FOREWORD - MagicBricksproperty.magicbricks.com/microsite/buy/propindex/... · demand, it was concentrated in properties in the affordable range as classified by the Union Budget 2014

PropIndex is now in its 4th year and the current issue is the 14th edition of what hasbeen an excellent round of reporting on the real estate market in India. In this longperiod of continuous reporting, we have gathered unmatched data, developed a veryrobust micro-level understanding of localities and market forces affecting real estateand brought valuable industry/expert advice to our users! PropIndex has gone fromstrength to strength – adding more analytics, insights and diverse views in everyedition. The current edition is no different – this time, we have invited editors ofTimes Property to share their views on respective cities. Also, we’ve expanded thecoverage of suburbs across most cities.

This issue of PropIndex reflects the reality of the country’s real estate market i.e. thatthe industry and government need to work hard on tangible policies and processes towoo the buyers back into residential real estate markets. While there was plenty ofdemand, it was concentrated in properties in the affordable range as classified by theUnion Budget 2014 (upto Rs 50 lakh) which recorded maximum demand at 37 per cent.This shows that end users are buying today and spending on current needs withoutstraining their wallets.

City indices remained fairly stable. The only aberrations were the Delhi City Indexwhich recorded drop in values in the last two quarters, indicating slow uptake in themarket. The Mumbai Index stabilised and rose 4 per cent in the quarter. Hyderabaddropped 2 per cent. All others recorded negligible variation. As expected, supply wentup across the cities vis-à-vis the previous quarter. Clearly, developers are working oncompleting projects and winning the confidence of customers.

A growing trend has been the rising demand for housing units priced at Rs 5 crore andabove across Indian cities. In cities such as Mumbai, Delhi and Gurgaon, Rs 1-2 crorewould classify as the mid-segment because of steep rise in property prices. Chennaientered the premium luxury market with a maximum demand for properties worthRs 5-10 crore at 11 per cent. Bangalore and Hyderabad posted 8 and 9 per cent demand.With property markets fairly stagnant, premium buyers have obviously decided totake the plunge. Supply still exceeds demand but healthy growth in demand alsospells good news for the industry. A lot of this demand is fuelled by those end userswho wish to upgrade from luxury to premium luxury living, according toMagicbricks surveys, also translating into the Housing Sentiment Index (HSI) evolvedin collaboration with IIM – Bangalore.

Rental markets remained fairly stable over a six-month period. Over 50 per centlocalities recorded a rise in the average rental values, thus nullifying the drop in theApr-Jun 2014 quarter. As small investors head for stock markets, property marketsneed to up the ante.

We’re also delighted to share with you that Magicbricks has won several awards forexcellence in the last quarter – we won the “Best Property Portal” award fromNaredco; the “Most Admired Real Estate Website” award from Lokmat; our Editor, E Jayashree Kurup was also adjudged “The Journalist of the Year” by CIDC. All ofthis provides encouragement for us to raise the bar even further. We continue to lookforward to your views and feedback on the current issue of PropIndex. Do write in!

FOREWORD

Sudhir PaiBusiness Head, Magicbricks.com

Magicbricks PropIndex

Magicbricks PropIndexis a tool whichempowers propertyseekers and investorswith detailedinformation on themovement of residentialapartment prices andsupply of properties inIndia. No credibleproperty index can be afunction of direct valuesas the changes aregoverned by multiplefactors.

Magicbricks PropIndexhas taken this realityinto account andproduced an index basedon listing of apartmentsand their capital andrental values on thewebsite.

Magicbricks has over 700,000 active propertiesposted by more than1,40,000 active users in300 cities and 10,000localities. Our usersinclude owners, agentsand developers.

Methodology

Apartment values arebased on listings onMagicbricks. Theseinclude multi-storeyapartments and singleunits on plotteddevelopments, referredto as builder floors onMagicbricks.com.

The Index is structuredin such a way thatindividual properties

are aggregated into theirrespective cities andthen to the NationalIndex. Weightages forPropIndex are based onthe supply of propertieswithin the locality/city.Based on this structure,PropIndex gives arealistic picture oftrends in price/supplyacross different propertymarkets in each city. Wehave used differentweightages for ListedPrice Monitor/RentMonitor. Therefore, readas a whole, PropIndexalong with tablesprovided for Listed PriceMonitor, Rent Monitor,Yield Monitor andCapital Values, gives anexcellent perspective ofthe property marketperformance in thequarter.

While listing and itsvalues/supply provide alevel of understandingof the market, there aremeticulous data checksto prevent aberrationscreeping in the Index.These are based onstatistical calculations,industry inputs andlogical interpretations.

The National PropertyIndex (NPI) is indicativeof the extent of activityas well as pricemovements across citiesand localities in themajor cities active onMagicbricks.com. Theindex includes the top11 cities (these have

been chosen based ontheir activity levels) andhas an individual cityreport for each of thesecities. While the NPI andits movements are ofinterest to the expertcommunity of bankers,builders and investors,the PropIndex has alsotaken care to explain thenuances of indexmovements at thelocality level that wouldhelp the huge base ofMagicbricks.comconsumers.

Insights into consumerdemand have beengathered throughanalysis of searchinformation on the site.This helps understandthe best localities bydemand, the type andconfiguration of units aswell as the budget-wisepreferences.

The PropIndex is theresult of meticulousresearch at the localitylevel and throughdetailed discussionswith experts atMagicbricks.com’soffline and onlineinitiatives.

The Indian real estatemarket is dynamic andthe PropIndex reflectsthose changes. Since it isderived from a dynamicdatabase, additions anddeletions of localitieshappen as a function ofmarket dynamics.

METHODOLOGY

There is a wealth of information within these pages. For better readability, we have presented some data as tablesand others as graphs. Between them, you will find how property markets have performed in the Jul-Sep 2014quarter from different perspectives – from that of capital appreciation, from a rental/yield realisationperspective and from a supply standpoint. Demand Analysis section also explains what consumers look for.

We recommend that you evaluate the city report in its entirety and that will provide a rounded perspective of theperformance of the property market within each city. Here are the details of what you will find in each of the cityreports enclosed within:

1. City Property Index – This is a composite index which is a function of supply of properties as well as theaverage capital appreciation/drop in various localities of the city in the quarter. The city index is theweighted average of the average rate per square foot in that locality and the supply of properties from thatlocality. Premium localities (with higher average rate per square foot) as well as localities with higher supplyof properties will have a bigger impact on the Index. For example, if the supply of properties from apremium locality drops, that locality will end up having a lower weightage in the index which in turn willpush the Index downwards (and vice-versa). On the other hand, supply of properties remaining unchanged,the Index will be influenced by capital appreciation within the locality.

2. Listed Price Monitor – This metric shows the capital appreciation/drop within a locality and is calculatedon the basis of movement in the “average rate per square foot” within that locality. By and large, themovement in the “average rate per square foot” reflects capital appreciation/drop. However, in a few selectcases, we have observed that the average rate per square foot moves due to a change in the mix of apartmentswithin that locality (e.g. if the ratio of premium apartments, which command a higher per square foot rate,changes over the quarter). In these few circumstances, the Listed Price Monitor will, in turn, reflect thisinput. Such changes have been explained in the text of the City Reports.

3. Rent Monitor – This reflects the rental appreciation/drop within a locality. It is calculated on the basis ofmovement in the “average rent per square foot” within that locality. By and large, the movement in the“average rent per square foot” reflects rental appreciation/drop. However, in a few select cases, we haveobserved that the average rent per square foot moves due to a change in the mix of apartments within thatlocality (e.g. if the ratio of premium apartments, which command a higher per square foot rent, changes overthe quarter). In these few circumstances, the Rent Monitor will, in turn, reflect this input. Such changes havebeen explained in the text of the City Reports.

4. Yield Meter – Yield is the annual rate of return earned on property. The Yield Meter depicts the gross yieldpercentages across various localities. Gross yield is a ratio of average annual rental value to the averagecapital value of the property.

5. Capital Value Tables (given in Annexures) – This shows the actual range of prices within which propertieswere available in each locality in the quarter. Prices are shown in Rupees per square foot basis, these are theprevailing rates for properties in each locality.

6. Demand Analysis – This analysis of consumer demand is based on searches and requirements that usershave performed on Magicbricks.com. The top localities by demand gives an insight into consumerpeferences. The demand data has been used to arrive at various aspects of consumer requirements includingBudget-wise analysis, Property type analysis and BHK configuration analysis. This section also provides acomparison between demand and supply in the Apr-Jun 2014 and Jul-Sep 2014 quarters.

7. Realty News – Property market performance is also dependent on drivers outside the purview of buyingand selling. There are broadly four key drivers that determine the prospects of real estate – infrastructuresuch as water and power, transport links creating new growth corridors, policy such as rental laws, propertytax, etc and return on investment. PropIndex also focuses on news bytes that impact future prospects of real estate in the city.

GLOSSARY & DEFINITIONS

NOTES

JUL-SEP 2014

In the Jul-Sep 2014 quarter, theNational Property Index recordedno change, unlike the previousquarter. This was reflected in therespective City Indices, where 9 out of 12 cities witnessed minus2 to plus 1 per cent change. In thecurrent quarter, supply has goneup across cities and the averagecapital values remained subdued,indicating a slow real estate.

NPI is a weighted average ofsupply and values across cities inIndia. Mumbai City Indexrecorded a maximum increase by4 per cent followed by Chennai at3 per cent. On the other hand,Delhi City Index recordedmaximum drop of 3 per cent.

Ahmedabad, Coimbatore,Ghaziabad, Noida and Pune noteda small rise of 1 per cent andKolkata City Index remainedunchanged. On the other hand,Bangalore and Gurgaon witnesseda drop of 1 per cent each andHyderabad City Index recorded adrop of 2 per cent.

The new government is expectedto undertake several reforms thatwill affect the economy and realestate market. The recentlycleared final guidelines for settingup and regulating the Real EstateInvestment Trusts (REITs) andInfrastructure Investment Trusts(InvITs) are a step in thisdirection. Opening up of theSovereign and Pension funds intoreal estate are expected to providea new source of funding to thecash-crunched and debt-ladendevelopers.

In addition to it increase in limitof affordable housing loans toindividuals from upto Rs 25 lakhto upto Rs 50 lakh in metros andfrom upto Rs 15 lakh loans to uptoRs 40 lakh in other centersexpected to boost affordablehousing and push salessignificantly in the long-term

In this edition of the PropIndex,we have introduced Coimbatore asan independent city.Saravanampatti, Ganapathi,Trichy Road and RS Puram

witnessed the maximum activity.The average price change in thecity ranges between minus 8 percent to plus 6 per cent for sale. Inthe rental market, the change inthe average values range betweenminus 2 to plus 8 per cent.

n Availability ofproperties on rentregistered a dropacross Indiaexcept inGhaziabad

n Demand forresidentialhouses witnesseda rise acrosscities. On theother hand,demand forapartments hasshown a smalldrop

n Bangalore, Puneand Kolkata offerthe maximumoptions inproperties worth Rs 30-50 lakh

IN THIS REPORT:

National Property Index...............1

Chennai.....................................4

Annexures.................................12

Policy Perspective......................14

NATIONAL PROPERTY INDEX (NPI)

VOL 4, ISSUE 2; JUL-SEP, FY 2014-15

JUL-SEP 2014

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NATIONAL PROPERTY INDEX

l Availability of a number ofunits across the city has goneup between 4-17 per cent.Hyderabad and Bangalore insouth, Pune in west and Noidaand Gurgaon in north recordedthe maximum rise in stock

l Properties worth Rs 30-50 lakhrecorded the maximum demandat 28 per cent followed byproperties in the budget rangeof Rs 50-70 lakh at 21 per cent

l Delhi, Mumbai and Gurgaonrecorded almost 20 per centdemand for properties worth Rs 2 crore and above

The Ahmedabad City Index roseby 1 per cent in the Jul-Sep 2014quarter, unlike the Apr-Jun 2014quarter. After a consistent drop inthe City Index value in the lastthree quarters, the index recordeda marginal rise of 1 per cent.Increase in the average capitalvalues in a majority of localitiesin the city helped the Listed PriceMonitor to record a rise of 2 per cent in the Jul-Sep 2014 quarter.

The Bangalore City Indexcontinued to remain steady,dropping by just 1 per cent duringthe Jul-Sep 2014 quarter.Bangalore city reported steadygrowth with no dramatic change

in price or rental values. A clearshift in buyer preference fromplots to apartments continued tobe witnessed in the quarter. Whileapartments remained in over-supply for the second quarter in arow, plots remained marginallyunder-supplied.

Rise in over 60 per cent trackedlocalities resulted in a rise in theaverage capital values, pushing upthe Chennai City Index as well asthe Listed Price Monitor. Similartrend was recorded in the rentalmarket with over 65 per centlocalities recording a rise of 1-10 per cent in the average rentalvalues in the city.

Coimbatore, one of the fastdeveloping cities, primarily due toa burgeoning business classretained a steady cautious growthobserved in most cities of theSouth. The Coimbatore City Indexrose by 1 per cent, while the ListedPrice Monitor rose by 4 per cent.Increase in the average capitalvalues and a small rise in supplykept up the City Index value andthe Listed Price Monitor.

The Delhi City Index continued towitness a negative trend with adrop of 3 per cent, in line with theApr-Jun 2014 quarter. The ListedPrice Monitor remainedunchanged as compared to theprevious quarter, as capital values

continued to drop acrosslocalities. Despite there being nogovernment in Delhi and slow realestate activity, the city recordedrobust demand for propertiesworth upto Rs 1 crore. Hugesupply deficit was recordedquarter-over-quarter in thissegment, with supply 50 per centof demand.

In the last six months, Gurgaonresidential market witnessedstable trends with no significantchange in supply and price.Almost equal number of localitiesrecorded rise or drop in values.This resulted in no change in theListed Price Monitor and anominal drop of 1 per cent in theGurgaon City Index.

Over 75 per cent of localitiesrecorded a rise in capital values.

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Locality RankQ2 Q1

Mumbai 1 1

Bangalore 2 2

Pune 3 3

New Delhi 4 7

Hyderabad 5 8

Kolkata 6 6

Chennai 7 4

Gurgaon 8 5

Ghaziabad 9 9

Noida 10 10

Preferred Cities - Sale

Note: Q2 Jul-Sep 2014, Q1 Apr-Jun 2014

Preferred Cities - Rent

Locality RankQ2 Q1

Mumbai 1 1

Bangalore 2 3

Pune 3 2

New Delhi 4 4

Chennai 5 5

Hyderabad 6 6

Gurgaon 7 7

Kolkata 8 9

Ghaziabad 9 8

Noida 10 10Note: Q2 Jul-Sep 2014, Q1 Apr-Jun 2014



A minimum rise of 1 per cent wasseen in localities having maximumsupply such as Indirapuram,Vaishali, Vasundhara and Raj Nagar Extension. Thisarrested the growth of theGhaziabad City Index.

The Hyderabad City Indexremained steady in the Jul-Sep 2014 quarter, with a drop of2 per cent, as compared to the 1 per cent drop in the Apr-Jun 2014quarter. The Listed Price Monitorrecorded no change. Unlike capitalvalues, rental values also showed apositive trend. Over 60 per cent ofthe tracked localities recorded arise between 0-10 per cent in theaverage rental values.

In the last six months, Kolkatareal estate market recorded almostno change in the Listed PriceMonitor and the Kolkata CityIndex value at 0 and 1 per cent,respectively. Active supply in thecity went up by 7 per cent from theprevious quarter. Rajarhatwitnessed the maximum increasein stock, followed by Garia. Almostequal number of localitiesrecorded a rise or drop in theaverage capital values, keeping theListed Price Monitor and the City Index within a range of 0-1 per cent.

Noida witnessed an increase inthe availability of properties forsale by over 10 per cent in the lastthree months. Except Sector 44, all

other sectors noted a rise or a dropin the average capital valuesbetween minus 4 to plus 4 per cent.This arrested the Noida City Indexand kept the Listed Price Monitorunchanged. Close to 60 per centlocalities recorded a change in theaverage rental values, rangingbetween minus 6 to plus 5 per cent.

The Mumbai City Index rose by 4 per cent in the Jul-Sep 2014quarter. This was in contrast to theprevious quarter where itremained unchanged. The ListedPrice Monitor rose by 3 per centduring the same period unlike theprevious quarter where itremained unchanged. Of the totallocalities in the city, 70 per centrecorded a rise between 0-5 per cent in the average capitalvalues. This pushed up the ListedPrice Monitor and the City Indexvalue in this quarter.

Pune remained one of the mostconsistent real estate markets inthe country. In the last six months,the market remained stable with amarginal increase of 1 per cent inthe Pune City Index value and 2 per cent in the Listed PriceMonitor. The city recorded over 10 per cent increase in the activestock available for sale. A drop of2-4 per cent was recorded in thelease market. Supply trend showedmaximum number of propertiesfor sale within the average price ofRs 5,000-7,000 per sq ft at 49 per cent.

Upto Rs 20 Lakh Rs 20-30 Lakh Rs 30-50 Lakh Rs 50-70 Lakh Rs 70-100 Lakh Rs 1-2 Crore Rs 2 Crore & Above

National - Consumer Budget Preference

30%

25%

20%

15%

10%

5%

0%

2%

7%

28%

21%

16% 16%

10%

TOP YIELD GROSSERS

Gross yield is a ratio of average annualrental value to the average capital valueof the property. Given below are the topyield-grossing localities in each city.

Locality Gross Yield

Bangalore, Marathahalli 5.11%Kolkata, Banshdroni 4.71%Hyderabad, Gachibowli 4.48%Ahmedabad, Prahlad Nagar Extn 4.29%Delhi, Uttam Nagar 3.74%Chennai, Padur 3.70%Ghaziabad, Shakti Khand 3 3.48%Noida, Sector-92 3.43%Pune, Chakan 3.36%Mumbai, Parel 3.34%Gurgaon, Sushant Lok 2.75%

CAPITAL GAINS

The table given below indicates maximumincrease in capital values in each city.

Locality % Change

Kolkata, Ballygunge Circular Area10.25%

Bangalore, Bannerghatta Road 10.00%

Ahmedabad, Thaltej 9.29%

Ghaziabad, Dlf Dilshad Extn 9.23%

Chennai, Vadapalani 7.69%

Mumbai, Worli 6.99%

Pune, Bibwewadi 6.83%

Hyderabad, Hafeezpet 5.80%

Delhi, Rohini Sector-13 4.36%

Noida, Sector-70 3.83%

Gurgaon, South City II 3.53%

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CHENNAI 04VOL4, ISSUE 2; JUL-SEP, FY 2014-15propindex.magicbricks.com

PROPINDEX - CHENNAI

The Chennai City Index continued its slow rise in the Jul-Sep 2014 quarter. It rose by a moderate 3 per cent, a slightlyhigher rate than in the previous quarter. The Listed PriceMonitor reported a rise of 4 per cent in the current quarteragainst the 2 per cent drop recorded in the Apr-Jun 2014 quarter.

l Over 60 per cent localities in thecity in this quarter recorded arise in the average capitalvalues, pushing up the CityIndex as well as the Listed PriceMonitor

l A similar trend was recorded inthe rental market with over 65 per cent localities recording arise between 1-10 per cent in theaverage rental values in the Jul-Sep 2014 quarter

l Active localities in the citywitnessed an increase in supplyby over 5 per cent in the lastthree months. Maximumincrease was recorded inPoonamallee and Perumbakkamduring this quarter

l Premium localities offeredrental returns between 2-3 per cent. The average capitalvalue in these areas was over Rs 10,000 per sq ft in the current quarter

l Properties worth Rs 40-60 lakhcontinued to be the mostpreferred budget range acrossthe city in the Jul-Sep 2014quarter, except in the centraland west regions of the city

l Other than smaller units(1BHK), no other categoryrecorded a rise in demand in thelast three months. Demand for1BHK units grew by 2 per centfrom the 8 per cent in theprevious quarter. However,supply remained stable at 8 per cent

l Over 60 per cent demand wasrecorded for 2BHK units withsupply at 54 per cent

l Units of 3BHK continued to bethe second most preferred BHKcategory with demand at 27 percent and supply at 30 per cent

l Larger units (4BHK and Above)witnessed a drop in demandfrom 4 per cent to 2 per cent inthe Jul-Sep 2014 quarter. Supplynoted a small drop of 1 per centfrom the previous quarter

l Apartments were the mostactive property type in the city,with Central Chennai recordingthe maximum demand at 55 per cent. Plots continued to bethe second most preferredhousing category, with highestdemand in West Chennai at 55 per cent

Key Takeaways

Residential, commercialheaded for recoveryThe worst seems to be over for theChennai real estate sector with theresidential and office markets showingsigns of a recovery due to acombination of policy reforms andsops for buyers and sellers.

Bouncing back after a negative spell,there is a spirit of optimism especiallyafter the new government at theCentre. “August and September havebeen good and we managed to do ournumbers. The sentiments are positive,”says Ajit Chordia, chairman, CredaiTamil Nadu chapter.

Chennai has always been an enduser’s market, with hardly anyspeculative buying and low volatility.Minimum price fluctuations works tothe benefit of the buyer.

“Compared to the last six months themood is positive. The new governmentat the Centre is giving positive signals,enquiries are up. But decisions aredelayed as customers have too manychoices,” says Suresh Jain, managingdirector, Vijay Shanthi Builders.

Prime Minister Narendra Modi’s visionof ‘Housing for All’ by 2020 hasbrought the focus on affordablehouses.“Projects committing at least30 per cent of their costs for suchhousing will now be exempted fromthe minimum built-up area andcapitalisation requirements. These willfurther accelerate the supply ofaffordable housing,” says Chugh.

Jain estimates it will take at least ayear for the plans to translate intoaction. But the Rs 10-30 lakhsegment is likely to get a boost,especially with big groups such asMahindra getting into this sector.Infrastructure along the outskirts of thecity is likely to see a spurt, he says.

Despite y-o-y increase in prices since2012, the rate of appreciation differsaccording to location and marketsegments. Chennai offers optionsacross the luxury, premium andaffordable categories in and aroundthe growing suburban corridors ofOMR, ECR, GST and Poonamallee.

The change in leadership in the stateis worrying the industry too.

[email protected], Times Property, Chennai

Ed i t o r i a l


CHENNAI05VOL4, ISSUE 2; JUL-SEP, FY 2014-15 propindex.magicbricks.com

l With the exception of Anna Nagar West, whichwitnessed a marked drop in values, all other areasreported a marginal increase

l Tambaram West, Korattur, OMR and Perungudirecorded a steady increase in capital values.Tambaram West topped the list with a 4 per centincrease in this quarter

l Localities such as Perumbur, Pallavaram, Ambattur,Tiruvanmayur, Iyyappanthangal and Oragadam allreported 0-1 per cent change in property values

l Only exception in the top localities list to this normwas Anna Nagar West, which reported a drop of 8 per cent, primarily due to saturated land pockets

L I S T ED PR I CE MON I TOR

Locality Average Rental Average Capital Gross

Value (Rs/sqft/mth) Value (Rs/sqft) Yield

Mylapore 24.75 16,125 1.84%

Nungambakkam 24.75 13,525 2.20%

Velachery 16.50 6,350 3.12%

Padur 12.50 4,050 3.70%

T Nagar 23.00 11,575 2.38%

Kilpauk 20.50 11,325 2.17%

Thiruvanmiyur 21.75 10,875 2.40%

Thoraipakkam 15.75 5,550 3.41%

Perungudi 15.25 6,125 2.99%

Sholinganallur 13.25 4,875 3.26%

Y I E L D M E T E R

l The Yield Meter was recorded in the range of 1.84-3.70 per cent as compared to the 2.12-3.92 percent recorded in the previous Apr-Jun 2014 quarter

l Padur topped the list with the highest yieldfollowed by Thoraipakkam and Sholinganallur.Thoraipakkam reported a 3.41 per cent yield,while Sholinganallur was at 3.26 per cent

l Areas such as T Nagar, Thiruvanmayur andVelachery reported an equally modest yield in theJul-Sep 2014 quarter

l Mylapore registered the least yield followed byKilpauk. Saturated land pockets and up-marketluxury areas are reasons for the muted increase inrental values in these areas

RENT MON I TOR

l With the exception of Chetpet, which witnessed again of 7 per cent, not many areas reported a rise inrental values in the Jul-Sep 2014 quarter

l Adayar reported the highest drop of 10 per cent inrental values, followed by Sholinganallur, a closesecond at 9 per cent. Other areas reporting a notabledrop were Kelambakkam and Besant Nagar with 5 and 4 per cent drop in the quarter

l Medavakkum, Madipakkum, Padur, Pallikaranai,Velachery, T Nagar and OMR reported no change inrental values in the quarter.

l Nugampakkam and Alwarpet recorded 1 per centchange in rental values in the Jul-Sep 2014 quarter

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PREFERRED LOCALITIES

l South Chennai continued to be the preferred zone.Almost two thirds of the localities in the top tenpreferred localities for sale were from this zone

l The market witnessed notable changes in the listwith Guduvancheri at number one in the previousquarter, dropping to the fifth slot. Medavakkamdropped a single spot to be the fourth in the list

l Tambaram continued to hold its position at thebottom of the list in this quarter as well

l OMR topped the list followed by Porur andVelachery in the top three positions as the preferredresidential localities for purchase in the current,Jul-Sep 2014 quarter

l While Velachery and Medavakkam continued toattract IT professionals, OMR and Porur sustainedtheir lead due to availability of ready-to-move-inproperties located enroute to the IT Parks

l Madipakkam, Kolathur and Pallikaranai remainedin demand due to accessibility and connectivity

l Velachery, Adyar, OMR and Thiruvanmiyurcontinued to retain their top slots as the preferredrental areas. Planned layouts, wide roads, presenceof educational institutions and medical facilitiescontinued to render these as the preferred locations

l Porur dropped two positions in the list of the top tenpreferred localities for rent to reach the the bottom,preceded by T Nagar and Anna Nagar

l Strategic location giving easy access to the citycentre and other upcoming localities ensured thepopularity of these places. Thiruvanmiyur andAdayar are well connected to the OMR

l Medavakkam dropped two slots to occupy theseventh position, while Sholinganallur, climbed tothe fifth position in the list

l While OMR climbed further to the third spot, due toits proximity to offices and commercialestablishments, Anna Nagar dropped two spots tohold the eighth position in the list

RENT


Locality Rank Capital %ageQ2 Q1 Values change

OMR 1 2 3700 to 4800 3%

Porur 2 3 4200 to 5400 2%

Velachery 3 4 5800 to 7300 -3%

Medavakkam 4 5 4300 to 5100 -1%

Guduvancheri 5 1 3100 to 3650 1%

Adyar 6 - 12650 to 16500 5%

Kolathur 7 7 4350 to 5650 5%

Madipakkam 8 6 4400 to 5300 -3%

Pallikaranai 9 8 4400 to 5100 2%

Tambaram 10 10 3700 to 4550 -2%

SALE


Locality Rank Rental %ageQ2 Q1 Values change

Velachery 1 1 15000 to 19000 0%

Adyar 2 2 21500 to 27500 -10%

OMR 3 4 11500 to 16000 0%

Thiruvanmiyur 4 3 19500 to 25500 4%

Sholinganallur 5 7 12000 to 15500 -9%

Nungambakkam 6 - 22500 to 28500 -1%

Medavakkam 7 5 10000 to 12500 0%

Anna Nagar 8 6 20000 to 25500 -5%

T Nagar 9 - 21000 to 26500 0%

Porur 10 8 11500 to 14500 2%

Guduvancheri, Oragadam, Thiruvallur, Poonamallee

Home in your Budget

Upto Rs 20 Lakh

l Central localities such as Adyar,Thiruvanmiyur, Anna Nagarand Besant Nagar continued tooffer premium propertiespriced over Rs 1 crore

l Maximum demand was forproperties in the Rs 40-60 lakhrange. Supply was highest inMedavakkam, Pallikaranai andMadipakkam

l Properties in Rs 60-100 lakhwere available in Velachery,Pallikaranai and Perungudi

Guduvancheri, Urappakkam, OMR, Vandalur, PorurRs 20-40 Lakh

Medavakkam, Pallikaranai, Madipakkam, Porur, SelaiyurRs 40-60 Lakh

Velachery, Pallikaranai, Valasaravakkam, PerungudiRs 60-100 Lakh

Adyar, Thiruvanmiyur, Anna Nagar, Besant NagarRs 1 Crore & Above

Source: Magicbricks.com Source: Magicbricks.com



Budget wise Analysis

l Demand and supply at the citylevel remained unchanged, as inthe Apr-Jun 2014 quarter. The Rs 40-60 lakh category remainedthe most preferred budget rangewhile the most supplied range stillcontinued to be the Rs 20-40 lakhsegment

l Over-supply of 17 per cent wasnoted in the below Rs 20 lakhsegment. Supply matched demandin the Rs 20-40 lakh and the Rs 1 crore and Above categories

DEMAND - S UPP LY ANALYS I SApartments seem to be slowly gaining popularity among buyers in the city. About 40 per centdemand was noted for the same across zones in the Jul-Sep 2014 quarter. Close on the heels of this,were plots which were almost equally in demand with the target segment.

The 2BHK category garnered the highest demand at the city level in the current quarter. Supplyalmost matched demand in this segment. More than 55 per cent demand was observed in thecategory across all zones. The city continued to witness over-supply of affordable properties belowRs 20 lakh. However, in the Rs 40-60 lakh budget range the numbers were skewed in favour ofdemand.

Property wise Analysis

l Compared to other cities, demandfor apartments still remained low,just above 40 per cent, whereas,supply for the same continued to behigher at about 51 per cent in the Jul-Sep 2014 quarter

l Plots were still popular with nearly30 per cent demand, while supplystood at 36 per cent. By and large,the demand and supply statistics inthe category remained stable sincethe beginning of 2014

BHK wise Analysis - City Level

l More than 50 per cent demand wasseen for 2BHK units in the Jul-Sep 2014 quarter. This segmentwas also the most supplied with 54 per cent availability

l A healthy demand and supply wasseen for 3BHK units. Supplymatched demand in the segment,consistent with the last six months.While supply moved up 2 per centto settle at 30 per cent, demandstood unchanged at 27 per cent inthe current quarter

40

30

20

10

0<20 20-40 40-60 60-100 100 &

above

6

Fig

ures

in p

erce

ntag

e(%

)

Figures in Rs lakh

6

24 23

3129

23 24

1618

(Apr-Jun 2014)

(Jul-Sep 2014)

Budget wise Analysis - City Level

DEMAND

40

30

20

10

0<20 20-40 40-60 60-100 100 &

above

23

Fig

ures

in p

erce

ntag

e(%

)

Figures in Rs lakh

2326 27

20 20

1512

16 18

(Apr-Jun 2014)

(Jul-Sep 2014)

SUPPLY

BHK Configuration - City Level

80

60

40

20

0

810

61 61

2727

42

(Apr-Jun 2014)

(Jul-Sep 2014)

Fig

ures

in p

erce

ntag

e(%

)

1BHK 2BHK 3BHK 4BHK &above

DEMAND SUPPLY

80

60

40

20

0

8 8

5754

28 30

7 8

(Apr-Jun 2014)

(Jul-Sep 2014)

Fig

ures

in p

erce

ntag

e(%

)

1BHK 2BHK 3BHK 4BHK &above

Property wise Analysis - City Level

60

40

20

0

4043

17

28

43

29

(Apr-Jun 2014)

(Jul-Sep 2014)

Fig

ures

in p

erce

ntag

e(%

)

Apartment Residential House Residential Plot

DEMAND

60

40

20

0

51 51

1213

36 36

(Apr-Jun 2014)

(Jul-Sep 2014)

Fig

ures

in p

erce

ntag

e(%

)

Apartment Residential House Residential Plot

SUPPLY

Source: M

agicbricks.comS

ource: Magicbricks.com

Source: M

agicbricks.com


BHK wise Analysis


Q1 (Apr-Jun 2014)

Q2 (Jul-Sep 2014)

Rs <20 lakh

Rs 20-40 lakh

Rs 40-60 lakh

Rs 60 lakh-1 crore

Rs1 crore and above

DEMAND SUPPLY


l By and large, demand and supply remained stable in the quarter.The Rs 40-60 lakh category continued to remain the preferred choicewith 31 per cent demand, while supply remained at 22 per cent

l An over-supply of 15 per cent was noted again for properties in theUpto Rs 20 lakh category. While the demand stood unchanged at amere 6 per cent, supply was 21 per cent in the Jul-Sep 2014 quarter

l A healthy demand and supply of 25 and 29 per cent, respectively, wasnoted for properties in the Rs 20-40 lakh range. The above Rs 1 crorecategory reported a demand-supply balance, with both at 15 per cent. Demand in the segment inched up by 2 per cent

DEMAND SUPPLY

DEMAND & SUPPLY - South Chennai

While maximum demand was seen for apartments, supply in the market has also inclinedtowards this category in the Jul-Sep 2014 quarter. While plots registered supply of 32 per cent, demand in the quarter stood at 30 per cent.

More than 60 per cent demand was seen for 2BHK units making it the preferredconfiguration in South Chennai in the current quarter. Properties in the Upto Rs 20 lakhcategory remained over-supplied while under-supply was noted in the of Rs 40-60 lakhcategory in the quarter.


l In contrast to the previous two quarters, maximum demand wasnoted for apartments in South Chennai, a new trend in the city. Withdemand at 42 per cent, an over-supply of 14 per cent was noted in thecategpry as supply in the category stood unchanged at 56 per cent

l The area also witnessed a significant drop in demand for plots in theJul-Sep 2014 quarter. The zone reported a demand of 25 per cent vis-à-vis a supply of 17 per cent for plots. A marked drop against the46 per cent demand recorded in the previous quarter

l Demand for residential houses grew by 13 per cent this quarter tosettle at 28 per cent while supply stood unchanged at 12 per cent

BHK wise Analysis

l The 2BHK category retained its position as the most preferredcategory in the Jul-Sep 2014 segment. The demand continued to be61 per cent as observed in the Apr-Jun 2014 quarter, while supplydropped marginally to 57 per cent

l Similarly, demand in the 3BHK category remained unchanged inthis quarter as well, dropping by a mere 1 per cent to stand at 28 per cent, while the supply remained well matched at 29 per cent

l Demand and supply in the 1BHK and 4BHK and Above categoriesremained stable. While demand and supply for 1BHK units werewell matched at 9 and 7 per cent respectively, an over-supply of 4 per cent was noted for the larger units

Q1 (Apr-Jun 2014)

Q2 (Jul-Sep 2014)

1 BHK

2 BHK

3 BHK

4 BHK & above

DEMAND SUPPLY


Q1 Q2

25

6

31

2323

32

15

6

26

13

Q1 Q2

28 29

15

13

22

14

15

22

2121

Q1 Q2

42

28

39

15

Q1 Q2

56

12

56

12

Q1 Q2

61 61

98

2829

Q1 Q2

58 57

2929

77

30

Q1 (Apr-Jun 2014)

Q2 (Jul-Sep 2014)

Apartment

Residential house

Residential plot

46 3232

76

Source: M

agicbricks.comS


Source: M

agicbricks.com


BHK wise Analysis


Q1 (Apr-Jun 2014)

Q2 (Jul-Sep 2014)

Rs <20 lakh

Rs 20-40 lakh

Rs 40-60 lakh

Rs 60 lakh-1 crore

Rs1 crore and above

DEMAND SUPPLY


l A significant over-supply of 34 per cent was noted for properties inthe budget range of Upto Rs 20 lakh. While the demand laggedbehind at 8 per cent, a small increase of 1 per cent was noted, ascompared to the Apr-Jun 2014 quarter

l The Rs 40-60 lakh budget range was the most preferred with 28 per cent buyer interest, while supply lagged behind at 16 per cent

l Both demand (27%) and supply (23%) dropped for properties worthRs 20-40 lakh by just 1 per cent in both segments. Demand andsupply for properties in the Rs 60-100 lakh were 21 and 10 per cent,respectively. The Rs 1 crore and above category remained almostconstant in the quarter

DEMAND SUPPLY

DEMAND & SUPPLY - North Chennai

Apartments, Independent houses and plots were equally preferred. While 38 per centdemand was noted for apartments, plots and houses registered a demand of 31 per centeach. A significant mismatch in demand and supply of apartments was in seen. The 2BHKcategory remained the most preferred configuration with 62 per cent buyer interest.

Affordable properties priced below Rs 20 lakh were over-supplied as demand remainedlow in the category. On the other hand, the Rs 40-60 lakh budget range was under-supplied,even though it witnessed the highest demand at 28 per cent.


l Demand for apartments at 38 per cent remained almost unchangedfrom the Apr-Jun 2014 quarter. However, an over-supply of 5 per centwas noted in the category, even though a rise of 2 per cent wasrecorded in the supply of apartments in the Jul-Sep 2014 quarter

l Moderate demand was noted for residential houses with 31 per centbuyer interest in the current quarter. Supply was low at 14 per centrecording a deficit of 16 per cent

l Both demand and supply changed for plots in the current quarter.Demand dropped from 38 to 30 per cent in the Jul-Sep 2014 quarter,while supply climbed to 43 per cent, up by 2 per cent from theprevious quarter

BHK wise Analysis

l The highest demand and supply in North Chennai continued to befor the 2BHK segment. Demand at 62 per cent led supply by 9 per cent. This was a rise of 4 per cent from the previous quarter

l Demand and supply for 3BHK units remained almost unchangedsince the Jan-Mar 2014 quarter. While demand was 26 per cent,supply stood at 34 per cent, clearly a slightly over-supplied market

l While demand for 1BHK units stood at 11 per cent, supply remaineda little behind at 9 per cent. On the other hand, the 4BHK and Abovecategory reported a demand of 2 per cent, while supply remainedslightly higher at 8 per cent

Q1 (Apr-Jun 2014)

Q2 (Jul-Sep 2014)

1 BHK

2 BHK

3 BHK

4 BHK & above

DEMAND SUPPLY


Q1 Q2

26 27

21

28

87

32

19

16 16

Q1 Q2

23

34

24

34

16

10

1715

12

15

38

31

40

22

Q1 Q2

43

14

46

13

Q1 Q2

Q1 Q2

6263

11

2526

9

Q1 Q2

5357

30

9

278

9

Q1 (Apr-Jun 2014)

Q2 (Jul-Sep 2014)

Apartment

Residential house

Residential plot

3138 4341

7

Source: M

agicbricks.comS


Source: M

agicbricks.com


BHK wise Analysis


Q1 (Apr-Jun 2014)

Q2 (Jul-Sep 2014)

Rs <20 lakh

Rs 20-40 lakh

Rs 40-60 lakh

Rs 60 lakh-1 crore

Rs1 crore and above

DEMAND SUPPLY


l A 22 per cent demand was recorded for properties in the budgetrange of Rs 40-60 lakh, while supply dropped to 17 per cent, a drop of3 per cent as compared to the previous quarter. Similarly, the Rs 60-100 lakh category was under-supplied at 18 per cent, whiledemand remained at 33 per cent

l The Rs 1 crore and Above category reported a demand of 29 per cent,while the market was over-supplied by 10 per cent in the Jul-Sep 2014 quarter

l Both demand and supply dropped by 2 per cent in the Rs 20-40 lakhcategory; while demand was 14 per cent, supply was at 18 per cent inthe current quarter

DEMAND SUPPLY

DEMAND & SUPPLY - Central Chennai

Apartments were yet again the preferred property type in Central Chennai with 55 per cent demand, down from the 63 per cent in the previous quarter. Moderate demandwas also noted for plots and residential houses, with houses taking precedence over plots.

Demand was equally distributed in the various budget ranges. Properties priced in therange of Rs 40 lakh to Rs 1 crore were under-supplied. Properties priced above Rs 1 crorewere over-supplied. Demand and supply for larger units (4BHK and Above) was matching.The 2BHK segment continued to be the preferred configuration.


l Demand for apartments in the central zone dropped by 8 per cent inthe Jul-Sep 2014 quarter. Supply at 71 per cent remained almostunchanged as compared to the previous two quarters and leddemand by 16 per cent in the quarter

l Demand rose by 8 per cent for residential houses, as opposed to theprevious quarter. While the demand increased to record 26 per cent, supply dropped by 3 per cent to settle at 17 per centduring the same period

l Demand for plots remained unchanged at 19 per cent, while thesupply increased by 3 per cent to register 15 per cent in the Jul-Sep 2014 quarter

BHK wise Analysis

l Maximum demand was noted for 2BHK units in Central Chennaiwith 61 per cent buyer interest. This was a rise of 3 per cent ascompared to the previous quarter. Supply also dropped by the samemargin to settle at 47 per cent in the Jul-Sep 2014 quarter

l Demand for 3BHK units also recorded an increase of 2 per cent inthe current quarter. Supply, on the other hand, inched up by 3 per cent to settle at 34 per cent

l A drop of 8 per cent was seen in the demand of 4BHK and Aboveunits. While demand was at 2 per cent this quarter, supply increasedby 1 per cent to report 11 per cent availability

Q1 (Apr-Jun 2014)

Q2 (Jul-Sep 2014)

1 BHK

2 BHK

3 BHK

4 BHK & above

DEMAND SUPPLY


Q1 Q2

1412

22

33

2926

30

31

Q1 Q2

1816

39

18

1720

22

37

55

26

63

18

Q1 Q2

71

14

71

17

Q1 Q2

58

24

7

Q1 Q2

61

11

26

Q1 Q2

4750

11

34

9

31

10

8

Q1 (Apr-Jun 2014)

Q2 (Jul-Sep 2014)

Apartment

Residential house

Residential plot

1919 1512

11

8

Source: M

agicbricks.comS


Source: M

agicbricks.com


BHK wise Analysis


Q1 (Apr-Jun 2014)

Q2 (Jul-Sep 2014)

Rs <20 lakh

Rs 20-40 lakh

Rs 40-60 lakh

Rs 60 lakh-1 crore

Rs1 crore and above

DEMAND SUPPLY


l Demand in the Upto Rs 20 lakh range dropped by 3 per cent in thecurrent quarter to settle at 12 per cent. There was a significant over-supply of 17 per cent in the segment with supply limited to 29 per cent

l Demand almost matched supply at 31 and 33 per cent, respectively, inthe Rs 20-40 lakh category. While demand remained the same, supplywitnessed a moderate rise of 2 per cent

l Supply in the Rs 40-60 lakh category rose by 8 per cent. This led to ashortfall of 5 per cent as demand was noted at 25 per cent. Ashortfall of 13 per cent was registered in the Rs 60-100 lakh categorywhere demand led supply

DEMAND SUPPLY

DEMAND & SUPPLY - West Chennai

Maximum demand for plots was noted in West Chennai as compared to the other zones. A 45 per cent demand was observed in the category as compared to the supply, which stoodat 52 per cent in the Jul-Sep 2014 quarter.

Properties priced below Rs 20 lakh were over-supplied, registering a 29 per cent supplywhile the demand in this category was low at 12 per cent. Buyer demand was concentratedfor properties in the categories of Rs 20-40 lakh (31%) and Rs 40-60 lakh (25%) whilesupply for these was 33 and 20 per cent, respectively.


l Maximum demand was noted for plots in West Chennai with 45 per cent buyer interest. However, a drop of 21 per cent from theApr-Jun 2014 quarter was recorded. Supply dropped by 5 per cent inthe current quarter, exceeding demand by 7 per cent

l Demand for apartments showed a positive trend this quarter. Anincrease of 10 per cent was noted in the category during the Jul-Sep 2014 quarter. Supply recorded an increase of 4 per cent withdemand lagging behind by 7 per cent

l Demand for residential houses increased to 26 per cent in the Jul-Sep 2014 quarter, while supply increased marginally by 1 per cent to stand at 12 per cent

BHK wise Analysis

l Demand and supply for 2BHK units dropped slightly in the currentquarter. While a drop of 5 per cent was noted in demand (64%),supply too, dropped by 6 per cent to settle at 61 per cent

l Demand for 3BHK units remained at 24 per cent in the Jul-Sep 2014quarter, while supply in the segment increased by 3 per cent toalmost match demand at 26 per cent

l An increase was noted in the demand and supply of 1BHK unitsduring the Jul-Sep 2014 quarter. While the demand saw a rise by 5 per cent, the supply too, increased by 2 per cent to settle at 8 per cent each in the current quarter

Q1 (Apr-Jun 2014)

Q2 (Jul-Sep 2014)

1 BHK

2 BHK

3 BHK

4 BHK & above

DEMAND SUPPLY


Q1 Q2

15 12

20

27

31

24

31

25

Q1 Q2

42

29

31

12 20

119

33

2919

Q1 Q2

26

15 3632

11

Q1 Q2

12

Q1 Q2

6469

24

116

24

Q1 Q2

6167

2623

6 8

8 6

Q1 (Apr-Jun 2014)

Q2 (Jul-Sep 2014)

Apartment

Residential house

Residential plot

4566 5257

7 7

Source: M

agicbricks.comS


Source: M

agicbricks.com

ANNExURES

Adambakkam 5150 to 6450

Adyar 12650 to 16500

Alwarpet 12400 to 17650

Ambattur 3850 to 4650

Anna Nagar 8950 to 11750

Anna Nagar West 7050 to 8800

Arumbakkam 7500 to 9800

Avadi 3250 to 3900

Besant Nagar 12950 to 16050

Chitlapakkam 4550 to 5200

Chromepet 4450 to 5350

Choolaimedu 7000 to 8550

Egmore 13400 to 17650

Guduvancheri 3100 to 3650

Iyyappanthangal 3850 to 4550

Kattupakkam 3550 to 4250

Kelambakkam 3250 to 3950

Kilkattalai 4600 to 5350

Kilpauk 10450 to 12900

KK Nagar 9350 to 11750

Kodambakkam 6750 to 8600

Kolapakkam 4250 to 4650

Kolathur 4350 to 5650

Korattur 5750 to 7150

Kovilambakkam 4200 to 4900

Kovur 3350 to 3750

Kundrathur 3300 to 3800

Madambakkam 3600 to 4350

Madipakkam 4400 to 5300

Medavakkam 4300 to 5100

Mogappair 5400 to 6600

Mogappair West 4800 to 5850

Mugaliwakkam 4750 to 5850

Mylapore 14500 to 19050

Nanganallur 5600 to 7150

Nanmangalam 3800 to 4500

Navalur 3950 to 5000

Nungambakkam 12100 to 16100

OMR 3700 to 4800

Padur 3800 to 4500

Pallavaram 4450 to 5300

Pallikaranai 4400 to 5100

Pammal 3750 to 4650

Perambur 5250 to 6350

Perumbakkam 3950 to 4800

Perungalathur 3750 to 4450

Perungudi 5700 to 6900

Poonamallee 3600 to 4450

Porur 4200 to 5400

RA Puram 17300 to 23750

Saidapet 7400 to 9450

Saligramam 7050 to 9100

Selaiyur 4000 to 4800

Sholinganallur 4450 to 5650

Siruseri 3500 to 4200

Sithalapakkam 3500 to 4000

T Nagar 10400 to 13650

Tambaram 3700 to 4550

Tambaram East 3800 to 4650

Tambaram West 3650 to 4400

Thiruvanmiyur 9700 to 13000

Thiruverkadu 3850 to 4550

Thoraipakkam 5150 to 6250

Urappakkam 3250 to 3850

Vadapalani 6650 to 8650

Valasaravakkam 5750 to 6850

Vandalur 3400 to 4050

Velachery 5800 to 7300

Vengaivasal 3650 to 4150

Villivakkam 5350 to 6400

CAPITAL VALUES – LOCALITY WISE

Average Listed Residential Apartment Prices

Locality Capital Values (Rs/Sq feet)

Locality Capital Values (Rs/Sq feet)

CHENNAI



P O L I C Y P E R S P E C T I V E

DDA relaxes conversion normsIn a major relief to property owners in the city, DDA hasfurther liberalised conversion norms. As per the new rules,even properties without a sanctioned building plan can beconverted from leasehold to freehold. Earlier, DDA consideredonly those properties for conversion which had a sanctionedbuilding plan. Those without a sanctioned building plan willhave to submit an affidavit stating that a sanctioned buildingplan is not available, a copy of the building plan—as per building byelaws—from a registered architect and a copyof the house tax assessment order or electricity connectionorder. In case documents submitted by the property owner arefound incorrect, then DDA can cancel the conveyance deedwithout any notice.

n The Times of India, Delhi/NCR

Steep 20% hike in circle rates for Delhi propertiesAt a time when the real estate market is in a slump, Delhigovernment has notified a revised circle rate regime that is 20 per cent higher than the existing rate structure across themunicipal valuation colony categorisation from A to H. Circlerates, the minimum valuation at which a property can beregistered, have also been revised upwards for apartments.The rise in circle rates directly impacts the stamp duty, whichwill pinch the pockets of buyers ultimately and further pushdown the buyers’ sentiments in the Delhi realty market.

n Magicbricks Bureau

DELHI

MCG clears Rs 20 crore infrastructure projectsMunicipal Corporation of Gurgaon clears big ticketinfrastructure projects. The finance and contract committeeheaded by the mayor cleared development projects worth overRs 20 crore. According to the mayor, Vimal Yadav, most of thisamount will be spent on constructing bus queue shelters,community centres, roads, sewer lines and water lines invarious parts of the city. The authority has already allottedtenders for 26 projects. The works include constructing twoslip roads near the Atul Kataria Chowk and eight bus queueshelters. The chowk witnesses a lot of traffic as this route isfrequently used to reach the old city. Once these slip roads aremade, it will ease traffic to a large extent.


Unique IDS to track house tax payments in GurgaonSoon property owners in the city will get a unique ID andpassword each to keep track of the property tax paid by them.The scheme, conceptualised by MCG, will also help thecorporation to keep tabs on the amount of property taxgenerated, officials said. During a routine exercise,authorities found that around Rs 70 crore of property taxcollected was unaccounted for. Thus, in order to bring intransparency and to maintain records, the MCG has taken thisinitiative. This facility is likely to be rolled out soon. Theauthority is also planning to make a payment gateway so thatowners can pay tax through the MCG website itself.


GURGAON

Nod to 10% circle rate hike in NoidaNew circle rates in Noida and Greater Noida have come intoforce from August 1, 2014 with the district administrationapproving a 10 per cent hike in the residential category forregistration of plots. Commercial properties saw a 2 per cent hike, with the exception of Sectors 18 and 38A,where a 17 per cent hike has been approved. For institutionalproperties, the circle rates increased by 10 per cent. There arefive categories of residential sectors in Noida. The circle ratesin these sectors range from Rs 35,000-86,000. In the flatscategory, circle rates are evaluated as per the servicesprovided by the developer in a residential society.


Noida plans a double-decker elevated roadIn a bid to reduce travel time between Delhi and Ghaziabad,the Noida Authority wants to build a double-decker elevatedroad from Sector 63 towards NH-24 and has sought an NOC (noobjection certificate) from the National Highways Authority ofIndia (NHAI). The starting point of the double-decker elevatedroad will be at Chijarsi village in Sector 63. It will circle overNH-24 and provide exit and entry points from Delhi,Ghaziabad, Bulandsahar and Meerut. Officials said that theyexpect the elevated road to be built at a cost of Rs 700 crore.Once in place, the project will connect to the under-construction Faridabad-Noida-Ghaziabad (FNG) Expressway.

n Magicbricks.com Bureau

NOIDA

Rs 16 crore infra projects for GhaziabadGhaziabad Municipal Corporation will undertakeinfrastructure projects worth Rs 16.09 crore in the city, fundsfor which will be made available by the state’s 13th financecommission. Projects include a state-of-the-art plant in thecity to convert polythene waste into diesel products, to be setup at a cost of around Rs 2.4 crore. It will be the first of itskind in UP, said officials. The projects also include workspertaining to water purification and supply, sewage disposal,waste collection and disposal. Waste generated in the city willbe disposed in accordance with the system set up through thisproject, till a permanent solid waste management plan isimplemented in Ghaziabad.


GDA launched Madhuban Bapudham Scheme 2014In the last quarter, Ghaziabad Development Authority (GDA)launched two flat schemes; the first scheme of 643 leftoverflats in Siddharth Vihar Yojna, Ghaziabad and the secondscheme is launched by the Ghaziabad Development Authorityin Madhuban Bapudham & Indraprastha Awasiya Yojna.There are a total of 1120 flats available, 96 MIG in GDAMadhuban Bapudham flat scheme 2014 and 1024 EWS flats inIndraprastha Awasiya Yojna. The tentative cost of a MIG flatis Rs 19.40-24.30 lakh and Rs 5.85-6.67 lakh for an EWS flat. Forthis, GDA has decided to receive applications for all futurehousing schemes through the online mode.


GHAZIABAD

POLICY PERSPECTIVE14

VOL4, ISSUE 2; JUL-SEP, FY 2014-15propindex.magicbricks.com


More FSI for Mumbai real estate before elections The state government in Maharashtra has been allotting moreFSI to real estate projects. They have cleared a hike in FSI forre-development of slums along Mumbai’s airport land, for allcommercial buildings proposed in the notified airport area,for exhibition and convention centres and for re-developmentof Navi Mumbai’s old buildings and Thane’s slums. Ruleshave also been altered to allow more incentives to developerstaking up cluster re-development schemes in South Mumbai.The government has taken off Chembur’s heritage tag tomake way for more high-rises. Also, Chavan has sanctionedchanges in inclusive housing norms so as to exemptdevelopers from the mandatory provision of reserving apercent of their projects for low-income groups.

n The Times of India, Mumbai

Government take steps to streamline land deals Land disputes are common in a fast-growing economy butMaharashtra government has been able to bring clarity overproperty and tenancy rights by strengthening revenueadministration. The state government held special camps toissue various certificates such as domicile, income, caste andsenior citizens certificates. Commenting on this, the statechief minister Prithviraj Chavan said, “In order to do awaywith the uncertainty and delay in carrying out measurementof land, E-Mojni an online land measurement system has beenimplemented across nearly 300 talukas in the state.”

n The Times of India, Mumbai

MUMBAI

Rs 18 crore water plan for Hinjewadi gets state's nodThe state government has approved a project worth Rs 17.86crore for augmenting water supply to Hinjewadi. The decisioncomes a month after residents of the area staged a protestdemonstration against the inadequate water supply by theGram Panchayat. As per sources, about 40,000 residents willbenefit from the project, which is expected to be completed byDecember next year. The main source of water will be theKasarsai dam, about 11km from the village. The governmenthas asked the Maharashtra Jeevan Pradhikaran, the zillaparishad and the village panchayat to complete the projectwithin the set time.

n The Times of India, Pune

PMC to identify quarries to dump construction debrisWith construction work in the city having picked up over theyears, along with renovations of flats and other properties,debris is being dumped recklessly. Thus, the Pune MunicipalCorporation (PMC) will reserve quarries for dumpingconstruction debris while identifying the land-filling process.Activists have often stressed that if PMC wants to checkfurther degradation of water bodies, land, public spaces andgreen areas in the city, it has to look for immediate solutionsto re-cycle and re-use construction and demolition (C&D)waste. Activists have repeatedly brought it to the notice of thecivic body that rivers and nullahs are choking because ofunbridled dumping by developers.


PUNE

Ahmedabad to see infra up-gradation AMC has decided that road re-surfacing projects in the citywill begin soon. The chairman of the road and buildingdepartment, Kantibhai Patel, said that the AMC will take upre-surfacing of the roads on priority basis. The departmenthas cleared the plan to lay drainage lines as well, includingstorm water drainage in the new west zone. In addition, thecommittee has cleared a proposal for storm water drainage inGhatlodiya and Chandlodiya. The AMC has also approvedseven road re-surfacing tenders. Among these is one for the 2 km road in Chandkheda. The re-surfacing of the roadconnecting Chanakyapuri to SG Road has got the green light.


Gujarat signs three pacts with ChinaA high-level delegation from China that accompaniedPresident Xi Jinping to Ahmedabad signed three Memorandaof Understanding (MoUs) with India in the presence of PrimeMinister Narendra Modi. The three pacts, signed within hoursof Xi's arrival, will focus on boosting trade and investmentbetween the two countries. The agreements include onebetween China Development Bank and Industrial ExtensionBureau of Gujarat government for developing industrialparks in the state to facilitate more Chinese investments.Chinese investors will set up units in the industrial park. Thiswill boost employment in the city, thus expected to impact thereal estate market.


AHMEDABAD

Several pacts signed during Mamata's Singapore visitThree major agreements were signed during West BengalChief Minister Mamata Banerjee's visit to Singapore. Themeeting was aimed at attracting investments for the state. TheSingapore-based GIC-invested PE fund and city-based realtorHiland Group signed an agreement worth about Rs 200 crorein the Calcutta Riverside Development project. The project isnear the metropolis. Another pact was also signed for a foodpark, Axsys Technologies and Compass Energy Pte Ltd ofSingapore, which entered into a pact for solutions in shipbuilding and oil and gas exploration. This is expected togenerate jobs and is likely to impact demand for housing.


‘Smart’ New Town to grow verticallyThe government plans to develop smart cities and townshipsacross the state with high-density vertical buildings andadequate green area. The New Town Kolkata DevelopmentAuthority (NKDA) has already started following the model forRajarhat New Town. An NKDA official said they are trying toshowcase New Town as the Singapore of Kolkata. The stategovernment has already come up with a new urban policy thatrelaxes Floor Area Ratio (FAR) to make way for buildings withlarger space. According to the policy, 15 per cent additionalFAR will be allowed for mass housing, IT complexes and megacommercial housing complexes.


KOLKATA


VOL4, ISSUE 2; JUL-SEP, FY 2014-15 propindex.magicbricks.com


Roads in Chennai may be relaid in concrete in 2 yearsAlmost all roads in the city, including arterial stretches suchas Poonamallee High Road and bus route roads in areas likeNungambakkam and Kodambakkam, could be re-laid withconcrete in two years if things go according to thecorporation's plan. The project that will involve replacingblack-topped roads with concrete over a total of 441km isexpected to cost around Rs 1,600 crore. Although the monsoonsdo not have a major impact on the Chennai real estate marketon the lines of Mumbai or Pune, but the initiative is lookedupon to avoid the water logging woes during monsoons.

n The Times of India

Soon you can park, shop at Chennai metro stationsCommuters will very soon be able to drive into Alandur MetroStation, park and shop at a two-floor 1.18 lakh sq ft complex atthe back of the station before boarding a metro train. In lessthan a year, Chennai Metro Rail Ltd (CMRL) plans to turn fiveelevated stations into commercial hubs where people in theneighbourhood can converge for an evening of shopping,movies and dining out. With six months to go forcommissioning of the Koyambedu-Alandur Elevated Line,CMRL plans to build a two to nine-floor buildings to rent orlease to set up malls, retail stores and other establishments atAlandur, Ekkattuthangal, Arumbakkam and CMBT stations.Additional floors will also be built at Ashok Nagar station.


CHENNAI

Nod to single window system in Hyderabad The Chief Minister of Telangana K Chandrasekhar Raorecently announced the single window clearance system togive all clearances for real estate projects. This is expected tohave a direct impact on not only the developers but also anequally important bearing on buyers as well. As delay in aproject increases the cost by 30-40 per cent, which wires downto the pockets of buyers at the end, the single windowclearance will streamline the process of approvals for realestate projects which is expected to lead to faster delivery. Healso announced the withdrawal of Non-Agricultural LandAssessment (NALA) tax imposed on the real estate firms.


KCR announces world-class roads, corridors The state government, recently announced world-class roadsup to a length of 1,000 km at an investment of Rs 10,000 crore,two corridors connecting the four corners of Hyderabad andfour lakh LED street lights in Hyderabad. The roads to alength of 500 km would be completed in two years and theremaining 50 per cent would be done in another two years, aneast-west four-lane corridor (skyway) would also be developedbetween Vanasthalipuram and Ramachandrapuram and acorridor will be developed between north and south. TheOuter Ring Road would also be developed in addition to theexisting one, with satellite townships and specialised clusterslike pharma, sports, health and cinema cities.


HYDERABAD

Tech solution to end fraud land deals in KarnatakaThe number of unauthorised layouts and fraud propertytransactions has shot up alarmingly in the state, particularlyin the rural areas. Thus, the government has integrated thesoftware of two departments to avoid fraud transactions.Middlemen trying to commit fraud will now have to hit thewall at the sub-registrar’s office. Kaveri (Karnataka Valuationand e-Registration) software of Karnataka Stamps andRegistration department has been integrated with ‘E-Swathu’property software of the Urban Local Bodies (ULB) attached tothe Panchayat Raj and rural development department. Thiswill provide information to sub-registrars about propertieslisted in the ULBs to verify.


State government makes buying farmland easierKarnataka government has made life a lot easier for investorsby doing away with the need of getting farmland converted forindustrial use after a project is approved by the government.The agriculture land, where an investor has proposed aproject, is deemed converted once it is cleared at the highestlevel. This will open up the flood-gates for good industrialdevelopment. A committee chaired by the chief ministerclears investment proposals above Rs 50 crore, those belowthat are approved by a single-window committee, headed bythe chief secretary. The relief is applicable to educational,housing and green-house projects as well as places of worship.

n Economic Times

BANGALORE

Kovai infra gets Rs 2,000 crore boostIn August, the state government announced several projectsworth over Rs 2,000 crore for infrastructure development inCoimbatore city. The projects include 2,912 houses for thehomeless to be built at a cost of Rs 443.6 crore, undergrounddrainage and storm water drains in extended areas of the citycorporation at an estimated cost of Rs 1,555 crore and a Rs 125 crore new integrated bus terminus. These projects arein continuation of various infrastructure schemesundertaken in the past three years keeping in mind thegrowing population of Coimbatore. Healthcare and sanitationare also the thrust areas in the latest announcement. n The Times of India

CC seeks Rs 100 cr to boost drinking water supplyThe supply of drinking water in the city is likely to get a boostif the state government clears the Rs 100 crore proposal toconstruct separate water tunnels for the Pilloor II scheme.The Coimbatore Corporation (CC) council passed a resolutionto seek state government funds worth Rs 100 crore to make thePilloor II scheme more efficient. They plan to construct twoseparate tunnels, one through the Periyakombai Mountainsthrough which the water would pass into the treatment plantand the other through the Kattan Hill where the treated waterwould flow into the pipeline. This will enhance livabilityacross the city and is thus likely to impact the real estatedemand in the area.


COIMBATORE



NOTES

D I S C L A I M E REvery effort has been made to make this Index as complete and as accurate as possible. MagicBricksaccepts no responsibility for inaccuracies in the information/data contained in this book. It shall haveneither liability nor responsibility to any person or entity with respect to any loss or damage caused, oralleged to have been caused, directly or indirectly, by the information contained in this book. Theinformation/data in this book is subject to change from time to time due to market condition.

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FOREWORD - MagicBricksproperty.magicbricks.com/microsite/buy/propindex/... · demand, it was concentrated in properties in the affordable range as classified by the Union Budget 2014