Daily Real Estate Newspaper
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In March, Mahim witnessed robust real estate activity with 24 apartments sold across nine buildings, emphasizing its allure among Mumbai homebuyers. Developer-sold units comprised 42% of transactions, while resale deals made up 37.5%, highlighting Mahim's market dynamism. Rising Midtown Bay led sales, followed by Laxmi Niwas Mahim, solidifying Mahim's status as a coveted locale. The range of properties, from INR 19.8 Lakhs to INR 6.06 crores, caters to diverse budgets. Units varied from 185 to 2,909 square feet, meeting varied needs. With prices per square foot ranging from INR 4,400 to INR 43,300, Mahim offers options for all budget brackets, affirming its inclusivity and attractiveness in Mumbai's real estate scene.
? A residential flat spanning 444 square feet sold in Bussa Udyog Bhavan in Sewri for INR 90 lakhs
? A residential flat spanning 465 square feet sold in Ekta Parksville Phase 1 in Virar West for INR 30 lakhs
Stilt parking refers to a type of parking arrangement commonly found in residential and commercial buildings. It involves the creation of one or more elevated platforms, supported by columns or pillars, beneath the residential / commercial floors of the building. Open parking spaces are created in these platforms which can be accessed through a ramp and or a lift. This type of parking is favourable as it protects vehicles from strong sunlight, torrential rains and other natural forces.
Sunteck Realty Limited (SRL), a prominent luxury real estate developer in India, is expanding its annuity income business by leasing its second premium commercial building, Sunteck Icon, located at BKC Junction, to Bennett, Coleman & Co Ltd. This agreement, spanning 29 years, is expected to generate substantial revenue close to Rs 2,000 crore. The company plans to strategically position itself in Mumbai's key business districts, such as the Bandra-Kurla Complex (BKC) and Oshiwara District Centre (ODC), Goregaon (West). With a diversified pipeline of projects exceeding 50 million square feet and a doubling of its Gross Development Value (GDV) to INR 30,000 crores in FY '24, SRL is set for further growth and expansion.
Tata Realty & Infrastructure (TRIL), a wholly owned subsidiary of Tata Sons, aims to increase its commercial real estate portfolio under the brand "Intellion" to 70% of its total portfolio over the next three years from the current 50%. The company seeks to emerge as a major commercial developer across India in the next 3-4 years, leveraging the steady office space absorption expected in major cities. TRIL is diversifying from residential to focus on commercial realty which provides recurring rental income and better insulates from market fluctuations.
Noida Authority struggles as only 14 out of 57 projects sign up for UP government's rehabilitation package, despite much efforts. This package was initiated based on Amitabh Kant-led panel recommendations and it aims to address issues of pending dues and flat registrations. Of the identified projects, builders of 35 agreed to the deal and about 14 submitted 25% of recalculated dues, enabling registration of 4,000 flats. The Authority anticipates more registrations in April as builders consider deposits in the new financial year. The Stamps department has organised camps to expedite registries, registering 500 flats so far.
The state government has opted to keep land-ready reckoner (RR) rates unchanged for 2024-25, maintaining stability in property purchases for the fourth consecutive year. This decision, praised by industry experts, ensures affordability for homebuyers and prevents additional costs that could have arisen from rate increases. The strategy has proven effective, with a notable rise in property registrations in Mumbai city contributing significant revenue to the state. Predictable pricing fosters buyer confidence and investment planning, driving increased activity in the real estate market. This move by the Maharashtra government is anticipated to sustain market momentum, stimulate property sales, and surpass previous revenue collections, benefiting both homebuyers and the real estate sector.
Warburg Pincus and Bain Capital are leading the race to acquire Shriram Housing Finance Ltd (SHFL), valued at INR 6,500 crore. However, bids from both private equity giants reportedly fall below expectations, ranging from INR 5,300-5,500 crore. This sale represents Shriram Finance's strategic move to leverage SHFL's growth in affordable housing. With the housing finance sector witnessing positive trends and SHFL's potential for further expansion, investors are eyeing the company's scalable platform. The final outcome hinges on negotiations that balance price and growth strategy aligned with SHFL's strengths in affordable housing.
Flexible workspace providers like Table Space, Bhive, Indiqube, and EFC are adapting strategies to acquire properties in India instead of leasing, responding to increased demand post-pandemic. Forecasts project Indian flexible office market growth from 55 to 100–140 million square feet by 2030. Table Space recently raised USD 325 million to increase its operational capacity and acquire assets. Similarly, EFC aims to increase operational seats from 32,000 to 92,000 by 2026. However, experts caution that asset acquisition may only be viable for select players due to the high investment requirements. Additionally, specific markets limit real estate acquisition in India's flexible workspace sector.
SWAMIH Fund has invested INR 300 crore in Hubtown's Rising City project in Mumbai, with the goal of speeding up completion and providing assistance to over 550 homebuyers who are awaiting possession. Rising City, located on the Eastern Express Highway, consists of six buildings with over 700 units. Despite initial delays owing to regulatory problems, the project acquired all essential licences by 2023. Hubtown, the sole developer presently, is dedicated to ensuring prompt delivery. The investment demonstrates SWAMIH Funds commitment to revitalising stalled real estate projects, tackling difficulties in the affordable housing sector, and supporting growth in Mumbai's thriving property market.
The Dharavi Redevelopment Project (DRP) in Mumbai, tasked with rehabilitating over 1.2 million residents of Asia's largest slum, has acquired 27.6 acres of the required 45 acres of land from the Railway Land Development Authority. This will enable the construction of modern housing and recreational facilities for railway employees as well as rehabilitation apartments for Dharavi tenants. The complex will include over 820 apartments across four blocks designed by Hafeez Contractor and is expected to be completed within three years. The DRP paid INR 1000 crore for the land and will pay an additional INR 2800 crore over 17 years through revenue sharing.
The Pune Municipal Corporation (PMC) has announced plans to demolish 46 dilapidated wadas due to safety concerns ahead of the rainy season. Despite efforts to categorise the structures and encourage tenants to vacate through tenancy certificates, obstacles such as financial constraints and legal complexities have hindered progress, highlighting the challenges in ensuring public safety while addressing residents' housing security concerns. The initiative underscores the need for a comprehensive approach balancing safety measures, legal compliance, and residents' welfare in addressing hazardous structures within PMC's jurisdiction.
Rexford Industrial Realty has made a substantial acquisition, purchasing industrial properties worth USD 1 billion from Blackstone Real Estate. This deal includes 48 prime industrial properties primarily located in Southern California. The acquisition underscores Rexford's strategic expansion efforts in a competitive market. With a focus on high-demand areas, the company aims to capitalise on opportunities in the industrial sector. The transaction, funded through a combination of senior note offerings and available cash, signals Rexford's commitment to growth and market presence, positioning the company for continued success.
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