Delhi’s Khan Market on world’s high street map

Delhi’s premium shopping streets Khan Market, Connaught Place and South Extension have been ranked among world’s top 20 premier shopping streets by real estate constancy Jones Lang LaSalle Meghraj. Their reports says that going by commercial rentals Khan Market is the country’s priciest retail destination. Mumbai’s Linking Road also figures as an expensive shopping destination.

Property buyers hesitant, expect prices to fall (KARNATAKA)

Property builders in Bangalore assert that there is good demand for property, despite the market turmoil. However, this demand is not being translated into successful transactions because buyers are hopeful that prices will fall further. However, Kishore Jain of Jain Heights and Structures Pvt. Ltd. says the chances of property prices coming down is very bleak. High input costs are a big deterrent for real estate builders and developers.

Sobha Developers receives $10 mln FDI

Bangalore-based real estate firm Sobha Developers has received $10 million (about Rs43 crore) of Foreign Direct Investment (FDI) for setting up residential project. The company received this investment from Dubai-based Pan Atlantic for a 40% stake in a Special Purpose Vehicle (SPV) in the Bangalore project.

DLF to Buy Back Shares at Rs600 a Share

Realty firm DLF will buy back its stocks at maximum price of Rs600 per share over the next 12 months. The buyback price is 71.28% higher than the scrip's closing price of Rs450.30 (as traded last week). This is the second largest open market buyback offer in the history of Indian stock exchange. However, analysts say that this offer may not enthuse investors at all.

Office rentals up by 6% in Q1: Cushman & Wakefield

Office rentals across the property market have increased by 6% during the first quarter of 2008 on account of rise in supply of office space, according to global consultant Cushman & Wakefield.

"Rentals across office real estate markets showed a marginal average increase of 6% over the last quarter coinciding with the increase in overall office supply,” C&W said in its latest report.

Omaxe Lines up $ 20 bln to Build Low Cost Homes

Realty firm Omaxe has lined up a $ 20 billion investment to develop 10 lakh affordable homes for low-income consumers. The company is planning to offer these housing units in a price range of Rs 3-15 lakh per flat.

» Nitesh Estates plans to raise Rs 600 cr
Bangalore-based Nitesh Estates is looking to raise close to Rs 600 crore for its upcoming projects as it seeks to expand its presence. The company will mop up these funds through the Special Purpose Vehicle (SPV) route. This will be the third time that this firm is tapping the private equity pool.

RBI relaxes lending norms for housing loans

The Reserve Bank of India relaxed the risk provisioning norm for housing loan up to Rs 30 lakh. This move would make it easier for banks to provide loans for purchase of residential properties. However, analysts feel that it may not result in immediate softening of interest rate for the housing sector.

Rental goes through roof in Mumbai

In April end, the London-headquartered Barclays bank concluded negotiations to take on lease 15,000 sq ft of office space in Worli’s CeeJay House at a record-breaking rent of Rs 725 a sq ft per month.

This is so far the highest ever lease rental for any commercial property in the country. The monthly rent comes to Rs1.08 crore or over Rs13 crore annually. However, property experts said this is an exceptional deal and does not reflect the commercial lease rental market in Mumbai.

Slowdown in Chennai Property Transactions

The number of property transactions in Chennai and its immediate neighbouring districts has come down by 10- 15% in 2007-08. In the first half, the city’s three zones – namely North, South and Central - registered about 3.7 lakh documents and netted about Rs.1,384 crore in terms of registration charges and stamp duty. Of these transactions, about 80% was property related. The second half of 2007-08 witnessed a slowdown.

Lohia Group Plans to Invest Rs350 cr in Realty Projects

Amidst correction in the country's real estate scenario, Lohia Group is planning to invest up to Rs350 crore in developing three projects in Delhi and Uttar Pradesh by 2011. The group's subsidiary - Lohia Developers - plans to develop two townships in Lucknow and Moradabad, and a commercial complex in Delhi.

» Emaar MGF Land to put $3 bln in properties
Real estate firm Emaar MGF Land plans to spend $3 billion in developing properties in south India over the next few years. Emaar MGF will invest in a residential property in Hyderabad with an outlay of $1.4 billion. The company will also invest in commercial and retail properties and hotels spread over 31 million sq ft in 10 south Indian locations.

Indiabulls Real Estate to Raise Rs9 bln via IPO in Singapore

Indiabulls Real Estate (IBREL) plans to raise up to Rs9004.98 million through an Initial Public Offering (IPO) in Singapore. IBREL has offered to sell about 353.5 million shares of Indiabulls Properties Investment Trust (IPIT) at a price band of 1.0-1.1 Singapore dollar each.

» Godrej Properties files papers for 7 mln share IPO
Godrej Properties Ltd, the real estate unit of the Godrej group, has filed papers with the market regulator for IPO of at least 6.99 million shares. The group plans to raise up to Rupees6 billion through the IPO and a pre-IPO share placement to institutions.

»Omaxe raises Rs100 crore via pvt placement
Real estate firm Omaxe Ltd has raised Rupees one billion through private placement of debentures to LIC Mutual Fund. The company is planning to acquire companies overseas, including in the United Arab Emirates

US Housing Crisis melts Indian Realty valuations

The sub-prime crisis may have struck in the US, but real estate companies around the world are feeling the heat. The meltdown in property firms’ valuations in other economies, including India, China, Japan and the UK, has surpassed that of the US with Indian real estate companies witnessing one of the biggest falls. Some leading Indian real estate firms are trading at about 34% discount to their Net Asset Values, which implies that property firms are being valued at just two-thirds of the assets they hold.

Mumbai sees second highest residential rent growth in Asia (MAHARASHTRA)

According to a report by Hong Kong-based human resources consultancy ECA International, Mumbai recorded second highest annual growth of 21% in residential rental after 33% for Singapore in 2007.

Following the surge witnessed last year, Mumbai has now become Asia’s third and the world’s sixth most expensive location to rent a three-bedroom apartment. This makes it costlier than places like Seoul, Singapore, Paris, Shanghai, Dubai, Beijing, St Petersburg and Amsterdam.

Now, Get your Property Registered via e-Stamping

The Delhi government introduced a system of e-Stamping for the registration of immovable properties. This will allow consumers to avail of the electronic way of stamp duty payment and bring into effect a fool proof system of e-stamp generation. With the launch of e-stamping, the traditional practice of purchasing non-judicial stamp paper has been done away with. According to officials, the new system would mean faster processing and an easier mode of stamp duty payment which would in turn provide the general public with a more secure form of revenue payment.

Under the system a person seeking to register his or her property would simply have to go to any one of the 21 counters being set up across the city for e-stamping. Here, one is issued a unique identity number after paying the stamp duty. After this, one just has to produce this ID number at the local sub-registrar’s office for ones property to be registered.

Philippines Real Estate firm Enters India

Ayala Corporation of Philippines and its affiliate, Arch Capital Management, plan to invest $100 million in the Indian property market in the next two years. Ayala is one of the largest real estate brands in Philippines and the private equity fund is currently evaluating property in Chennai, Hyderabad, Mumbai, Pune and Bangalore. Sources say it will subsequently consider smaller cities as there is more room for development. The fund is also considering investing in retail and IT projects.

Vascon Looks Plans More Realty Projects in Ahmedabad (GUJARAT)

After an IT/ ITeS Special Economic Zone (SEZ) coming up over 26 acres at Sanathal village on the outskirts of Ahmedabad, Pune-based construction company Vascon Engineers is now scouting for land in the city for other projects. Looking at the rising demand for commercial and residential space in the city, the company plans to take up various projects including residential, commercial and malls.

Investment worth Rs 20 cr in Mysore (KARNATAKA)

PBEL Property Development India Pvt Ltd, a joint venture of Israel-based Property and Building Corporation (PBC), Electra Real Estate (ERE) and INCOR infrastructure, has invested Rs 20 crore in Mysore to build a residential township. Announcing this development, PBEL executive informed that the company has invested Rs 20 crore on a 10 acre plot at Devanoor village to build a residential township. This is in tune with the company’s our strategy to build a land bank in secondary cities across south India.

Now 48-hour Notice Prior to Sealing (DELHI)

Amid increasing allegations that Municipal Corporation of Delhi (MCD) officials were following a “pick and choose” policy in sealing establishments across the Capital, the MCD Standing Committee has passed a resolution proposing to issue a 48-hour notice prior to sealing any property. Members of the Standing Committee expressed their indignation at the “haste” that officials exhibited while sealing properties.

Mukesh Ambani Plans big for Real Estate, goes Headhunting

Mukesh Ambani-led Reliance group is planning a splash in the real estate business, for which it has initiated a process of recruiting large number of professionals. The country's largest corporate house is seeking professionals with at least 15 years of "hands on experience" with major civil constructions, hotel chains and interior designers.

Indiabulls Real Estate plans to list its arm in Singapore

Indiabulls Real Estate is planning to make an Initial Public Offering of a Real Estate Investment Trust in Singapore. The company said it has filed its prospectus with Monetary Authority of Singapore for its Indiabulls Properties Investment Trust. This is the third Indian company, after DLF and Unitech to consider overseas listing of its REIT.