Can a person looking to rent a house, be refused tenancy by housing societies? If legal experts are to be believed, housing societies frame their own laws. There are broad guidelines, or bye-laws, that every housing society adopts when it is registered. These rules and regulations govern the day-to-day functioning of the housing society. These are very essential for smooth running of the society.

Ajay Kumar, a 25 year old qualified professional has a harrowing experience whenever he has to look for a rented place. He has no criminal record either yet; he is refused leased accommodation by most housing societies. The reason? He is single. “Being single is a disadvantage because many housing societies prohibit their members from leasing their apartments to bachelors. They refuse to give no-objection certificate (NOC) to flat owners who agree to lease out their property to a group of singles,” Ajay explains.

Although disallowing tenancy to bachelors is the most common reason, it is not the only one, according to real estate experts. Generally, a group of singles is more likely to rough up the place and become annoyance for other members of the society. Moreover, bachelors tend to relocate more frequently and this doesn’t provide stability in rental income as compared to that from families.

Among other reasons for refusal of tenancy is having pets like dogs or cats. It is feared that pets my dirty the society premises or harm children. Further, people with certain meal preferences have also been denied lease. And the starkest is the rejection of tenancy on the basis of religion.
But, can the housing society overrule the flat owner? The by-laws of the society are framed under the Co-operative Societies Act, which provide specific guidelines to be registered with the municipal corporations, its governance structures, common area maintenance rights, dos & don’ts, accounting practices and various other covenants related to leasing/ purchasing a house within the society. In addition, The Act also offers a degree of flexibility to societies to add regulations of their own. For example, if there is a rule for tenants that they cannot park their vehicles in the parking slots allotted to members, then the housing society has every right to enforce it.

Individual societies are legally empowered to deny tenancy based on their by-laws. Although it is the legal right of the owner to lease his property, the housing society also has a say in it.

Can the by-laws be legally challenged? If a tenant feels a housing society has been unfair in any aspect, he can file a police complaint against it, claiming infringement of his rights as a citizen. “Any regulation which infringes on the fundamental rights of an individual can be challenged in the court of law. Every Indian citizen has the right to reside anywhere in the country and discrimination is not permitted on the basis of religion, caste, sex, eating habits or marital status,” proclaims Vinod Sampat, president, Cooperative Societies Residential Users Association, and a real estate lawyer.

Reliance plans to monetize real estate up to 6000 cr.

After Mukesh Ambani moved his group to an open space in Ghansoli, Navi Mumbai last year, younger brother Anil Ambani too has plans of real estate monetizetion. Reliance Group’s ADAG also followed suit by moving its headquarters from Ballard Estate to Santacruz.

Last month, Anil Ambani and some top executives of its cluster companies in the Reliance Group shifted operations to the new global headquarters to suburban Santa Cruz from the posh South Mumbai Ballard Estate. Mr. Ambani is all set to savour Mumbai traffic for nearly one hour as he’ll now travel from his residence in Seawind, cuffe Parade to Santa Cruz. Earlier, the distance from home to office was a matter of hop skip and jump for him.

The Reliance Group is planning to monetise the Reliance Centre office in South Mumbai by offering it on lease while retaining a part of the treasured property for itself.

The group plans to realize at least Rs 6,000 crore from the real estate monetization programme. The employees in Dhirubhai Ambani Knowledge City (DAKC) have been shifted to Santa Cruz where the former BSES office was located as Reliance has entered into an agreement with Chinese Wanda Group to develop 135 acres of real estate space on the property which will later be leased out.

Small houses back in trend

Owing to sky-rocketing property prices, luxury apartments are losing their charm among the middle classes and small houses are gaining popularity again. Due to the massive slump in real estate market since the last couple of years, developers are now reducing the size of houses instead of decreasing the prices.

Top developers like Hiranandani, Kalpataru, Radius, Sai developers and Prajapati developers are coming up with projects having a large number of small apartments, industry observers report.

Pankaj Kapoor, MD at Liases Foras, a property research firm said, “The small size of flats gives dual benefit to the developers;  first , it helps them get tax benefit as developers constructing 30 sqm houses in non-metro locations are eligible for certain exemptions as per tax laws. Besides, the price of these apartments fits in the buyers’ budget.”

“There is a huge demand for smaller affordable houses. In a property exhibition held in Navi Mumbai recently, we received very good response from home buyers. We have to meet the demands of the people to survive and succeed in this kind of market,” said Harnam Singh of the Sawan Group.

Real estate agents are also disconcerted with the fact that people come to see the properties & make site visits, but once they start calculating, deals get aborted.

Further, vice-president of the Maharashtra Chamber of the Housing Industry (MCHI), Navi Mumbai, Manohar Shroff says that the demand for huge luxury apartments has fallen. Builders now have to construct houses in accordance with buyers’ demand. While many young couples prefer buying small houses in the beginning, most bachelors desirous of investing in property also find small houses the best option.

Panvel to Badlapur –low cost yet attractive realty options

Despite skyrocketing prices, the charm of having an address in Mumbai does not cease to attract homebuyers to the city. Purchasing a property in the megapolis is no longer as simple as it used to be years ago. Scanty land availability coupled with zooming realty rates makes it almost impossible to get a low-priced accommodation here. Nevertheless, some pockets near Mumbai may still help you pick cheap housing giving you adequate connectivity to the main city as well.

Panvel:

Real Estate in Panvel

Although this place already has a developed side called Old Panvel, The outskirts have much scope for further township developments. Panvel is quite well connected by local trains and state transport buses. The Central Railway’s harbor line runs ample suburban train services from Panvel to Mumbai CST making commuting to the city hassle free.

Recently developed townships and upcoming residential projects here sport a complete range of facilities that homebuyers look for–good schools, parks, shopping outlets to hospitals, this locality has it all. And what’s more, a 1-BHK apartment here would cost you anywhere between Rs. 20 – Rs 40 lakh.

Badlapur:

Badlapur Real Estate

Well-known for its industrial zone, Badlapur is slowly transforming into a residential hub with promising township projects that have been launched in the recent past.

With the infrastructural development taking place exponentially, Badlapur is proving to be a cheap and a smart investment destination near Mumbai.

Ulwe:

Ulwe Real Estate

Although this place is developing slowly, the enormous availability of land makes Ulwe the future realty destination. It already has great connectivity through Nerul, Vashi and Belapur. Ulwe is close to highways and the expressway offering accessibility via roads as well.

The picturesque landscape around this Navi Mumbai suburb adds to its beauty, making it all the more attractive for residential purposes. A 1-BHK flat here may cost you about Rs.29 to Rs. 40 lakh.

Taloja:

Taloja Real Estate

Besides having its own railway station, Taloja will soon have a new metro station as well. This suburb of Navi Mumbai has plenty new infrastructure projects in the pipeline that will enhance its connectivity to Mumbai. Besides, Taloja is already well connected by road given its proximity to Kharghar national highway & NH4. This locality already flaunts multiple new township projects as it has all the basic amenities that one looks at, while investing in a residential property.

Koper Khairane:

Koper Khairne Real Estate Property

Already a self-sufficient locality, Koper Khairane is also well connected to Mumbai by both rail & road network. This suburb of Navi Mumbai is quite developed and densely populated as it is adjoining Vashi. Koper Kharaine is an expanse of all requisite civic utilities like theatres, multiplexes, restaurants, shopping spaces, schools & hospitals. As per real estate experts, an investment up to Rs. 40 lakh in this area would easily fetch Rs. 65 lakh three years from now.

If you are looking to purchase a property for investment or end use, and at the same have tight pockets, then exploring these localities will certainly reap you good results.

Raheja to develop 6 million sqft for Rs. 2000 crore in Navi Mumbai

Buoyant with the increasing demand of affordable commercial office spaces, the K. Raheja Group which already runs three IT parks under the brand Mindspace, is planning to invest an estimated Rs.2,000 crore in acquiring land and developing 6 million sq. ft of commercial space in the next two-and-a-half years in Navi Mumbai.

Vinod Rohira, managing director and chief executive officer (commercial real estate and REIT), K Raheja Corp, said the company is looking to expand its commercial business within the Navi Mumbai region. This includes a fourth IT park, which it is looking to start building in the next six-to-nine months.

The fourth IT park which has 6 million sq ft of developable area, is being built on a 30-acre land parcel at Ghansoli, which the Raheja Group purchased from US-based specialty chemicals company Cabot Corporation for Rs.210 crore last year.

“All four business parks are ongoing projects that offer the potential to develop over 20 million sq. ft of commercial real estate in the next six to seven years, of which six million sq. ft will be ready within the next three years,” Rohira said.

“With commercial developments in Navi Mumbai, we want to bring in volumes by making the market supply-driven. Our aim is to create quality offerings at economical rates,” Rohira added. At present, Raheja Group leases its commercial office space for Rs.50 per sq. ft. which is one of the lowest in Mumbai where rentals range between Rs.250 and Rs.350 per sq. ft in upcoming financial hubs like the Bandra Kurla Complex (BKC).

Cuffe Parade could get a New York like Central Park

The Central Park in NYC, one of the most filmed locations in the world, is spread over nearly 900 acres. Now, The BMC wants to build Mumbai’s largest park in south Mumbai, on the lines of the historic Central Park in New York City. The civic body has proposed to reclaim 300 acres off Cuffe Parade for the project. Interestingly, the biggest park spreading over 290 acres in the Mumbai Metropolitan Region which is in Kharghar, Navi Mumbai is also named the Central Park.

“It will be a recreational park, a much-needed green cover in south Mumbai. There will be no commercial usage of the space,” a senior civic official said. The Cuffe Parade park is proposed off GD Somani Marg. “The idea is to create a world-class recreational facility, and the administration has proposed it in the revised development control rules,” an official from the said a BMC official from the gardens department.

The civic officials however, admitted that even if the proposal is approved and the permissions are in order, it may take almost a decade or more for such a facility to come up. Mumbaikars should not fret because it took the New York City administration also, nearly 20 years to build the Central Park, which was officially completed in 1873.

The proposed project has not gone too well with the environmentalists, nonetheless, dispelling fears of the green brigade, senior civic officials said that the project was actually proposed way back in 1970, at the same location and they were keen on going ahead despite the chagrin.

Blackstone buys retail space in Seawoods Grand Central worth Rs. 1450 cr

In its second realty deal this year, Blackstone Group Lp is likely to buy a million sq.ft of retail space in the 40-acre transit oriented project which is being developed by L&T Realty in Navi Mumbai around Seawoods Darave railway station. According to sources, Blackstone has in-principle agreed to buy the retail portion of Seawoods Grand Central for Rs. 1,450 crore. L&T Realty also has 4 million sq.ft of commercial office space coming up as part of this massive 40-acre project.

Blackstone is currently conducting due diligence of the project, said the sources cited above. “It will take some time before the transaction to conclude,” the source added.

”with relaxation in FDI (foreign direct investment) norms, Global funds pick up well-positioned malls that promise a steady return of interest on retail assets,” Shashank Jain, partner (transaction services) at consultancy PricewaterhouseCoopers India said.

L&T Realty CEO Shrikant Joshi said that as a policy, the company doesn’t plan to run malls and hence wants to sell them to investors.  Nevertheless, it will continue to build them in its projects.  “In Seawoods, we are in talks with several investor partners, but we want someone who will be a creditable successor,” he added.

Blackstone, which has largely invested in buying out office spaces in the country hitherto, is looking at retail shopping assets and hotel projects now.

Ready Reckoner Rates hiked by 7%

The state revenue minister, Eknath Khadse made an announcement in the state assembly that the Ready Reckoner (RR) rates have been increased to 7% with Effect from April 1, 2016. In rural areas the rates have been hiked by 8%, 7% in influential areas, 7% in municipal council and nagar panchayat limits and 5% in municipal corporations. On an average at the State level, the increase comes to around a moderate 7% for 2016-17.

RR is an annual statement of rates on which the stamps and registration department collects the stamp duty from property buyers. With this revision, the government hopes to mop up about Rs 15,000 crore.

Maharashtra government had amended the Bombay Stamp Act and rules last year to introduce RR revision from April 1 instead of January 1 every year. RR rates were increased by an average 15% in 2015, 22% in 2014, 27% in 2013, 18% in 2012, 17% in 2011 and 14% in 2010.

“The government took a conscious decision not to increase RR rates steeply considering the slump in the economy, especially the sluggish mood in the real estate sector,” Khadse said.

Gudi Padwa- the time to buy your new home

The festival of Gudi Padwa typifying all new auspicious beginnings is earmarked by builders for launch of their respective projects. Particularly, this year the timing of the festival is well placed for project launches.

Talking about the buoyant feeling about increasing end user demand in the market, Ravi Ahuja, Executive Director, Development Services, India, Cushman & Wakefield says, “Given the fact that in the past few quarters the residential market has seen a revival and a steady rise in capital values, there has been some slowdown in demand for mid ranged and affordable housing segments in general; additionally in the early part of year, demand tends to slowdown, due to some economic structuring owing to the announcement of the budget, also coinciding with salary revision for the salaried sections. This year, the festival of Gudi Padwa is well timed, in terms of policy decisions by the national and state government, falling soon after the end of the financial year. This may be a catalyst for some end users to reconsider their purchase decisions”.

As per a report by Cushman & Wakefield, in the year 2010 the residential sector in Mumbai saw an improvement in demand. In comparison to the values of previous years, the mid range micro markets have amassed major recovery. The mid range housing segment in areas such as Andheri (w), Malad, Goregaon have witnessed huge gains thanks to large end user and investor demand. It is expected that in view of the large upcoming supply the values are expected to correct in markets such as Central Mumbai, North and Far-North Mumbai in spite of increasing demand and favourable economic sentiments.

Expressing the views of large realtors about the optimism brought about by Gudi Padwa, Mayur Shah, Chief – Sales of Ackruti City Limited says, “In India property buying is attached with lots of emotions and due to this emotional connect, property buying increases – in the past we have seen good response from Marathi clients on Gudi Padwa and we expect the same this year too. Developers also come up with attractive offers during festivals, which give further boost to this sentiment. We are launching phases of Ackruti Countrywoods in Pune. Also we have come up with a customer friendly scheme called 80:20, where the customer has to pay only 20 % of the sales value at the time of agreement and EMI would be borne by us till the time of possession.”

Suresh Haware, MD, Haware Builders, who are launching their two affordable housing projects Haware Citi at Ghodbundar Road, Thane and Nakshatra at Palghar (W) on eve of Gudi Padwa says, “All Maharashtrians celebrate Gudi Padwa as a most auspicious day as it is the beginning of New Year. People do prefer to buy property on the eve of Gudi Padwa and most do wait for this day. In Maharashtra such occasions are very important for purchasing of property. On a scale of 1 to 10, I would rate it as 10”.

“Even though buyers are in the wait and watch mode, Gudi Padwa could prove to be the turning point as we definitely see a spike in bookings around this time. Indians are traditional by nature and even younger buyers who are influenced by the older generation do believe in this being a good time to buy. There are new launches as everyone considers this an auspicious time to buy.” says Vivek Mohanani, Executive Director, Ekta World.

Even though buying a house is more of a financial decision than an emotional one, people prefer to make that during an auspicious time. With a festival like Gudi Padwa where all get together, it is felt that buying a property around the same time will be auspicious.

Manju Yagnik, Vice-Chairperson, Nahar Group, who are planning to offer their latest projects in Chandivali during Gudi Padwa, says “It has been our experience that customers prefer to shift to their new premises or to sign the buying agreements or to perform poojas at their new homes, placing utmost importance to Gudi Padwa; which according to information available, is expected to take place in large numbers this year. After visiting property shows for suitability and convenience, quality of construction, facilities and amenities, reputation of developers, availability of housing loan, comparison of rates the final buying decision is of course made if the selected property is within his budget.

Even though the buyer is not depending on the festival, Jayant Gehi, AVP – Business Development and Sales, Supreme Universal says that, “People do book on the day of Gudi Padwa on account of the shubh muhurat. There are clients who hold their decision and would like to do the booking on the auspicious day of the festival. Many of our clients have told us that they will give the token money on Gudi Padwa”.

All in all, people love to start their new year in a new home for a prosperous future.

Cinepolis expansion plans in Chandigarh

Cinepolis India, India’s first international exhibitor which already has operations in cities like Delhi, Mumbai, Bengaluru, Hyderabad, Kolkata, Ahmedabad, etc with its brand Fun cinemas and Fun Republic Mall, is all set to enter Chandigarh with a multiplex to offer an unparalleled movie watching experience to the residents of the Union Territory.

The world’s fourth largest multiplex, with a niche in North India, has enhanced its presence in Chandigarh with the launch of a second state-of-the-art property in TDI Mall. “We already have two properties in Chandigarh with a robust and loyal customer base. Cinema goers here are discerning and well-exposed to the finest movie watching experiences across the globe,” said Ashish Shukla, Director-Expansion at Cinepolis while speaking on the launch.

With the launch of this three-screen property, Cinepolis will reach a count of 218 operational screens in India. The multiplex has 223, 209, 209 seats across three screens bringing the total to 641 seats,“We have very ambitious plans for expansion in India. To take the superlative cinematic experience offered by Cinepolis across the length and breadth of India, we have a target of reaching a total count of 400 screens by 2017,” added Javier Sotomayor, Managing Director, and Cinepolis India.