March 04, 2021

CREDAI Bengal Daily News Update | 04.03.21

Housing sales in Chennai may increase at least 30% in 2021; prices

may rise up to 5%: PropTiger

On prices, Rangarajan said a significant section of buyers have realised that prices are not

going to go down any further and discount offers offered by developers are also going down.

Housing sales in Chennai is likely to increase by at least 30 per cent this year, while prices may

rise by up to 5 per cent on the revival of demand for residential properties because of lower

interest rates and economic recovery, property brokerage firm PropTiger said on Wednesday.

The new housing supply will also rise this year in Chennai, it said.

PropTiger, which is part of Singapore-based Elara Technogies that also owns Housing.com and

Makaan.com, held a webinar ‘Real Insight– Residential Round-Up 2020 and outlook for

Chennai’s Realty Market’.

“Strong sales velocity is likely to happen in 2021, owing to the fact it took off in 2020 during the

months of July, August and September extending up to the festive season…Minimum 30 per cent

rise in demand is expected,” said Mani Rangarajan group COO of Housing.com, Makaan.com

and PropTiger.

“Broadly, we can see demand inching up to 2019 levels. The economy is gradually coming back

on track,” he told reporters in a virtual press conference.

In terms of new supply, Rangarajan said Chennai might surpass last year’s numbers of 12,380

units much before the year ends.

On prices, Rangarajan said a significant section of buyers have realised that prices are not going

to go down any further and discount offers offered by developers are also going down.

Newspaper/ Online Financial Express (Online)

Date March 03, 2021

Link https://www.financialexpress.com/industry/housing-sales-in-chennai-may-increase-at-least-30-in-2021-prices-may-rise-up-to-5-proptiger/2205622/

“The price of raw materials is rising. So a reduction in prices will be a challenge for developers

leading to stability in them. We won’t be surprised if at this point a certain degree of price

appreciation also takes place, to an extent of 5 per cent,” he added.

Proptiger and Housing.com Head of Research Ankita Sood said housing sales fell to 10,452 units

last year from 16,386 units during 2019 because of the adverse affect of the pandemic.

She expressed confidence that sales would bounce back this year.

New housing supply declined to 12,382 units in the 2020 calendar year from 13,756 units, Sood

said.

The average rate of new properties in Chennai stood at Rs 5,228 per sq ft at the end of 2020.

In October 2020, Australia-based REA Group has acquired a controlling stake in Elara

Technologies.

REA Group, which is part of US-based News Corp, operates Australia’s leading residential and

commercial property websites realestate.com.au and realcommercial.com.au and owns leading

portals in many Asian countries.

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Over 80 builders in Maharashtra get approval for in-office

registration process

An official in the registration department said the Covid-19 pandemic and the ensuing

restrictions on travel have prompted the move to revive the real estate market.

The IGR, Maharashtra, has allowed 86 developers across the state to register new projects from

the latter’s facilities to ensure less footfall in the registration offices.

The builders would be provided with access to the software of the registration department to

enable the process. An official in the registration department said the Covid-19 pandemic and the

ensuing restrictions on travel have prompted the move to revive the real estate market.

“We plan to scale up the registration by the builders at their facilities to reduce the footfall in our

offices, particularly during the Covid-19 pandemic. We have 86 developers on board and want

more builders to register this year,” state inspector general of registration and stamps (IGR)

Sharvan Hardikar told TOI on Wednesday.

Confederation of Real Estate and Developers Association of India (Credai) national president

Satish Magar, who was among the first to get access to the registration process for his project in

Pune, said it was carried out smoothly without any middlemen and both the developers and the

clients were assured of good service.

Pune Credai president Suhas Merchant said such online registrations was the way to look forward

for the realty market keeping the ongoing situation in mind. “We are happy to see more builders

coming under the ambit of the new process,” he said.

The registration department official said the process was earlier tried with a few developers. A

different software was then used with some pre-conditions like 500 flats to register and a

dedicated BSNL line. “Now with the easing of conditions, more developers can be covered,” he

said.

The official said the entire process would be monitored by their office and there would be extra

checks on the builders who would be provided with the software.

In the meantime, the government is yet to issue any announcement on the Ready Reckoner rate.

The developers have been urging the government not to tincrease the RR rate this time. The RR

rates are usually announced in April. The last time the government announced the rate was in

September 2020.

Newspaper/ Online ET Realty (Online)

Date March 04, 2021

Link https://realty.economictimes.indiatimes.com/news/industry/over-80-builders-in-maharashtra-get-approval-for-in-office-registration-process/81323567

An official in the registration department told TOI that they were carrying out the process of

assessing area-wise rates and would be following the usual process. The official said the rates

would be ready by March-end, but the government would take the final call on the announcement.

________________________________________________________________

Andhra Pradesh government readies blueprint to develop suburbs

into smart cities

In a move that could spur development in urban areas, the government has decided to

develop suburban areas with required civic infrastructure.

In a move that could spur development in urban areas, the government has decided to develop

suburban areas with required civic infrastructure.

The municipal administration department has readied a blueprint to make suburban areas

into smart cities. Interestingly, the state government has decided to offer house sites to the middle

and upper-middle income groups at reasonable prices in the layouts to be readied by the municipal

administration department. The plans will be rolled out after the completion of municipal

elections.

The urban development authorities (UDAs), which used to handle real estate business by readying

layouts with civic infrastructure, would be pressed into resume the business afresh. The UDAs

have stopped handling the layout business despite success in many towns and cities. Sources said

that the UDAs had confined themselves to the regulating authority to clear the plans for the

layouts due to pressure from influential real estate firms.

The urban development authorities had failed to play the role of enforcement authority to curb

illegal and unauthorised ventures by private parties. This resulted in many middle and upper-

middle income groups being duped by fake and illegal real estate firms.

Hundreds of housing layouts that have come up on the outskirts of the existing towns and cities

have remained idle due to lack of civic infrastructure. “The dreams of the middle-class of owning

a house were shattered by the civic bodies which could not act fast enough to expand the

infrastructure in the outskirts, leading to high stress on land values within the towns and cities.

This can be changed only when the basic infrastructure is available in the outskirts,” said Dr

Razaq Mohammed, an urban planner.

Newspaper/ Online ET Realty (Online)

Date March 03, 2021

Link https://realty.economictimes.indiatimes.com/news/infrastructure/andhra-pradesh-government-readies-blueprint-to-develop-suburbs-into-smart-cities/81307512

Chief minister Y S Jagan Mohan Reddy has noticed the gap between the aspirations of the

middle-class and the reality with regard to land value, particularly in urban areas.

In order to bring down high land prices, the chief minister has directed the municipal

administration department to develop layouts to offer house sites to the middle-class on a no-

profit no-loss basis.

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Noida authority to take action against developers for delaying

registry of flats

The authority conducted inspection of 18 housing societies and found people living there for 4-5

years without registry, causing revenue loss to the state government.

Noida authority has threatened to take action against real estate developers who have offered

possession to homebuyers without doing the registry.

The authority conducted inspection of 18 housing societies and found people living there for 4-5

years without registry, causing revenue loss to the state government.

“Builders have been asked to complete the documentation in March. The Real Estate Regulatory

Authority (RERA) has also been asked to take necessary action in the matter,” the authority said

in a statement.

Supertech, Mahagun, Aims max, Imperial housing, Antriksh developers, Prateek realtors, Sikka

and Sethi attended the meeting.

The authority has also said that instead of paying dues in one go, the builder can pay the dues

during the registry of flats. Noida authority has given three months time to complete the registry

and will organise camp with the help of revenue department to facilitate the process. ____________________________________________________________________________________________

Newspaper/ Online The Economic Times (Online)

Date March 03, 2021

Link https://economictimes.indiatimes.com/industry/services/property-/-cstruction/noida-authority-to-take-action-against-developers-for-delaying-registry-of-flats/articleshow/81313768.cms

Chandigarh administration asks estate office to report building

violations

The administration is pushing for converting leasehold properties into freehold in

Industrial Area, phases I and II, and taking up matter with the ministry of home affairs

(MHA)

The UT administration has asked the estate office to submit a fresh report on building violations

in commercial areas of the city and Industrial Area.

Sources said the report will be part of UT’s fresh proposal to be sent to the central government.

The administration is pushing for converting leasehold properties into freehold in Industrial Area,

phases I and II, and taking up matter with the ministry of home affairs (MHA).

The meeting was deferred on number of occasion due to Covid-19. Before the coronavirus

lockdown in 2020, the matter was also discussed in the meeting chaired by UT adviser Manoj

Parida with the members of Industrial Advisory Committee of Chandigarh.

The administration had last converted leasehold plots into freehold in 1983 in commercial

category. The matter was also taken by up MP Kirron Kher with the MHA and ministry of urban

development (MoUD).

Industrialists are demanding for conversion of leasehold property into freehold in Industrial Area.

Recently, the administration had even conducted survey in Industrial Area for checking leasehold

plots.

The administration had set up Phases I and II of Industrial Area during the 1970s on an area

measuring 147 acres. The plots are governed by zoning and architectural control, which were

prepared as per the conditions prevailing at that time. There are 1,884 plots in both phases, of

which 700 are 1 kanal and above, while there are 443 and 180 plots measuring 10 and 15 marla,

respectively. There are as many as 381 plots of 5 marla.

Newspaper/ Online ET Realty (Online)

Date March 03, 2021

Link https://realty.economictimes.indiatimes.com/news/regulatory/chandigarh-administration-asks-estate-office-to-report-building-violations/81314140

The UT administration had allowed business to business (B to B) activities in Industrial Area and

need-based changes in Industrial Area. To meet their requirements, the owners have made

changes in the building plans in violation of the byelaws.

________________________________________________________________

HC asks Telangana government to follow judicial procedures for

new land act

The Bar Council too expressed concern in the past over the decision of the state in not

allowing advocates to represent the case of the property owners.

The Telangana high court on Tuesday directed the state government and its revenue authorities

acting as revenue tribunals under the new land Act to follow a judicial procedure of notifying the

land owners and relevant parties and hear them before passing any orders in respect of their

properties.

The bench of Chief Justice Hima Koli and Justice B Vijaysen Reddy gave this interim direction

while hearing a PIL petition filed by N Srinivasa Rao from Bhadradri Kothagudem district who

challenged the quick 30-day disposal of all pending litigations over land lying with revenue courts

without notifying or hearing the parties. Kowturu Pavan Kumar, the counsel for the petitioner

said that the tribunals should follow a judicious process.

The Bar Council too expressed concern in the past over the decision of the state in not allowing

advocates to represent the case of the property owners.

Advocate General BS Prasad defended the new system and claimed that thousands of age-old

litigations were meaningfully resolved and people are also happy about the development. “All

objections of the people are also being taken care of,” he said. The bench in its Tuesday order

directed the revenue authorities to notify and hear the parties till the next date of hearing. The

bench however refused to stay the orders already passed by the tribunals. The bench also directed

the state to furnish the details of cases its tribunals resolved in the last few months district-wise.

The case was adjourned to March 18.

________________________________________________________________

Newspaper/ Online ET Realty (Online)

Date March 03, 2021

Link https://realty.economictimes.indiatimes.com/news/regulatory/hc-asks-telangana-government-to-follow-judicial-procedures-for-new-land-act/81311387

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