Steve Waugh launches real estate agency to sell luxury houses to Indian expats

As they picked their way through India’s dense, overpopulated slums, cricket icon Steve Waugh and his investment banking friend Dean Honan saw great struggle, but also great opportunity.
India needs houses, badly. Waugh and Honan are determined to build them.
The two are something of an odd couple. Waugh’s face is weather-beaten after long hours in the middle of the park, while Honan has the slicked-back hair and designer stubble of a financial type.
The partnership started from Honan’s “yearning” to go to India, where the former Morgan Stanley vice president sniffed money to be made.

Read More: http://goo.gl/Ls9jd9

Piramal Enterprises to invest $2 billion in real estate projects in next 2 years

Ajay Piramal, Chairman of Piramal Enterprises

Piramal Enterprises plans to invest $2 billion in real estate projects over the next two years, betting that a revival in the economy under a new government will boost demand for property, its Chairman Ajay Piramal said on Wednesday.
Its planned investment could help developers complete commercial and residential projects left unfinished when they ran out of money and banks cut back on credit to a sector badly mauled by a slowdown in Asia's third-biggest economy.
"We are more optimistic about the sector this year compared to last year because of a stable government and the overlying expectations for the economy to perform better," Ajay Piramal told Reuters.
Home sales have come to a halt as high inflation and interest rates deter buyers, pushing up the stock of unsold inventory.
In the region around the capital, New Delhi, the inventory pile-up could take 53 months to clear at the current pace of sales. In India's leading metropolitan areas, including financial capital Mumbai, it would take 35 months, according to Mumbai-based firm Liases Foras.
Many property firms are scouting around for new sources of funding, with banks unwilling to lend more to the debt-laden sector and the weak financial situation of many developers making equity offerings unattractive.
Indian and foreign investors have become cautious on real estate after two years of less than 5 per cent economic growth. Private equity investment in the sector dropped to $1.6 billion last year from $1.95 billion in 2012, according to research firm Venture Intelligence.
A Reuters poll of economists last month forecast the economy would grow 5.5 per cent in the current fiscal year to March and 6.4 per cent the following year as Prime Minister Narendra Modi pushes through reforms to attract investment.
"The banks are not still increasing their allocations to real estate. Since banks are not increasing and demand for money is there, the NBFCs (non-banking financial companies) and PEs (private equity firms) are busy of course, more transactions are happening," said Amar Merani, CEO of Xander Finance Private, part of The Xander Group, an emerging markets investment firm.
Piramal, known for identifying new investment opportunities and whose moves are closely watched by bankers and investors, said his company was looking to put money into both residential and commercial projects.
It makes real estate investment through debt, equity and structured finance routes.
In February, it tied up with the Canada Pension Plan Investment Board, which manages Canada's national pension fund, on a $500 million fund to finance residential projects in India.
Piramal, whose other business interests include healthcare and speciality glass packaging, stepped up its financial service activities after selling its Indian drugs business to US-based Abbott Laboratories for $3.72 billion in 2010.

Source: BusinessToday

There's no dearth of money ? it always follows innovative ideas, says real estate baron Niranjan Hiranandani

This is the simple story that's probably known to most people, but nonetheless needs to be retold to emphasise the fact that money is not the most important thing in life. And that those who think that it is, are living in a fool's paradise.

When the BJP-Shiv Sena led a coalition government in Maharashtra, it built the Bombay-Pune Expressway as also 35 flyovers over the two Express Highways leading to Bombay city. The total cost of these projects was estimated at Rs. 3,000 crores (Rs. 1,350 crores for the flyovers and Rs. 1,650 crores for the Expressway).

Even though the government had no money, it created a company, the Maharashtra State Roadways Development Corporation (MSRDC), appointed an able IAS officer, Mr. R.C. Sinha, as MD and CEO and asked it to go ahead and implement projects worth Rs. 3,000 crores.

However, there was another roadblock. Bankers insisted that the government would have to put in something to run the show and asked it to come up with some equity. And how much did the government put in? A mere Rs. 5 crores! With that paltry equity, the MSRDC went ahead and, 15 years ago, built the Bombay-Pune Ex- pressway and 35 flyovers over the two Highways in Bombay.

The moral of the story, according to the narrator, Mr. Niranjan Hiranandani, the creator of the iconic Hiranandani Complex in the once-barren Powai, is that money is not the most important thing in life.

"Whether it's housing, whether it's re-housing, infrastructure or new concepts, money will follow innovative ideas wherever we can create them, whether in government or the private sector, whether you are putting up a hospital, a building or industry.

"Money is available for any innovative business, good people are not. Leadership is lacking. We do not have the foresight or vision to do things that we want to do. If we put the rest of these components together, we can save lives, we can have the youngest of people deliver, we can get ideas from women who may otherwise not look educated...

Read More: http://www.rotaryclubofbombay.org/Article.aspx?articleid=d5ff6694-ac40-4022-bcc0-4913a11d24bf

Builders go e-way; launch portals to let customers buy home online

Until recently, real estate portals were used by home buyers to research on floor plans and price of apartments but builders are taking this process to the next level: you can now buy a home online.

With growing internet penetration, builders have realised the potential of the online space in selling homes and some have even tasted success. Mumbai-based Lodha group has generated over 100 bookings through its online portal for its new township project Palava in Navi Mumbai.

“We see the online space offering the potential for us to connect with consumers in new ways across the engagement cycle, from first contact to providing basic information all the way to bookings and sales,” says aspokesman of the Lodha Group.

Earlier this year, Tata Value Homes, a 100% subsidiary of Tata Housing, sold over 200 apartments across five of its projects in a fourday online campaign. It had earlier sold 50 homes online during the Google Online Shopping Festival.

“About 70-80% of the home search happens online which prompted us to take the next step and offer the option of buying a home online,” says Rajeeb Dash, head marketing services at Tata Housing.

“The exercise was targeted at not only the primary local market but also the NRI base which is more open to such transactions,” he adds.
Tata Housing has tied up with banks like IDBI to facilitate sales of homes online. A buyer can narrow down the apartment he wants to buy, pay an online booking amount of Rs 50,000 through credit or debit card and the house is allotted to him. The buyer can then complete further payments and formalities online or offline.

Read More: http://www.indianrealtynews.com/real-estate-india/builders-go-e-way-launch-portals-to-let-customers-buy-home-online.html

Election impact may hold back Mumbai, Gurgaon realty

As the elections are coming just about a week ahead of Diwali, a time for the biggest real estate launches, those tracking the sector say there could be some changes and delays in new projects

Green Constructions and Design: New Trends in Real Estate

Elite members of the Advisory Board, all of whom profess a dedicated approach to green construction and design, discuss what it means to be green in India today and describe their vision to build an eco-friendly future

Namita Singh: Designing green buildings has always been a major concern for all sensitive and responsible architects. It should and will stay. However the current fad might be a hype created by the media.
Niranjan Hiranandani: Green is nothing but the approach towards self sustainment. This is no doubt going to stay. As one would agree environment and energy go hand in hand. Hence, non-conventional energy, energy conservation and the eco-friendly movement will be the main drivers in near future. Media of course is giving it due importance, but it is very much required, otherwise if we exhaust all our natural resources and fill earth with greenhouse gases future generations will surely curse us. Hence, it makes sense to go green.
Nitin Killawala: Why is this question of ‘green’ becoming more and more fashionable? The answer lies in the question itself. It is not just fashionable but misunderstood and taken casually. The aesthetics of architecture are secondary considerations when it comes to finally stopping the war with nature.

Green can also be financially beneficial. How does this influence your design decisions?
Ashok Butala: There are definitely long term financial benefits to be had by using the green concept effectively. However there is a slight premium one has to be prepared to invest up front in order to reap the benefits in the future. A good practice must always appoint an Environment Sustainable Design consultant right at the start of the concept phase. This helps to understand the areas where the green concept can be achieved and also facilitates an accurate budget.
Conrad Gonsalves: True green products use renewable resources or draw on less energy during their useful life. This would directly translate into lower running and maintenance costs. Other aspects that indirectly can be translated into financial benefits would be minimized health risks both for the installer and the occupants both present and future.
Namita Singh: Any building which is designed with concern and respect for the environment would automatically conserve natural resources and therefore be financially beneficial. I have always believed in designing naturally green buildings and though I may never have calculated future financial savings deliberately, economy is an obvious by product.
Niranjan Hiranandani: We fully appreciate that green over a period will be financially beneficial in the long run. We have experienced that with a sewage treatment plant we have been operating for the last 15 Years. This has changed the face of the Powai area in Mumbai. The skyline as well as the green areas of Powai has changed significantly. We have been incorporating green features like the reuse of recycled water for gardening, flushing and construction activities, rainwater harvesting, the use of fly ash, and the use of energy efficient electrical appliances automatically by default.
Nitin Killawala: Yes, everyone should be concerned with the consumption of energy. In India cost is governed by the land prices not as much for buildings, therefore financial benefits are non-consequential at this stage. However, green should not be equated only with a rating or evaluation system. Even getting carbon credits is not justified because someone can afford to pay a penalty for their sins.
 
What are the commonest eco-friendly demands you receive from clients?
Ashok Butala: The common questions from clients are always cost related with regards to the eco-friendly products and their authenticity behind the product marketed.
Conrad Gonsalves: Green as understood by most is the inclusion of a few systems like water recycling or rain water harvesting or solar heating or energy saving devices. The aspects of evaluating the underlying impact of materials on the built environment throughout its life cycle are an aspect that users are not aware of.
Namita Singh: Rather than specifying some particular products clients are now generally more aware of the need for green buildings and are willing to go the extra mile to get a green rating for their buildings.
Niranjan Hiranandani: As mentioned above, we are providing green features to our clients. There are no specific demands from clients but this might come up in future as awareness increases. But I think we are already fulfilling all the green requirements.
Nitin Killawala: By and large clients are not adequately enlightened for eco-friendly products. As such we as consultants do not have enough options to offer.
What green projects have impressed you the most over the last year or two?
Ashok Butala: There are several sustainable projects being constructed all around the world. I think all buildings in India with a functioning green strategy have impressed me as every project demonstrates that sustainable design is becoming a part of the value system in design.
Niranjan Hiranandani: We have constructed Hiranandani BG House which is the first platinum-rated green building in Mumbai awarded by the United States Green Building Centre. Now we are constructing Hiranandani CRISIL House which is being registered with the Indian Green Building Council.

What green developments, trends or products have impressed you the most over the last two years?
Ashok Butala: The India Green Building Council has been actively promoting green architecture amongst professionals and key stake holders. The LEEDS rating provided by the Council is one step forward towards a sustainable built environment.
Conrad Gonsalves: Efficient lighting systems and photovoltaic solar electricity are some. More important are the efforts of architects and designers to evolve solutions that first and foremost use natural methods of illumination, heating of water and cooling of the interior environment.
Namita Singh: Solar resistant glass is one material that has impressed me since it gives the freedom to create transparency in the building without generating a greenhouse effect.
Does designing on a green theme mean having to sacrifice in other areas of your work?
Ashok Butala: Sustainable design is not about sacrifices. It’s about using consciously a common sense approach while looking for the best design solution. Historically, Indian architects have always designed structures which are environment friendly. The use of natural ventilation, natural light, shading techniques and insulation methods and the use of local materials are a few practices which have stood the test of time.
Conrad Gonsalves: A designer has to work within given local conditions. Green design must be the norm. Design skills must incorporate all these aspects into a design. The only features that may need to be kept out of the programme are design elements and materials that do not conform to the green norms and this is no sacrifice.
Namita Singh: No. Designing intrinsically green buildings only enhances the buildings.
Niranjan Hiranandani: Sacrifice per se is very relative term. It is nothing but a mindset that goes in during the planning stage which makes the difference. I am proud that whatever we give to our customers is nothing less than the best. It is our objective to be working ceaselessly in providing all our stakeholders with superior value on a continuous basis.
Nitin Killawala: There is no sacrifice when a space is well utilized for the purpose for which it is designed.

What do you think India’s eco-architectural world will look like in five years time?
Ashok Butala: ‘Think globally, act locally’ must be everyone’s responsibility. The Indian architectural and design world must learn from the mistakes made in the West and use appropriate techniques and methods which are relevant to our climatic conditions to achieve a sustainable built environment. With the India Green Building Council and active participants from professionals the coming five years look positive and promising within the built environment.
Conrad Gonsalves: India has the largest possible resources of energy in the form of wind and the sun. Developing technologies and design innovations that will use these renewable sources will shape the future of design innovation  in India. Green is not an option. It has to become the norm. A utopian sort of dream could be that instead of a project announcing its green initiatives, there could be time when it would need - like the health warning on nicotine - to indicate the design, engineering and materials areas which are hazardous to the environment and the occupants.
Namita Singh: Unless a serious rethinking is done by the architectural fraternity, the current trend is heading towards a very superficial approach fuelled by the ‘green building consultants’ and vendors of so-called green but expensive materials and products.
Niranjan Hiranandani: There are some committed players and it will surely change the way the world sees India.
Nitin Killawala: Green architecture is not so much about architecture as it is about survival. Moreover we have the challenge to create structures which are easy to maintain apart from its functionality and affordability.

Niranjan Hiranandani to take over as Chairman of Priyadarshni Academy on 19 september 2013

Mr. Niranjan Hiranandani, Founder & MD Hiranandani Constructions, will take over Chairmanship of Priyadarshni Academy, one of the most prominent NGOs in Mumbai, effective September 19, 2013. 
Mr. Nanik Rupani, its Founder, and Chairman for the past 29 years will be its Chairman Emeritus, devoting more time to publishing books containing ancient Indian wisdom, in order to reach an international audience.  This has been his passion for some time.
Priyadarshni Academy, a non-profit, socio-cultural and educational non-governmental organization was set up in 1985. The Academy believes that service to mankind is the best work of life and has successfully met its goals consistently since its inception. It provides educational assistance to deserving and needy students, promotes opportunities to talented artistes in the fields of classical music and dance, and encourages literary activities in a few regional languages.
Under Mr. Nanik Rupani’s Chairmanship, the Academy's Biennial Global Awards Function has become a very significant event which puts India on the map of the world as it honors national and global dignitaries for their outstanding contribution to society.

Read More: http://www.indiantelevision.org.in/release/y2k13/sep/seprel86.php

E-registration facility launched

Maharashtra Revenue Minister Balasaheb Thorat on Sunday launched e-registration facility here under which people can now do registration of properties online.
Thorat at the launch said that the facility is applicable in housing society with more than 200 members (houses), where members can avail the facility of doing the registration of their property 'online' from the office of the builder.
"Under the process, users will not have to go the Registration offices and can save their time. Aadhar card number of the buyer and seller will be required for it," he said.
He further added that various measures and initiatives undertaken by the revenue department were giving desired results and the department had fetched maximum revenue in 2013-14, after the State Excise department.
The facility will be implemented in other cities of Maharashtra was as well, he said.
Inspector General Registration and Controller of Stamps Mayur Shah on the occasion said that 25-30 builders from Mumbai Metropolitan Region are soon going to start the service at their offices.

Source: http://zeenews.india.com/business/realestate/latest-news/e-registration-facility-launched_107191.html

Mumbai property prices leave Delhi behind

Delhi and Mumbai, two of the biggest residential property markets in the country, have shown divergent trends in price appreciation in the past two years. While Delhi recorded the least price rise at 4.4 per cent, Mumbai showed highest appreciation at 25.27 per cent between June 2012 and May 2014.

The prices in Pune grew 21.9 per cent, in Bangalore 19.47 per cent, Kolkata 17 per cent, Hyderabad 16.8 per cent and Chennai 13.2 per cent during the same period, according to data by real estate firm research firm PropEquity.

In the same period, the inventory levels have been rising. Mumbai Metropolitan Region has an inventory of 53 months at the end of June this year, while the National Capital Region has an inventory of 45 months, the data by research firm Liases Foras shows.

“Buyers were in a wait-and-watch mode. The demand is there, but people have been delaying their purchasing decisions due to various factors which lead to such a huge inventory pile up,” said Harinder Singh, managing director, Realistic Realtors.

Due to developers’ focus on clearing the existing backlog, the number of new launches has also come down drastically in the range of 47-92 per cent across all seven major cities at the end of May this year, compared to June 2012, according to PropEquity data.

Experts say the slowdown has impacted the investor’s market of Delhi-NCR the most. Many non-resident Indians had stopped buying and there was hardly any activity in the past couple of years, leading to such minimal appreciation in prices. The realty market is seeing declining sales coupled with higher inventory for the past two years. Moreover, developers are hard-pressed on funds with not many lenders willing to lend money to the ailing sector.

Earlier, the political uncertainty had impacted buyers’ and investors’ confidence. It was expected that the demand would return in the sector once sentiments improved. However, now it seems it will require much more than sentiment for a full revival in the sector. With a new government in place, experts are expecting the realty sector to bounce back soon.

The markets have already started showing signs of an improvement. “The activity and interest level have gone up since the formation of a new government. We are seeing increased property inspection visits as well increased footfalls in developer’s offices of potential buyers/sellers. Overall, the number of queries has increased by almost 1.5 times compared to the past six months,” said Ashutosh Limaye, head (research and real estate intelligence service) at Jones Lang LaSalle India.

Niranjan Hiranandani: Indian billionaire in real estate business

Niranjan Hiranandani has achieved immense success as a real estate entrepreneur at his own stance