on various apartment complexes because the government failed to implement the Act passed 20 years ago. Source: 2 June 2010 Hindustan Times

Noida Board Approves Duplex House Scheme

The Noida Board has approved its Duplex House scheme. It fixed the prices between Rs 82.53 lakh and Rs 1.11 crore. "A total of 371 houses are ready for possession. The board has given the go-ahead to float the scheme," said Mr Mohinder Singh, Chairman, Noida. In sector 135, there are 350 duplex houses priced at Rs 94.97 lakh. The area of each house is 180 sq m. In addition to that, nineteen houses at Sector 108 with an area of 162 sq m are priced at Rs.1.12 crore each. One house with an area of 125 square metres is available at Sector 62 and another at Sector 82 with an area of 162 sq m. "The registration money will be Rs 8 lakh. The allotment money will be between Rs 12.53 lakh and Rs 18.82 lakh. The balance amount will have to be paid in 20 half yearly installments," said Mr Singh. Source: 2 June 2010 Hindustan Times

High Demand For High-Rise Properties

With a tangible improvement in the real estate sector, premium residential housing is back in vogue. To match the increasing demand, realtors are launching new projects in this space, adding to their present portfolio. Mr J C Sharma, managing director of Sobha Developers, said that usually non-resident Indians (NRIs) and high net worth individuals (HNIs) are the chief buyers of premium properties that range in prices from Rs 1 crore to Rs 3.5 crore depending on property specifics. He also said that to tap this emerging demand, Sobha Developers is executing 'Sobha Lifestyle Project' in Bangalore with plans to launch similar projects in Coimbatore. On the other hand, Shriram Properties, which has launched a premium housing project in Vizag, is planning two more projects in Bangalore and Chennai. According to global real estate consultancy, Cushman and Wakefield, developers are planning to come up with about 9,000 homes in the super luxury segment across major cities in India over next two to four years. Source: 31 May 2010 Business Standard