Daily Real Estate Newspaper
Welcome to the latest edition of?PNT Real Estate Daily! Through our digital only newspaper, we aim to provide a 360 degree coverage of the latest events, stories, updates and occurrences from the real estate industry from around the world.
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Nerul, situated in Maharashtra's Navi Mumbai region, has become a sought-after destination for homebuyers and businesses due to its well-planned infrastructure and excellent connectivity. Boasting a variety of housing options, including high-rise apartments and gated communities, Nerul caters to diverse preferences and budgets. The area is self-sufficient with top-notch educational institutions, healthcare facilities, and recreational spaces. In April, ‘19 East’ emerged as the top-selling building. Developer sales dominated transactions, showcasing Nerul's appeal across different segments. With apartment sizes ranging from 243 to 2,782 square feet, Nerul caters to individuals and families alike. The surge in real estate activity underscores Nerul's status as a thriving hub, offering modern urban living with convenience and comfort.
Aadhar Housing Finance Ltd. is set to launch its IPO on May 8th, 2024, with a combined offering of INR 3,000 crore, comprising fresh shares and an offer for sale by promoter Blackstone. The IPO offers investors a chance to participate in the growth of affordable housing finance in India. With a focus on economically weaker and low-to-middle-income customers, Aadhar plans to utilize IPO proceeds to expand lending operations and improve financial inclusion. Despite the positive outlook, questions linger about responsible lending and technological advancements in serving their diverse customer base.
? A residential flat spanning 1,864 square feet sold in Oberoi Elysian Tower A in Mumbai's Goregaon East for INR 8.33 crores
? A residential flat spanning 1,345 square feet sold in Ashford Vikas Paradise in Mumbai's Mulund West for INR 3.85 crores
Parquet flooring refers to a particular type of wooden flooring that consists of a geometric pattern formed by placing tiny wooden slats together. It’s texture and durability is similar to hardwood floor as the strips are made of hardwood. This form of flooring was first introduced in the 17th century in France as a cheaper substitute to marble. Today it is a popular choice due to its aesthetic appeal.
Godrej Properties (GPL) reported a 14% rise in Q4 FY24 profit to INR 471 crore, up from INR 412 crore year-on-year. However, revenue fell 15% to INR 1,426 crore. For FY24, revenue rose to INR 3,035 crore from INR 2,252 crore in FY23, while adjusted EBITDA increased to INR 1,379 crore. The company added 10 new housing projects in FY24 with a total revenue potential of INR 21,225 crore, 42% more than its guidance of INR 15,000 crore. Total bookings for FY24 grew 84% to a record INR 22,527 crore driven by 20 million square feet of space sales. Going forward, GPL targets FY25 bookings of INR 27,000 crore.
Leading South Indian real estate developer Shriram Properties Limited (SPL) has announced the acquisition of a 4-acre land parcel in Chandapura, Bengaluru to develop a luxury residential project. The project will consist of approximately 350 meticulously designed apartments within a saleable area of 4 lakh square feet, with an estimated revenue of over Rs. 250 crores. Nestled in vibrant Chandapura with proximity to IT parks and amenities, the project aims to provide a high-quality living experience. SPL has a robust pipeline of 47 projects with 51 million square feet of saleable area, including 25 ongoing projects of 23.5 million square feet as of March 31, 2024.
Arvind SmartSpaces Ltd., renowned for its premium real estate developments in Ahmedabad, Bengaluru, and Pune, reported robust financial results for the quarter and fiscal year ending March 2024. With a remarkable 67% increase, the company's net profit for Q4 2023-24 surged to INR 15.49 crore, while the annual net profit reached INR 41.57 crore, reflecting a substantial 62% growth. Impressively, Arvind SmartSpaces achieved its highest-ever annual sales bookings of INR 1,107 crore, marking a notable 38% increase from the previous year's bookings. This stellar performance is attributed to strategic expansion efforts, new project acquisitions, and a heightened focus on customer satisfaction.
HDFC Capital, the real estate private equity arm of HDFC Group, has exited the "Pursuit of a Radical Rhapsody" project in Bengaluru, generating a remarkable return of close to INR 300 crore, surpassing their initial investment of INR 229 crore. Developed by Total Environment, the project comprises 4.4 million square feet of residential space and 500,000 square feet of commercial development. This successful exit underscores HDFC Capital's strategic investment approach and ability to create value. Partnering with esteemed developers like Total Environment, known for quality, reflects HDFC Capital's commitment to promoting affordable and mid-income housing in India. This achievement highlights the potential for strong returns in Bengaluru's real estate market and HDFC Capital's pivotal role in shaping India's housing landscape.
Aptus Value Housing Finance saw continued growth in FY24 with a 22% rise in PAT to INR 612 crore. Total disbursements for the housing financier jumped 31% to INR 3,127 crore for the full year, reflecting robust demand for housing loans. In Q4FY24 alone, disbursements grew 45% to INR 968 crore. Aptus expanded its reach through the addition of 31 new branches, taking its total network to 262 branches across seven states. Commenting on the results, MD P Balaji expressed satisfaction with the company's performance and stated that significant accomplishments were made during the fiscal.
Data from the Reserve Bank of India shows that scheduled commercial banks' commercial real estate portfolios grew nearly 23% year-on-year in March 2024, significantly higher than the 8.52% growth seen the previous year. This surge in commercial real estate lending by banks reflects positive changes in the sector in recent years, including regulatory reforms, growth of real estate investment trusts, and developers taking on less debt, which have boosted banks' confidence. Industry experts expect banks' commercial real estate lending to continue growing strongly due to healthy demand, a clearer regulatory framework, and avenues like REITs mitigating risks.
US private equity giant Blackstone is reportedly in advanced negotiations to acquire Inspire BKC, an 800,000 sqft office project in Mumbai developed by Adani Realty. As per reports, Blackstone may invest Rs 1,800-2,000 crore for the acquisition. Located in the Bandra Kurla Complex business district, Inspire BKC currently has tenants like Novartis, Reliance Nippon Life Insurance and MUFG Bank. Co-working operator Bhive recently leased over 62,000 sq ft in the building. Adani has been looking to sell the asset and previous discussions were held with Brookfield and Shapoorji Pallonji. Talks with Blackstone were halted in 2020 due to the pandemic but have now revived with strong demand and occupancy levels.
Leading Indian proptech firm Square Yards has reported strong financial performance for fiscal year 2024 with 50% revenue growth to INR 1000 crore and achieving EBITDA profitability for the full year. The company also reached operating cash flow breakeven in H2FY24. With a three-year CAGR of 60%, Square Yards is targeting growth to INR 1500 crore revenue for FY2025 while aiming for double-digit margins. Over 88% of revenue came from real estate and financial services, facilitating over 165,000 transactions worth USD 5 billion. Growth was primarily led by an 80% increase in financial services.
The Brihanmumbai Municipal Corporation (BMC) has declared 188 buildings in Mumbai as extremely hazardous and at high risk of collapse. Classified as C1 structures, these buildings were found to be in severe disrepair posing serious safety issues. While the BMC has managed to evacuate 84 buildings so far, residents of 63 buildings have challenged the orders in court. Over the past two years, 493 additional buildings were classified as C1, of which 289 have been demolished. The BMC has ordered the immediate evacuation of all 188 buildings and published the list on their website. BMC is urging residents to evacuate these buildings before the monsoon season arrives.
Amidst a dynamic global market landscape, American investors are increasingly drawn to London's commercial real estate, propelling investment to its swiftest pace in eight years. Despite challenges facing the global commercial property market, London's resilience shines through, outpacing recovery trends observed in the United States. Fuelled by favourable leasing conditions and a robust dollar-to-pound exchange rate, this surge in interest underscores London's enduring appeal. High-profile transactions, like the conversion of the BT Tower into a luxury hotel, exemplify the growing prominence of American investors in the city's real estate scene.
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