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D B Realty, the leading real estate developer has merged its subsidiary Gokuldham, the real estate development company and the company has informed to BSE (Bombay Stock Exchange).

According to reports, amalgamation will be effective from April 01, 2013, the appointed date “Pursuant to the Orders passed by the High Court of Bombay on October 16, 2015 and October 27, 2015 (company received order at October 29, 2015 and November 04, 2015). The company has filed and takes the record on December 23, 2015 by Registrar of Companies.

While closing at Tuesday the shares of D B Realty was at Rs 57.40 at BSE (Bombay Stock Exchange) and it was down by 1.4 percent over Monday’s close.

National Green Tribunal

Recently, the NGT (National Green Tribunal) has imposed stay on the permissions of all new building construction which comes in the vicinity of the Sanjay Gandhi National Park and it is expected that this move can leave negative impact on the several proposed real estate projects which are in the western and eastern suburbs of Mumbai and Thane district. But still it’s not specified that exact how much area around the national park comes under this decision and due to that according to reports NGT stay on new construction which is around the Sanjay Gandhi Park.
The National Green Tribunal has directed the municipal authorities of Mumbai to not to grant any permission for further construction until National Board of Wild Life or Union Ministry of Environment and Forests  both notify a proposal of the state government to declare that all area around the national park are an eco-sensitive zone. However; there is chaos because tribunal has not specified the range of area around the national park where new construction project permissions need to be held back.

When social activist Santosh Daundkar filled petition, so while hearing the case NGT gave the order by stating that a real estate project of Omkar Realtors and Developers at Malad is located very close to the Sanjay Gandhi National Park. However; advocate Aditya Pratap, who was representing the petitioner stated that in the year 2003, the SC had given a judgement to restrict the mining activity in the rnage of 10-km radius which comes under the national parks and if anyone needs to the mining activity so they have to take the clearance from NBWL. We all know that building construction involves escalation of sand and minor minerals, so the real estate project of Omkar Realtors and Developers at Malad could not have received a green clearance from the standing committee of the NBWL”.

According to the spokesperson of Omkar Realtors and Developers¸ “The National Green Tribunal order has no impact on any ongoing real estate project within the Mumbai because all future projects within 10 km of the Sanjay Gandhi National Park will need no-objection certificate from NBWL, and it is nothing than the another permission which will delay the launch of the real estate projects, and it will also increase the cost of project, whereas; on the other side real estate industry will suffer from low supply of goo apartments in short run. The more he added that in the present project, the previous order which was dated on the February 2, 2015 to inform the prospective buyers about the pendency of the litigation in this tribunal be abide by scrupulously.

However; NGT has not issued any stay on the construction activities at Omkar Realtors’ project which is coming at Malad, it has only directed the real estate developer to inform prospective buyers about the litigation.

Bankers court Lodha for Rs 2,500-crore IPO

After four years of dropping its plan to go public, now again Lodha Group, which is country’s largest real estate developer in terms of sales is going to use the idea of launching an initial public offering (IPO) of equity to rise between Rs 2,500 crore and Rs 3,000 crore for the development of the new projects.

As per the reports and bankers¸ the firm is ready with its own proposals from investment bankers to mandate its IPO and it is expected that it would give at least four of the latter. Currently, Lodha Group is building country’s tallest residential building and due to that Lodha Group aims to rise between Rs 2,500 crore and Rs 3,000 crore through IPO source and it is similar which Lodha Group has sought to do in the year 2010. “At pint of time, we have no comment and we do not react to market speculation”, as per statement of the spokesperson of the Lodha Group. According to sources, the buoyancy in the primary market this year and the ‘top realty developer’ tag had prompted Lodha’s IPO plan.

According to reports, the firm promoter is Bharatiya Janata Party legislator Mangal Prabhat Lodha and earlier in the year 2015, it overtook Delhi-based DLF as the country’s largest realtor in revenues, as the sales of Lodha Group was about 7,800 crore for the year 2014-15, whereas; the sales of DLF was about Rs 7,648 crore for the same duration. In current, financial year, Lodha’s sales target is Rs 10,000 crore and deliveries 7,000 units even after the separation from the group of Brother Abhishek Lodha got the flagship real estate business. However; the Abhinandan Lodha¸ the younger sibling set up a financial services company.

It is expected that this new revival the city’s real estate market will help the group as Lodha group predominantly has projects in the Mumbai city as well as its suburbs. According to the reports of property consultant JLL (Jones Lang LaSalle), home sales in Mumbai has risen by more than 28 percent between the fourth quarter of 2014 and the third quarter of 2015. However; it’s true that in past few years only few realty IPOs have come to the market and these years, investment bankers are saying that there is appetite among investors for this big, strong and high-growth firms. Whereas; the 18 firms from as diverse regions, which range from infrastructure to media have come up in the primary market to raise money with the help of IPOs and real estate has stayed away, because it was only Paranjape Schemes Construction which has filed a draft offer document with SEBI (Securities and Exchange Board of India) with an aim to release its IPO.

According to Sharad Mittal, Head and Director of Real estate funds at Motilal Oswal brokerage, “The primary market is not ready for real estate IPOs. The more he added that there are many actual and perceived issues about these companies, which has impacted investor sentiment. However; in under-performance market there are several market leaders who have made it unsuitable for new players which are in planning to come and raise funds through IPOs. “It seems that Indian market is perceived to be hostile for the IPOs of realty companies, however; a big brand such as; Lodha has decent track record  as it is seeing demand from institutional investors, as per the statement of one of the investment banker.

RMZ Corporation Banglore

Essar is in initial negotiation stage with real estate developer RMZ Corp to sell its Equinox Business Park, which is located in Mumbai. According to sources the price of deal will be about Rs 2,400 crore, or $ 360 million. In recent years, this could be the biggest commercial real estate deal in the MMR region as billionaire brothers Ravi Ruia and Shashi Ruia are divesting their noncore assets to repay the debt of Essar.

Equinox Business Park, which owned by Ruia family is located adjacent to Bandra Kurla Complex and it is the house of leading market players such as; Nissan, Tata Communications, IDFC, Crompton Greaves and Lafarge and of course Essar companies as well. However; Bangalore based real estate developer RMZ Corp is backed by the QIA (Qatar Investment Authorit) and it is expected that it will pay about Rs 19,000 per sqft for Equinox Business Park, which is spread on an area of 1.2 million sqft. It is expected that RMZ will conclude the deal in tow equal stages over the period of six months. It will be 100 percent acquisition from both parties as both parties will meet certain milestones in their business. According to Manoj Menda, Vice Chairman of RMZ, “We confirmed the rumors of deal, but at this point of stage we cannot comment”, however; on the other side Essar declined any comment. According to statement of Anshuman Magazine, Chairman and Managing Director of CBRE for South Asia division, “This deal shows that how commercial real estate is generating interest among real estate developer, especially when it comes to core rental yielding assets. The risk associated with these kinds of properties is much lower than the fully constructed properties where there is no pressure of development and rentals”.

Currently, RMZ is managing about more than 20 million sqft of office space in different cities and now this real estate developer is looking for some large deals to acquire more space in commercial segment as RMZ aims to build a 80 million sqft portfolio in the next three to five years. RMZ’s this acquisition is one of the largest and latest among the series of high profile office space deals because some global investors such as; Brookfield Asset Management, GIC of Singapore, Canadian Pension Plan Investment Board¸ Middle East and Blackstone are over sign a funds to down transaction opportunities in the India. In last calendar year these global investors have acquired assets worth $ 3 billion. In present all the major global real estate developers seeing Indian real estate market as a golden opportunity as in India “Grade A Office” buildings are riding on a robust services economy. Anuj Puri, Chairman and Country Head of JLL India stated that in spite of different influences which shape up real estate markets in India, inherent equity of Mumbai as India’s financial capital remains undiminished and it is expected that it will continue to drive major decisions by large corporates and investment houses.

In December 2014, GIC of Singapore was acquired 69 percent stake in Nirlon and currently it is managing 2 million sqft office space in Goregaon suburb and its cost is Rs. 1300 crore. Apart from that we all know that last month pharma MNC Abbott was acquired .35 lakh sqft in one of the commercial tower at BKC which was developed by the Godrej Properties and cost of deal was about Rs 1,479 crore. It was considered as the biggest transaction for any single user commercial real estate in India.

However; Brookfield’s Unitech Corporate Parks acquisition was seen as the biggest acquisition in Indian office space market. However; it paid Rs 2050 crore for majority control of six parks in Kolkata and NCR. Apart from that with undisclosed amount they also buy 40 percent holding in Unitech.

Mangalore Press Club

The Mangaluru chapter of Confederation of Real Estate Developers’ Association of India (CREDAI) has organised a property exhibition at Mumbai from September 11, which will go on for 3 days.

As confirmed by D.B. Mehta, president, CREDAI- Mangaluru, The venue is Buntara Sangha, Kurla in Mumbai.

About 40 builders and developers and banks from two districts are likely to participate in the Expo. The exhibition is to give an opportunity to people from Mangaluru and Udupi residing in Mumbai to purchase property in their home cities.

Mehta said that if Mangaluru City Corporation was covered under the smart cities scheme, it would get Rs. 1,000 crore from the government for five years. This would lead to investments of over Rs. 20,000 crore in city-based projects in the region.

He further added that some industrial projects were already under development in the port city which would only increase the housing demand in Mangaluru and Udupi.

Goldman sachs

Global Investment Bank, Goldman Sachs is planning to invest Rs 900 crore or $ 150 million as the minority stake in Piramal Realty, which is Mumbai based real estate developer. Currently, Piramal Realty owns more than 10 million square feet of residential as well as commercial projects under development stage and they all are located in the premier areas of Mumbai (One of the most expensive real estate market in the world).

According to official statement of the company, Piramal Realty will use this money to buy more properties and expand its real estate portfolio in Mumbai as well as in its suburbs. As per the statement of Anand Piramal, who is Executive Director of Piramal Group, “This investment is for the purpose of entity level.” The more he added that there will be four or more projects as the part of entity and two partners will participate in them. However; Anand Piramal didn’t disclose the size of the stake after investment of Goldman Sachs. This is second investment by any company in Piramal Realty with in less than one month time as previously Warburg Pincus LLC, a unit of private equity firm, had stated in July that it is planning to invest Rs 1,800 crore or $ 284 million for a minority stake in company.

In present, India is second most populous country in all over the country and it is among few of the fastest growing economies, which have to cater the demand of housing and apart from that there are consistent rise in the price of property market. As we all know that earlier in same month, a luxury residential apartment was fetch by Indian businessman in Mumbai at a record price of Rs 202 crore.

Tata Housing is about to invest Rs. 600 crore

One of the leading realty firm Tata Housing is planning to invest more than Rs. 600 crore for the development of new residential project at the Bahadurgarh, Haryana.

For this particular residential project Tata Housing has tied up knot with the local real estate developer, who owns about 21.7 acres of land for the development of this project which will contain more than 800 to 1,000 units. As per the statement of Tata Value Homes, which is the subsidiary of Tata Housing, with this deal it has entered in the Delhi and NCR region for affordable housing market by launching the new project at Bahadurgarh, Haryana, where apartments price will start from Rs. 50 lacs.

Apart from that Tata Housing, still hiding the fact that how much they are going to invest in this latest projects, but as per anonymous sources Tata Housing is about to invest Rs. 600 crore. As per the officials company has received all the necessary government and non-government approvals to develop this project, however; it is expected that the construction work will start within one to two months.

Brotin Banerjee, MD and CEO of Tata Housing, stated that this project is in the close proximity for New Delhi and Gurgaon both city and Bahadurgarh has potential to become next corporate hub in terms of value and affordable housing in the NCR region.

Tata Housing is about to become the public limited company however its subsidiary, Tata Sons Ltd which hold more than 99 per cent stake in the realty firm. Currently, Tata Housing has more than 70 million square feet under development which is in various stages from planning to execution with the additional 19 million square feet area which is under pipeline. In present, currently, three projects are underway from Tata Housing.

Godrej properties is planning to launch 14 new projects in the current year

India’s leading real estate firm Godrej Properties is going to monetize commercial assets of worth Rs 2000 crore in the period of next two to three years to reduce the debt.

Apart from that now company is also planning to launch the 14 new projects in the current year to explore the more opportunities and more residential as well as commercial projects of the future development, as per the statement of Pirojsha Godrej, CEO and MD of Godrej Properties. The more he added that our debt is increasing and it’s about Rs 2,750 crore at the end of March 2015, but still hopes that by selling commercial properties of worth Rs. 2000 crore in next 2 to 3 years we will reduce the burden of debt.

On March 31, 2015 the net debt of the company was about Rs 2,764 crore however; at the end of December 2014 it was Rs 2,605 crore. Apart from that one of the Mumbai based local real estate developer is construction the large commercial project known as the Godrej BKC at the Mumbai and apart from that two or three more commercial projects are coming up in the city Chandigarh and Kolkata. Godrej said that our proposed launches are the 14 projects hich are in the current fiscal and out of them 7 will be in the Greenfield projects whereas; other seven will be the new phase in other existing projects. But still Godrej has not given any guidance on sales booking for the projects which are set to launch for the year 2015 and 2016.

However; company has achieved the volume of sales booking of Rs 2,681 crore or 3.9 million sq ft area in last fiscal. it has also received the record annual residential sales with the worth of Rs 2,400 crore or 3.6 million sq ft in the year 2014 to 2015. According to the Godrej officials now company is looking for the new projects in current fiscal through the joint venture with different land owners. The more they added that we are exploring the new opportunities in the real estate sector in the city which are present. We are also focusing on the micro markets such as; Delhi/NCR and Noida.In 2014 to 2015 the company has launched the five new projects with the saleable area of 8 million sq ft.

Godrej Properties is the only realty firm of the Godrej Group, which is currently developing commercial projects, residential projects and township projects which are spread on the area of more than 108 million sq ft in more than 12 cities. However; Godrej properties record the 20 per cent rise in the net profit which was Rs 190.90 crore against the Rs 159.43 crore in the previous year, whereas; the total income rose by 54 % which was about Rs 1,926.56 crore for the year 2014 to 2105.

Is your home have earthquake resistant or not?

If someone will ask to you that your home have earthquake resistant or not? So what will be your answer? Still confused about answer? Well than you are not alone at all because there are many more like you, who don’t know that their home have earthquake resistant structure or not. According to recent survey, which was conducted by Magicbricks, currently more than 50 per cent people are in all over the country who don’t know that their homes or buildings are earthquake resistant or not.

Nepal earthquake was shacked the Indians too and now they want to take the required precautions because that earthquake has shaken the people of all over the world as we all notice that causalities are increasing day by day. We can say that this natural disaster was just a reminder that in past few years how much advance we become, in short we can say that there is only little which we can do to save our lives at the time of any natural disaster. However; there are some precautions which we can take to minimize the loss or damage caused in such situations.

In the recent survey of Magicbricks, it’s clear that more than 50 per cent of the respondents are not aware about the kind of their home i.e., there home is earthquake resistant or not? After this fact it’s clear that we all have put our lives for granted. The same survey further added that about 35 per cent of the people said their home are have not earthquake resistant technology whereas; about 9 per cent people said their homes have earthquake resistant technology. The uncertainty of knowledge can be the dangerous state of affairs on the time of earthquake because it can cause the huge damage. People are not aware about the fact of earthquake resistant technology because at the time of property deal they didn’t thought it in the compliance of the building. As per the statement of Rahman Baigh, who is the Principal Architect at Evolve Architecture Studio, “On the time of housing deal, ideal buyer must know and ask about the detailed structural plan as well as the about the certification of seismic compliance from non-other than an authorized structural engineer. Whereas; most of the people are content with the architectural plan which was basically provided by the real estate developer and due to that buyer never bother to get the details”. The more he added that most of the time real estate developers in India do not follow earthquake resistance technology with standard procedure which was set by Bureau of Indian Standards because its need an additional cost.

In this kind of scenario, it’s the responsibility of buyers to ensure that our home or buildings are safe from any kind of earthquake and other natural disaster. It’s sad but true that only 3 per cent of the respondents in the survey stated that they have an earthquake resistance technology in their home. Now it indicates that we are not prepared to face another earthquake, but also we are insured to handle any kind of post calamity damage. In present when we are so much active to get the health insurance and other covers such as; vehicles insurance and more, we should start to protect our homes from such kind of disasters.

5.6-magnitude earthquake strikes Assam

Kalyan based real estate developer moved to Bombay HC

A one of the Top most Real Estate Developer from Kalyan, Mumbai where construction is on its boom in recent years, has moved to Bombay High Court to get the permission to continue with few of the new residential and commercial projects . In present, Bombay HC has put the stay on all the new construction in Kalyan area.

On April 13, 2015 the Bombay HC had put the stay on new construction permission, until local Municipal Corporation clears the issue of solid waste management which is pending from very long time. On the hearing of PIL, which were filled by KD Gokhale and few others in Bombay HC in the year 2009, to highlight the plan to setup a solid waste management treatment plan for 15 years. In the process of hearing, a bench of Justice V L Achliya and Justice N H Patil ordered the MPCB (Maharashtra Pollution Control Board) to bring the civic officials to book and get the KDMC (Kalyan Dombivli Muncipal Corportaion) and MMRDA on one platform to resolve the issue of solid waste management.

However; the Tycoons Avanti Projects LLP, and its partner Shrikant D Shitole, sought to intervene the whole hearing procedure in the PIL which was scheduled on Tuesday. S D Shitole, who is the real estate developer in the fastest growing Kalyan region from last 14 years, pointed out that Bombay HC is in effect by putting the whole development process and end users in the limbo without any fault. The plea is all about to direct the KMDC to consider his application which was submitted on the date October 2104 on merits and issue of commencement of certification.

A projects at Godrej Hill is about to complete, the his plea added that one more redevelopment agreement with Chikanghar Shantidhoot Co orerative Society for the low and middle class income group is ready to pay the stamp duty of Rs. 1.6 crore and it is pending while it is situated just opposite to Birla College where more than 180 tenants had been shifted in last two years of duration. Whereas; for another project Shitole stated that he paid more than Rs. 33.44 crore FSI as premium to MHADA in the month of November 2014. Bombay HC, stated that “Urbanization calls for a planned approach”.

According to recent data of real estate sector it’s clear that KDMC is an upcoming urban area in Mumbai. If corporation will continue to sanction the construction projects in the area without any impact assessments surveys, so it would be the additional burden on current infrastructure which is well develop and suitable for current situation, the bench of Justice said. However; the garbage waste is bound to increase as per the increase in the projects of construction. And it’s the duty of municipal authorities to make and change the necessary changes in infrastructure to get all the desired civic amenities which is available for their citizens. There should be an action plan chalked out by the authorities of corporation as we have noticed that issue has not been taken seriously by appreciate authorities and it shows that how a grim situation has emerged today.