Ireo Victory Valley, Gurgaon
The Indian realty space is in the spotlight again. The commercial and residential market in Mumbai has been very subdued. Several developers and experts feel the recovery of the Mumbai property market is still a little distant. Prime Property takes a look at the National Capital Region (NCR).
The NCR is often called India’s most speculative market. It is a large market covering New Delhi’s suburbs Gurgaon and Faridabad in Haryana, as well as Noida, Greater Noida and Ghaziabad in Uttar Pradesh.
Analysts often say that nearly 50 percent of the investments in the NCR is driven by investors. Knight Frank points out a sluggish demand and fewer project launches in the NCR.
Nearly 35,000 residential units were launched from October 2012 to March end of 2013. That’s a dip of 31 percent year-on-year. So in light of weaker demand, it does seem as if developers have kept a check on new launches.
The liquidity crunch being faced by real estate companies is yet another reason. Developers continue to cope with the pressure of finishing delayed projects, thus very much on the prowl for funds to finish construction. Knight Frank says Noida in UP has witnessed a steep dip in launches in the second half of FY12.
Read more: Money Control
Demand for super upscale properties high in India, US despite lull in realty space
Last week, hedge-fund manager Bill Ackman and a group of investors agreed to pay more than $90 million for a duplex penthouse at Manhattan’s One57 condominium tower at a rate of almost Rs 4 lakh per square feet, making it one of the biggest such deals ever. The deal reinforces the point that despite the larger lull in the realty scene, the market for super upscale properties is alive and buzzing. Here we take a look at the top deals and properties of 2012, India & the US.
From NYC to New Delhi: Demand for super upscale properties high
Source: The Economic Times
Master Plan changes allow studio, service apartments
Proposals for allowing studio and service apartments to come up in Delhi are being introduced in the Master Plan-2021 under the review process. Until now, there was no provision for allowing such apartments in the city, said the DDA which has invited public suggestions and objections to modifications such as these.
Studio apartments are being defined as premises in which residential accommodation in the form of multi-purpose rooms will be provided to individuals and families.
“Activities permitted on such premises are a caretaker’s office, retail shops, dining and supporting facilities. This will be restricted up to 10% of the floor area. The minimum size of plot will be 2,000 sqm with maximum ground coverage of 33.3% and floor area ratio of 200. The maximum size of the apartment will be 60 sqm of the built-up area,’’ said a DDA official.
Such apartments are smaller in size and are aimed to cater to young couples looking for housing. “This will also help in bridging the housing gap in the city,’’ the official said. These apartments are supposed to come up along transit-oriented development projects proposed along Metro corridors.
The basic principle of a transit-oriented development corridor is mixed land use, which means that there will be a mix of residential and commercial development and high density development, leading to multi-storey construction.
Read more: Financial Express
HC stay on sale, marketing of DLF’s new luxury project
IT
US keen on exploring investment opportunities in Haryana
The US has shown keen interest in exploring investment opportunities in Haryana, especially in the field of Information Technology and food processing.
A Haryana government release said this today quoting US Ambassador Nancy Powell, who called on Chief Minister Bhupinder Singh Hooda here.
Powell, according to the release, described her visit as an opportunity to meet political and business leaders in Haryana.
US-based multinational companies have invested about Rs 1,000 crore in the state, out of which 165 companies have financial or technical collaboration, the release said.
The Chief Minister apprised Powell that all round development is taking place in Haryana.
“Due to its investment friendly atmosphere, there are ample possibilities of investment in Haryana. The state has more than 1,000 industrial units with foreign technical or financial collaboration,” Hooda told the envoy.
Hooda apprised the steps his government has taken in different fields to make Haryana a fast progressing state including the field of sports.
Read more: Business Standard
Flexi hiring in IT sector to reach 20% mark by 2020: ISF
The Indian IT and ITeS industry, which is considered one of the pioneers in organised staffing, is expected to witness a high level of flexi hiring in the next few years, says Indian Staffing Federation.
Flexi hiring or temporary recruitments in the IT industry is likely to increase from 10 per cent to 20 per cent by 2020, according to Indian Staffing Federation (ISF), the apex body of flexi staffing industry in India.
By 2025, it is expected that 10 per cent of the overall workforce in India could be working in a flexible capacity, through staffing companies, it said.
“Although the industry has been facing a tough time amid the global economic slowdown, there has been buoyancy in flexi hiring among IT companies in India,” ISF President K Pandia Rajan said.
“IT firms are swiftly adopting the practice of hiring flexi staff in order to beat margin pressures, maintain lean benches and also facilitate just-in-time hiring in a highly volatile market. The firms are increasing their flexi staff count in non-core activities and services to focus more on core activities,” Rajan added.
Read more: The Economic Times
Retail
51% FDI in multi-brand retail likely to include FIIs
The 51% foreign direct investment in multi-brand retail is likely to include foreign portfolio investment as well, as the government is keen to ensure that the restriction on foreign ownership is not breached.
The government is wary that any breach in the limit will give more fodder to those opposed to opening of the sector to foreign investors, a hard fought reform for the UPA government that lost some key allies on the issue.
“There will be a composite 51% cap for both FDI and FII investment in multi-brand retail,” a government official privy to the development told ET.
The composite cap could restrict the options of existing listed multi-brand retailers that may be keen to sell stake to multinational stores.
Read more: The Economic Times
IREO: India's leading real estate developer 