Friday, 29 December 2017

Govt Notifies More Planning Areas!

PANAJI: Three planning areas of Taleigao, Bambolim and Kadamba have been notified together with the Panaji planning area, while Arpora, Nagoa and Parra have been notified in the Mapusa planning area as part of a preliminary step to redefine existing planning and development authorities (PDAs) and constitute new ones.The notification, issued under Section 18 of the Town and Country Planning (TCP) Act, has been signed by the link secretary of the TCP department, Rupesh Kumar Thakur. It was notified in the official gazette dated December 21 this year, and came into effect from the date of its publication.

The TCP department will now stop processing files related to any development or construction in these planning areas with immediate effect. "The next step will be to notify PDAs under Section 20 of the TCP Act, wherein the new planning areas will be included and the members to constitute PDAs will be announced," an official said.
Speculation is rife that former TCP minister, Atanasio 'Babush' Monserrate, is likely to chair the Greater Panaji PDA.Activists are wary of the government's proposal to notify more planning areas and PDAs, as it would allow greater floor area ratio (FAR) to builders and lead to urbanisation of many pristine villages. "It is a runaway government that has been continuously and increasingly bringing out unconstitutional notifications with least regard to the Goan people," Reboni Saha, secretary of Goa Bachao Abhiyan (GBA) said.
As per the notification, the Panaji planning area is likely to comprise Miramar, Campal and Ribandar.
The Taleigao planning area is bounded by River Zuari in the south, Calapur (St Cruz) in the east, River Mandovi in the west and areas of Panaji in the north. Its core area comprises Dona Paula, Caranzalem and Taleigao.

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Source: Times of India

Right in the hotbed of development!

Tuesday, 19 December 2017

Wealth in real estate may double to Rs 121 lakh cr in 5 yrs: Karvy India Report

Individual wealth in real estate grew by 8.62 per cent to reach Rs 60.25 lakh crore in FY17.

Wealth in real estate in the country is likely to double to Rs 121 lakh crore in the next five years, signifying a turnaround for the sector in future, a report said.

Individual wealth in real estate grew by 8.62 per cent to reach Rs 60.25 lakh crore in FY17. Demonetisation, implementation of RERA and GST are transforming real estate sector in India, according to a study by brokerage Karvy India Wealth Report.

"Individual Wealth in physical assets grew to Rs 140 lakh crore in FY17, having grown by 5.92 per cent as against 10.32 per cent recorded in FY16. Individual wealth in gold stood at Rs 68.45 lakh crore, which is close to half of the total physical assets base. Similarly, wealth in real estate came in second at Rs 60.25 lakh crore," Karvy Private Wealth said in its 8th edition of the India Wealth Report.

Gold and real estate together form nearly 91 per cent of the physical wealth in India, it said.

"In the physical assets space, Indians love for real estate will continue. Wealth held in real estate is likely to double to Rs 121 lakh crore over the next five years. This indicates a revival of growth in real estate sector in coming years on the back of increased transparency in regulations along with renewed focus on affordable housing segment," Abhijit Bhave, chief executive officer of Karvy Private Wealth said in the report.

By FY22, the proportion for real estate will increase to 51.57 per cent against 43 per cent in FY17 growing at a CAGR of 15 per cent, the report said.

Despite contraction of physical assets base, real estate is likely to become the most preferred physical investment option for Indians in coming years, according to the report.

The report also covers the concept and need for having a Family Office among Ultra high networth individuals (HNIs).

Family offices bring together teams of legal, financial, investment and administrative experts to provide a wide bouquet of services to ultra HNIs, it says. These services cover two broad areas – managing the corpus and wealth of families and setting up structures and processes for smooth transfer of wealth through generations.

"Be it philanthropic investments or strategic equity investments, property management or personal tax advice, succession planning or M&A, children’s education or personal counselling…family offices are much more than just wealth management and investment advisory firms," the report said. PTI VVK NSK .

Source: Moneycontrol

Tuesday, 12 December 2017

RERA Restores NRIs’ Confidence in Indian Real Estate Projects

Non-resident Indians have been traditionally attracted to investments in the real estate sector because of currency exchange rate and easy laws for investments by NRIs under the Foreign Exchange Management Act.

After years of indecisiveness, the implementation of MahaRERA has helped Qatar-based Shibu and Josy Thomas make up their mind to invest in a realty project in Baner.

With Josy’s parents from Pune, the couple have been looking to invest in a project here for the last few years. “We always wanted a home in the city, our birthplace. We will finally have an investment in the realty sector and can do it with confidence,” Josy said.

Another US-based couple, who did not wish to be named, said they have asked their relatives to look for investment in the real estate segment here. “My sister-in-law, who would hesitate to invest in Pune till the other day, has asked us to be on the look out for RERA-registered projects,” said M Rao, whose brother and sister-in-law are in the US.

Non-resident Indians have been traditionally attracted to investments in the real estate sector because of currency exchange rate and easy laws for investments by NRIs under the Foreign Exchange Management Act. These potential buyers appear to have become all the more confident to invest in the post-RERA days.

Credai-Maharashtra president Shantilal Kataria said they were getting online inquiries NRIs and their exhibition in the coming month is a proof that the buyers were more confident of investing in the sector with RERA in place. “We are not hesitating to reach out to them,” he said.

Earlier, the lack of transparency in the realty sector, delay in execution of projects, no update from builders, misleading marketing strategies and the absence of accountability were some of the fears expressed by NRIs . Kataria said RERA took care of most of these issues.

Puranik Builders MD Shailesh Puranik said, “The NRIs are now inclined towards investing in residential projects — be it in the micro or luxury segment — because the act (RERA) allows the investors monitor all activities. This creates a transparency in transactions and provides better scope of attracting NRIs.”

Anuj Puri, chairman of Anarock Property Consultants, said the Indian real estate sector evokes a lot of interest from NRI investors. “This interest is driven by long-term fundamentals such as emotional connect, safeguarding retirement plans, better returns and yield on investments and depreciation in the rupee’s value. While there are around 30 million NRIs across the globe, investment in the Indian real estate is led by NRIs from the US, UAE and Saudi Arabia.”

Between 2000 and 2014, he said, NRI investments in the Indian real estate reached substantial levels ranging between 10% and 18% a year. But there was a drop because of the slowdown in the market from 2015 and that continued till last year.

“Besides, there was a slew of reforms and policy changes such as demonetization, RERA and GST. The combined effect was a decrease in investments by the NRIs in the sector. The worst hit was residential real estate market. But after RERA, the sector is finally reviving,” Puri said.

Source: ET Realty

Tuesday, 5 December 2017

Navi Mumbai airport: CIDCO likely to hand over work to GVK by May 2018

Officials from the CIDCO said the GVK-led Mumbai International Airport Limited (MIAL) would complete the remaining groundwork at the site and also commence work on building airport infrastructure.

THE CITY Industrial and Development Corporation (CIDCO), which is executing the Navi Mumbai International Airport (NMIA) project, is expected to hand over the work to the GVK group, which has won the bid to construct the airport, by May 2018. This will make the GVK in-charge of the pre-development work at the airport site, officials said. So far, the CIDCO has undertaken the first phase of cutting the Ulwe hill at the airport site, land development work, which includes land filling, and rehabilitation of as many as 3,000 families. Officials from the CIDCO said the GVK-led Mumbai International Airport Limited (MIAL) would complete the remaining groundwork at the site and also commence work on building airport infrastructure.

“We aim to novate the responsibilities of the airport work to the MIAL by the first half of next year. Within this time period, they are expected to complete their financial closure and have a masterplan ready for the airport. Within phase I, they will be completing the work of terminal building, runway and taxiway,” said Prajakta Verma, Joint Managing Director, CIDCO. The MIAL won the bid for constructing the airport in February this year. After a wait of almost eight months, it was handed over the Letter of Intent (LOI) for developing the airport by the CIDCO in October. Officials from the MIAL confirmed it would take four-six months to get financiers for the project and develop a plan.
“We will sign off from the concession agreement and hand over the work to our concessionaire agency, the MIAL, through novation by the first half of next year. What the CIDCO will be in charge of then would be to assess the quality of work being carried out by different agencies involved in the project. We will supervise the set-up,” Verma added.
With as many as 10 contractors and sub-contractors involved in ground-levelling work, the CIDCO aims to complete the pre-development work by December 2018. “We are eyeing a deadline of 18-24 months from now to complete the pre-development works at the airport site, which is ground levelling and river diversification. The monsoon could deter us from our target and we could then work three shifts for rest of the year to compensate the loss. The CIDCO is very much going to meet the deadline of flying the first aircraft from the airport by December 2019,” Verma added. MIAL officials said they would follow the concession agreement. “We will surely achieve financial closure by then,” said a GVK spokesperson.
Officials said as many as 250 families had shifted to the rehabilitated site, while 750 more had signed the land lease agreement. At least 2,000 plots were ready and the rest 750 would be ready by February-end, they said.

“As per the agreement, five per cent of the project-affected parties will get a job. We will also employ them in logistics training at the airport, employ them as documentation assistants at the airport or encourage them in contracting jobs required at the site. We are further helping their families with skill-based learning courses, including weaving,” Verma added.

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Source: Indian Express