REAL ESTATE

 


area watch: jammu
Changing dynamics on commercial front
The City of Temples is waking up to the mall culture and this has given a fillip to real estate prices and rentals in the commercial segment here
City Square is popular among the youngsters and the elite and rents and shop prices here have seen substantial appreciation in two years.Amit Khajuria
Tier II and III centres all over the country have been major characters in the growth story of the retail sector in India over the past couple of years as almost all major brands have shifted focus to the smaller centres in order to increase their reach. This has manifested itself in the form of swanky malls and multiplexes in Tier II and III cities.
City Square is popular among the youngsters and the elite and rents and shop prices here have seen substantial appreciation in two years.

tax tips
Do we need an NOC from sister?
SC Vasudeva
Q. My father had built a house on an ancestral plot in Haryana after paying their share to his two brothers. He left a duly registered Will in favour of his three sons. Now we want to dispose off the house. Are we supposed to obtain an NOC from one of our sisters who is not ready to cooperate otherwise.

How can my son get a home loan?

Tax liability

Are norms different for NRIs?

How can I get a property mutated in my name?

living with vaastu
Choose home exterior colours carefully
Madan Gupta Spatu
shades of yellow and gold represent power & wisdomJust as face is the index of a person’s mind, the exterior of any building reflects the taste of the home owners. Colours, design, architecture etc. say a lot about the inhabitants. According to Vaastu Shastra colours play a vital role in bringing balance to our minds as well as bodies and to stimulate our energy. And the choice of colours for the exterior walls is as important aqs that for the interiors.
Shades of yellow and gold represent power & wisdom

loan zone
Eligibility criteria for resale property
SC Dhall
Q. I am planning to buy a resale property in Ambala Cantt in a few months. I’ve been told by an acquaintance that it is very hard to get a home loan on a resale property as compared with a new purchase. How does a bank evaluate loan eligibility for such a buy?

Ground Realty
Thinkstockphotos/Getty images Not a pipe dream
look for better specifications (II)
Jagvir Goyal
In the last article, we had discussed the desirable specifications of structural items in a house. This week we will discuss the most sought after specifications of the pipes and conduits running all over the house. Here are a few guidelines about the pipes and conduits.
Thinkstockphotos/Getty images

Right time to buy a home?
Nearly 60 per cent Indians think that the next one month would be a good time to buy real estate with improvement in consumer sentiments following formation of a stable government, according to a survey by global research firm Ipsos.

realty bites
India ranked 3rd in green building trend
The “green” initiatives of building construction industry received a boost as India was ranked third among a list of the top 10 countries in the world by the US Green Building Council (USGBC) for LEED outside of the US.

 





 

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area watch: jammu
Changing dynamics on commercial front
The City of Temples is waking up to the mall culture and this has given a fillip to real estate prices and rentals in the commercial segment here
Amit Khajuria

Newly opened Wave Mall in Jammu is yet to become fully operational but the rents here are very high already
Newly opened Wave Mall in Jammu is yet to become fully operational but the rents here are very high already.

Tier II and III centres all over the country have been major characters in the growth story of the retail sector in India over the past couple of years as almost all major brands have shifted focus to the smaller centres in order to increase their reach. This has manifested itself in the form of swanky malls and multiplexes in Tier II and III cities. However, in several of these cities the “mall culture” is yet to strike strong roots in the commercial landscape and the economic uncertainity has also served as a spoilsport. But Jammu has emerged as a city where the “mall culture” has given an upward push to the commercial realty scene. The rentals as well as the price levels have moved up in these “retail hubs” in the City of Temples even during the slowdown period.

Commercial real estate value in Jammu has always been a major component of the real estate scene as it is not only a major city of J&K, but is also the main transit point for most of the 10 million pilgrims who visit the Mata Vaishno Devi shrine each year. This brings in a huge number of tourists to the city each year, who increase commercial potential of the city making it a profitable option for big brands. This has lead to the mall and multiplex culture here. The younger generation in the city has also given a thumbs up to this. As a result the opening of multiplexes, shopping malls, branded showrooms and cafes have played a vital role in the modernisation of the Jammu city. These places have become the favourite hang outs of the youngsters and the city’s elite. “Whenever youngsters have a plan to go somewhere, the first place that comes in their mind is City Square, Wave Mall, or KC Central, the biggest multiplex in the city with three screens, Pizza Hut and Westside”, says Mukseh Raina, a government employee living in Jammu. This popularity has made the prices of commercial spaces and rentals grow rapidly.

The City Square, which was the only mall in the city till last month, has exclusive showrooms of almost every brand and food giants on the top floor of the building.

“Whenever we feel bored at home, we rush to the City Square, to hang out with friends; we roam inside the mall and get something to eat,” says Sugandhi Goel, a student of Jammu University.

KC Central is the biggest multiplex of the city. It was earlier known as Indra Theatre, one of the most famous single screen theatres in the city.

Residents of the city are now becoming familiar with this trend of branded lifestyle with branded clothes, gadgets and even ‘branded’ cafes, hotels and restaurants.

Many of the top cafes and restaurant chains have opened outlets in the city and are doing good business. “It’s really good to have a quality food and different kind of dishes in these branded restaurants,” said Ayesha Mahajan, PG student of Jammu University.

With the changing choices of shoppers, the prices of the shops have also increased rapidly. A 30x10 sq ft commercial space in prime localities like Purani Mandi, Gandhi Nagar or Raghunath Bazar costs between Rs 75 lakh and Rs 1.5 crore these days. The prices have not appreciated here over the past couple of years due to the apprehension among traders that the direct rail link to Katra will hit business in main markets in Jammu. But as the supply is very limited and costs are relatively high many traders have started shifting to malls.

“Businessmen prefer to own a shop in these new malls these days, which are easily available and have elite customers,” says Subash Mahajan, a property dealer in Jammu.

“But the prices of the shops in the malls are now very high and this has made many investors think twice before parking their money here,” he added.

The recently opened Wave Mall, too, is attracting a lot of people, including tourists, but it is not fully functional as yet.

Sunil Sharma, a local property dealer said, “All the reputed businessmen of Jammu, who want to expand their business are moving towards malls of the city and the rentals and price tags of the shops in malls are growing rapidly.”

The rents have almost doubled within a span of five to six years in spite of a slowdown in the realty sector over the past two years. “Shops were available on rent at the City Square Mall in 2008, when it was opened, for Rs 70 per sq. ft. per month, but now the rent is close to Rs 130 per sq ft.

The newly opened Wave Mall has both options — shops on rent as well as for purchase. Shops in this newly opened mall are available for Rs 170 per sq ft on rent, while the cost of a shop in here for buyers is over Rs 1 crore. “But the shops in this mall are too costly, so very few people have actually bought shops in this mall,”adds Sharma.

Some more small and big malls are also under construction in Jammu. Actually local businessmen and developers are prefering to build a small mall rather than planning a big shop.

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tax tips
Do we need an NOC from sister?
SC Vasudeva

Q. My father had built a house on an ancestral plot in Haryana after paying their share to his two brothers. He left a duly registered Will in favour of his three sons. Now we want to dispose off the house. Are we supposed to obtain an NOC from one of our sisters who is not ready to cooperate otherwise. — Satish

A. The issue of obtaining NOC from one of your sisters would depend upon the fact whether the house has been mutated by the municipal authorities in the name of three brothers. If it has been so mutated on the basis of the registered Will, there should not be a necessity to obtain NOC from one of your sisters. In case it has not been mutated in the municipal records in the name of three brothers, the municipal authorities may require a no objection or affidavits from the legal heirs whom have been excluded from inheritance of the house.

It would be desirable to get the Will probated in the name of three brothers. This will be somewhat time consuming but it will avoid all legal complications likely to arise in future. Once this is done, your sister would not be able to raise any objection at the time of mutation of property in favour of three brothers.

How can my son get a home loan?

Q. I purchased a plot in Ambala city for Rs 48000 in June 1988 and constructed a house on it in 1989 by taking a loan of Rs 1,25,000 and additional loan of Rs 40,000. The house was not complete and I had to spend about Rs 2,00,000 on woodwork and painting etc. in the subsequent four to five years out of my salary savings and borrowings from friends and relatives. Now I intend to sell this house at an estimated price of Rs 60 lakh and build a house in Panchkula for my son who wants to settle there. Since the cost of land at Panchkula will be more than the sale proceeds of my house, additional funds will be required for the construction of the house. I, being a senior citizen and a pensioner will not be eligible to get home loan from a bank. My son, too, will not be entitled to raise loan because the property will have to be purchased in my name to save capital gain tax. Can my son be made a co-owner in the plot to be purchased in my name so that he can raise a home loan for construction? Please also advise in which account the sale proceeds of Ambala house should be deposited in till the time the deal for purchase of plot at Panchkula matures? What will be my tax liability based on the above facts? I don't own any other house. — Harjit

A. The replies to your queries are as under:

  • Your son can become a co-owner of the plot provided he acquires a part of the plot by making a payment of funds for such acquisition from his own sources or in the alternative part of the plot is gifted to your son by executing a gift deed in his favour.
  • The capital gain arising on the sale of Ambala house is required to be deposited by you in a designated account under capital gain deposit scheme account before the date of filing of the return of income. The exemption from the levy of capital gains tax would be allowed on the basis of such deposit.
  • In case you comply with the requirements specified in Section 54 of the Act i.e. deposit the amount of capital gain in the aforesaid designated account and invest such capital gain by making withdrawals from such account, in acquiring a residential house within a period of two years of the date of transfer of your Ambala house property or in constructing a residential house within three years of the date of transfer of your Ambala property, the capital gains tax shall not be leviable on the capital gain arising on the sale of your Ambala house property. However, in case you do not comply with the aforesaid requirements, the capital gain tax would be leviable on the difference between the sale price and the indexed cost of the Ambala house property plus any expenditure incurred wholly and exclusively in connection with such sale @ 20 per cent plus education cess of 3 per cent thereon. The amount of tax liability cannot be computed as the date of completion of the Ambala house property has not been indicated in the query.

Tax liability

Q. I am a government employee and a tax payer. I had purchased a plot in my village for Rs 3,20,000 and paid Rs 25,600 as Stamp Duty and Rs 3,200 as Registration fee in 2009. I spent Rs 20,000 on foundations, Rs 10,000 on earth filling and Rs 5,000 on other miscellaneous works in 2009. I have now sold this plot for Rs 6.7 lakh. Kindly guide me about my tax calculation/liability and the IT form to be used. — RL Sharma

A. On the basis of figures given in the query the indexed cost of the plot would work at Rs 5,70,234 taking into account cost inflation index of 632 for the financial year 2009-10 and cost inflation index for financial year 2013-14 of 939. Long-term capital gain on the said basis would work out at Rs 99,766. Tax thereon @ 20 per cent and education cess of 3 per cent thereon would work out at Rs 20,552. It may be added that in case you have no other income, the above amount being less than Rs  2,00,000 no tax would be payable by you. You will be liable to file your return in ITR 2.

Are norms different for NRIs?

Q. My query relates to a query by Krishan Kumar published sometime back in these columns on the issue of admissibility of adding to capital cost of the flat/house the amount paid as interest to the bank on home loan. Your advice to Krishan Kumar is well taken. But can the situation be different for an NRI, who has never obtained any exemption under Section 24 of the Act? Can an NRI add the amount of interest paid to the bank on home loan to the capital cost of the house? My son is an NRI and is planning to sell his flat shortly. —Krishan Dev Uppal

A. In normal circumstances interest paid for pre-construction period should form a part of the cost of the house property. The deduction in respect of such interest is allowable because of a specific provision in the Act. This principle would be applicable for any assessee whether he is a resident or a non-resident. However, interest paid/payable in respect of amount borrowed for construction of a house after the house is fully constructed and is habitable, is allowable as deduction under the provisions of the Act. In case the same is not claimed or allowed by the department it can’t become a part of the cost of the house.

How can I get a property mutated in my name?

Q. Kindlytell me about the right procedure for getting a residential property duly transferred/ mutated in my name at Chandigarh on the basis of a registered Will which has been registered with Sub Registrar at Chandigarh. — Harmeet Singh

A. Municipal authorities have a procedure for mutating a property on the basis of evidence tendered by a person requesting for such mutation to be made in his/her name. Normally a prescribed form is required to be filled in and certain documents are needed. These may include document to prove ownership; an affidavit that the particulars filled in the form are correct to the best of his/her knowledge, Relinquishment Deed, if any. The requirements differ in respect of each municipal authority. For example, in case of Chandigarh Housing Board following documents are required along with the prescribed form duly filled in:

  • Affidavit from the Claimant
  • Affidavit from the remaining legal heirs for relinquishing their right
  • One photograph of the applicant duly attested by a gazetted officer
  • Three specimen signatures of the applicant duly attested by a gazette officer
  • Death Certificate, in original of the deceased
  • Death Certificate of the mother of the deceased
  • One attested photograph of remaining legal heirs
  • Three specimen signatures of the remaining legal heirs
  • Transfer of allotment
  • Detail of payment
  • Original receipt of processing fee

It will, therefore, be advisable for you to visit the office of the authority concerned and obtain the form and make an enquiry about the documents to be filed along with the form. You may also try to have a look at the website of the authority wherein you may get the complete details of the documents required.

email your queries to realestate@tribunemail.com

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living with vaastu
Choose home exterior colours carefully
Madan Gupta Spatu

Just as face is the index of a person’s mind, the exterior of any building reflects the taste of the home owners. Colours, design, architecture etc. say a lot about the inhabitants.
use of Aqua tone for exterior surface enhances vitality and youthfulness of the inhabitants
Use of Aqua tone for exterior surface enhances vitality and youthfulness of the inhabitants

According to Vaastu Shastra colours play a vital role in bringing balance to our minds as well as bodies and to stimulate our energy. And the choice of colours for the exterior walls is as important aqs that for the interiors. According to Vaastu principles colours in a home, office, factory, shop should be coordinated with the colours of respective planets and elements associated with different directions.

Colour pacifies mind and stimulates energy and have a significant effect on one’s mood, health and happiness. The impact of colours on humans is emotional, intellectual, materialistic, physical and intuitive. The colours used on exterior walls should be vibrant and intuitive.

It is very important to select the right colour combination for exterior walls, sunshades, doors etc.

Five elements of nature, i.e., Air, Fire, Earth, Water and Space are responsible for generating positive and negative energies. ‘Fire’ is associated with red, summer, the south, the heart.

‘Earth’ positioned at the center, stands for yellow, oranges, or brown, mid-autumn, etc. and the liver.

‘Air’ is blue autumn, north and the lungs and gall bladder it gets), winter, the west, and the kidneys.

Space is shapeless, colourless and has North-East direction effects mind and cells.

These can be employed in all areas of our lives – the colours of homes, offices, clothes, food, even our cars as well as in adjusting our personalities and vitality. Its role is both determining good and bad, improving the luck of a site and residence in which we live. Following colours are, therefore, suggested for improving Vaastu of a building.

Yellow: Yellow or gold stands for power. Yellow gives a sense of tolerance, patience, and wisdom gained from past experience.

Green: Green represents tranquility, hope, and freshness. In plants and vegetation, green indicates good and healthy earth energies.

Blue: Blue or indigo symbolises spring, new growth, and hope. However, blue is also a cold, secondary and mourning colour.

Blue/Green: Mint, or aqua tints are more auspicious than indigo as they are more closely aligned with the colours of nature and spring. In general, vitality represents verdant youth.

Gray: Gray is ambiguous. For some gray like a dismal cloudy day represents frustration and hopelessness .To other, it is positive and signifies balance and resolution.

Brown: Brown gives us a heavy feeling, the colour can be used to create a stable, established impression and a sense of the passage of time. It symbolises depth and elegance.

Tan: Tan represents a new, successful beginning. Out of seeming hopelessness, a new possibility arises.

Orange: Orange, as a mixture of red and yellow and yellow, is auspicious and is imbued with the characteristics of happiness and power.

Pink: Pink represents love and pure feelings, joy, happiness, and romance.

Peach: It is the colour representing attraction and love.

Purple: Purple, deep red, or plum is an auspicious colour. It is said to inspire respect.

Exterior colour scheme need not be limited to outside walls and windows. The colour of window boxes is another element of a buildings facade. The best window box colour is one that has a creative relationship with casement colour. The colour of the box should always be different from that of the window casement.

The colour scheme for exterior walls should conform to the Sun or Moon sign (constellation/zodiac sign) of the owner to bring good luck and happiness.

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loan zone
Eligibility criteria for resale property
SC Dhall

Q. I am planning to buy a resale property in Ambala Cantt in a few months. I’ve been told by an acquaintance that it is very hard to get a home loan on a resale property as compared with a new purchase. How does a bank evaluate loan eligibility for such a buy? — Anuradha Sharma

A. You can get a home loan to buy a resale property and the age and valuation of the building will have a bearing on loan eligibility. Certain banks have restrictions based on the age of the property when the loan matures. Most banks give a maximum of 80 per cent of the property value as home loan. Also, banks get the property valued independently and the loan amount is based on this value. Often, the valuation as determined by the bank is significantly lower than the actual cost and, so, your effective down payment goes up.

Q. The housing project in which I wish to buy an apartment is pre-approved by a bank. If I wish to take a loan from a different bank, what documents do I have to submit? — Rajnish Khanna

A. A pre-approved project means that the bank has examined the legal documents for the property and has found it in order. The process for applying a home loan remains the same except that it is processed faster for a pre-approved project. Also, a project pre-approved by a couple of banks does ensure a certain standard of quality. You will have to submit documents relating to ownership and approvals for a project that is not pre-approved.

Q. I have availed a home loan of Rs 32 lakh and personal loan of Rs 5 lakh. Would it be possible to top up my home loan to pay up my personal loan? — Arun Sarin

A. A top-up loan is likely to have a lower interest rate compared with a personal loan. So, it would make sense to pre-pay a personal loan with a top-up loan. Ask your home loan lender to sanction a top-up loan with the house as security. Of course, you will be eligible for a top up only if you have a stable repayment record and your income is sufficient to service both the home loan and the top up. Moreover, the value of the property should also be sufficient to cover both.

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Ground Realty
Not a pipe dream
look for better specifications (II)
Jagvir Goyal

In the last article, we had discussed the desirable specifications of structural items in a house. This week we will discuss the most sought after specifications of the pipes and conduits running all over the house. Here are a few guidelines about the pipes and conduits:

Water supply pipes: Water supply pipes run through many walls of the house as water supply is taken from the main source to the water storage tank at the top and then is distributed to different toilets, kitchen, front and back courtyards and terrace etc of the house. In majority of houses, these pipes are either of galvanized iron (GI) or PVC. In metros, stainless steel (SS) and copper pipes are being used at many places but there use is restricted due to the high cost and a few other factors like the lack of expertise in installation and post installation service. These days, five-layer composite pipes are also being used more frequently as these pipes require a minimum number of joints.

Better specifications: Each type of pipe has its plus and minus points. However, GI pipes are time tested and nothing happens to them for 25 to 30 years if the quality is good. These pipes are produced in three classes-A, B and C. Among these, C class pipes are the heaviest and the best but are also the costliest. B class pipes are of medium weight while the A class pipes are lighter. One should choose B class GI pipes of reputed companies. UPVC pipes are fast replacing GI pipes in homes as these are aggressively marketed under the plea that GI pipes get corroded with time. UPVC pipes remain prone to holes and breakage. Their performance is sometimes not satisfactory while supplying hot water. These get damaged when subjected to UV rays or direct sunlight. Organic impurities, if present in water, also damage them. After weighing plus and minus points of each type of pipes, GI pipes score over UPVC pipes.

Water supply pipe specials: All the pipe connecting materials are known as specials. These include tees, elbows, nipples, plugs, bends, unions, couplings and so on. Choice of water supply pipe specials is linked to the type of pipe selected by you. Obviously, GI pipes will require GI specials, UPVC pipe will require UPVC and copper specials while other types of pipes will require corresponding specials of same material. Always look for a reputed brand of Specials. It may not necessarily be the same brand or make as that of pipe. For example, in case of GI pipe, while Tata and Jindal are the two ruling GI pipe suppliers, the best brands for Specials are not Tata or Jindal.

Sanitary pipes: In case of sanitary pipes also, the choice rests between cast iron (CI) pipes and poly vinyl chloride (PVC) SWR pipes. Here the tilt is in favor of PVC pipes. These can be used for soil, water and rainwater disposal. Cast iron pipes are prone to cracks and pin holes and their jointing is often done in an unsatisfactory manner. Lead has to be poured in the CI pipe joints and the process is called lead caulking. Most of times it happens that the plumbers try to save the lead and thus the quality of the joints is not maintained. It is difficult to handle CI pipes due to their heavy weight. PVC pipes are lightweight and easy to handle. When used as sanitary pipes, there are no issues of running hot water through the pipes nor are there any odour problems. 100 mm diameter pipes should be preferred for soil and waste pipes while vent pipes can be of any diameter ranging between 2 inch and 4 inch. In most cases, 4 inch pipes are extended as vent pipes instead of using a reducer and extending lesser diameter pipes as vents.

Rainwater pipes: Rainwater pipes may be made of cast iron (CI) or AC (Asbestos Cement) or PVC. AC pipes crack easily. Many countries have banned their use due to the presence of asbestos in them. In India, these are used as rainwater pipes as these are cheaper. A rainwater pipe continues to serve its purpose even if it has hairline cracks or weep holes in it provided it is not blocked by dirt. That's why AC pipes are still getting used at some places. Of the three materials, better specification would be to use PVC pipes as rainwater pipes as these have many advantages over CI pipes and AC pipes.

Electrical conduits: The choice rests between MS (Mild Steel) conduits and PVC conduits. MS conduits, once so much in use, have given way to PVC conduits now. While choosing PVC conduits, one should look for heavy-duty conduits with a thickness of 2 mm. Lower thickness of 1.6 mm or lesser should be avoided. Further, one should use only ISI marked conduits. The conduits carry some markings on them like ISI mark, diameter, name of manufacturer etc. An easy identification of quality of conduits can be made from the colour markings on them. Heavy duty conduits carry green colour markings while medium duty pipes have blue markings. Light duty conduits have red colour markings.

Wire insulation: Heat and fire resistant wires carry a mark HRFR. The wires show the highest temperature that the insulation can withstand without melting. Also look for chloride-free wires. The wires are supplied in coils of 90 meter length and rates are quoted on per coil basis. Commonly used sizes of wires are 1 sq.mm, 1.5 sq.mm, 2 sq. mm, 2.5 sq. mm and 4 sq.mm. Choose 4 to 6 sq. mm wire for AC points, 1.5 sq. mm wire for light points and 5 ampere three pin sockets and 2.5 sq. mm wires for power sockets. Choose red, yellow and blue colour insulation for the three phases, Black colour for neutral and green colour for Earth wire. 

Electrical wire specifications

For electricity wires, the choice of specifications is between copper or aluminum wires. One should prefer copper wires only. Further, the wires should have multiple strands. Wires should, therefore, be specified to be ISI 694 (Part I) marked only and not IS 694 (Part II) marked. Copper wires are costlier than aluminum wires but here, safety should be the prime concern. Further, copper wires should be specified to have electrolytic grade 99.97 per cent pure copper to ensure safety from short circuit and electric firing. Copper has better tensile strength, highest conductivity, low resistance and high thermal conductivity than aluminum. Also, it has higher melting point and more flexibility than aluminum and thus can withstand heavier overloads. IS 694 Part I mark is for copper wires while IS 694 Part II mark is for aluminum wires. 

Sanitary pipe specials

Like water supply items, the sanitary pipe specials too need to be of the same material as that of pipes. So CI Specials are used for CI pipe jointing and PVC SWR Specials are used for PVC pipes. These include bends, tees, elbows, cowls, collars and many more. In case of CI pipes, lead jointing is done while in case of PVC pipes, two types of joints are provided. Either rubber sealing ring is used in the joints or solvent cement is used to permanently seal the joints. Pipe ends are of different types for ring-type joints and solvent cement joints. Solvent cement joints are preferred as the joints become unbreakable and leak proof. Unlike water supply pipes, in sanitary pipes, brand of specials should be the same as that of pipes.

This column is published fortnightly

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Right time to buy a home?

Nearly 60 per cent Indians think that the next one month would be a good time to buy real estate with improvement in consumer sentiments following formation of a stable government, according to a survey by global research firm Ipsos.

“Almost six in 10 (57 per cent) Indians think the next 30 days will be a good time to buy real estate, such as a house, vacation property or investment property,” Ipsos said in a statement.

Founded in France in 1975, Ipsos is an independent market research company controlled and managed by research professionals.

“With the formation of a new stable government at the Centre, the consumer sentiment which was low in the past two years has improved significantly. The stock market has already reacted in a positive manner reflecting this change, the real estate prices are expected to go northwards by the end of the year,” said Bhasker Canagaradjou, Associate Director, Ipsos Business Consulting.

The realtors reeling under large scale of debt are offering discounts to reduce their inventory levels taking advantage of the new found optimism in the market.

The residential real estate market may see an uptick in the demand and increase in the number of transactions in the near future, he added.

“The new government will pave way for realty reforms and take concrete steps to implement its promise given in the BJP manifesto to ensure housing for all in eight years,” Confederation of Real Estate Developers' Associations of India (CREDAI) Lalit Kumar Jain said.

The merger of Housing and Urban Development Department will ensure coordination and proper control, he said.

Global investors are now markedly optimistic about the economy, which is expected to witness more than 100 per cent increase in foreign investment inflows, both through FDIs and FIIs, to above Rs 60 billion in the current financial year, as compared to $29 billion during FY14, Jones Lang LaSalle’s Santhosh Kumar said.

He further said the urban development ministry is expected to repeal the existing restrictions on real estate firms by allowing foreign investment up to 49 per cent, free of all conditions.

“This will help the real estate sector to raise foreign capital at competitive rates and reduce stakeholder dependency on the beleaguered local financial institutions. Foreign capital for urban renewal and slum redevelopment projects is also expected to see major relaxations,” Jain added.

“If the government takes the necessary steps, growth in GDP and employment will be three-fold and the housing sector will further drive the growth of the country. It is imperative to go for single window system of approvals, correct the RBI’s perception of housing sector and a balanced land policy that will help the farmers as well as developers,” he added. — PTI 

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realty bites
India ranked 3rd in green building trend

The “green” initiatives of building construction industry received a boost as India was ranked third among a list of the top 10 countries in the world by the US Green Building Council (USGBC) for LEED outside of the US.

Canada topped the green rankings, followed by China and India. The Leadership in Energy and Environmental Design (LEED) certification, an internationally recognised standard for measuring a building’s carbon footprint, is now an accepted and acknowledged practice in India. By definition, a green building uses less water, optimises on energy efficiency, conserves natural resources, generates less waste and provides healthier spaces for its occupants, in comparison to a conventional building.

The green building concept has been gaining prominence in India with an increasing number of initiatives, primarilyby the Indian Green Building Council (IGBC) — a division of the Confederation of Indian Industry (CII). IGBC is targeting 20 billion sq. ft. of green buildings in India by 2025. Till date the organisation has contributed to Rs 2.07 billion sq. ft. of green building footprint in India, with nearly 500 rated green buildings under it and more than 2,500 registered buildings.

Currently there are 200-plus LEED rated green buildings in India, about 40 IGBC green factory buildings, and almost 250 IGBC rated green homes. As far as IGBC rated green SEZ projects are concerned, at the moment India just has one—the International Technology Park—at Behrampur village in Gurgaon.

“There is a paramount need for more stringent government measures to inculcate the use of green technology to corporate houses. Though rating systems have gained momentum, the adaption of green technology on a wide scale has to involve adequate political as well as public support”, said Anshuman Magazine, CMD, CBRE South Asia Pvt Ltd. — TNS

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Project watch

Sample apartment showcased

Brys Group recently unveiled the show apartment of its landmark project ‘Brys Buzz’ in Sector 150, Noida. According to the company spokesperson this will be North India’s tallest residential tower which is being constructed by UAE-based Arabian Construction Company. The 81-storey rower will be 292 metres high. The interior designing will be done by Tonino Lamborghini CASA of Italy.

Spread over an area of 7.5 acres, the iconic tower will comprise 2 BHK + Study, 3 BHK Gold, 3 BHK Platinum, 3 BHK Villa, 3 BHK Duplex Platinum, 4 BHK, 4BHK Duplex, 5 BHK Duplex, 6 BHK and 6 BHK Duplex. The size of the apartments ranges from 3000 sq. ft. to 8250 sq. ft and the price of apartments starts from Rs 12,500 per sq feet. The project boasts of unmatched design elements that ensure maximum utilisation of area. It has been designed to provide maximum flexibility for internal space planning. Customers can get desired customised homes with their choice of preferred facilities. Some of the features include; home automation, integrated entertainment system, high end finishes, huge balcony space and temperature control.

Speaking on the occasion Rahul Gaur, CMD, Brys Group, said, “It is our flagship project and we have made all efforts to raise the benchmark of luxury housing in this part of the world. Laced with world’s best ultramodern facilities this premium luxury housing project is amalgamation of world’s best names in the field of architecture, design and engineering”.

Payment plan

Sushma Buildtech Ltd. has introduced a scheme wherein the customers can take interim possession of their dream home by paying just 80 per cent of the total amount. Alternatively, in case the customers do not wish to take the keys before possession, they can choose to pay 60 per cent of the total cost on offer of possession.

“This offering has been offered keeping in mind that it usually takes customers 2-3 months after the possession to complete their interiors. This will enable them to close this time gap to zero. Customers can use this time to do the interior fit-outs of their homes before the actual possession, enabling them to save time and money”, said Prateek Mittal, Executive Director of the group. The offer is valid for Sushma Green Vista (2BHK) and SUSHMA Elite Cross (3BHK). The construction is 90 per cent complete and the possession is scheduled within 2014.

Possession handed over

Omaxe Ltd. has handed over possession of approximately 628 units in its affordable project Omaxe Palm Greens in Greater Noida recently. Spread across 14 towers, these units range from 970-1790 sq. ft. in offerings of 2 & 3BHK. Spread across 23 acres, the residential complex has various options; from high-rise and low-rise apartments to expandable villas (Palm Villas), commercial shops (Palm Court). Wide roads, sufficiently large open and green space, parks, kids’ play area are some of the features that make for a compelling reason to stay at Palm Greens.

Remaining 273 units in the 8 towers of the apartment complex will be handed over for possession soon. The limited expandable villas and shops, too, will be handed over soon.

Based on inputs provided by the developers

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