1122. high end properties in noida & greater noida – a comparative study [supertech] (1)

PROJECT REPORT

ON

High End Properties in Noida & Greater Noida –

A Comparative StudyCOMPLETED in “Supertech”

BByy

VIKAS YADAVVIKAS YADAVID NO. D1012 FW ISBE-A10252-(NOI-IA-NA-3028)ID NO. D1012 FW ISBE-A10252-(NOI-IA-NA-3028)

INDIAN INSTITUTE OF PLANNINGINDIAN INSTITUTE OF PLANNING

ANDAND

MANAGEMENTMANAGEMENT

ACKNOWLEDGEMENT

I extend my deep gratitude to whose momentous

guidance laid the very foundation of this project study.

I am also grateful to the staff member and all the employees of the

company, for helping me access information from the personnel

department of this organization. I also thank the executives of the

company for their contribution and participation.

Finally, I also offer my special thanks to my family members, friend’s

colleagues who have supported me throughout and helped me to complete

this project work.

(VIKAS YADAV)

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PREFACE

The success of any business entity solely depends on how effectively does it

utilizes its optimum resources and how soon does it make arrangements for the

removal of the customer’s grievances. Moreover, the company should always be

ready to make necessary changes according to the requirement in order to

attract more customers so as to maintain a substantial growth in the market. The

topic given to me was:

“High End Properties in Noida & Greater Noida – A Comparative Study”

I have tried to put my best efforts to complete this task on the basis of skill that I

have achieved during my studies in the institute.

I have tried to put my maximum effort to get the accurate statistical data. If there

is any error or any mistake in collecting the data, please ignore it.

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TABLE OF CONTENTS

Chapter No. Subject

Ch. # 1.0 Executive Summary……………

Ch. # 2.0 Research Methodology…………

1.1 Primary Objective(s)……

1.2 Hypothesis………………

1.3 Research Design…………

1.4 Sample Design…………

1.5 Scope of the Study………

1.6 Limitations………………

Ch. # 3.0 Critical Review of Literature…

Ch. # 4.0 Company Profile ………………

4.1 Industry Profile…………

4.2 SWOT Analysis…………

Ch. # 5.0 Data……………………………

5.1 Collection………………

5.2 Primary Data……………

5.3 Secondary Data….………

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Ch. # 6.0 Findings & Analysis……………

Ch. # 7.0 Recommendations……………

Ch. # 8.0 References……………………

Ch. # 9.0 Annexure………………………

Ch. # 10.0 Case Study ……………………

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Chapter 1.0 Executive Summary

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Chapter 1.0 – Executive Summary

This research work is related to comparative analysis of the available

High End Properties (1) in Noida and Greater Noida and the customer’s

perception about investing in these High End properties.

This research has Two Key Objectives:

A) To locate the availability of the High End Properties in the

proximity of Noida and Greater Noida. It also covers the details

about the project- specific offerings of each real estate developer

specifying the below mentioned details.

1) location of the project

2) basic price offered

3) amenities offered

4) the various kinds of properties available

5) the super area(2) and the loading rate (3)

6) the current status of the project

7) the current occupancy status

8) the secondary market prices(4)

B) To find out the perception of the consumer when it goes out in the

real estate market to purchase/invest in Real Estate and what are the

critical issues/points which the consumers look into before investing.

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The major findings were that the High End residential properties gaining

as an attractive mode of investment of upper and upper-middle class

consumer leading to increasing demand. With the gradual increase in the

spending capability of the consumer due to the double digit growth in

India’s GDP and shifting of Major IT companies, domestic companies,

export houses and offices of MNC’s on the Noida express way popularly

known as TAJ expressway and Greater Noida; Growth has been

witnessed in the demand of High End Properties by the upper class for

investment along with other residential projects targeting the upper-

middle class for residential use.

Also despite of lakhs of rupees being spent by the Developers on the

increasing the brand consciousness, there are other factors also which the

consumers look into before investing.

During the course of the research work, I was provided with the

opportunity to interact with the developers and also with the people who

gave me their valuable responses in the questionnaire provided. The

experience gathered during this research, gave me the basic

understanding of the working methodology of the high end real estate

market in Subway Noida (5) Greater Noida and also it helped me to

understand various consumer perceptions about the real estate

investment. It gave me an insight of the physic of a customer that what all

important factors are to be considered when investing in real estate.

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(1) High-End properties: - The high end properties are those properties that cater to

the needs of specific upper middle and upper class. It includes luxury and ultra luxury

apartments, penthouses and independent villas offered with world class utilities.

(2) Super area: - Super area includes all the spaces in the building i.e. Carpet area,

common areas (staircase, landings, lobby, entrance, fire escape etc.) and wall

thickness. Depending upon the structure of the building, Super area varies.

(3) Loading Rate: it’s the area of the building utilized in the basic construction of the

structure like the pillars and the wall thickness etc.

(4) Secondary Market Prices: They are the prices at which the first buyer sells the

same property to another buyer.

(5) Subway Noida: It is the region that is located alongside the Noida Greater Noida

Expressway

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Chapter 2.0

Research Methodology

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Chapter 2.0 - Research Methodology

2.1 Objectives

Primary objective is to find out consumer perception about investing in

real estate in Noida and greater Noida with respect to Supertech.

1. To study in detail, the projects offered by Supertech Limited which are

under various stages of execution in Noida and Greater Noida.

2. Study of The Competitors with respect to-

(a) Project details.

(b) Pricing strategy.

(c) Present and future developments plans/special features in the

project.

3. To find the customers/investors perception about investing in real

estate in Noida and Greater Noida. The research was intended to find out

the possible traits of the following:

(a) Interest in investing in real estate.

(b) Reasons for investing in real estate. (Short term, Long term, End use

and Recurring returns)

(c) Risk factors involved in real estate and return on investment.

(d) Project they like to invest their funds. (Commercial properties, Plots,

Group housing, High end properties, residential low end properties).

(e) Which asset class they find the most secure (Real Estate, Equities,

Debt or Commodities).

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(f) Lack of Facility in previous or current residence.

2.2 Hypothesis

Hypothesis is usually considered to be a principal instrument in research.

Its main function is to suggest the new experiments and observations.

Hypothesis is simply an assumption that has to be proved or declined. It

is a formal question that a researcher tries to resolve.

The hypotheses formed in the research were:

(Ho) 1 Consumers are interested in real estate investment.

(H1) 1 Consumers are not interested in real estate investment,

(Ho) 2 Consumers are interested in investment beyond 1 crores.

(H1) 2 Consumers are not interested in investment beyond 1 crores

(Ho) 3 People prefer to invest in Supertech.

(H1) 3 People do not prefer to invest in Supertech.

2.3 Research Design

The research is Exploratory in nature. The overall research design was

flexible in nature. Non probability measures of sampling were used in the

design. The samples were selected by judgemental and snowball

sampling measures through references from the previous respondents.

There is no preplanned statistical design for the analysis. Unstructured

instruments were used for the collection of data. Primary data was

collected through direct meetings with the marketing offices of the

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various developers and also through visiting various real estate

exhibitions held in different parts of the city. No fixed decisions about the

operational design were taken. Moreover responses were taken from

actual or potential buyers in the form of questionnaires.

The study was a comparative analysis of the High end Properties in Noida

and Greater Noida and also to study the consumer preferences which they

have before investing in real estate.

The research study was carried out in order to make a comparison chart

of all the offerings of major real estate developers in the vicinity.

2.4 Sample Design

Sample size

The sample size for the above study was a total of 100 people from NCR.

The respondents were selected using non probability procedures. Non

probability sampling is arbitrary and subjective when we chose

subjectively. The Non Probability measures selected for collecting

primary data were:

Judgemental Sampling

Snowball Sampling

The target respondents were HNI’s (6) upper segment of middle class high

level of middle class and high level executive workforce of corporations.

Approximately 100 questionnaires were filled and filled with responses

and out of these 85 % people showed interest in real estate investment.

(6) HNI’s:- High Network Individuals.

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2.5 Scope of the study

The research study gives out a clear picture of the available high end

properties available in Noida and subway Noida.

The data provided in the research study provides a clear cut view to the

company about the availability and occupancy with several developers in

the vicinity and the prices offered by them.

The data collected in the research study was used by the company to draft

proposals and sent it to various commercial and corporate buyers.

2.6 Limitations

The primary data was collected through the verbal communication with the marketing offices and then recorded.

There was a time gap between collection and recording of data.

Not all people have interest in real estate investment and still have filled in responses.

Real estate investment is a far more sophisticated process. Preferences vary from person to person, and requirements of every person vary on the basis of their family structure, income structure, age, availability of other investing options.

Older and middle aged people who have retired or have super annuated income do not show interest in such real estate investment.

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Chapter 3.0

Critical review of

literature

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Chapter 3.0 Critical review of literature

Buy your ‘Dream Home’ Now!

According to experts study, investors willing to buy residential properties

should not wait. It is healthier to invest in the current market scenario.

Just because the inflation rate is soaring at fairly high levels and is

expected to remain at the same level in the short to medium term. The

rise in input costs of properties will continue and the developers will be

forced to increase the prices in future.

The home loans also catch the attention of income tax incentives for the

borrowers. This means that it is good to invest in property early. Investors

should factor in some variables while going for a home loan. As home

loan is a long-standing commitment between the borrower and the lender,

it requires appropriate financial planning. Normally, home loan tenure is

15 to 20 years.

A few factors to consider while availing a home loan:

1) Scheme:

The borrower needs to decide whether to go for a fixed or floating

interest rate of the home loan. The current interest rate offered by

institutions is between 12-12.5%. The Borrowers with income

stability can go for the floating rate option and the risk-averse

investors should decide on fixed interest rate loans.

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2) Plan finances:

The investors should factor in some interest rates hikes while

calculating their respective equated monthly installment (EMI) outgo.

The banks usually absorb minute interest rate increases by escalating

the tenure of the loans. But in case of sharp rise in interest rates the

investors can look for partial pre-payment and partial increase in the

EMI outgo.

As a rule of thumb, the EMI should not be more than 40% of the

borrower's take-home salary or income. Since a home loan’s EMI

is a long-standing issue, the investors need to plan other family

expenses like their children’s education; marriages in the family etc

and they have to adjust their outflow hence.

3) EMI:

Repayment of home loans is through EMIs. They are the fixed

installments a borrower needs to shell out over the term of the loan

to settle up the debt as well as the interest in relation to it.

The EMIs usually remain constant over the term of the loan.

EMI = Loan Amount + Interest for the tenure of the Loan

Tenure of the loan (in months)

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The amount of Installment to be paid depends on the loan and also varies

with the amount of the loan, the tenure of loan, the rate of interest, and

type of calculation of interest.

In today’s scenario the loan tenure is about 20 -25 years.

3) DETERMINING TENURE:

Some factors that help in to make a decision the tenure of the loan are:

a) Age of borrower:

If the investor decides to borrow early at an early age, he can go in for a

longer term loan - like 15 to 20 years. In this way, the monthly EMI

payments would become less though the amount of interest paid would be

more as compared to other alternatives, one can have the benefit of

availing the loan for an extended period of time.

b) Income of borrower:

This will include the present income and also the expected future income

of the borrower. The borrower must be able to repay his EMIs without

compromising major on his quality of his living. This calls in for a

judicious planning of cash flows.

c) Tax benefits:

A borrower must try to gain the maximum tax benefits offered under the

Income Tax Act. At present, the interest amount paid up to Rs 1.5 lakhs

per annum paid for housing loans is deductible from the total taxable

income of the individual.

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4) TENURE AND INTEREST RATE:

The greater the term of loan higher will be the interest rate. This fact is

justified because the bank takes in higher risk in the contract while the

EMI is lesser because the loan and interest are spread over time.

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The shorter the term, the lesser will be the interest rate because the risk

taken by the financial institution is reduced. The interest amount in

shorter term is lower because of the smaller tenure of the housing loan.

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Chapter 4.0Company Profile

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Chapter 4.1 Industry Profile:

The Indian real estate sector has witnessed a revolution in the previous

decade motivated by the flourishing economy, complimentary

demographics and liberalized foreign direct investment (FDI) rules of the

government of India. Growing at a steaming, 35 per cent the real estate

sector is likely to be worth US$ 15 billion and projected to grow at the

rate of 30 per cent yearly over the next decade, drawing FDI’s worth US$

30 billion, with a number of residential townships and IT parks being

constructed all over India.

Real estate is the second largest employing sector in India (including

construction and facilities management), and it is associated with around

250 odd ancillary industries like cement, steel, wood etc. through

backward and forward linkages. Therefore, a unit raise in the expenses in

the real estate sector has a multiplier effect and the capacity to multiply

income as soaring as 5 times.

All-round Development

Rising income levels of a growing middle class and also with the increase

in number of nuclear families in metro-cities, low interest rates offered by

various institutions, modern attitudes towards home ownership and a shift

of outlook amongst the young urbanites from that of 'save and buy' to

'buy and repay' in the form of equated monthly installments has all

combined to make better the housing demand.

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According to 'Housing Skyline of India 2007-08', a study by research

firm, Indicus Analytics, there will be demand for over 24.3 million newly

developed units for self-living in urban India alone by 2015. Thus, this

segment is expected to offer vast investment opportunities. It is expected

that an US$ 25 billion investment will be required over the coming five

years in urban housing, as per Merrill Lynch.

At the same time, the speedy growth of the Indian economy has a

cascading effect on the demand for commercial as well as residential

property to help in meeting the needs of households and business, such as

retail shopping centres, warehouses, hotels, modern offices and also for

basic and high end residential projects.

Global Majors

With the considerable investment opportunities up-and-coming in this

industry, a large number of international real estate players have entered

India. Currently, foreign direct investment (FDI) inflows into the sector

are estimated to be between US$ 5 billion and US$ 5.50 billion.

Investment in the Indian realty market is set to elevate to US$ 20 billion

by 2010 with a boost from Real Estate Mutual Funds and Real Estate

Investment Trust. The sector, which is growing at an annual rate of 30%,

is currently worth US$ 12 billion, according to a study by Deloitte.

Russian multinational Sistema plans to develop hotel, offices and

residential complexes in main cities with an early investment of

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US$ 100-200 million, eyeing huge potential in India's construction

and realty market ahead of the 2010 Commonwealth Games.

Dawnay Day International, a London-headquartered group with

gross assets to the tune of US$ 4 billion, is setting up a chain of

four-star hotels in India, starting with a property in Jaipur that is

expected to open by November.

India Land Ventures (ILVL), a part of the Madrid-headquartered

Americorp Group, will invest US$ 585.48 million in eight

infrastructure projects crossways in India over the next two years.

Jones Lang LaSalle (JLL), the world's top integrated global real

estate services and money management firm, plans to invest around

US$ 1 billion in India's rapidly increasing property market.

Deutsche Bank aims to invest more than US$ 1 billion over three

years in Indian construction and real estate projects.

Merrill Lynch & Company purchased 49 per cent equity in seven

mid-income housing projects of India's biggest real estate

developer DLF in Chennai, Bangalore, Kochi and Indore for US$

375.98 million.

Landmark is set to invest US$ 993.38 million in 12 projects

throughout the northern region in the next few years.

Several Dubai-based companies have invested billions of dollars in

many real estate and infrastructure projects in India and are keen to

boost it further in India.

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Global real estate major players such as Dubai World, Smart City of

Dubai, Trump Organisation of United States, Kishimoto Gordon Dalaya,,

Bonyan Holding, Khuyool Investments Plus Properties, ABG Group and

Al Fara's Properties amongst others have all firmed up their plans for the

Indian real estate market with an investment of around US$ 20-25 billion

in the coming 18 months.

Realty Funds

The thunder in the real estate sector has attracted a large number of realty

funds to tap into this area. Foreign investors have raised nearly US$ 30

billion since March 2005 for investing in Indian real estate as per

Cushman & Wakefield.

Famous global companies like Carlyle, Morgan Stanley, Blackstone,

Trikona, HSBC Financial Services, Warbus Pincus, Americorp Ventures,

Barclays and Citigroup among others have all already checked into the

Indian realty market.

Real estate has been involved in India emerging as the top destination in

Asia leaving Japan aside in attracting private equity investments early this

year. Real estate accounted for 26 per cent of total value of private equity

investments, with 32 deals priced at US$ 2.6 billion. According to

industry estimates, another US$ 10-20 billion would pour into real estate

sector in the next few years.

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Going Global

Side by side many Indian realtors are making a name in the international

market through large investments in foreign markets.

Prudential Real Estate Investors have acquired Round Hill Capital

Partners Kabushiki Kaisha, a Japanese asset management firm.

Embassy Group have done a deal with the Serbian government to

put up a US$ 600 million IT park in Serbia.

Parsvnath Developers have tied up with the Al-Hasan Group in

Oman.

Puravankara Group is doing a project in Sri Lanka - a high-end

residential complex, comprising 100 villas.

The Hiranandanis are constructing 5000 5-star hotel rooms, which

will come up between Abu Dhabi and Dubai.

Ansals API have tied up with Malaysia's UEM Group to form a

joint venture company, Ansal API-UEM Contracts Pvt Ltd and are

biding for government projects in Malaysia.

Kolkata's South City Projects is working on two projects in Dubai.

Government Initiatives

The Government has initiated numerous progressive transformational

measures to let loose the potential of the sector and also meet increasing

demand levels.

100 % FDI permitted in realty projects through the automatic route.

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In case of integrated townships, the minimum area to be developed

has been brought down from 100 acres to 25 acres..

Urban Land (Ceiling and Regulation) Act, 1976 (ULCRA)

repealed by increasingly larger number of states in India.

Passing of Special Economic Zones Act by Government of India.

Least amount of capital investment for wholly-owned subsidiaries

and joint ventures stands at US$ 10 million and US$ 5 million.

100% repatriation of original investment allowed after three years.

51 % FDI permitted in single brand retail outlets and 100 per cent

in cash and carry via the automatic route.

Road Ahead

Amid the economy rolling ahead, the demand for all segments of the real

estate sector is likely to grow. The Indian real estate industry is expected

to grow from US$ 12 billion in 2005 to US$ 90 billion in by 2015.

Given the boom in residential housing, organised retail, IT, ITeS, and

hospitality industries, real estate industry is likely to see increased

investment activity. Foreign direct investment might see a six-fold jump

to US$ 30 billion alone over the next 10 years.

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Company Profile:

The Supertech Group is one of the leading real estate developers in

Northern India. Since its setting up 15 years ago, the Supertech Group has

attained rapid growth by cashing in on the real estate boom in the

country. Over the years, the group has achieved more than 75,00,000 sq.

ft. of finest quality construction.

Supertech limited established in 1988, as a construction company.

The head office of the company is in Vaishali and project office is at

Supertech Emerald Court. From its very inception the company has been

into engineering Building and Promoting. Currently they have 36 projects

under various stages of completion and execution with total of 573270.32

sq meters of developed area and built up area of 115839950 sq feet. They

have 8345 dwelling units with a overall project cost of Rs. 27.61 billion.

Supertech limited is working to make new benchmark of architectural

excellence in the today’s global environment. In today’s world there is a

demand for multi faceted real estate developments in order to keep track

with the market and consumer demand.

The main strong point of Supertech’s business philosophy is its state of

art engineering and best quality materials used in construction. This helps

in giving cheaper and superior quality solutions for residential and

commercial complexes. Supertech is persistently working for giving

value to the customers and other business associates.

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Supertech has been awarded the “Udyog Ratan Award” for the year 2001

and also ISO 9001:2000 quality certification.

Supertech has started a number of prominent residential complexes which

are a convergence of luxury, elegance and convenience. The ongoing

project “Supertech Emerald Court” located at Taj Expressway Noida,

offers ultra-modern 3 and 4 bedroom apartments and penthouses with

international class specifications. Supertech Icon and Supertech Avant

Garde are two other prime housing projects developed by Supertech.

On the commercial front, Supertech has launched the Shopprix Mall in

Noida and two related malls are under erection in Vaishali and

Kaushambi. These Shopprix Malls house the top retail brands of the

country and offer a finest shopping ambience.

Product Profile:

Projects of Supertech in Noida and Greater Noida:

1) Supertech Emerald Court

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Amid the thousand stones...none can match the shine of the

‘Emerald Court’ which stands tall in the pulsating skyline of the NCR as

a rare exception. Supertech ‘Emerald Court’ is rich with all treasures

needed to enhance life. pleasure, peace, elegance - all in abundance to

bedazzle your life. Not surprising considering the fact that it's from

Supertech Group whose name ricocheting quality and commitment. The

‘Supertech Emerald Court’ at Taj Expressway, Sector - 93, Noida, is a

Rs. 750 crores project and is the major project of the group till date and is

a coming together of luxury, class and convenience. It is built on an area

of 70000 sq. meters of prime location land; the construction of this

project is in full sway. Emerald Court is a multi-storied project consisting

of 16-towers in which two towers are centrally air-conditioned. Supertech

Emerald Court offers avant-garde 3 and 4 bedroom apartments and

penthouses with global specifications that absolutely cater to the taste of

the highly demanding nouveau-riche. The apartments are four sides open

& come with both air-conditioned and non-air-conditioned choices.

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The most important features of the project are dedicated parking,

technologically advanced security, wooden flooring, ultra modern toilets,

modular kitchen with piped gas supply, in-home maintenance services

etc. There is an in-house club with five-star offerings. The project is sited

6 kms. away from DND flyway. Being placed on the Taj Expressway

makes it easily connected to other parts of NCR. It is near to the

entertainment hub of Noida Sec.18, the Biotech City, NRI City, Medical

City, IT City and Film City.

The project will be having a Shopping Mall within its complex to take

care of shopping requirements of the residents. All the units are

independent in their own way and designed following contemporary

architectural structure. Units are offered in the following configurations:-

3BHK apartments >> 1750 sq. ft. and 2290 sq. ft. >>Rs. 5500 per sq feet4BHK apartments >> 2350 sq. ft. and 2810 sq. ft. >>Rs.5500 per sq feet5BHK penthouses >> approx. 4000 sq. ft. >>Rs. 5500 per sq feet

Features:

It is an 82% open landscaped area with a Central Park of 3 acres.There are 2 Centrally Air-conditioned Towers, Four-side open apartments and Penthouses, in-house club with elite facilities like Health Club, Swimming pool, Badminton & Tennis Courts & an Amphitheatre. There is 24 hour water & power supply, reticulated gas supply to every kitchen, Vaastu affable structural layout & design, Advanced Security System etc.

Status of the Project:

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Location: Plot No. 4, Sector-93A, Taj Expressway, NoidaLaunch Date: April 2005Planned Date Of Completion:

In Phase-I Aster-1, 2, 5, 6; Aspire – 1 & 4; are proposed to be completed by 31.03.2008.

In Phase – II; the remaining Towers will be completed by 30.06.2008.

As on 1st Jan 2008, the work is in full swing for all 16 Towers, with fully-erect structures and finishing touches being done.There are in total 704 flats and 16 towers. There are also basement plus ground floor plus 9 floors plus penthouses on top floors of each tower.It has a total built up area of 14,00,000 SQ. Ft.

2) Czar Suites

Greater Noida,

CZAR SUITES has the tallest towers in Greater Noida with a SKY STUDIO. It has a Landscaped Lake with a water channel, CZAR SUITES is faces 330 feet wide Green Belt. It has 6 Acres of Central Park

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within the premises. Each unit is 3 Side Open & park facing 30 ft Wide roads inside, it also has a 24/7 Concierge Service which is the latest international concept in Urban Living; Being Introduced for the first time in NCR by Supertech. It also provides an Array of branded utility & retail services. The Club at CZAR SUITES is operational. At CZAR SUITES there is 83% green area; it has a 6 Acre Central Park & each apartment facing that park. On an average every person living here will have a 165 Sq. Ft. green area. It has unique style luxury Penthouses.

Project Status Location: GH-02, Sec. Omicron-I, Greater Noida.Launch Date: Launched on February 2007Date of Completion: Phase-I will be completed by March 2009 and Phase-II by December 2009.Sample flats and club house are ready.It has 890 flats and 23 towers.Total Built Up Area: 16, 00,000 Sq. Ft. Approx.3) Supertech Emperor:

The ‘Supertech Emperor Digital Home’ is a Rs. 400 crores project at Taj Expressway, Sector - 93, Noida and is the largest project of the group till date. It is a coming together of luxury, status and convenience.

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It is built on an area of 48,263 sq. mtr. of prime land area. The construction of this project is in full swing. ‘Emperor Digital Homes’ is a multi-storied project. It has 14 towers out of which two towers are centrally air-conditioned. ‘Supertech Emperor Digital Homes’ offers ultra-modern 3 and 4 bedroom apartments and penthouses with global standard specifications which completely cater to the tang of the highly demanding nouveau riche.

The core features of the project are Automatic Control of Lights, air conditioners, Doors from anyplace in the world through Mobile as well as Computer, flawless Security System with intercom, CCTV and separate electronic security lock with camera and access control. It has a modular kitchen with piped gas supply, dedicated parking, wooden flooring, ultra modern toilets, in-home maintenance services etc. There is an in-house club with five-star assistance. ‘Emperor Digital Homes’ will have a Central Park stretched over 3 acres of land. The project is located just 6 kms. away from DND flyway.The project is well connected to NCR due to its presence on the expressway.

Features:

There would be automatic control of lights, air conditioners, doors

from anywhere in the world via Mobile as well as Computers. It will have

a security system with intercom, CCTV and separate electronic security

lock with camera and access control. Czar Suites will have a finger print

door access and a log report of visitors. It will have motorized split

curtains, auto scene control; LCD touch-screen based automation system

etc.

Status of the Project:Project Location: Plot No. 4, Sector-93A, Taj Expressway, NoidaLaunch date: April 2005Date of Completion: December 2007

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Total No. Of Flats: 704No. Of Towers: 16No. Of Floors: Basement + Ground floor + 9 floors + Penthouse

Competitor’s profile

Jaypee Pavilion heights

Sector 128 Noida

Jaypee Greens is the developer of Pavilion Heights and is located

in Sector 128 in Noida. It offers 2 & 3 bedroom apartments. It is spread

over 453 acres of cascading greenery, an 18-hole signature golf facility is

combined with superlative residences, nature reserve, recreational greens,

lakes and landscaped parks.

Jaypee Greens is a venture of Jaypee Group, a well-diversified

infrastructural and industrial group with a turnover of over Rs. 3500

crores. Jaiprakash Associates Limited is the flagship company of the

Group and is an recognized leader in construction of River valley and

Engineering and Construction, Hydropower projects, Cement

manufacturing, Hospitality, Real-Estate Development, and Infrastructure

development in the shape of Expressways and Highways etc.

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Pavilion Heights located in Sec. 128 on Noida greater Noida Expressway

4 kms from the Amity intersection, thus enjoying good connectivity and

site advantage with-respect-to the city master plan. Due to presence on

the expressway, there is an easy access to other parts of NCR.

Amenities :

Amenities offered are golf course, wave pool, fire fighting systems,

swimming pools, modular kitchen, pre-assembled wardrobes in

bedrooms, independent split-type air conditioned units as per design,

door Phones & Intercom, 24x7 security on entrance gates, water supply

via underground lines & overhead tanks, fire detection & sprinkler

system as approved by fire safety norms, electrical wiring in concealed

conduits with modular switches and power back up.

Prices

2BR2T (river view) 1240 sq. ft. >>Rs. 59, 52,000.2BR2T (golf view) 1240 sq. ft. >> Rs. 63, 24,000.3BR2T (river view) 1650 sq. ft. >>Rs. 79, 20,000.3BR2T (golf view) 1650 sq feet >>Rs. 84, 15,000.

* BR-Bedroom, T-Toilet, SR-Servant Room * Area mentioned is Super built-up area.* PLC, Car Parking, Club charges, Maintenance extra.

Wish town Noida

Sec. 128, Noida.

36

Jaypee Greens has offered an 18-hole signature Graham Cooke

golf facility pooled with world-class dwellings, recreational greens,

nature reserves, lakes and marvelously landscaped parks.

Jaypee Greens is a undertaking of Jaypee Group, a well branched

out infrastructural and industrial group with a proceeds of over Rs. 3500

crores. Jaiprakash Associates Limited is the flagship company of the

Group and is a well known leader in construction of River valley and

Hydropower projects, Engineering and Construction, Cement

manufacturing, Hospitality, Real Estate Development, and Infrastructure

development in the form of Expressways and Highways.

Amenities offered are golf course, wave pool, fire-fighting

systems, swimming pools etc. It also provides modular kitchen, pre-

assembled wardrobes in bedrooms, independent split-type air-conditioned

units, door phones & intercom, 24x7 security on entrance gates, water

supply through underground lines & overhead tanks, fire detection &

sprinkler system as approved by fire safety norms, electrical wiring in

concealed conduits with modular switches and power back up.

Prices

1BR-1T (Pavillion Court) 850 sq ft >>Rs. 38, 67,5002BR-2T (Pavillion Court) 1150 sq ft >>Rs. 52, 32,500

37

3BR-3T (Pavillion Court) 1600 sq ft >>Rs. 72, 80,0002BR-2T (Kalypso Court) 1600 sq ft >>Rs. 92, 00,0003BR-3T-1SR (Kalypso Court) 2260 sq ft >>Rs. 1, 29, 95,0003BR-3T-1SR (Kalypso Court) 2290 sq ft >>Rs. 1, 31, 67,500 3BR-3T-1SR (Imperial Court) 2310 sq ft >>Rs. 1, 32, 82,5003BR-3T-1SR (Kalypso Court) 2370 sq ft >>Rs. 1, 36, 27,5003BR-3T-1SR (Kalypso Court) 2800 sq ft >>Rs. 1, 61, 00,0003BR-3T-1SR +Terrace 2900 sq ft >>Rs. 1, 66, 75,0004BR-4T-1SR (Kalypso Court) 3225 sq ft >>Rs. 1, 85, 43,7504BR-4T-1SR (Imperial Court) 3290 sq ft >>Rs. 1, 89, 17,5004BR-4T-1SR (Kalypso Court) 3300 sq ft >>Rs. 1, 89, 75,0004BR-4T-1SR (Imperial Court) 3320 sq ft >>Rs. 1, 90, 90,0004BR-4T-1SR (Imperial Court) 3435 sq ft >>Rs. 1, 97, 51,250

* BR-Bedroom, T-Toilet, SR-Servant Room * Area mentioned is Super built-up area.* PLC, Car Parking, Club & Maintenance charges extra.

Eldeco Aamantran

Sec. 119 Noida.

Eldeco Aamantran is located at the most preferred location in Noida - Strategically located on Greater Noida Road and the Faridabad-Noida-Ghaziabad corridor. It has the connectivity to NH-24, Greater Noida & Faridabad. It has lush green surroundings with three main parks within the sector. Golf course is within 15 minutes driving distance.

38

The ‘Eldeco Group’ has been at the good position of real estate in North India since 1975. The group is identical in a number of towns like Lucknow, Agra, Kanpur and NCR. The group has more than 120 projects, dwelling townships, high-rise Condominiums, town-houses, malls & shopping complexes have been brought up. The collective constructed area totals to 16 million sq. ft. The group has earned ISO 9001 certification and the merit of being the first developer in India to obtain the DR2 rating from ICRA (associate of Moody's in India).

Amenities offered are swimming pool, gymnasium, kids play area, multipurpose room, tennis court, golf carts to ferry guests etc.

Prices:

2BR-2T 1300 sq. ft. >>Rs. 47, 45,000 2BR-2T-1SR 1540 sq. ft. >>Rs.56, 21,0003BR-2T 1740 sq. ft. >>Rs. 63, 51,0003BR-3T 1920 sq. ft. >>Rs. 70, 08,000Duplex 2670+75 sq. ft. >>Rs. 97, 45,500 Dup Penthouse 2695+1455 sq. ft. >>Rs. 98, 36,750

Eldeco Olympia

Sec. 93-A Noida.

Eldeco Olympia is located on the first-class Noida expressway. It is located within the complex of Eldeco-Utopia and offers 3 bedroom completely air-conditioned apartments. It has wonderfully landscaped area with all-weather swimming pool and a sports court.

39

The ‘Eldeco Group’ has been at the good position of real estate in North India since 1975. The group is identical in a number of towns like Lucknow, Agra, Kanpur and NCR. The group has more than 120 projects, dwelling townships, high-rise Condominiums, town-houses, malls & shopping complexes have been brought up. The collective constructed area totals to 16 million sq. ft. The group has earned ISO 9001 certification and the merit of being the first developer in India to obtain the DR2 rating from ICRA (associate of Moody's in India).Amenities offered here- swimming pool, sports facility, banquet hall, guest rooms, sauna & jacuzzi, all weather swimming pool etc.

Prices:3BR-3T 1655 sq. ft. >>Rs. 83, 82,575 3BR-3T-1SR 2150 sq. ft. >>Rs. 1, 12, 76,750


Unitech Grande

40

Unitech launched its super luxurious golf course residential project ‘Unitech Grande’ on the first-class Noida Expressway. This is less than 2.5 kms from the Amity intersection on the Noida Greater Noida Expressway. It is spread over 347acres. It includes a ‘Greg Norman’ 9-hole Signature Golf Course, a habitat centre that has an art-gallery, a museum, 10 conference rooms, an integrated sports complex, medical facilities and schools within the boundary of ‘Unitech Grande’. It provides accommodation in 3-4 bedroom modern apartments & penthouses with fitted modular kitchen along with refrigerator, washing machine & dryer.

Unitech is one of the major listed real estate companies in India with a market capitalization of around US$ 5 billion. It has experience of over 20 years in real estate development and also has developed many barren landscapes into landmarks.Amenities offered are: swimming pool, gymnasium, sports facility, kids play area, multipurpose rooms, golf course, cafeteria, golf club pro-shop, 2 Golfer's Lounge, convention centre, meeting hall, banquet hall, conference rooms, food courts, bowling alleys, sports complex, gymnasium, yoga, aerobics room, indoor jogging track, 4 squash courts, juice bar and health food outlet, billiards and snooker room, card room, children's room, 2 home theatres, steam and sauna etc.

Prices

3BR-3T 2120 sq. ft. >>Rs. 1, 61, 12,000 3BR-3T-1SR 2230 sq. ft. >>Rs. 1, 69, 48,0003BR-3T 2334 sq. ft. >>Rs. 1, 77, 38,4003BR-3T-1SR 2372 sq. ft. >>Rs. 1, 80, 27,2003BR-3T-1SR 2516 sq. ft. >>Rs. 1, 91, 21,6003BR-3T-1SR 2557 sq. ft. >>Rs. 1, 94, 33,2003BR-3T-1SR 2625 sq. ft. >>Rs. 1, 99, 50,0003BR-3T-1SR 2810 sq. ft. >>Rs. 2, 13, 56,0004BR-4T-1SR 3272 sq. ft. >>Rs. 2, 48, 67,2004BR-4T-2SR 3473 sq. ft. >>Rs. 2, 63, 94,8004BR-4T-2SR 3799 sq. ft. >>Rs. 2, 88, 72,400


41

Omaxe Twin Towers

Sec. 50 Noida.

Omaxe puts forward ultra luxurious apartments ‘Twin Towers’ located in Sec 50 Noida. It is designed by renowned Australian architects OIA. It provides 3 bedroom air-conditioned apartments and has class amenities like swimming pool, gymnasium, and a wave pool.

Omaxe Constructions limited is one of the large Real Estate Development companies in India and has carried out more than 120 major Institutional, Industrial, Commercial, Residential and Hospital construction projects. The company in a span of 5 years has accomplished and delivered 10 projects including 8 residential and 2 commercial projects covering approx 5.13 million sq. ft of area. The company at present has 46 projects under development.

Amenities offered are swimming pools, Jacuzzi and shower facilities, Vaastu friendly structural design; separate store room in basement, smart-security system, Internet for every room, ground floor with exclusive lawn, mineral water plant in every kitchen and an ultra modern chimney and hub. It also offers a gymnasium, sports facility, kids

42

play area, multipurpose rooms, geyser in all bathrooms, modular kitchen, 100% Power backup, split type air-conditioners all bedrooms, wooden wardrobe in all bedrooms, chandeliers in living room, fans and decorative lightings in all rooms etc.

Prices

3BR-3T-1SR 2150 sq. ft. >> Rs. 1, 18, 25,0004BR-4T-1SR (Penthouse) 4182+197 sq. ft. >> Rs. 2, 30, 01,000


43

Omaxe Forest Spa

Sector 93-C Noida.

Forest Spa is an ultra luxury comfy apartments and penthouses and are sited in the vicinity of 325 acres of lovely reserve forest which is the very embodiment of luxury living. It is located on the Noida-Greater Noida Expressway. It puts forward ultra luxurious 3, 4 and 5 bedroom units. Each unit complex comes with facilities like central air-conditioning, unrestricted view of the club, swimming pool and the central park, and a parking space for 2 cars, car-wash area in basement, launderette, service lift, driver’s lounge area with toilets. Every apartment unit has a health club in the main bathroom, with sauna, steam, Jacuzzi and shower facilities; an eye-catching glass fascia and Vaastu friendly structural design. Imported modular kitchen cabinets, imported marble flooring, an open kitchen with granite slap counters, a mineral-water plant in every kitchen and modern chimney and hub.

Omaxe Constructions limited is one of the large Real Estate Development companies in India and has carried out more than 120

44

major Institutional, Industrial, Commercial, Residential and Hospital construction projects. The company in a span of 5 years has accomplished and delivered 10 projects including 8 residential and 2 commercial projects covering approx 5.13 million sq. ft of area. The company at present has 46 projects under development.Amenities offered are swimming pools, Jacuzzi and shower facilities, Vaastu friendly structural design; separate store room in basement, smart-security system, Internet for every room, ground floor with exclusive lawn, mineral water plant in every kitchen and an ultra modern chimney and hub.

Prices:4BR-4T-1SR 2900 sq ft 1,88,50,0004BR-4T-1SR 3550 sq ft 2,30,75,0004BR-4T-1SR 4150 sq ft 2,69,75,0005BR-5T-2SR 6500 sq ft 4,22,50,000


45

Omaxe Grand Woods:

Sector 93 Noida

Omaxe ‘Grand Woods’ located on the Noida-Greater Noida Expressway. It offers luxurious accommodation in 2-3 bedroom choices. The project is spread over approximately 23 acres; with 325 acres of lush green forest surrounding it is like living in the lap of Mother Nature. Yet, with every convenience of modern life at your disposal including the best location i.e. Noida expressway for easy connectivity, healthy environment and ambience, superior design, high quality of construction and boasts of high quality neighborhood.

Omaxe Constructions limited is one of the large Real Estate Development companies in India and has carried out more than 120 major Institutional, Industrial, Commercial, Residential and Hospital construction projects. The company in a span of 5 years has accomplished and delivered 10 projects including 8 residential and 2 commercial projects covering approx 5.13 million sq. ft of area. The company at present has 46 projects under development.

46

Amenities offered are swimming pools, rainwater harvesting, tree-lined avenues, fire fighting cyst, 100% power back-up, RCC frame structure etc.

Prices:

2BR-2T 1110 sq. ft. >>Rs. 55, 50,000 3BR-3T 1600 sq. ft. >>Rs. 80, 00,0003BR-3T-Basement 1625 sq. ft. >>Rs. 81, 25,0003BR-3T-1SR 1900 sq. ft. >>Rs. 95, 00,0003BR-3T-1SR-Basment 1940 sq. ft. >>Rs. 97, 00,000


47

Chapter 4.3SWOT Analysis

48

Chapter 4.3 SWOT Analysis

Industry SWOT Analysis:

In India the building & construction industry is a main driver of economic growth. Here the construction sector accounts for about 6% of GDP. Though the construction sector includes industrial construction, roads, ports and other infrastructure, it is in real estate that the new liberalized set of laws will have the maximum impact. The sectors contribution is expected to boost in the coming years. Real estate growth in India focuses on two key areas, retail and residential. The global real-estate consulting group Knight Frank has positioned India 5th in the list of 30 up-and-coming retail markets and forecasted an impressive 20% growth rate for the organized retail segment by 2010.A report on real estate trends by Merrill Lynch says that the number of

Malls in Bangalore, New Delhi, Mumbai, Hyderabad and Pune were expected to rise to about 250 by 2010 as against 40 now. In terms of total region, there was 12.40 million sq. ft. of mall space on hand in these cities.

The sector presumes its importance by way of being a large consumer of resources, supporting a large ancillary industries and significant employment generator. The access of foreign investors to the same may also lead to the development of an organized real estate finance market.

Opportunities & Threats:

Real estate has always been about location. But as the time lapses by, it is becoming more about reputation. Given the current trend and the willingness of the Government to facilitate growth, there appears to be

49

opportunities galore for construction companies in the medium to long term. Development of the real estate sector has not been uniform across the country. While cities such as Mumbai, Delhi, Gurgaon and Bangalore have been a realtor’s paradise, Threats:

Though the potential for growth is significant, achieving it is not as easy as it appears. The success in construction industry calls for improved methods of construction to achieve desired levels. With economy opening up and consequently, its growing needs, it is required to keep pace with the scientific and technological advancement.

RISK & CONCERNS

Barring a handful of large companies, the industry set-up is characterized by the predominance of the small unorganized contractors. To counter the growing competition and keeping in view the rising outlays on construction projects, the larger companies in the sector are increasingly investing in capital equipment. Most contracts being awarded are of a fixed turnkey type, which carry penalties and incentives for delay and early completion, respectively.

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Chapter 5.0

Data

51

Chapter 5.1 Data Collection

The study was carries out in Noida and greater Noida and the responses

of the consumers were collected from NCR via Questionnaires. The study

requires both primary and secondary data. The primary data is collected

mainly from the Property Exhibitions and through direct Interaction with

the marketing office/ employees of other developers.

The research was carried over a period of 8 weeks.

The approach of the research was direct. The research was mainly

conducted through a personal visit to the various site offices and

marketing offices of the concerned developers and also via questionnaires

in NCR (See appendix for the questionnaires). The customers/ investors

in the selected sample size answered an array of questions.

The questions Asked in the questionnaire were as follows:

Q1. Are you interested in investment in real estate?

Q2. Have you invested in real estate?

Q3. If yes for what purposes you look in while investing in to real estate?

Q4.What all risk factors you consider before investing?

Q5.What will be your preferential size of apartment? Q6. What all developers you can recall in Noida?

Q7. Have you visited any site offices in Noida?

Q9. What are the locations and projects preferred?

52

Q10. What is your price budget for buying residential property on Taj

Expressway?

Q11. Would you like to take Supertech as an investment option?

Chapter 6.0

Findings and analysis

53

Chapter 6.0 findings and analysis

PART - I

The primary objective requires locating the availability of the High End

Properties in the proximity of Noida and Greater Noida. It also covers the

details about the project- specific offerings of each real estate developer.

The findings of the same were:-

1) OMAXE:

PROJECT NAME LOCATION SIZES STATUS SALE RATERESALE

RATENO. OF FLATS/ MAINTAINANCE

Grand Woods

Sec 93 B

1100 2HBK, 1600 3BHK, 1625+600

(3BHK +Basement)

booking open

5000 Per Sq feet(basement

charges- 3765) NA 162 flats

Forest Spa (ultra luxury)

2900 3BHK 3550

3BHK+SQ 4150

4BHK+SQ 6500

5BHK+2SQbooking

open

5800 Per Sq Feet - 6500 per sq feet NA 1250 flats

Twin Towers Sec 502150 3BHK

+SQ. booking

open5500 Per Sq.

Feet NA

2) SUPERTECH:

54

PROJECT NAME LOCATION SIZES STATUSSALE RATE

RESALE RATE

NO. OF FLATS/ MAINTAINANCE

Czar,

Sec 93 A 3BHK-4 BHKbooking

open5500 per sq feet NA

890 flatsEmperor,

704 flatsAster,

3) ELDECO:


RESALE RATE


Olympia Sec 93 A

2150 (3BR, 4T, SQ

3Balcony, loby )

booking open

5750(1-3rd),

5650(4-8th),

5450(9-13th)

5250(14th+) NA

1655 (3BR, 3T, 4Balcony

loby)

5550(1-3rd),

5450(4-8th),

5250(9-13th)

5050(14th+) NA

20 per Sq Feet ( deposit ) + 1.5 per Sq Feet ( monthly )

Eldeco is considered to be the nearest competitor of Supertech in the

Sector 93-A

4) ATS:


RESALE RATE


ATS Greens Village

Greater Noida

Expressway, Sec. - 93

1300, 1500, 1750, 2800, penthouse,

ground floors, villas sold Sold out

between Rs. 6000 and

6500, per Sq. feet 1500 per flat

ATS ParadisoGreater Noida. 3-4 BHK

Rs. 3500 per sq.

feet 1500 per flat

The project is Almost fully occupied, 650 out of 700 already occupied.

55

5) JAYPEE:


RESALE RATE


Pavillion CourtSector 128

Noida

800-1BHK 1170-2BHK 1600-3BHK (super area)

booking open

5100 per sq feet NA

KALYSPO COURT Sector 128 Noida

1650-2BHK 2440-3BHK

2440-3 BHK(B)

1650-2BHK 2440-3BHK

2440-3 BHK(B) 3660-4BHK (With terrace)(A)

3200- 4BHK(B)

2970- 3BHK (with terrace) 2430- 3BHK

(A&B) 3340- 4BHK

3200- 4BHK(B) (Type A & Terrace)

3180- 4BHK(B)

3340- 4BHK(C)

2950- 3BHK (with terrace) 2380- 3BHK 3300- 4BHK with terrace

3150- 4BHK(B)

1625- 2BHK 2920 3BHK

(with terrace) 2425- 3BHK 3335- 4BHK

booking open

6100 per sq feet

56

(with terrace) 2945- 3BHK (with terrace) 1885- 2BHK (super area)

TOWN HOMESSector 128

Noida

4510 sq feet with

basement ground first and second floor (Villa

Types)booking

open7500 per sq feet NA

57

6) PARSAVNATH:


RESALE RATE


Paradise

Sec 93 A 2-3 BHK sold Shrishti

There is Very less occupancy in the Shrishti towers.

7) ASSOTECH:


RESALE RATE


CELESTIE TOWERS Sec 44

4750 sq feet 5BHK

booking open

8000-8200 +PLC NA

8 UNITECH:


RESALE RATE


Aqua And Terra

Greater Noida

Expressway

2120, 2230, 2334, 2372, 2516, 2557, 2625, 2810, 3272, 3473,

3799, booking

open

7600-8000 Per Sq Feet NA

Maintenance Charges for the Period of 5

years to be determined at the

time of offer of possession on the

basis of Super area of the apartment + Service taxes

58

9) GAUR:

PROJECT NAME LOCATION SIZES STATUS SALE RATERESALE

RATENO. OF FLATS/ MAINTAINANCE

GRANDEUR Sector 119

Noida

Maharaja-I 1246 Sq Feet

Samrat-I 1625 Sq Feet

Samrat-II 1739 Sq Feet

booking open

4000 per sq feet with 15%

down payment discount NA

Rs 1 per sq feet. With security Rs.

20 per sq feet

10) PURVANCHAL:


RESALE RATE


SILVER CITY Sec 93 A

2510 , 2115 , 1805 ,

3685+835 , 2930+985 ,

2495+605 Sq Feet

limited units left

5025 per Sq Feet + 2100 per Sq Feet ( terrace) NA

30 per Sq Feet ( deposit ) +1500 per month ( Fixed amount

)

HEIGHTS

sector zeta 01 greater

Noida

4005+1205 Sq Feet

booking open

2850 + 1350 per Sq Feet NA

30 per Sq Feet ( deposit ), 1.25 per sq feet + .25 per Sq Feet ( for terrace )

3350+870 Sq Feet



2820+650 Sq Feet



3440+1050 Sq Feet



SILVER CITY -II

Sector PI - II Greater

Noida

3750 + 700 Sq Feet

booking open

3225 + 1500

( terrace) per Sq Feet

NA


)

2950 + 985 Sq Feet NA


)

2495 + 605 Sq Feet NA


59

)

PART - II

Out of 100 responses filled by respondents, the major results were:

Q1. Are you interested in investment in real estate?

Frequency PercentValid

PercentCumulative

Percent

Valid Yes 85 85.0 85.0 85.0

No 15 15.0 15.0 100.0

Total 100 100.0 100.0

(Ho) 1 Consumers are interested in real estate investment.

(H1) 1 Consumers are not interested in real estate investment,

Interpretation: due to the recent growth trends in the real estate sector in the NCR, the consumers are showing more interest in real estate investment. This is because the real estate has shown promised return in last few years in both commercial as well as residential areas. The return on real estate has beaten all form of investment and hence looked on by investors as a better option. In real estate investment, the consumer gets tax benefits as per the income tax act due to interest payment of loan, on the other hand they save paying rent and develop a compulsory saving habit and also create a valuable asset for a long time.

60

Q2. Have you invested in real estate?


PercentCumulative

Percent

Valid Yes 65 65.0 65.0 65.0

No 35 35.0 35.0 100.0

Total 100 100.0 100.0

Interpretation: The result shows that considerably high numbers of

respondents have made a real estate investment in the past. The main

reasons being the promising returns in the past, easy loan availability and

attractive offers from both the real estate developers and the financial

institutions.

Q3. If yes for what purposes you look in while investing in to real

estate?


PercentCumulative

Percent

Valid long term return 29 29.0 29.0 29.0

short term return 8 8.0 8.0 37.0

Recurring return 25 25.0 25.0 62.0

own use 28 28.0 28.0 90.0

i don’t invest in real estate

10 10.0 10.0 100.0

Total 100 100.0 100.0

61

Q4.What all risk factors you consider before investing?


PercentCumulative

Percent

Valid legal and regulatory factors

27 27.0 27.0 27.0

political factors 3 3.0 3.0 30.0

lack of reliable valuation data

7 7.0 7.0 37.0

lack of professional advice

11 11.0 11.0 48.0

hard to determine the best opportunities

34 34.0 34.0 82.0

Others 18 18.0 18.0 100.0

Total 100 100.0 100.0

Interpretation: Out of the total responses filled, people find it hard to

determine and evaluate the best options available in the market as there

are multiple options made available by a pool of developers in more or

less the same price range. All the developers almost have more or less the

same offerings.

Q5.What will be your preferential size of apartment?

62


PercentCumulative

Percent

Valid 2bhk 3 3.0 3.0 3.0

3bhk 58 58.0 58.0 61.0

4bhk 17 17.0 17.0 78.0

independent villa

11 11.0 11.0 89.0

penthouse 11 11.0 11.0 100.0

Total 100 100.0 100.0

Interpretation: The respondents have chosen the 3 BHK as the most preferred category of the apartment. This is due to the emergence of the concept of nuclear families in the NCR and the high liquidity aspect of a 3 BHK apartment in terms of resale and fast disposal.

Q6. What all developers you can recall in Noida?

parsavnath11%

jaypee16%

assotech4%

omaxe14%ats

9%eldeco4%

purvanchal5%

unitech 14%

supertech16%

gaur7% parsavnath

jaypee

assotech

omaxe

ats

eldeco

purvanchal

unitech

supertech

gaur

Q7. Have you visited any site offices in Noida?

63


PercentCumulative

Percent

Valid yes 36 36.0 36.0 36.0

no 64 64.0 64.0 100.0

Total 100 100.0 100.0

Interpretation: most of the respondents are unaware about the presence

of the site/marketing offices of developers and considerably a large

number of the respondents have not visited any of these offices.

Q8. What all parameters and facilities you look into any real estate

property before investing?

golf course7%

club parks14%

affordability10%

pollution free locale8%

waterbodies11%

wi fi connectivity10%

proximity to markets

10%

connectivity to office13%

clear title8%

ROI9%

golf course

club parks

affordability

pollution free locale

waterbodies

wi fi connectivity

proximity to markets

connectivity to office

clear title

ROI

64

Q9. What are the locations and projects preferred?


PercentCumulative

Percent

Valid Noida 79 79.0 79.0 79.0

Greater Noida

16 16.0 16.0 95.0

Others 5 5.0 5.0 100.0

Total 100 100.0 100.0

Interpretation: the respondents have shown an affinity towards Noida

and especially on the expressway because of the easier connectivity with

other parts of NCR, ongoing infrastructure projects such as airport, mass

public transport system etc in the near future. Also in the recent past

Noida expressway has shown an impressive two fold increase in the

property prices every fourth year. All these make the expressway as the

top preferred location for investment.

Q10. What is your price budget for buying residential property on

Taj Expressway?

65


PercentCumulative

Percent

Valid 75 Lakhs To 1.25 Crores

56 56.0 56.0 56.0

1.25 Crores To 1.75 Crores

36 36.0 36.0 92.0

1.75 Crores To 2.25 Crores

8 8.0 8.0 100.0

Total 100 100.0 100.0

(Ho) 2 Consumers are interested in investment beyond 1 crores.

(H1) 2 Consumers are not interested in investment beyond 1 crores

Q11. Would you like to take Supertech as an investment option?


PercentCumulative

Percent

Valid yes 74 74.0 74.0 74.0

no 26 26.0 26.0 100.0

Total 100 100.0 100.0

(Ho) 3 People prefer to invest in Supertech.

(H1) 3 People do not prefer to invest in Supertech.

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Chapter 7.0

Recommendations

Chapter 7.0 Recommendations

67

1) It is the right time to buy the property in Noida as the customers

can benefit from the high inflation rate and rising interest. For ex A

20 year loan’s EMI paid today may have minimal value 10-15

years hence.

2) High-tech infrastructure is coming up with global standards, so the

companies should identify them properly and serve their customers

with what they desire.

3) Innovative marketing techniques should be practice, visual

advertisements, road shows and seminars should be carried out.

The company should list itself with various investor clubs in order

to attract HNI clientele & long lasting association. The company

should also participate in foreign real estate exhibitions like recent

one held in Birmingham (U.K.).

4) In light of the current scenario of rising interest rates and inflation

it would be beneficial for the customers who will be buying units

through self funding would get better options as the developers are

ready to provide attractive investment options such as flexible

payment’s , EMI sharing and other added advantage which would

also include down payment discounts.

68

5) People who are buying the property for end use on expressway and

surrounding areas would get better deals because at the end of the

day they can get an independent unit at a lower rate of interest, as it

is supposed to rise in future, hence, it would be a better deal

considering the future market scenarios.

6) Companies can use social networking sites for sale of flats and

brand promotion.

7) Globally investments are done to counterattack the inflation as the

property rates would raise and if a consumer purchases a property

then it reduces his disposable income substantially hence

countering inflation. Moreover rise of interest rates and inflation is

a global issue today in major countries in the South-Asian market

and in U.S but in spite of all this, there is a rise in global

infrastructures such as expressways, public transport system,

airports and other benefits the government is providing, hence, the

rates in the real estate sector is bound to grow up in future so

investment is better in the current time period.

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“Don’t Wait To Invest In

Real Estate,

Invest And Then Wait”

Drawing a home on a piece of paper with little hands and crayons is

an inseparable part of everyone’s childhood. No science can make

theories to explain, why children around the world draw homes,

surrounded with lush green garden, a blossoming lawn, a smiling sun

and a river flowing alongside.

It is perhaps because at every stage of one’s life, people continue to

dream about their home. As we grow up, this idea of ‘dream home’

acquires a distinct and clear shape. The home that we drew with our

little hands becomes an important dream in our life ultimately!

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Chapter: 8

References:

71

Chapter 8.1 References:

http://www.ibef.org/artdispview.aspx?in=60&art_id=17526&cat_id=381&page=3

http://www.moneycontrol.com/stocks/company_info/directors_report.php?sc_did=GCC02

http://www.supertechlimited.comhttp://www.indiaproperty.comhttp://www.magicbricks.comhttp://www.allcheckdeals.com

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Chapter 9:

Annexures

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Chapter 9: Annexures

Questionnaire

Questionnaire

Introduction:Thank you for taking the time to complete the survey. Your valuable feedback is integral to our academic research on consumer preferences about investing in Real Estate.Specifically we want to uncover whether Supertech is a brand in which consumers would like to invest in?Your answers would remain strictly confidential and will be used only for research purposes only. The survey would take about 5 minutes to complete. Once again I would thank you for your time.

Name: ________________________________________________________Age: __________________________________________________________Occupation: ___________________________________________________

Contact details:E-Mail: _______________________________________________________Contact # :_____________________________________________________

Please answer the following questions:

1) Are you interested in investment in real estate?

o Yeso No

2) Have you invested in real estate in the past?

o Yes

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o No

3) If yes, for what purposes you look in while investing into real estate?

o Long term returno Short term returno Recurring returno Own useo I don’t invest in Real estate

4) What all risk factors apart from the following you consider before investing?

o Legal factors and regulatory riskso Political factorso Lack of reliable valuation datao Lack of professional adviceo Hard to determine the best opportunitieso Asset volatilityOthers_______________________________

5) What will be your preferential size of apartment?o 2 BHK*o 3 BHK*o 4BHK*o Independent Villao Penthouse o Other: ______________

* (BHK- Bedroom, Hall and Kitchen)

6) What all developers you can recall in Noida?o Paravnatho Jaypeeo Assotecho Omaxeo ATS

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o Eldeccoo Purvanchalo Unitecho Supertecho Gaur

7) Have you visited any of the site-offices in Noida?

o Yeso No If yes, please specify whose? _________________________

8) What all parameters and facilities you look into any real estate property before investing?o Golf courseo Club/ Parkso Affordable Price Range/ Low Interest Rateso Peaceful Locality/ Pollution Free environmento Swimming Pools/ Lakes/ Other water bodieso Wi-fi Interneto Proximity to Markets/ Schools/ Hospitals/ Places of worship/

Entertainment Centreso Connectivity to Office/ Public Transporto Clear Title/ Resale Valueo Return On Investmento Others:_____________________________________________

9) What all other factors your previous (Or Current) property lack?

Please specify:__________________________________________________

10) What are your locations and projects preferred?

o Noida: __________________________________________

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o Greater Noida:____________________________________

o Others: __________________________________________

And why? _____________________________________________________

11) Under what is your price budget for buying a residential property on Taj Expressway?

o 75 lakh to 1.25 crores

o 1.25 crores to 1.75 crores

o 1.75 crores to 2.25 crores

o 2.25 crores and above

12) Would you like to take Supertech as an investment option/ Residing purposes?

o Yeso No

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Chapter 10:

Case study

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Chapter 10: Case study

Noida Greater Noida--Taj Expressway

Boon to Noida Reality

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Introduction and Background to the Case:

The expressway connects two important destinations of National

and International importance i.e.; National capital region of Delhi and a

part of golden triangle and hot tourist destination, Agra both these places

have high potential to generate traffic and economic development. The

expressway popularly known as Taj expressway which acts as the jugular

vein in the Noida and greater Noida framework as it acts as the

connecting route between Noida and greater Noida.

The total length of the Greater Noida expressway is 23.627 km out

of this total, 20.127 km lies in Noida and the rest 3.5 km in Greater

Noida. The attractive part of expressway is a hassle and signal free drive.

The total expenditure made by state on expressway, excluding land

acquisition works out to approximately Rs. 155 crores when the

expressway was not constructed. The expressway reduced commuting

time from Noida to greater Noida to 1 hr from 2 to 2 ½ hrs and there has

been a reduced impact of pollution on environment significantly.

However the major effect which expressway has brought in greater Noida

is the steep rise in the property market in greater Noida and the properties

alongside expressway. This is because the expressway brings in easier

connectivity to Noida and Greater Noida. Average capital value that

stands at Rs 1200 to Rs 1500 per sq ft in the year 2002 have gone up to

Rs 4000-8000 per sq. ft. , it is a remarkable percentage growth of 430%!!.

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In case of a plotted development, the values range from Rs 8000 per sq.

mt. to 45000 per sq. mt.

The major benefit from the project is improved connectivity of

NOIDA and Greater NOIDA thereby it improves the prospects of

attracting new Industries, Commerce, Trade, and Development of

Infrastructure. The expressway has witnessed the steep rise in the market

value of the properties and the establishment of various SEZ parks due to

the increased connectivity. The availability of the ‘high end’ properties

has also attracted foreign investment in the form of NRI purchases of the

high end residential properties and commercial properties along the

expressway. The thunder in the property market has also provided living

to a substantial amount of people.

Various MNC’s have started there operations centre along with the

expressway; to name a few HCL, Perot Systems , UPS , Patni

Computer’s, Havell’s etc. The expressway is also a new venue for

institutes in Technical, Management, Vocational and educational arena to

open in the coming 5-years with DPS, Ryan, IIT Rorkee, Bits Ranchi,

National Law School, Birla Institute of Technology and Management and

Amity school are already operational. To attract various investors and the

end users interested in real estate the various projects; which are initiated

and are on various stages development.

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Moreover approvals for various projects are being given by government

such as:

Delhi Metro soon to reach Greater Noida.

250 acres of night safari on the lines of the Singapore night safari.

Proposed International Airport, Aviation Hub & Cargo Hub.

Proposed Pragati Maidan/ Expo Centres.

222 acre Greg Norman signature golf Course.

Proposed Formula-1 Track.

220 acres of multi facility family entertainment parks.

Connectivity to Agra by Taj Expressway.

Proposed Wholesale Market, Agro-processing Park.

26 IT-ITES parks are proposed and their construction is in full

swing.

Approximately 15 SEZs are on various stages of development and

approval.

Due to the easier access to NCR, the real estate has witnessed an

all-round raise in the demand of residential properties as well as

commercial properties alongside expressway. This has resulted in to all

the key developers in the sector to open up several new ventures which

have caused the appreciation in the real estate prices. People are coming

forward both as investors and actual end users of the units. The

competition has benefited the customers as they have more options, they

can choose between luxury and value to money according to there needs.

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The real estate boom in cities of Noida and Greater Noida is still on

a high. With Special Economic Zones (SEZs), hotels, commercial and

residential complexes in pipeline, the cities forecast strong and sustained

growth for all real estate segments. Development of residential,

commercial, and institutional area alongside the Noida-Greater Noida

Expressway in the next 10 years can be out of the ordinary.

The sectors near the Expressway are likely to see an additional

population of 15.84 lakhs by 2021. The expected additional population is

11.53 lakhs.

The Noida expressway is divided into 4 main zones:

Zones Distance Sectors

Zone 1Less than 1

Km

92, 96-99, 106,

128, 133-136

Zone 2 1-3 Km

42, 43, 45-48,

82, 104, 107,

109 and 110

Zone 3 3-5 Km 49, 50 and 101

Zone 4 6 Km72-79, 114-120

and 122

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The Noida Greater Noida Expressway is 23 km long. Out of this, only 3

km falls under Greater Noida Authority and the remaining part is with

Noida Authority.

The real estate sector which has developed alongside the

expressway and surrounding areas the various major sectors in which real

estate market has been developed are 119 , 50 , 44 , 93 – A, B, C. The

sector which is sizzling among these is sector 93 because in this sector

the competition is between the big players of the real estate viz. of

Supertech, Omaxe, ATS, Eldeco, Parsavanath and Purvanchal.

Presence of Supertech on the expressway;

The Supertech group is one of the leading real estate developers in

Northern India. Since its very inception 20 years ago, the Supertech

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Group has achieved rapid progress by taking advantage of the real estate

boom in the country. During the course of time, the company has

accomplished more than 75, 00, 000 sq. ft. of premium quality

construction and also delivering value to its consumers.

Supertech has undertaken a number of impressive residential

projects which are combination of extravagance, sophistication and

suitability. The ongoing ‘Supertech Emerald Court’ project located at

Expressway, Noida, offers ultra-modern 3 and 4 bedroom apartments and

penthouses with international class specifications. Supertech Icon

Supertech, Avant Garde and Supertech Czar Suites are other prime

residential projects developed by Supertech. On the commercial front,

Supertech has launched the Shopprix Mall in Noida and two similar malls

are under construction in Vaishali and Kaushambi. Shopprix Mall houses

some of the top retail brands of the country and offers shopping

ambience. Supertech group's persistent dedication towards excellence has

fetched them the coveted Udyog Ratan Award for the year 2001 and also

ISO 9001:2000 certification for the global quality construction standards.

Key Issues:

ATS Village shares its boundaries with ‘Supertech Emerald Court’

on one side and ‘Parsavanath Prestige’ on the other side. It is equally

competitive when it comes to offering and benefits and amenities in there

projects. Still there is so much variance in the price offerings of all the

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three even when they share the same territory. The target market of them

are also more or less common; so what are the factors which combines to

fix there prices with respect to earn profit on there investment and to

build a Brand value. The difference it’s not ignorable by the customer

when he comes to invest for end use or even as a investment if we

compare the prices of ‘Purvanchal Heights’ with ‘Supertech’s Emerald

Court’ and ‘ATS Village’. There is a huge difference between them

despite that Purvanchal’s offering is value to money and hence cheaper in

comparison to Supertech and ATS; though it does not has a strong brand

name such as Supertech and ATS. Hence it affects the sales. Where as if

we just go on the other side of the Expressway, in Sector 128 Noida,

Where lies the prestigious project of Jaypee group; they are

charging approximately Rs. 7000 per sq. ft. where as in ‘Purvanchal

Heights’ charges approximately Rs. 2400 per sq. ft. We can conclude

with the current scenario in real estate is much unanticipated as

developers in the same territory are at a different level of price offerings.

The various factors which affect it are;

Value to money –

When the customer thinks about purchasing a residential flat the

first priority is that the property should give full value to the money

invested and should be a profitable investment in the long run. The

investment should fulfill all the criteria of his needs and should be

sustainable when the future probabilities are concerned.

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Investment Scenario –

The prevailing trends in the real estate market and the behavior of

the customers regarding buying and selling, different developers in order

to offer something different define different unique selling prepositions.

This is all guided by the investment scenario.

Brand Value –

Whenever it comes to an investment or purchase of such a high

amount, the strength of the brand image or the brand value plays a very

important role.

Added Benefits –

The added benefits provided by the developers in their projects over and

above the competitors helps in deciding the price offering of the projects.

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Documents

1122. high end properties in noida & greater noida – a comparative study [supertech] (1)