23-August-2019 - Credai Bengalcredaibengal.in/wp-content/uploads/2019/08/23Aug19... · 8/23/2019 · segment -- dream series -- to boost growth. The total investments will be about

23-August-2019

Page 2 of 26

CREDAI Bengal Daily News Update | 23.08.19

WEST BENGAL NEWS

______________________________________________________________________________________

Newspaper/Online The Times of India

Date August 23, 2019

Page 3 of 26

Kolkata: No service charge on payment of Rs 2,000 property tax

The KMC had temporarily suspended the payment of property tax online through debit cards

in case the amount exceeded Rs 2,000.

From now, people paying more than Rs 2,000 property tax dues online will be exempted from the

service charge, if they foot the bill through debit cards.

The KMC had temporarily suspended the payment of property tax online through debit cards in case

the amount exceeded Rs 2,000.

Mayor Firhad Hakim on Wednesday asked the KMC‘s finance and assessment department to take

necessary steps in this regard.

Those paying trade licence fees will also get the same benefit. Hakim took the decision after he

received a call during ―talk to mayor‖ programme on Wednesday from a property tax payer who faced

difficulty in paying more than Rs 2,000 online.

―We may have to bear the financial burden of paying the service charge on behalf of the tax payers.

We can‘t refuse a service to the tax payers,‖ the mayor said.

__________________________________________________________________

Newspaper/Online ET Realty (online)


Link https://realty.economictimes.indiatimes.com/news/regulatory/kolkata-no-service-charge-on-payment-of-rs-2000-property-tax/70783376

Page 4 of 26

Kolkata civic body to raze illegal buildings across city

Replying to a query from Ratna Roy Majumdar, the opposition leader in the KMC, mayor

Firhad Hakim said the construction materials would be removed.

The building department of Kolkata Municipal Corporation (KMC) will start a special drive against

illegal constructions across the city.

The civic body has identified a number of under-construction buildings, particularly in the added areas

like Behala, Jadavpur, Tollygunge and EM Bypass, where the officials will conduct raids to raze some

constructions not sanctioned by them.

The civic body will form a monitoring committee comprising officials from building, civil

engineering and solid waste management departments to conduct a drive against dumping of

construction materials on pavements and roads.

Replying to a query from Ratna Roy Majumdar, the opposition leader in the KMC, mayor Firhad

Hakim said the construction materials would be removed.

__________________________________________________________________



Link https://realty.economictimes.indiatimes.com/news/regulatory/kolkata-civic-body-to-raze-illegal-buildings-across-city/70788288

Page 5 of 26

OTHER NEWS

PE firms lead race to acquire Reliance ADAG’s HQ in Mumbai

“Most of the initial bids were made between Rs 1,500 crore and Rs 1,700 crore. The buyer is

expected to be finalised over the next two-three weeks,” said one of the persons cited earlier.

Private equity firms Blackstone Group, Mapletree Investments, Brookfield Asset

Management, Apollo Global and a domestic fund managed by InterGlobe Enterprises‘ real estate arm

have emerged as the final bidders for Reliance ADAG‘s headquarters in Mumbai, said two persons

with knowledge of the development.

Reliance ADAG is looking to monetise its assets to help reduce its debt. In the initial rounds, the

standalone commercial property, spread over 4 acres in Mumbai‘s Santacruz suburb, had drawn

interest from around 10 entities including private equity and pension funds and two Mumbai-based

realty developers.

―Most of the initial bids were made between Rs 1,500 crore and Rs 1,700 crore. The buyer is expected

to be finalised over the next two-three weeks,‖ said one of the persons cited earlier.

The property, situated off western express highway with 600,000 sq ft saleable area, houses the

offices of various Reliance ADAG companies. The monthly rentals at the property range between Rs

230 per sq ft and Rs 250 per sq ft.

―While two real estate developers had shown interest in the property, the final bidders in the fray are

all institutional investors looking for rental yield,‖ said the second person.

Email queries sent to Reliance ADAG, Apollo Global Management and Inter-Globe Real Estate

remained unanswered till the time of going to press. Blackstone, Mapletree Investments and

Brookfield Asset Management declined to comment.

_________________________________________________________________



Link https://realty.economictimes.indiatimes.com/news/commercial/pe-firms-lead-race-to-acquire-reliance-adags-hq-in-mumbai/70796992

Page 6 of 26

UP-RERA to launch single window system soon

Citizens and developers would be able to get maps approved, lodge complaints and, secure

progress reports and no-objection certificates for projects.

Come September, citizens, builders and developers would be able to avail several facilities offered by

Uttar Pradesh Real Estate Regulatory Authority (UPRERA) through a single window system.

Citizens and developers would be able to get maps approved, lodge complaints and, secure progress

reports and no-objection certificates for projects.

UPRERA chairperson Rajiv Kumar said the single window system will be launched mid-

September.―We are working on a software for the facility. All information about the facility will be

made available online. Citizens will also be able to file complaints in case they are duped by a

developers or the builder is delaying possession of a unit and also seek information about promoters,‖

he added.

____________________________________________________________________



Link https://realty.economictimes.indiatimes.com/news/regulatory/up-rera-to-launch-single-window-system-soon/70796811

Page 7 of 26

Uttar Pradesh haze on farmers' dues holds up Jaypee rescue plan

What is holding up a final scheme is the Uttar Pradesh government’s inability to deal with

enhanced compensation to displaced farmers — a burden that may have to be borne by

homebuyers and banks.

The government is almost ready with a plan to get Jaypee Infratech back on track with public sector

builder NBCC in the saddle.

What is holding up a final scheme is the Uttar Pradesh government‘s inability to deal with enhanced

compensation to displaced farmers — a burden that may have to be borne by homebuyers and banks.

During two rounds of meetings with finance minister Nirmala Sitharaman, the income tax department,

which was accused of being ―over aggressive‖ with its assessment, has agreed to temper down its

demand, which was largely ―presumptive‖, two sources told TOI.

Tax department had made a claim of around Rs 30,000 crore after assuming the full value of land that

was transferred to construct the Yamuna Expressway and the land around it that is being used for real

estate development.

The claim is around Rs 1,000 crore a year with over 29 years of the concession period remaining.

On the other hand, the UP government is yet to provide clarity on the additional compensation of

close to Rs 1,700 crore that is to be provided following a court ruling.

But the Centre is of the view that the burden should be borne by the homeowners as well as the banks,

which have rights over the surplus land of around 4,500 acre.

In case of several other projects in Noida and Greater Noida, courts have ordered for the payment of

additional compensation for land acquired from farmers and in all cases the ultimate beneficiary had

to be bear the burden.

As reported first by TOI on August 1, at the first meeting convened by the FM, which was also

attended by urban affairs minister Hardeep Puri, the government had made it clear that the

concessions in the form of lower claims would be available only to NBCC. ―We are willing to support

this since NBCC is a public sector company,‖ said an official.

Bankers too have indicated their backing for the construction company, although the current

management is leaving the official endorsement to the new chairman and MD. Rites executive

director PK Gupta has been recommended to take over as the new head of NBCC and an appointment

is expected shortly.



Link https://realty.economictimes.indiatimes.com/news/industry/uttar-pradesh-

haze-on-farmers-dues-holds-up-jaypee-rescue-plan/70796914

Page 8 of 26

Instead of the earlier option of taking over the company as a resolution applicant, NBCC is more keen

to come on board as a consultant.

Close to 25,000 homebuyers, many of whom have been awaiting delivery of their apartments and

villas booked over a decade ago in one of hte most closely watched insolvency resolution cases.

___________________________________________________________________

Page 9 of 26

Bandra bungalow draws interest from big guns

The prime sea-facing property, situated next to the Taj Lands End hotel, is controlled by the

Bandra Parsi Convalescent Home Trust.

Bids for an early 20th century property located in Mumbai‘s Bandra have been postponed to

accommodate additional interest generated by the opportunity to acquire one of the last standing

bungalows in the area.

Several local developers, Bollywood celebrities and a few industrialists have shown interest in the

property built in 1905, for which bids were to open on Thursday but were postponed earlier this week,

said people aware of the matter. While no reserve price has been set, the property is expected to fetch

at least Rs 300 crore, they said.

The property, spread over an acre at Bandra Bandstand, has one of the last standing bungalows on this

road which is dotted with houses of Bollywood stars including Shahrukh Khan and Salman Khan.

The prime sea-facing property, situated next to the Taj Lands End hotel, is controlled by the Bandra

Parsi Convalescent Home Trust. The trust used to operate a convalescence home in this property for

Parsi women and children for over a century until early 2000.

The property has development potential of over 100,000 square feet. The land parcel is expected to be

acquired by an end user, according to property consultants operating in the locality. Ready

premium residential properties in the vicinity attract over Rs 1 lakh per sq ft on an outright basis.

The trust‘s officials and transaction advisor CBRE declined to comment on the matter.

Mumbai, the country‘s most expensive property market, has not witnessed an outright transaction

involving a bungalow property for long. The most recent land transaction in Mumbai took place in

May, when Godrej Properties concluded the agreement to acquire the iconic RK Studios.

___________________________________________________________________


Page 10 of 26

Sobha to foray into Hyderabad and Delhi property market

The firm has entered into a joint development agreement with local landlords to build high-end

apartment totalling 1.5mn sq ft in both cities.

Realty firm Sobha, known for its luxury apartments, is venturing into

the Hyderabad and Delhi residential property market.

The firm has entered into a joint development agreement with local landlords to build high-end

apartment totalling 1.5 mn sq ft in both cities.

―We have seen good demand for the Rs 50 lakh to Rs 2 crore segment. The JD (OR JV) has been

signed and we are working on specifications,‖ said JC Sharma, vice chairman and managing director

of Sobha Developers.

While the Hyderabad (Somajiguda) project will have 270 units of above 1850 sq ft, the Delhi

(Badarpur) project will have 406 units of over 2150 sq ft each.

The firm also plans to launch over 10 m (SQ?) ft of residential projects including its affordable

segment -- dream series -- to boost growth. The total investments will be about Rs 4500 crore

including debt and equity over the next five years.

―Despite tough environment, we are seeing good sales,‖ said Sharma.

Separately, Sobha has also increased its focus on the mid-income homes apart from launching more

commercial and retail projects. The Bengaluru-based firm expects its housing business in the Rs 50

lakh to grow significantly faster due to rising demand in the market.

Currently, Sobha generates around 65% of its revenue from residential projects priced above Rs 1

crore ―We have also achieved pre-sales volume of 1.06 million square feet valued at Rs 778 crore

during the first quarter of the financial year,‖ said Sharma.

The key southern real estate markets of the country -- Bengaluru, Hyderabad and Chennai – are seeing


Link https://realty.economictimes.indiatimes.com/news/residential/bandra-bungalow-draws-interest-from-big-guns/70789877 Newspaper/Online ET Realty (online)


Link https://realty.economictimes.indiatimes.com/news/industry/sobha-to-foray-into-hyderabad-and-delhi-property-market/70788525

Page 11 of 26

gradual revival in residential property sales across top seven property markets of India since the first

half of 2018 through the first half of 2019. The southern property market is now stabilising, with

properties priced between Rs 40 and 70 lakh categories picking up steam since early last year.

During the first half of 2019, Hyderabad recorded the highest growth in sales at 65%; the Silicon hub

of India displayed steady and mature growth in residential markets as sales grew at a stable 12% over

H1 2018.

The Chennai market also witnessed a robust sales volume of more than 7,500 units in H1 2019 and

grew by 24% over the second half of 2018. However, the sales are yet to match the level high volume

of H1 2018 -- a decline of 7% over the same period last year.

The company currently has ongoing real estate projects aggregating to 42.15 million square feet of

developable area and 29.16 million square feet of saleable area under various stages of construction.

Sobha has a land bank of 2430 acres across different cities.

The firms plans to reduce its debt equity ratio to 1:1 from 1:8 last quarter. The firm has a net debt of

Rs 2751 crore.

____________________________________________________________________

Page 12 of 26

BMC clears 15% tax rebate for societies that process waste

According to municipal commissioner Praveen Pardeshi, the scheme will discipline citizens with

regard to waste disposal in the city, and reduce the amount of garbage that piles up in the city’s

dumping grounds.

The BMC standing committee cleared a proposal on Wednesday to give a 15% property tax rebate to

housing societies for segregating their waste, processing wet waste on their premises, disposing dry

waste through recyclers, and using harvested rainwater or greywater.

A BMC administrator said the proposal will be implemented soon, after legal formalities are

completed. The approval for such a proposal puts extra financial burden on the BMC.

According to municipal commissioner Praveen Pardeshi, the scheme will discipline citizens with

regard to waste disposal in the city, and reduce the amount of garbage that piles up in the city‘s

dumping grounds.

Societies that follow any one criteria will get a 5% rebate. Those following two will get a 10% rebate,

and those that follow all three will get 15% rebate.

While the first two criteria involve waste management, the third is regarding socities using harvested

rainwater or greywater.

Officials will visit societies to check before offering the rebate. An official said the first two criteria

will ensure zero garbage collection by the BMC from such societies, and using harvested rainwater or

greywater will reduce demand for water from such societies.

___________________________________________________________________



Link https://realty.economictimes.indiatimes.com/news/regulatory/bmc-clears-15-tax-rebate-for-societies-that-process-waste/70788184

Page 13 of 26

DLF stock dips 20% as SC issues notice on non-disclosure

The scrip fell 19.72 per cent to hit a fresh 52-week low of Rs 137.75 on BSE.

Shares of real estate major DLF plunged 20 per cent in Thursday‘s amid reports that Supreme

Court has issued a notice to DLF and market regulator Sebi on non-disclosure of key information

in QIP.

According to a report, a petition was filed in SC highlighting how DLF suppressed key information

regarding judicial proceedings against its largest chunk of land-bank in Haryana. SC has now issued a

notice to the developer and Sebi, which too is party to the case.

The scrip fell 19.72 per cent to hit a fresh 52-week low of Rs 137.75 on BSE.

Analysts noted the petitioner is the same who had earlier filed case with Sebi that had led to ban on

promoters from market for three years and a fine of Rs 10 lakh. That regulatory action was taken due

to DLF management‘s failure to disclose material information to investors during the firm‘s maiden

equity offer in 2007.

―It is a negative development for the company, which might lead to bigger penalty along with further

legal inquiry, instead of small penalty, which imposed by Sebi in the past,‖ said Sameer Kalra,

Founder & President (Research) at Target Investing.

The expert has sell recommendation on the stock.

The news has come when DLF patriarch K P Singh has stepped down as whole-time director. The

company had approved the reappointment of Singh as a whole-time director designated as Chairman

for a period of five years with effect from October 1, 2018. However, the 88-year-old Singh during

the AGM informed the shareholders that it might not be possible for him to continue as a Whole-time

Director.

The shares of the company closed 15.91 per cent lower at Rs 144.30 on BSE.

_________________________________________________________________



Link https://realty.economictimes.indiatimes.com/news/industry/dlf-stock-dips-20-as-sc-issues-notice-on-non-disclosure/70787578

Page 14 of 26

Consumer court orders three-year jail term for Kochi's Manasara

Builders

President of the forum Cherian K Kuriakose and member V Ramachandran sentenced

Manasara Builders managing director S Soman to a simple imprisonment of three years and

imposed a fine of Rs 5,000.

Consumer redressal forum, Ernakulam, on Thursday sentenced a builder, accused of not delivering

facilities as promised, to three-year imprisonment for failure to comply with directives of the state

forum.

President of the forum Cherian K Kuriakose and member V Ramachandran sentenced Manasara

Builders managing director S Somanto a simple imprisonment of three years and imposed a fine of Rs

5,000.

The accused was arrested soon after the verdict was pronounced. He was later remanded in judicial

custody.

The verdict came in a prosecution petition filed by Radha Hariharan, wife of Hariharan Nair, alleging

wilful violation and disobedience of the orders of the state forum.

The complainant had purchased a flat from the opposite parties and since it was found that the

construction of the building was unauthorized and facilities were not provided, she filed a complaint

before the consumer forum.

The state forum had directed the accused to provide the mandatory lift, diesel generator and fire-

fighting equipment with NOC within two months of the order issued in March 2012.

The builders contended that there was no negligence or deficiency in service and the complainant did

not suffer any loss.

The district forum observed that the accused had flouted the order of the state forum deliberately and



Link https://realty.economictimes.indiatimes.com/news/regulatory/consumer-court-orders-three-year-jail-term-for-kochis-manasara-builders/70796865

Page 15 of 26

had no intention to comply with the order of the state forum and was searching for opportunities to get

the matter delayed by hook or crook.

____________________________________________________________________

Page 16 of 26

Over 200 slums on private lands set to be regularized in Nagpur

The state cabinet on Tuesday approved a policy to give ownership titles to slum-dwellers

residing in slums on lands owned by private persons.

With assembly elections round the corner, the BJP-Sena government in the state has taken a populist

decision to regularize all unauthorized slums on lands owned by private parties. Hundreds of slum-

dwellers residing in 231 slums across the city will get ownership titles, while the private land owners

will receive compensation.

The state cabinet on Tuesday approved a policy to give ownership titles to slum-dwellers residing in

slums on lands owned by private persons. The policy has been approved as part of the Housing For

All Scheme-2022.

―The government in November 2018 approved a policy to give ownership titles to encroachers on

revenue department owned lands within the limits of urban self governing bodies. Similar decision

was taken for encroachments on lands owned by other government agencies, excluding zudpi jungles.

A large number of people are residing on private lands by constructing unauthorized houses for last

many years. Need was also to pass on the benefits of Housing For All Scheme-2022 to such

encroachers,‖ the cabinet note said.

As per data with NMC, there are 82 unauthorized slums on lands owned by private persons, of which

64 lands are reserved for residential while remaining 18 comprise of various other reservations. There

are 149 unauthorized slums on lands owned by private persons as well as government agencies. Of

these, 107 are reserved for residential and remaining 41 have other types of reservations.

The number of slums on private lands account for 54.35% of all slums across the city, which makes

the latest decision a populist one to woo slum-dwellers, who are considered dedicated voters. The city

comprises of 425 slums, which have around 1.50 lakh houses.

NMC officials told TOI a survey will be conducted to identify exact number of houses on private

land, and area of encroachers after issuance of notification by the government. ―Survey of slums on

revenue and government owned lands is nearing completion. Ownership titles have been issued to

around 2,500 slum-dwellers by NMC, NIT and collector office as on date,‖ the officials said.

Ruling party leader Sandip Joshi said decision will help in systematic development of city.

―CM Devendra Fadnavis was taking efforts to solve problems of slums in his South-West

constituency. The decision will benefit entire state. Also, slum-dwellers on private land will get justice

at par with those on government land,‖ he said.



Link https://realty.economictimes.indiatimes.com/news/regulatory/over-200-slums-on-private-lands-set-to-be-regularized-in-nagpur/70783906

Page 17 of 26

A large number of land owners too are about to get big relief. Owners have been running pillar to post

to get back possession of their land or compensation since decades.

Saish Padhye is a fine example. His father — Gopal Ganesh — had procured a plot from NIT in 1979

adjacent to Orange City Hospital. Slum-dwellers of Dhanteshwari area encroached on the plot in

1982. Since then, the Padhye family has been seeking justice from the government and also fighting a

lone battle in courts from the city to Mumbai.

Padhye said, ―The decision is welcome if we get compensation at par with PAPs of government

projects like Metro Rail etc under the central government‘s Land Acquisition Act. Else, we deserve

equivalent value of land in similar part of the city. Our family has gone through trauma to get back

our own property. Government agencies did not support us even after we won cases in district court

and high court,‖ he said.

NGO Centre for Sustainable Development has conducted a survey of slums on private land and

submitted a detailed report to NMC some years ago. Leena Budhe said, ―It is a big decision for poor

people as well as affected land owners. Decision will help in city‘s development,‖ she said.

____________________________________________________________________

Page 18 of 26

Margao civic body to recover Rs 5 crore in house tax arrears

MMC chief officer Siddhivinayak Naik said that over 500 units, both residential and

commercial, have been identified whose arrears have exceeded Rs 25,000.

The Margao Municipal Council (MMC) aims at recovering over Rs 5 crore by way of house tax

arrears. The civic body has now begun sending demand notices to defaulters whose arrears exceed Rs

25,000.

MMC chief officer Siddhivinayak Naiksaid that over 500 units, both residential and commercial, have

been identified whose arrears have exceeded Rs 25,000.

―There is a large number of defaulters whose arrears are between Rs 25,000 and Rs 1 lakh. Then there

are those whose outstandings are between Rs 5 lakh and Rs 9 lakh. We will easily be able to recover

over Rs 5 crore from them,‖ Naik said.

The names of these defaulters will also be displayed at the entrance to the municipality building, Naik

said. Banks and commercial establishments are among the major defaulters of house tax.

Naik said those ignoring the demand notices will have to face the prospects of disconnection of water

and power supply to their premises.

Persistent drives by the MMC against trade tax evasion earlier this year had set the MMC‘s cash

registers ringing in the last fiscal.

___________________________________________________________________



Link https://realty.economictimes.indiatimes.com/news/regulatory/margao-civic-body-to-recover-rs-5-crore-in-house-tax-arrears/70788000

Page 19 of 26

Kochi: GCDA begins eviction drive at Gandhinagar

As the initial step, unauthorized extensions at the front portion of a supermarket at

Gandhinagar have been evicted and demolished.

In a bid to crack down on illegal extensions in its building and commercial establishments, the Greater

Cochin Development Authority (GCDA) started an eviction drive on Wednesday.

As the initial step, unauthorized extensions at the front portion of a supermarket at Gandhinagar have

been evicted and demolished.

Also, four other shops situated adjacent to the shopping market have been issued eviction notices and

given a day‘s time to remove the extensions.

According to officials, the Will Mart supermarket that functions in the GCDA building at

Gandhinagar Junction extended the front and side portion using false ceilings and glass panels after

extending the basement without permission from authorities.

Even though GCDA issued a notice to the shopowners in December last year, they moved Ernakulam

munsiff court seeking stay which has not been availed till date.

―The shop has been using the illegal extension despite notices from GCDA. Earlier they requested one

month‘s time for removing the extensions. But even after the deadline, they refused to remove it.

GCDA has received the court order to demolish it and we are executing it,‖ said GCDA assistant

engineer Divya Vijayan.

Police personnel from Kadavanthara police station were present at the shop throughout the demolition

after a heated exchange of words took place between the officials and shopowners.

―We extended the shop after receiving permission from GCDA 10 years ago and there was no

problem over these years. The matter is under court‘s consideration and the hearing has been

postponed to next month. GCDA started the eviction without giving us a chance to shift our goods,‖

said shopowner V K Sabeer.

GCDA estate officer C K Shyamala said the authority was on a drive to identify similar illegal

extensions of its buildings and demolish them.

―Directives have been given to officials who are in charge of various establishments owned by GCDA

to submit a report on unauthorized extensions,‖ she said.



Link https://realty.economictimes.indiatimes.com/news/regulatory/kochi-gcda-begins-eviction-drive-at-gandhinagar/70788431

Page 20 of 26

___________________________________________________________________

Page 21 of 26

Commercial buildings must be disabled-friendly: Bombay HC tells

BMC

While hearing the pleas, the court expressed concern over the lack of ramps and other facilities

inside the premises of several commercial buildings to make them more friendly for differently-

abled people.

The Bombay High Court on Thursday asked the Brihanmumbai Municipal Corporation to grant

approvals to commercial buildings only after ensuring that they have various facilities for differently-

abled persons.

A division bench of Chief Justice Pradeep Nandrajog and Justice Bharati Dangre gave the direction

while hearing two petitions filed by interior designer Nisha Jamvwal and advocate Abha Singh over

the lack of wheelchair access and other facilities for differently-abled persons in some commercial

buildings.

While hearing the pleas, the court expressed concern over the lack of ramps and other facilities inside

the premises of several commercial buildings to make them more friendly for differently-abled

people.

"When the civic body gives sanction to such buildings, it should make it mandatory for them to be

constructed in such a manner that it is easily accessible to the differently-abled too," Chief Justice

Nandrajog said.

"Before granting the Occupancy Certificate (OC), you (BMC) should inspect the building and see if it

has been done," he said.

Advocate Singh on Thursday submitted a list of 15 buildings in the south and central Mumbai, lacking

proper facilities.

The buildings include the Oberoi Hotel at Nariman Point, the Four Seasons Hotel, and the National

Gallery of Modern Art, besides some malls and theatres.

The bench directed the civic body to inspect these buildings and submit a report on August 26.

____________________________________________________________________



Link https://realty.economictimes.indiatimes.com/news/commercial/commercial-buildings-must-be-disabled-friendly-bombay-hc-tells-bmc/70790033

Page 22 of 26

Revenue flow dips as demand for Amaravati plots nosedives

People are not keen to buy land in the capital city area despite steep fall in price.

In what could be a trend that indicates declining craze for Amaravati, revenue for

the registration department in the region has hit rock bottom during the current fiscal.

In August, only 7% of the revenue target was met. People are not keen to buy land in the capital city

area despite steep fall in price. The registration department chiefly depends on land transactions for its

revenue.

Analysts say real estate activity has come down in the capital city area after the state government put

majority of the key projects on hold. The registration department‘s revenue is expected to further go

down in Amaravati in the wake of latest controversy over the relocation of the capital city.

Although there is no official word from the government about its plans to relocate the capital city,

statements of YSRC leaders indicate that Amaravati will not be on their priority list.

According to official records, the registration department fetched around Rs 11.22 crore against a

target of Rs 20.45 crore from Amaravati region between April-July. This is just 54% of the target

fixed by the department.

The situation turned alarming in August where it made around Rs 33.15 lakhs in the first three weeks

while the month‘s target is Rs 4.88 crore. It could make up only 7% of the target and might end up

around 10% by the end of the month.

Local landlords said prices dipped to around Rs 20,000 per sq.yard from the previous Rs 40,000-

50,000 per sq.yard in the capital city area. ―There are no buyers at present rates,‖ said M Subbarao, a

land owner in Thullur.

The trend across the state, too, is bleak. Realtors attribute the slump in the market to the continued

stalemate in launching major development activities. ―The real estate market depends on overall

economic activity and major developmental projects in the state. The slump is continuing as there is

no big-ticket project in the state in the last few months,‖ said G Chandrasekhar, a realtor.

Except Vizianagaram zone which reported around 97% progress, all other zones reported revenue

between 50-80% till July. The trend has further slowed down during August where almost all the

zones reported around 35% revenue of the corresponding target.



Link https://realty.economictimes.indiatimes.com/news/industry/revenue-flow-dips-as-demand-for-amaravati-plots-nosedives/70783033

Page 23 of 26

Flexible workplace operators' take-up rises 52% in H1 2019: Report

During this period, Bangalore accounted for almost 30% of the leasing by flexible space

operator, said a recent report from CBRE.



Link https://realty.economictimes.indiatimes.com/news/commercial/flexible-workplace-operators-take-up-rises-52-in-h1-2019-report/70789983

Page 24 of 26

The need for workspace efficiency and a collaborative work environment has increased demand for

flexible office space for the first half of 2019.

The overall flexible space take-up in India reached about 4.6 million sq. ft in H1 2019, up 52% over

the same period last year. During this period, Bangalore accounted for almost 30% of the leasing by

flexible space operator, said a recent report from CBRE.

This is primarily a result of established corporates leasing large-sized spaces in recent times, in order

to provide ‗free addressing‘ options as well as improve agility of their RE portfolios.

―India is currently one of the leading flexible space markets in APAC and we expect increasing

investments in this segment going forward. Office stock is expected to grow from 600 mn sq. ft. in

mid-2019 to a billion sq. ft. by end of 2030 and flexible space will comprise 8-10% of the total office

stock,‖ said Anshuman Magazine, Chairman and CEO, India, South East Asia, Middle East and

Africa, CBRE.

Some of the large transactions during the first half of 2019 includes, Smartworks leasing leasing

2,90,000 sft in Delhi-NCR and WeWork renting 2,85,000 in Mumbai.

Top cities driving the demand are Delhi-NCR, Bangalore and Mumbai. The number of small- to

medium-sized deals of 20,000 - 100,000 sq. ft rose from 52% in H1 2018 to 61% in H1 2019.

Moreover, the number of large-sized deals exceeding 100,000 sq. ft increased from 6% to 13% y-o-y

in H1 2019.

―Customized enterprise solutions provided by operators offer a competitive advantage as well as

enable them to retain tenants for a longer term. This is expected to continue to attract established

corporates towards the flexible space segment,‖ said Ram Chandnani, Managing Director, Advisory

and Transaction Services India, CBRE.

Operators have also turned their focus from the top seven cities to tier-II cities such as Jaipur, Goa,

Chandigarh and Lucknow in the past few quarters.

―Most of our matured centres are 95% occupied and the turnaround time has reduced from seven

months to two months now, reflecting a strong demand for flexible space,‖ said Neetish Sarda,

Founder of Smartworks.

Flexible space stock crossed 23 million sq. ft. across leading cities in India during Q1 2019; this stock

exceeded 18 million sq. ft of 2018CY, mentioned the report.

Also, the continuously increasing demand for space in non-core micro-markets, coupled with paucity

of space in core micro-markets, is likely to result in the flexible office space dominating leasing in the

future. Additionally, the demand for managed office spaces will strengthen in the coming few quarters

and become almost comparable to that of hybrid spaces.

_________________________________________________________________

Page 25 of 26

Mumbai-based builder arrested for not handing over surplus area

EOW’s housing unit arrested Patel on Wednesday after a sessions court rejected his

anticipatory bail.

A builder has been arrested for failing to surrender surplus land to the Mumbai Building and Repairs

& Reconstruction Board (MBRRB) and causing a loss of Rs 2.5 crore. Abdullah Moosa Patel, 72, is

the second builder from the city to be arrested in a surplus area default case.

In January, the economic offences wing EOW had arrested Prakash Mehta of Shreeji Builders for not

surrendering 473 sq m to the board, thus causing it a loss of Rs 10 crore. He died recently.



Link https://realty.economictimes.indiatimes.com/news/regulatory/mumbai-based-builder-arrested-for-not-handing-over-surplus-area/70787503

Page 26 of 26

EOW‘s housing unit arrested Patel on Wednesday after a sessions court rejected his anticipatory bail.

A cheating case, based on MBRRB's complaint, was registered against him in February.

As per the police, Patel in 2003 redeveloped a building in Agripada, and was supposed to surrender

115.2 sq m surplus area as per rules, said an officer.

―Mhada sends legal notices to builders time to time asking them to surrender surplus land after

completing redevelopment projects as many builders default,‖ he said.

As per Development Control Rules, the FSI-building ratio should be 2.5 of gross plot area or FSI

required for rehab component plus 50% incentive FSI, whichever is higher. Any surplus built-up area

has to be surrendered to Mhada.

Page 27 of 26

Police said that from 2000-17, the board sent 12 reminders to Patel, who ran Pioneer Realtors with

one Nizarali Maknojia. Police said Patel recently replied that in 2005 his firm had handed over two

flats to the board. The board told police there was no such record. ―The board sent officials to the

building and found the said flats were already occupied. It then lodged an FIR, saying that as per

ready reckoner rates, Patel caused the board a loss of Rs 2.5 crore,‖ said an officer.

__________________________________________________________________

Documents

23-August-2019 - Credai Bengalcredaibengal.in/wp-content/uploads/2019/08/23Aug19... · 8/23/2019 · segment -- dream series -- to boost growth. The total investments will be about