The real estate sector, which has been reeling under a crisis as fewer and fewer people have been buying homes for the past several months, wants the government to come out with a comprehensive housing policy in the state budget.
French hotel giant Accor said on Tuesday it had sold its US budget hotel division to the Blackstone investment fund for $1.9 billion and would use the funds to tap into growth in Asia.
The real estate sector, which is struggling due to the combined effects of diving demand, huge debt and piling inventory on their balance sheets, is hoping for a reprieve from Reserve Bank of India’s decision on Tuesday to reduce the Statutory Liquidity Ratio.
2011 was a dismal year for the realty industry. Prices touched exorbitant levels, while sales figures of apartments plumbed the depths. So what was the reason for the slump?
In a move that will further raise the already exorbitant real estate prices in the city, the state has hiked ready reckoner rates for both residential and commercial properties by 5% to 25%, with effect from January 1.
New flat buyers at Noida Extension will have to pay 25% more as developers have decided to pass on to consumers the burden of the Rs. 3,000 crore payment notices that the Uttar Pradesh government had issued to land allottees.
High prices combined with high interest rates that have dipped the volumes in the real estate sector have also led the realty companies to pledge more shares in a bid to raise their liquidity.
The government’s decision to suspend FDI in multi-brand retail has disappointed the real estate sector that was banking upon a demand surge for retail space.
As prices in the real estate sector remain in the stratosphere, property investors (who buy property only for investment purposes) have suffered a 50% hit in their returns.
Indiareit, the real estate private equity (PE) arm of the Piramal group, is learnt to be exiting two residential projects for around Rs. 200 crore.
Real estate-focused private equity (PE) funds, which have seen falling returns in last three years, are now finding it hard to raise liquidity for the new funds in the sector. Sachin Dave
reports. Not so many happy returns
Get furniture free in your flat or get a car parking free if you buy an apartment — or simply grab a 10 to 15% discount on a property. Such are the bargains being offered by real estate developers as they see their sales drop.
Real estate prices may fall 20-30% in several pockets of Delhi-NCR and Mumbai in six months, but experts are divided on whether and when prices will decline across the board.
Mahindra Lifespaces, the real estate arm of the Mahindra group, is said to be in talks with Alibaug-based developer Samira Habitats for a joint venture or buying of a land parcel. Sachin Dave
reports. Building blocks
Parth Desai, 29, a chartered accountant with a heavy engineering firm in Mumbai, pays Rs.
25,000 per month as rent for an apartment in Andheri west. Sachin Dave
reports. Rent vs buy: How the two stack up