With the development in Indian property, currently investment in Indian property is regarded as quite a successful undertaking.Financial commitment in Indian Property asset remains profitable in 2012
Despite an economic crisis, purchase of India property continues to be an beneficial undertaking this year and decades to come. At present the Return on Financial commitment (ROI) is increased yearly at 15% for period of 15 decades. It seems unlikely that such massive profits can be expected from any other asset, besides land. In the first quarter of 2012 the Indian real estate sector seems to be a observe to a increase in the number buyers of residential and commercial property in India.
According to a analysis study, there has been a large improve in the variety of real estate customers across India, especially in places like Delhi, NOIDA, Gurgaon and Mumbai. India Property or home particularly due to development of real estate industry of Mumbai, Pune, Delhi and Gurgaon international company tycoons such as Brian Trump Younger have been influenced to purchase qualities in India.
Read more: Melodika
Maharashtra govt may allow developers to build taller buildings
The Maharashtra government will soon increase the floor space index (FSI), permitting developers to build taller buildings to promote the development of integrated townships around the state’s densely populated cities such as Mumbai and Pune.
“We will come out with a higher FSI scheme very soon, which will be a major step in promoting affordable housing,” chief minister Prithviraj Chavan, who also heads the urban development ministry, said on Friday. “Currently, FSI offered for townships outside the municipal limit is 1 but by offering higher FSI and putting the responsibility of developing infrastructure like road connectivity, schools, colleges, on the promoter, we can reduce congestion in cities like Mumbai.”
FSI indicates permissible construction on any plot. If FSI is 1 for a particular plot and its size is 1,000 sq. ft then the construction permissible is 1,000 sq. ft. The greater the FSI, the taller a building can be on a given plot of land.
Read more: Mint
India ranks 2nd in retail realty investment momentum index
India ranks second among top 20 countries with the strongest momentum in retail real estate index and it lags behind China due to weaker investment prospects and a smaller presence of global retailer, according to a report by global property consultant Jones Lang LaSalle.
“Our Retail Real Estate Momentum Index identifies 20 markets with the strongest retail real estate momentum. In top positions are China, India, Indonesia, Turkey, Brazil and Vietnam,” JLL said in its report released today.
The index aims to identify those countries with the strongest momentum in terms of consumer, retailer, developer and investor activity.
China and India, unsurprisingly, top the Index, due to their favourable demographics, rapid urbanisation, strong consumption growth and significant expansion of modern retail infrastructures, it said.
Read more: The Economic Times
Income tax raids on 10 real estate firms
Investigation wing sleuths of income tax (I-T) department swooped down on 45 premises of city-based 10 real estate firms on Saturday. A team of 300 officials conducted the operations and recovered Rs 2 crore in cash and sealed 15 lockers of nine realtors. The raids are expected to continue on Sunday as well.
An spokesman of the department told ToI that a host of irregularities have come to the fore during the raid so far. At DB, it was found that the land plots were shown to be acquired at discounted rates thus evading huge amount of tax. At Silver Spring, which is said to have considerable amount of FDI, it was found that a plot measuring over 400 acre was acquired in an area close to its project in the city and was being sold as plots at existing market rates. A number of bogus entries were found during the raid. In case of Sakar, stamp duty had been duly paid by the company as per rule. However, its registry was done at a much lower price.
Read more: Times of India
Housing shortage in India estimated at 18.78 million
A technical committee set up by the Ministry of Housing & Poverty Alleviation has estimated that, at the start of the 12th Five Year Plan (2012-17), the total housing shortage in the country is 18.78 million.
In its report, submitted to Minister for Housing & Urban Poverty Alleviation Kumari Selja today, the committee said this number included 0.99 million households living in non-serviceable katcha houses, 2.27 million households in obsolete houses, 14.99 million households in congrested houses and requiring new accommodation, and 0.53 million in homeless conditions.
The committee, chaired by Dr Amitabh Kundu, Professor of Economics, Jawaharlal Nehru University, New Delhi, was set up by the Ministry to estimate the urban housing shortage for the 12th Five Year Plan.
Read more: NetIndian
Realtors team up to contain cost escalation
Owing to the steep increase in wages and increasing cost of raw materials, Confederation of Real Estate Developers’ Associations of India (CREDAI) Kerala Chapter, the key body in the real estate sector in the state, is mooting a plan for the unification of rates.
If all go as planned the unification of rate will come into effect soon which will be beneficial to buyers.
According to industry estimates, wages contribute about 30 percent of the total cost of the real estate property. The average prevailing wage rate in the sector is `500 per day for the domestic labourers and `300-`450 for migrant labourers.
But skilled migrant labourers are getting wages on a par with the domestic labourers. The real estate prices have increased by 30-40 percent in the last two years, the major reason being the increase in wages, points out S N Raghuchandran Nair, secretary-general, CREDAI-Kerala.
Read more: IBN Live
Investing in gold more profitable than real estate: Assocham
Investments in gold have yielded higher returns compared to those in equity and real estate in India during the last three years, according to a study.
Those who invested in gold between September 2009 and September 2012, have received double the returns when it was their first choice for investment, a study released by industry body Assocham said.
Presently, price of gold is over Rs 32,000 per 10 grams against around Rs 15,000 per 10 grams about three years ago.
Hence, giving more than double the returns on investments, it said.
“Gold has really outdone other asset classes and it is likely to remain an attractive bet as long as uncertainty over the global economy stays” Assocham Secretary General D S Rawat said.
He added that gold is the safest bet for investments amid uncertainty in other investment avenues.
Read more: Firstpost Business
More Indians Buying Homes abroad, particularly in U.K.
In a country where majority of the people do not have decent homes and the volume of sales of housing units in Indian markets is under pressure,a growing number of Indians are keen to buy homes abroad, particularly in the United Kingdom.
According to Lord Andrew Hay, head of global residential services at realty consultancy Knight Frank, “Indians probably represent a broadest purchaser base of any incoming nation.”
He said that in comparison to customers from the Middle East or Russia, who are just interested in owning “trophy assets,” or the ones that are priced anything between 20 million to 80 million pounds, Indians are also buying relatively cheaper assets, which they would prefer to be their residence.
“Interestingly, the Indian purchaser base is much broader. Although there are some Indians buying trophy assets and iconic buildings and hotels, they are also buying a lot of 300,000 and 500,000 pounds properties in all of England,” said Hay.
Read more: CriEnglish
How NRIs can transfer title of inherited property
Dealing in Indian real estate matters, especially if you have lived outside the country for a long time can be a nightmare. Ask Dr Vinny Sastri, an entrepreneur based in Albany, New York.
Dr Sastri, a US citizen, inherited a residential apartment in Chennai from his uncle (father’s brother) in 1999. But the process to transfer the title to his name was anything but smooth.
“My uncle was very good at documentation and legal paperwork. He left a Will spelling out clearly the distribution of his assets. So the title in itself was not disputed.
However, unfortunately, one piece of paper that we didn’t find in his records was the ‘khata’ or ‘patta’ record of property in municipal records, and that single missing document was enough to make us run pillar to post,” he says.
Read more: The Economic Times
Think big, but start small
PhillipCapital is keen to expand and explore opportunities in financial services and private equity in the Middle East and North Africa region after acquisitions in India and Dubai, chairman Lim Hua Min said.
Started out as a stockbroker from Singapore at the time of inception, the company has evolved into a fully integrated financial services provider which offers a full range of quality and innovative financial services to retail, corporate and institutional customers.
“We recently started moving into India, Dubai and Turkey and all this happened this year,” the chairman told Khaleej Times in an interview during his recent visit to Dubai.
The company operates in the financial hubs of 16 countries, with offices in Singapore, Malaysia, Cambodia, Indonesia, Thailand, Hong Kong, China, Japan, India, Sri Lanka, Dubai, United Kingdom, France, Turkey, Australia and the US.
Read more: Khaleej Times
Forest City celebrates Barclays Center ribbon cutting in Brooklyn
Forest City Enterprises, Inc. (NYSE: FCEA and FCEB) today officially marked the completion of Barclays Center, its state-of-the-art arena in downtown Brooklyn and the anchor element of the overall Atlantic Yards development. At the ribbon cutting, senior executives from the company were joined by New York City Mayor Michael Bloomberg, Brooklyn Borough President Marty Markowitz, Brooklyn Nets owner Mikhail Prokhorov, Brooklyn Nets CEO Brett Yormark, labor union officials, and many other political, civic and community leaders.
“This is a great day for Brooklyn and a great day for our company,” said David J. LaRue, Forest City president and chief executive officer. “Barclays Center is a tremendous new asset for the borough and the entire New York metropolitan area. It’s also a great addition to our national portfolio of real estate and the first crucial piece of our vision for Atlantic Yards. We salute all of our public partners for their support and our whole New York team for its determination, passion and skill that led to this day.”
Read more: Business Review India