OMR + GST Road Real Estate Projects

We had an exclusive survey of the Old Mahabalipuram Road - OMR and GST Road. Survey was conducted between Jan-9th and Jan-16th.

Here is a list of projects forthcoming on GST Road, Chennai.
Developer's Name - Type - Project - Rate / sft - Analysis

• VGN - Plots - Southern County Rs 1,040 - 7 kms from MWC
• VGN - Plots - Nothwood Park Rs 1,000 - 2.5 kms from MWC
• Indus - Residential - Habiterra Rs 3,200 - 11 kms from the airport.
• Arun Excello Foundations - Residential Rs 2,850
• Akshaya Homes - Residential Metropolis - Rs 2,800 Dec-10 Total flats: 420. Royal Villas available at Rs2,950/sq. ft
• Arihant - Residential Villa Viviana - Rates not available - In JV with JP Morgan
• Bala Abirami Builders - Residential Abirami Pine Valley Rs 1,850 - 9 kms ahead of MWC, near the Pepsi factory.
• Bala Abirami Builders - Commercial - The Laurel Rs 5,500 -8 kms ahead of MWC, near the Pepsi factory.
• Hallmark Infrastructure - Residential - Golden County Rs 2,600 Jun-09 Infosys corporate booking
• Landmark Construction - Residential - Centralia Rs 3,500 - Initial discount of Rs250/ sq. ft and 3.5 kms from the airport

Here is a list of projects on Old Mahabalipuram Road, Chennai
Developer's Name - Type - Project - Rate / sft - Analysis

• Vijay Shanthi - Residential - Park Avenue Rs 2,800 - Project to be launched in the next 2 months
• Vijay Shanthi - Residential - Lotus Pond - Rs 2,800 - Project to be launched in the next 2 months
• Olympia - Residential - Opaline - Rs 3,380
  
• L&T - Residential - L&T Eden Park - Rs 3,600
• Mantri - Residential - Mantri Synergy - Rs 3,840
• Purvankara - Residential - Purva Swanlake Rs 3,590
• ETA Star - Residential - Rose Dale -Rs 3,400
• Yuga Homes - Residential - Shem park - Rs 3,500 - 70% complete. 38/60 sold
• Indus - Residential - Anantya Rs 3,900 - Jun-09 192 apartments
  

Acendas Singapore REIT active in India

Ascendas India Trust [a-iTrust] a Singapore-based business trust established with the principal objective of owning real estate and real estate-related assets used as income producing business space located in India. a-iTrust may acquire, own and develop land for use primarily as business space or acquire other uncompleted developments to be used primarily for business space with the objective of holding the properties upon completion.

We have reliably learnt that the company has four-income producing IT parks located in Bangalore, Chennai and Hyderabad with approximately 3.6m sq ft of completed development. The company has commercial space of 1.1m sq ft under construction at Chennai and Hyderabad and proposes to develop additional 1.3m sq ft in Bangalore and Chennai. In addition, the company also has 24 acres of land (of which 23 acres is part of an SEZ) with development potential of 2.7m sq ft.

a-itrust has more than 85% of its properties occupied by IT and ITeS companies in India. Average asset occupancy at the end of Dec-2007 was 99%.

Ahmedabad Ognaj + S. G. Road + Million Minds SEZ

Ahmedabad is emerging as one of the fastest growing commercial hubs in India and stands to benefit significantly from the ongoing industrial boom in Gujarat.

Ahmedabad's leading developer Ganesh Housing has projects in Ognaj Townships, S. G. Road and Million Minds SEZ. Here is the expected rates which the management indicated. All prices in Rs / sft

Ognaj Township
Residential Rs 1,890
Commercial Rs 3,426
Retail Rs 3,979
Hospitality Rs 6,646

Million Minds SEZ S. G. Road IT SEZ
Residential Rs1,995
Commercial Rs 3,737
Hospitality Rs 4,624

These prjects will not be completed before 2012 but Realty developers are cashing on the MAD Indian Real Estate Boom.

DLF MoU with Gayatri Projects

DLF has signed a MoU with Gayatri Projects (GPL), one of the leading infrastructure companies in India, to develop roads and highway projects across the country. DLF and GPL together aim to develop projects worth at least Rs 1,000 crore every year, and in turn build a strong portfolio of projects in a short period of time. Under the terms of the agreement, DLF-GPL would together leverage the strengths of both parties to form SPVs for development of highways.

DLF-Laing O'Rourke (LOR), the joint venture between DLF and LOR would be the contractor for the projects of DLF-GPL. DLF-LOR has already established its presence as one of India's leading contractors with a large order book in a short period of time. GPL at present has projects worth over Rs 3,450 crore under construction in states like Andhra Pradesh, Assam, Uttar Pradesh, Madhya Pradesh, Karnataka, Gujarat, Maharashtra and Orissa. These projects include national and state highways, dams, reservoirs, ash ponds and major canal works.

Bangalore Realty Slump by 25% in 2007

At the beginning of 2007, we had predicted that the year 2007 will be a slow one for Bangalore and its time for some self praise. According to data released by the Revenue Department, property registration was down 40%. [Data was also published in Jan-12th Deccan Herald Newspaper] Major slump in Bangalore, Mysore and Belgaum. Realty developers registration down by 25% in Bangalore.

The Government of Karnataka which projected $1.15 billion revenues from registration of properties is now facing a crunch with the number hovering around $650 million at the end of Dec-2007. Speculators are moving out and only genuine buyers will stay in this market. However, with detoriating infrastructure and no competitive state government in place, the market will remain lackluster over the next quarter.

Ahmedabad Godhavi + Adalaj Township Rates

Godhavi Township is being developed by Ganesh Housing and the project is going on stream in 2009. Here are the rates in the Township [all per sft]

Residential Rs 1,800
Commercial Rs 3,263
Retail Rs 3,789
Hospitality Rs 6,646

Adalaj Township Rates as told by the management of Ganesh Housing.

Residential Rs 1,890
Commercial Rs 3,426
Retail Rs 3,979
Hospitality Rs 6,646

Puravankara Windermere Housing Project Chennai

Puravankara Projects has informed us about the launch of its mega housing project Purva Windermere at Pallikarnai, Lake District in Chennai with an estimated project cost of over Rs 1,200 crore.

The project Purva Windermere is surrounded by three lakes. Spread over 54 acres of land, the project would have 2,072 units of 2 & 3 bedroom flats. Purva Windermere would have the most modern amenities like club house, meditation/yoga squash court, indoor games ball, basket ball post, gymnasium, steam, sauna, Jacuzzi, Swimming pool, etc. It would also have provisions for super market, restaurants, beauty parlours for men and women, outdoor children's play area, well-lit landscape garden etc.

The developers are offering the project with world class finish like, high end bathroom fixtures, premium flooring, UPVC windows and high end emulsion painting to name a few. This unique residential project is close to Vellacheri, a prime location Within the heart of Chennai. The water table of the area is quite good - potable and sweet. It's not surprising if one calls Windermere as the lake district of Chennai.

Mundra SEZ in trouble of losing Tax Incentives

The Mundra special economic zone does not qualify to be classified as a special economic zone (SEZ) as the SEZ Act lays down that the zone has to be built on an area vacant and free from all encumbrances. If the Mundra SEZ is disqualified by the government, it stands to lose all tax sops which come with the SEZ status. The Mundra SEZ is spread over an area of 2,648 hectares and was notified in June 2006.

Mundra Port and Special Economic Zone is principally engaged in providing port services for bulk cargo, container cargo, crude oil cargo and value- added port services, including railway services. It also generates income from land related and infrastructure activities.

Mundra Port and SEZ recently raised over Rs 1,700 crore in the Indian market.