Niranjan Hiranandani

According to Niranjan Hiranandani, MD of Hiranandani Communities and Founder-First President of NAREDCO (National Real Estate Development Council) Maharashtra that works under the aegis of Ministry of Housing & Urban Poverty Alleviation, Government of India, stated that Infrastructure projects and their timely completion are responsible for the success and growth of Mumbai Metropolitan Regions and Mumbai’s real estate market.

While elucidating these aspects Niranjan Hiranandani explains few projects such as; the Sewree–Nhava Trans-Harbour Bridge has increased the Metro connectivity whereas; Pinjal River project was necessary for real estate development and its growth in Mumbai and MMR. The more he added that these aspects and projects has changed the land use and its development in zones with granting of FSI and its proper usage of reclaimed land. He also pointed out that Mumbai can be the largest flower bed with surrounding Mumbai’s coast but for that it need to have the coastal road for Mumbai; apart from that it has potential to increase the green cover and ecological balance.

While addressing the context of real estate development and its growth in Mumbai city Niranjan Hiranandani stated that Infrastructure and development is necessary for growth of real estate sector”. The more he added that 4000 acre of saltpan land in Mumbai have a potential to create 5 to 5.5 lakh affordable housing units, however; the improvements of slum areas in all over the city is essential and for that we should implement slum policy which can effectively solve the  problem of affordable housing in Mumbai.

However; to bring the development in the MMR, he said that vision of the Project Naina has been shared with Devendra Fadnavis, the Chief Minister of Maharashtra as it is expected that project Naina is able to add around two times the land area of Mumbai to the MMR in form of a city and it has potential to complete the vision of Prime Minister which is the “Housing for All”.

Affordable Housing

According to data of 12^th, 5-year plan (2012 – 2017), the housing shortage in India has reduced to 18.78 million, but according to experts data collection is questionable, and we can understand the data is not so correct because we belongs from same society and know the situation of affordable housing in India.

More than 80 per cent Indians still find it hard to fulfill the desire to own a home in affordable price. This is the era of luxury items such as; Tvs, laptops, smartphones, and other items, they all are now in the reach of common man and are affordable, but when it comes to houses situation is reserve as houses are getting more and more expensive day by day. In Indian most of the people still living below average standard homes, but it doesn’t mean the average income of Indians is reducing, however the housing prices have been increasingly exponentially. For affordable housing there is huge gap between supply and demand and people have less choice when it comes to living standards. In some cases developers are asking the peoples to queue up and take part in lotteries, and according to that they will sell the home to winners only. As per the Ministry of Housing and Urban Poverty Alleviation, Affordable housing constitutes living units due to that his equated monthly installments (EMIs) should not be more than 40% of the owner’s gross monthly household income. Whenever the homes priced between Rs. 25-45 lakh are still referred as the affordable house by builders. The exact definition of affordable housing should be the main concern, as there is huge shortage of supply in this segment.

If the current backlog is maintained, then by the end of 2020, India will be facing an extra demand of more than 30 million additional homes; however 80 per cent shortage is still concentrated in the economically weaker section (EWS) of the Indian population. As per the 12th 5-year plan (2012 – 2017), Housing shortage in country is reduced by the 18.78 million, but according to experts data is not real and still questionable and current government departments continue to argue on the exact figure. In present the land is not easily available asset in India, in most situations acquisition of a plot for housing development is time-consuming and highly expensive process because of various charges apart from land cost. Due to rise in population and rising urban density, in past few years the demand for land has also seen an exponential rise.

If the person is from economically weaker sections and look for properties, so it’s difficult for them to deal with finance as well as they are also finding it difficult to meet the transport, water and power supply systems, sewage treatment lines and other conveniences. In India, land prices are much higher than the rate which is compatible with the development of real estate, in past few years there has been rise in cost of construction and construction material, which directly reflecting in the housing prices and the other issue is the lack of infrastructure. The majority of Indian home seekers is moving into first, second and third tier cities to earn the livelihood. These in respect to that there is no difference from home buyers from the middle or upper middle class. These are the some basic things for which any home buyer look while purchasing, no matter the construction is done by government of self-governing bodies of real estate developers. There is still lack of affordable homes in India and government need to do the hard work in real estate sector, not the main question; Is PM’s Housing for All scheme will work?, well the answer is in future and let wait for the best for the residents of India, who want to own the home.

Cidco land for developing a Sports Complex

Allegations of using unfair means to acquire Cidco land for developing a sports complex in Ulwe were made by Peasants and Workers party (PWP) leader Vivek Patil against BJP Panvel MLA Prashant Thakur soon after the assembly election results were declared.

Patil, while addressing a party workers’ meeting at Panvel, alleged that the Thakur family used unfair means to acquire Cidco land for developing a sports complex in Ulwe and develop a parking lot at Kalamboli steelyard. “Our party is planning to file a PIL after vacation. We will pray for an impartial probe into the land allotment to the trusts controlled by the Thakur s,” said Patil.

PWP, which controlled the Raigad district for the last five decades, has lost Panvel and Uran constituencies to BJP and Shiv Sena respectively in the recent assembly election. Ramseth Thakur and his son Prashant Thakur left PWP to join Congress in 2004. Prashant joined BJP just prior to the assembly polls this year.

Former MP Ramseth Thakur said, “We were never involved in any kind of illegal deals. All allotments have been made according to rules and regulations framed by the government. After the poll debacle, PWP is trying to tarnish our image by resorting to malicious campaigns.”

Patil alleged that after winning the assembly election in 2009, Prashant Thakur secured 6.7 hectare land for a trust, Ramseth Thakur Samajik Vikas Mandal, which was allegedly floated by Thakur family, to construct a sports complex. “The Comptroller and Auditor General of India indicted Cidco for violating rules while allotting the land to the trust, ” alleged Patil. He added that the CAG report also observed irregularities in the allotment of a parking lot on a 6.4 hectare land at Kalamboli Steelyard for 20 years to Thakur Infra-Projects Pvt Ltd in March 2009. Prashant said that PWP is floating these “bogus campaigns to gain political mileage”.

US Consulate’s Lincoln House property

Two years back in March 2012, Mumbai’s realty circles were abuzz with news of Tata Housing, Tata Group’s realty company bagging the US Consulate’s Lincoln House property in South Mumbai for a cool Rs 850 crore. Almost three years on, a stroll past it reveals no sign of the Tata involvement, just a sole security guard, wearing a US Mission-logoed uniform manning the post.

Lincoln House, a heritage structure, underwent a grade change which worked as the spanner in the deal wheel. “Lincoln House hasn’t gone anywhere. We are not involved with the deal anymore,” says Brotin Banerjee, MD & CEO, Tata Housing said.

In July 2012, Municipal Corporation of Greater Mumbai, on basis of the Mumbai Heritage Conservation Committee’s recommendations, published a revised list of heritage structures. As per this list, the heritage status of Lincoln House was upped from grade III to II-B. While redevelopment of heritage structures with grade III is permissible, there are several restrictions in place for change especially external, to structures with grade II-B. “The development potential reduced. We are hoping for changes in the Coastal Regulation Zone rules,” says a source involved with the transaction.

Tata Housing had not signed any documents to close the deal or pay the US Consulate any sum. They were the highest bidders and had only paid the earnest money deposit, put down by every bidder. The amount has since been repaid, says the source.

Banerjee says there’s a possibility of a future involvement in the property. “Mumbai Metropolitan Region and Delhi NCR are our two biggest markets. If I can get better projects for Tata Housing in , I’d be keen to do it. I wouldn’t say I am not interested.”  Here is a catch. Banerjee feels that he must be capital ready and the project investment ready for a deal to come through. No point waiting for “500 years for it (investment) to show (results)”. He says, “No point investing Rs 700-800 crore and then the development potential, which you thought was a million square feet, comes down to X. It doesn’t make sense.” As for Lincoln House, it continues to be in limbo, he told a newspaper.