Tuesday, November 13, 2012
Canadian NRI Bob Dhillon plans township project in Haryana
NEW DELHI, NOV 6:
Canada-based NRI billionaire, Bob Dhillon is considering investing up to $100 million (about Rs 540 crore) in the Indian real estate market and is planning to approach the Haryana government for developing a township near Chandigarh.
Dhillon, the President and CEO of realty firm Mainstreet Equity Corp, is visiting India as part of a large business delegation accompanying Canadian Prime Minister, Stephen Harper.
“I am looking at Haryana, more specifically areas adjoining Chandigarh, for development of a township. I am in the process of discussion with the state government,” he said.
Dhillon, whose family hails from Tallewal village in Barnala district of Punjab, noted that the ageing population of Indian diaspora in Canada — most of them are of descendants of Punjab — is looking for a second home in India. The planned project would be near upcoming international airport.
On likely investment, he said: “Under the right circumstances, we would consider investing $25—100 million in India.”
He said the investment in India might be in his personal capacity.
Asked about the Indian market, Dhillon said: “India is a developers’ dream because of its demographics, migration from rural to urban areas and collapse of joint family system.”
Stating that India needs institutional capital to deal with the rising housing demand, he said the government should make changes in laws to attract foreign investment.
The clarity in ownership rights, easy repatriation of capital and pragmatic landlord-tenancy Act are required for easy inflow of institutional capital, he said.
“I would be in the best market of the world, if the policies were tweaked to my appetite,” Dhillon said and hoped that the Indian government, which has made changes in retail FDI, would give priority to housing sector as well.
On his Toronto Stock Exchange-listed realty firm Mainstreet, he said the company, which acquires and rents apartments, has assets worth about $1.2 billion and has an annualised revenue of approximately $90—100 million. The company has over 8,000 apartments in Canada.
Saturday, June 16, 2012
Bangalore North - RG VILLAS
Heading north
Says Sam Chopra, Director – RE/MAX India, “Presently, real estate in North Bangalore is undergoing rapid transformation due to commercialization. Also, it is noticeable that the region has significant residential real estate activity, along with commercial developments. The demand is growing with corresponding low supply in the pipeline. Other significant factors are the proximity to the airport, road projects and upcoming Business Park in Devanahalli.”
North Bangalore is ruling the realty charts in a sense. “In the recent past we have seen a huge influx of residential supply and demand in the north of Bangalore.
Areas such as Sanjay Nagar, Sahakar Nagar, Hebbal, Jakkur and as far as Yelahanka New town have been areas in high demand.
Yelahanka – Doddaballapur road is witnessing a huge demand for landed properties such as villas and private gated colonies. While the North develops in a more efficient and organised fashion, Sarjapur Road and Bannerghatta Road still has its loyal customers. But with the market opening up in the North, developers and investors alike are skeptical of new developments in the east and south east of Bangalore,” says Ravindra Pai, MD, Century Real Estate.
North Bangalore is most likely to see the highest level of appreciation which may given go up to 20-30% in some properties. The real estate boom from Devanahalli near Bangalore is also creating a lot of spillover in places like Anantapur, Madakasira, Hindupuram, Chilamathur, Lepakshi, Parigi, Gorantla, Obuladevara Cheruvu of Anantapur dist which are as far as 65 km to 120 km away from Bangalore.
Ravi Benjamin Indian Real Estate Update: North Bangalore real estate thrives on IT sector g...
Ravi Benjamin Indian Real Estate Update: North Bangalore real estate thrives on IT sector g...: North Bangalore real estate thrives on IT sector growth Article The growth in North Bangalore thrives on IT development as a lar...
North Bangalore real estate thrives on IT sector growth
North Bangalore real estate thrives on IT sector growth
Article
North Bangalore real estate thrives on IT sector growth
Sunday, June 3, 2012
Saturday, April 28, 2012
Domestic buying sees a rise in real estate market
Bangalore's real estate market, which once saw non-resident Indians (NRIs) lapping up almost 40 per cent of the total apartment units sold, has seen a change now, according to industry insiders.
With the increasing number of domestic buyers investing in the realty sector now, the NRIs share in total sales of apartment units has dropped to about 20 per cent in the recent times.
Bangalore's market has been attracting investments from the expat Indian population, mostly Kannadigas, residing in the U.S., West Asia, Singapore, Australia and New Zealand.
Approximately 30,000 apartment units are sold in Bangalore annually now. In fact, 2007 recorded the highest number of units ever sold annually at 40,000 units.
“The percentage of local buyers investing in apartment units has gone up from 60 per cent to almost 80 per cent now with increasing disposable income with families as well as accessibility to housing loan,” Shankar Sastri, Secretary of Confederation of Real Estate Developers' Associations of India (CREDAI), Bangalore, told The Hindu.
Bangalore as a real estate market, he said, always interested the NRIs so much so that many developers had representative offices in the U.S., West Asia and Singapore even two decades ago.
Besides, the realty market here had done well in the last two years due to stability, pricing, safety, said R. Nagaraj Reddy, president-elect of CREDAI, Bangalore.
He added that Bangalore has always remained a “preferred city” among those wishing to invest in housing sector.
This trend of change in the profile of apartment buyers is being seen in housing applications too, says State Bank of India Chief General Manager (Bangalore circle) Ashwini Mehra.
“There are more number of applications from domestic buyers now though there is a continued interest from NRIs residing in the U.S. and West Asia. Nearly 20 per cent of the total housing loan disbursement has gone to NRIs,” he said and added that nearly 80 per cent of the applications in the NRI category came from those residing in the U.S. and West Asia.
T. Venkatesh Babu, a strategist with a leading Bangalore-based real estate company, said that the number of NRI buyers may have come down, as those regions are facing economic uncertainty.
“People tend to conserve cash in such situations and may not like to make high value housing investment,” he said. Also, the speculative buying in Bangalore-market has come down significantly after the 2008-2009 crash, he said.
Interestingly, a large number of domestic purchasers of apartments in Bangalore are from Delhi, Bihar, Uttar Pradesh, and partly from Hyderabad and Chennai. “Most housing loan applicants are young service sector professionals, including those in IT and ITES, who may have come to work here,” Mr. Mehra said.
He also acknowledged that Bangalore real estate sector may have benefited from the Telangana crisis with some spill-over coming here, though a major share has gone to Visakhapatnam.
Monday, April 2, 2012
Sunday, March 25, 2012
Indian Realty 2012
The picture for Indian realty continues to be rather uncertain at this time. While underlying demand drivers are intact, there is a tepid mood to invest as a result of uncertain worldwide growth. Interest rates also seem to be going the other way, namely up, whilst the rest of the World wallows in low interest rates, India continues to raise rates in the effort to curb any sort of inflationary pressures that plague it's consuming populations.
Transparency in the sector also continues to erode the customer experience and add to the risk factor for the consumer. An overhaul of the realty sector needs to take place from the top down to open up trade and improve sectoral performance. The Realty sector has the potential to add 1-2 points to the GDP and shift India into 4th gear. If it intends to lift it's citizenry out of poverty steps need to be taken to hit over 10% growth, as evidenced in the Chinese model to date.
As previously stated, the underlaying factors of population growth coupled with rapid urbanization rates, lend favorably to the continued stability of the Sector. I think the next up cycle will take place around 2015 onwards. Let's see how it all plays out.
Transparency in the sector also continues to erode the customer experience and add to the risk factor for the consumer. An overhaul of the realty sector needs to take place from the top down to open up trade and improve sectoral performance. The Realty sector has the potential to add 1-2 points to the GDP and shift India into 4th gear. If it intends to lift it's citizenry out of poverty steps need to be taken to hit over 10% growth, as evidenced in the Chinese model to date.
As previously stated, the underlaying factors of population growth coupled with rapid urbanization rates, lend favorably to the continued stability of the Sector. I think the next up cycle will take place around 2015 onwards. Let's see how it all plays out.
Wednesday, March 14, 2012
Monday, March 12, 2012
Friday, January 27, 2012
Subscribe to:
Posts (Atom)