Gurugram : DTCP Cracks Down on Eleven Illegal Buildings

9/25/2024 12:21:00 PM

Gurgaon: The department of town and country planning (DTCP) has initiated action against 11 illegally-constructed buildings in Palam Vihar's C2 block, ordering that their water, sewer and electricity connections be cut off. Each 500 sq yd plot, originally meant to have a single housing unit per floor, has as many as 16 unauthorised flats. District town planner (enforcement) Manish Yadav has written to the MCG commissioner, GMDA executive engineer and DHBVN requesting the disconnections. The tehsildar has also been instructed to halt any further registration of these properties. "All three departments have been instructed to take immediate action, and our enforcement office is actively working on the necessary measures," Yadav said. The case is currently pending in the Punjab and Haryana high court, following a petition by the Palam Vihar C2 Block RWA and other locals. Residents also took to the streets over the issue, after which the petition was submitted before HC. DTCP has named specific plots — 913, 1310, 921, 1251, 924, 979B, 956, 1226, 922, 935, and 951 — in the letters to the relevant authorities. It had also filed police complaints against several building owners for similar illegal constructions in the past. Some building owners allegedly illegally de-sealed their properties, prompting the department to take further sealing action and recommend additional FIRs. Residents have expressed concern about the impact of these illegal constructions on basic infrastructure in the area. Where only one unit per floor is permitted, the property owners constructed four to six units per floor. In alleged collusion with tehsil officials, these properties were registered and water and electricity connections issued, they said. Source : Times of India INDIA

ED Freezes Assets of Sai Construction Partner in PMLA Case

9/24/2024 12:01:00 PM

NEW DELHI: The Enforcement Directorate's Lucknow Zonal Office provisionally attached immovable assets amounting to Rs 14.89 crore (approx.) in the case of real estate broker, Rajeev Tyagi and others under the and others under the provisions of the Prevention of Money Laundering Act (PMLA), 2002, informed a press release on Monday. According to the release, the assets include several immovable properties in the form of flats, commercial shops, residential and industrial plots, registered in the names of Rajeev Tyagi, partner of M/s Sai Construction and Builders, and his sons Amartya Raj Tyagi and Kanishk Raj Tyagi, M/s SKT Garments Private Limited, and M/s. SK Enterprises. ED initiated an investigation based on an FIR registered by CBI, Ghaziabad, (UP) under various sections of IPC, 1860, and the Prevention of Corruption Act, 1988, against M/s Sai Construction and Builders, Ghaziabad, and its partners and others for alleged loan fraud. ED investigation revealed that Rajeev Tyagi, along with his wife, Meenu Tyagi, through their partnership firm, viz., M/s Sai Construction and Builders, Ghaziabad, hatched a "criminal conspiracy" in connivance with other associates/guarantors and availed loans/financial facilities from the bank (erstwhile Corporation Bank and now Union Bank of India after the merger) by submitting fake/forged documents and inflated valuation reports of the mortgaged properties with the intention to defraud the bank, the release added. ED investigation also revealed that loans/financial facilities availed from the bank were allegedly layered/diverted/syphoned off through his accounts or accounts of associated persons/entities, and subsequently utilised the same for other than intended purposes, resulting in default of loan repayment, which caused a huge loss to the public sector bank. Further investigation is underway in the case. Source : Economic Times INDIA

Haryana to Blacklist 18 Architects for Issuing Illegal Occupancy Certificates

9/24/2024 12:00:00 PM

Gurgaon: Almost three months after they were blacklisted by the director of the department of town and country planning (DTCP), the Haryana Shahari Vikas Pradhikaran (HSVP) has taken action against 18 architects involved in issuing occupancy certificates (OC) for buildings with four floors, violating the govt's guidelines. The chief town planner of the HSVP has now written to the senior officials of the information technology department ordering removal of the blacklisted architects' IDs from the online building plan approval system. In addition, a detailed report on the removal process is expected to be submitted soon for further review by the DTCP director. A senior HSVP official said, "These architects, responsible for unlawfully certifying multiple residential structures, have been blacklisted and their details will soon be uploaded on the HSVP website." In July, the director had blacklisted these architects and written to the council of architecture, requesting the cancellation of the registration of these architects. The process of cancelling their registration is currently under review by the council and it is expected to take a few months. The architects approved OCs for buildings with four floors and stilt parking, bypassing regulations set by the authorities. The HSVP had already placed restrictions on the construction of four floors in Feb 2023. Despite this, these architects issued OCs under the Self-Certification Rules without ensuring proper compliance with building norms. They also issued OCs for buildings that didn't have sanctioned plans for four floors. Many of these structures had not even deposited essential fees like floor-area ratio (FAR) and external development charges (EDC), making their OC issuance illegal. During an investigation, about 58 houses were found to have received OCs in violation of rules. The then town planner had listed these properties, prompting the current action against the architects. The blacklisted architects include Anuj Yadav, Saurabh Kathuria, Pankaj Kumar, Himani Gupta, Amit Bhardwaj, Krishana, Ganendra Kumar, Manveer Bhadana, Vikrant Pundir, Arun Kumar, Ravi, Prabhat Kumar, Gaurav Singla, Puneet Kochar, Rohit Chugh, Ujjwal Saini, Neeraj Dixit and Ritika Anand. These architects face an uncertain future as the council of architecture continues its investigation into their misconduct. Source : Times of India INDIA

Punjab & Haryana High Court Restrains Builder Bajwa From Selling His Properties

9/23/2024 12:28:00 PM

Chandigarh: The Punjab and Haryana high court has restrained Jarnail Singh Bajwa, the managing director (MD) of real estate company Bajwa Developers Private Limited, from alienating any of his property to any third party. The court has passed the orders considering a large number of FIRs pending for several years in which Bajwa has never been arrested by the police till date. “Keeping in view the gravity and sensitivity involved in the petition, Jarnail Singh Bajwa who is present in person is directed not to transfer, sell, dispose of, any of the properties detailed in the affidavit dated Sept 20, filed today in court, till further orders,” the HC ordered on Friday. The HC has also directed Bajwa’s counsel to produce a complete list of his properties, which were not mentioned in the affidavit, by Sept 25. Shocked over the inaction of Punjab Police in taking action in several old cases, the HC has also recorded, “This court is amazed to see shocking approach of law enforcing agency as one FIR No.328 with Kharar police station, dated Oct 2, 2008, is also pending investigation without his arrest i.e. more than 16 years by now for offences under Sections 323, 452, 506, 148, 149 and 120-B of IPC. Apart from that in FIR No. 87, dated July 25, 2017, and FIR No. 178, dated Aug 18, 2017, with Kharar city police station, his arrest is awaited for seven years.” The court has also mentioned about other cases, including 20 FIRs in Mohali in which 16 were registered at NRI police station. Another FIR is registered with Singh Bhagwantpura police station, Rupnagar, dated April 6, 2019, under Sections 406, 420, 365, 382, 506, 34 IPC and Sections 25 and 27 of Arms Act. In this case also, status reflects he has not been arrested till date. In yet another FIR No.28, dated July 17, 2019, police station State Crime BOI, Mohali, against Bajwa is pending investigation in which arrest is pending for the last five years. In total five such cases came to light where the arrest of Bajwa is yet to be affected. In its orders, Justice Sandeep Maudgil has also recorded that Bajwa has not furnished complete details of moveable assets. To this, his counsel requested for some time. The matter is pending before the high court in the wake of a petition filed by Kuldeepak Mittal alleging that the Punjab Police has not arrested Bajwa despite the fact that his bail has been cancelled by the high court in Oct last year. Following the reprimand by the HC, the police had arrested Bajwa last month. Source : Times of India INDIA

NCLAT Allow Homebuyers to File Feedback on NBCC’s Supertech Plan

9/23/2024 12:25:00 PM

Noida: National Company Law Appellate Tribunal (NCLAT) has asked 27,000 homebuyers and other stakeholders to submit objections, if any, to a proposal by National Buildings Construction Corporation Ltd (NBCC) to complete delayed Supertech projects. On Sept 19, NCLAT asked the interim resolution professional to look into the concerns of homebuyers, compile a report on objections and suggestions from lenders and landowners as well and upload it on Supertech's website in two weeks. The stakeholders, who have been waiting for years for the completion of projects — many of which are stalled over funds — recently filed an application with NCLAT. Their key demands included an assurance against cost escalation of flats, a forensic audit of accounts to find out if there was any funds diversion and removal of all the then promoters. The tribunal will now review the objections and suggestions on Oct 21 and weigh them against NBCC's proposal. "Counsel for Noida, Greater Noida, landowners, lenders, the Yamuna Expressway Authority of India, and the homebuyers are granted two weeks to file objections to IA No. 6557 of 2024 (filed by NBCC). These objections should also be submitted to the IRP. All objections will be tabulated by the IRP, and the substance of the objections will be presented in chart form to the court on the next date of hearing so that NBCC's application and the objections can be considered and resolved. All lenders, homebuyers, landowners, and banks are permitted to e-file the objections with a copy sent to the IRP," read the Sept 19 order by NCLAT chairperson Ashok Bhushan and technical member Barun Mitra. Responding to an appeal from homebuyers, NCLAT had in May this year instructed the IRP to engage with NBCC and explore the possibility of the govt-backed construction company to take over the delayed Supertech projects, just like it had done in the case of Amrapali. NBCC, subsequently, came up with an extensive plan to complete 50,000 flats across 17 Supertech projects in three years. It asked NCLAT for permission to act as the project management consultant. NCLAT asked NBCC to take prompt action and submit a detailed project report. The tribunal also heard matters related to Supertech's Doon Square project in Dehradun. Bank of Baroda, one of the company's principal lenders, had recently approved a one-time settlement proposal for the project. There are 750 units in the project, of which 150 studio apartments have been handed over. Bank of Baroda's proposal outlines specific conditions, including an initial deposit and a structured repayment plan contingent on NCLAT's clearance. The next hearing for Doon Square is scheduled for Sept 25, when NCLAT will review the terms of the OTS approved by the bank and determine the next course of action. It was in June 2022 that NCLAT limited insolvency proceedings against Supertech to just one of its projects, Ecovillage 2, using reverse CIRP. This allowed Supertech to maintain control over the project's execution in the presence of an IRP. The Supreme Court upheld this decision in June 2023, allowing for a project-wise resolution approach. Source : Times of India INDIA

DAA Starts Sells Dwarka Flats From Tomorrow

9/23/2024 12:23:00 PM

New Delhi: Delhi Development Authority (DDA) is set to introduce e-auction for flats offered under the recent Dwarka Housing Scheme 2024, starting from Sept 24. The authority launched three housing schemes on Aug 20 — Sasta Ghar Scheme (7,124 EWS and LIG flats), Madhyam Vargiya Housing Scheme (1,843 EWS, MIG and HIG flats), and Dwarka Housing Scheme (173 flats) — across seven locations in the capital. The flats in the first two schemes were offered on a first-come, first-serve basis. The e-auction is for penthouses, super HIG, HIG, and MIG categories in various sectors of Dwarka. The last date for submitting the earnest money deposit (EMD) and the final submission of applications for the Dwarka flats scheme were Sept 17 and 19, respectively "The live e-auction for these flats will be conducted every day between Sept 24-26 from 11 am to noon and 3-4 pm. Initially, the bidding process will be for one hour and if in the last 5 minutes, any higher bid is placed, the bidding process will automatically be extended by 5 minutes. This process will be continued for a maximum of 20 times. So, any auction can go for a maximum period of 2 hours and 40 minutes," DDA said in a circular issued recently. "For 173 flats in Dwarka, over 2,000 people have submitted EMD, so we expect all flats to be sold easily. We are also expecting the sales to pick up during Navaratri for flats in the Sasta and Madhyama schemes," an official said. Approximately 1,700 out of the 8,967 DDA flats on offer across the last two schemes and categories have been sold so far. "In fact, apart from DDA being successful in selling all flats at Jasola, flats in Rohini too sold out on the first-come, first-serve basis," a DDA official said. The 41 flats in Jasola were sold out on the first day. Over 700 flats in Rohini sold out within 10 days. Source : Times of India INDIA

Haryana DTCP Raised FAR Rates For Large Plots by 20 %

9/23/2024 12:22:00 PM

GURGAON: Construction of large properties is set to become costlier, with Haryana's department of town and country planning (DTCP) increasing rates for purchasing floor area ratio (FAR) by around 20%. It is the first hike since 2016. Officials told TOI on Sunday that the increase in rates is meant to address rising demand for land in cities like Gurgaon, where population density is rapidly growing. FAR is the ratio of a building's total floor area to the size of the plot/land on which it was built. DTCP additional chief secretary Arun Kumar Gupta on Sept 10 issued the directive, which specified that there are no changes in FAR rates for plots up to 250sqm. For plots between 250sqm and 350sqm, the new FAR rate is Rs 4,500 per sqm, up 19% from Rs 3,770/sqm. The revised rate for plots between 350sqm and 450sqm is Rs 6,500/sqm, up 21% from Rs 5,380 earlier. The hike is almost 24% for plots larger than 500sqm. The FAR purchase rate for this category was Rs 8,070/sqm and goes up to Rs 10,000 per sqm. A DTCP official said apart from encouraging city planning, revenue earned from increased FAR rates will be given to the municipal corporation for development. But developers said the move could slow down large projects and substantially increase construction costs, forcing realtors to push the burden on homebuyers. "A 20% increase in FAR rates will certainly impact construction costs for larger plots in Gurgaon. While this move is aimed at boosting municipal development, it poses a significant challenge for developers and individual homeowners, especially those working with tight budgets. The additional financial burden may slow down large-scale residential projects and could potentially shift demand towards smaller plots. Developers will need to reassess their project budgets and pass some of the cost to buyers, which may affect property prices in the area," a developer said. Deepak Verma, a city resident, said the increase in FAR rate was worrying. "This makes it harder for people like us to afford homes, especially in a city like Gurgaon where prices are already high," he said. The DTCP directive said there won't be an option to purchase additional FAR for plots up to 75sqm. The existing FAR rate for plots between 75 and 100 sqm remains at Rs 1,615 per sqm. According to officials, the changes have been communicated to Haryana Shahari Vikas Pradhikaran (HSVP), town planning departments, urban local bodies (ULB) department, HSIIDC and other relevant agencies. All departments have been instructed to update their processes in line with the revised FAR pricing structure. Source : Times of India INDIA

YEIDA Unveils 1,200 Flats Near Upcoming Noida Airport

9/20/2024 1:17:00 PM

The scheme offers three types of flats in the affordable category near the Noida international airport, which is slated to become operational by next April, said officials. The one-bedroom units, with a total area of 29.76 square metres and a usable living space of 21.62 square metres, cost ₹23.37 lakh on the ground floor and ₹20.72 lakh on the first, second, and third floors. Allotment on first-come-first-serve basis “We will allot these flats on a ‘first come first served’ basis to applicants who will pay the money and buy the unit. These flats were left out in old schemes. But, this time, we hope that people will rush to grab these flats that are located along the Yamuna Expressway because of the upcoming airport project near Jewar,” said Arun Vir Singh, chief executive officer, Yeida. There are 276 flats available in this category. The second option is the one-bedroom flats in four-storey buildings with a total area of 54.75 square metres and a living space of 36.97 square metres. The price of the flat is ₹33.05 lakh, and there are 713 flats available. There are also two-bedroom flats in multi-storey towers, with a total area of 99.86 square metres and a living space of 64.72 square metres. These will cost ₹45.09 lakh, and there are 250 flats available in buildings of up to 16 floors. How to apply for the YEIDA housing scheme? To apply for the scheme, interested individuals should submit an online application through the Yamuna Expressway authority website, pay a non-refundable registration fee of ₹600, and an earnest money deposit (EMD) of 10% of the total premium of the selected flat. Eligible applicants must be Indian citizens above 18 years of age and have not been allotted any other flats or plots by Yeida in the past. Joint applications with immediate family members are allowed, said officials. Payment modalities Yeida said an applicant can pay the total amount of the flat at one go and get 2% discount or pay 10% to apply, 20% in the next 30 days, and remaining 70% over five years. The authority will impose 10% interest on the remaining 70% flat cost, said officials. Will Yeida maintain the flats? Yeida will provide maintenance for a two-year period following possession, after which an apartment owners association (AOA) will be formed to take over the responsibility of managing the complex. Allottees are required to contribute to a maintenance corpus fund, and the amounts will range from ₹50,000 for affordable one- bedroom flats,and ₹1.5 lakh for two-bedroom units. Participation in the AOA is mandatory for all allottees, said Yeida. Source : Hindustan Times INDIA

Wave Group Plans to Sell Land in Ghaziabad Township

9/20/2024 1:15:00 PM

Realty developer Wave group is diluting part of its land bank in Wave City in Ghaziabad and has sold land to at least half a dozen builder in order to improve cash flow. It is also in talks with more developers to sell land. The combined areas these real estate developers will develop will be around 12 million square feet in the next few years. Wave group is also planning to launch its project in the same township. "The buyers' demand for premium apartments in the township has sharply increased over the last 12 months. As a result, the price in the secondary market jumped by almost 30% in the period,” said Rajiv Gupta, managing director of Wave City. Wave Group has planned to launch around seven million square feet in the combination of premium and affordable categories. Gaurs group recently launched three-million-square- foot luxury residential complex in the township with 1,216 flats last week, which had already been sold for a total value of Rs 3,100 crore. The base price for premium residential projects in Noida and Gurgaon is upward of Rs 15,000 and 20,000 per square ft, respectively, while in Wave City, it is below Rs 9,000 per square ft. This smart city is adjacent to NH-24 and spans over 4,200 acres, with one-third dedicated to green areas and infrastructure development. Source : Reality Magazine INDIA

YEIDA’s Commercial Plot E-Auction Raises Rs 500 Crore

9/19/2024 1:17:00 PM

The Yamuna Expressway Industrial Development Authority (Yeida) on Tuesday said it has sold 45 commercial plots to generate a revenue of ₹265.14 crore as a few buyers placed bids higher than the reserve price of plots located near the Noida international airport in Jewar. The authority launched a commercial plot scheme a month ago, inviting applications from interested buyers. On Tuesday, Yeida held the e-bidding to allot plots to the person placing the highest bid against the reserve price. As per the prevailing market sentiments, Yeida fixed ₹2.50 crore for each plot measuring 1,000 square metres for shopping complexes in different areas. “We will be able to generate a revenue of ₹265.14 crore against the fixed reserve price of ₹112.50 crore because some applicants placed very high bids against certain plots. We will be able to get an additional amount of ₹152.64 crore because the bids went up by 134% against the reserve price for certain plots,” said Arun Vir Singh, chief executive officer (CEO), Yeida. The reason behind placing higher bids against the reserve price is that buyers want to cater to the commercial space demand generated by the Noida international airport, which is set to become functional by April-end 2025, he added. What does the DPR say? As per the detailed project reports (DPRs) of applicants who participated in the commercial plot scheme, they will together make an investment of ₹500 crore in all 45 commercial projects. And they estimate to create 5,000 jobs in the region once these projects become operational, said officials. “We are surprised that applicants placed 12% higher bids against three plots. These three applicants are Challenger Compute, Alexis Global and Sanash Impex. The Challenger Computers placed a bid of ₹28.28 crore against ₹2.5 crore reserve price, Challenger Computers bid ₹26.64 crore, and Sanash Impex bid ₹25.84 crore, thereby helping the authority to generate ₹80.76 crore from just three plots,” said Singh. On apprehensions about construction, another Yeida official said: “Some people think that after buying these three plots for such a high price, these buyers will run away without starting construction. But in such a scenario, the 10% security amount that they paid for participating in the e-auction will be forfeited.” “The future will clarify whether these three companies were serious about taking these plots. If they come to take possession and develop a project, then it means that they want to cash in on the sentiment created due to the Noida airport,” said Dinesh Gupta, secretary, Confederation of Real Estate Developers Association of India (CREDAI), a realtors’ lobbying group. Source : Hindustan Times INDIA

Bajaj Housing Finance Shares Dip After Recent Surge

9/19/2024 1:16:00 PM

Bajaj Housing Finance share price extended decline for the second straight session on Thursday, falling more than 7% amid profit booking at higher levels. Bajaj Housing Finance shares plunged as much as 7.3% to ₹161.00 apiece on the BSE. Today's fall in Bajaj Housing Finance stock price comes after a 4.3% drop witnessed in the previous session. With this, Bajaj Housing Finance shares have fallen more than 11% in two trading sessions, followed by two sessions of healthy gains after listing. The newly listed Bajaj Housing Finance shares hit a high of ₹188.45 apiece, taking its market capitalization to more than ₹1.5 lakh crore on September 18. Bajaj Housing Finance shares made a stellar stock market debut on September 16 as the stock was listed at ₹150 per share, a premium of over 114% to the issue price of ₹70 apiece. Bajaj Housing Finance stock came under selling pressure at higher levels on Thursday as investors opted for profit booking amid high valuations. Analysts believe Bajaj Housing Finance IPO investors may book profit after the recent surge in the stock price. “Bajaj Housing Finance shares are likely to witness short-term profit booking after the rally post strong listing. While the long-term prospects of the company and housing finance industry in India are good, the price sustainability for Bajaj Housing Finance stock will take time,” said Avinash Gorakshakar, Head of Research at Profitmart Securities. Gorakshakar believes the valuations of Bajaj Housing Finance shares look expensive at FY24 earnings. He advises IPO investors should book part profit in their holdings of Bajaj Housing Finance shares, while suggesting that ₹150 - 155 levels may be good entry levels for new investors. At 10:10 am, Bajaj Housing Finance shares were trading 5.83% lower at ₹163.56 apiece on the BSE. Source : LiveMint INDIA

Arkade Developers IPO Sees Overwhelming Response

9/19/2024 1:15:00 PM

The initial public offer of Arkade Developers got subscribed 29.42 times on Wednesday, day three of the share sale. The Rs 410-crore initial share sale received bids for 69,94,46,440 shares against 2,37,75,719 shares on offer, according to NSE data. The quota for non-institutional investors garnered 58.80 times subscription while the Retail Individual Investors (RIIs) part got subscribed 33.26 times. The portion for Qualified Institutional Buyers (QIBs) received 61 per cent subscription. The initial public offer of Arkade Developers Ltd got fully subscribed on the first day of the share sale on Monday and ended the day with 5.79 times subscription. Realty firm Arkade Developers Ltd has raised Rs 122.40 crore from anchor investors. The company has fixed a price band of Rs 121- 128 per share for its Rs 410-crore initial public offering. The initial share sale will conclude on September 19. The IPO is entirely a fresh issue of equity shares worth Rs 410 crore with no offer-for- sale (OFS) component. Proceeds from the issue will be used for the development of the company's ongoing as well as upcoming projects, funding the acquisition of future real estate projects and general corporate purposes. Arkade Developers is a fast-growing real estate development company with a significant presence in Mumbai. Unistone Capital Private Ltd is the manager to the offer. Source : Business Standard INDIA

NGT Acts on Jaypee Wishtown Environmental Concerns

9/19/2024 1:14:00 PM

New Delhi: The National Green Tribunal (NGT) has sought responses of the Centre, the forest and environment department of the Uttar Pradesh govt and others on a plea alleging environmental violations by a realtor in Noida. The green body was hearing a petition filed by the residents of Jaypee Wishtown alleging that the developer, Jaypee Infratech Limited, is making major changes in the townships in contravention of norms. In a recent order, a bench headed by NGT Chairperson Justice Prakash Shrivastava took note of the allegations about the township being located on the Yamuna riverbed, around 2 km from the river, under the Okhla Bird Sanctuary. The bench, also comprising judicial member Justice Arun Kumar Tyagi and expert member A Senthil Vel, took note of the claims about the realtor felling trees illegally and raising commercial construction in a green area. "The original application (OA) raises a substantial issue relating to the compliance of environmental norms. Issue notice to the respondents for filing their response/reply by way of affidavit at least one week before the next date of hearing (on November 23)," the tribunal said. The respondents or parties in the case are the Centre, the Noida Development Authority, the Uttar Pradesh Pollution Control Board, the state forest and environment department and SHO of sector 126. Source : Times of India INDIA

Arkade Development IPO : Oversubscribed 63.60 Times by Day 2 of Bidding

9/18/2024 12:08:00 PM

The initial public offer of Arkade Developers Ltd received 16.20 times subscription on the second day of bidding on Tuesday. The initial share sale received bids for 3,851,04,390 shares against 23,775,719 shares on offer, as per NSE data. The portion for non-institutional investors attracted 28.26 times subscription while the category for Retail Individual Investors (RIIs) got subscribed 19.99 times. The quota for Qualified Institutional Buyers (QIBs) fetched 44 per cent subscription. The initial public offer of Arkade Developers Ltd got fully subscribed on the first day of the share sale on Monday and ended the day with 5.79 times subscription. Realty firm Arkade Developers Ltd has raised Rs 122.40 crore from anchor investors. The company has fixed a price band of Rs 121- 128 per share for its Rs 410-crore initial public offering. The initial share sale will conclude on September 19. The IPO is entirely a fresh issue of equity shares worth Rs 410 crore with no offer-for- sale (OFS) component. Proceeds from the issue will be used for the development of the company's ongoing as well as upcoming projects, funding the acquisition of future real estate projects and general corporate purposes. Arkade Developers is a fast-growing real estate development company with a significant presence in Mumbai. Unistone Capital Private Ltd is the manager to the offer. Source : Economic Times INDIA

Punjab Development Authorities Collect Rs 2,945 Crore via E-auction of Properties

9/18/2024 12:04:00 PM

Punjab’s real estate market witnessed a significant boost as the state’s development authorities collectively amassed a staggering Rs 2,945 crore in a single day from an e- auction of various properties. The auction, held on September 16 (Monday), is being hailed as a testament to its investor-friendly policies by the government, which has been actively promoting development and creating opportunities for citizens. The e-auctions, which began on September 6, featured a wide range of properties including group housing, multiplexes, commercial chunks, residential plots, and small commercial establishments like booths and shops. The Punjab Urban Planning and Development Authority (PUDA) and several regional authorities, such as Greater Mohali Area Development Authority (GMADA), Ludhiana, and Bathinda Development Authorities (BDA), facilitated the auction, which saw enthusiastic participation from individuals and businesses alike. Chief Minister Bhagwant Mann praised the public’s overwhelming response and highlighted the government’s efforts in creating an investor-friendly environment. “The massive turnout for these auctions reflects the people's faith in our pro-development policies. Every penny generated from these auctions will be reinvested into infrastructure projects to further improve the quality of life in Punjab,” Mann said. The auction results were particularly impressive, with GMADA alone contributing Rs 2,505 crore to the state's coffers by successfully auctioning two commercial chunks of Sector 62 — one each situated in Eco City-1 and Aerocity; three group housing sites located in Sector 66, Ecocity-2, and Medicity respectively; besides 16 SCOs and 12 booths situated in different sectors of Mohali. PUDA, which conducted the sale of 162 optimum Utilization of Vacant Government Lands (OUVGL) properties, earned Rs 224 crore; while GLADA brought in Rs 108 crore by auctioning 32 properties. The remaining revenue came from BDA, ADA, PDA, and JDA, all of which successfully auctioned several plots. As per information shared, BDA was able to auction 23 properties, ADA and JDA found bidders for 34 and 22 properties respectively and PDA auctioned 17 properties. Mann said that the successful bidders would be allotted the sites on depositing the 10 percent payment and possession would be handed over to them on payment of 25 percent of the total bid amount. Officials lauded the smooth and transparent auction process, attributing its success to the professionalism and dedication of the staff involved. These properties are expected to attract further investment and spur economic growth in the region. Revenue Generated by Development Authorities PUDA Rs 224.11 crore GMADA Rs 2,505.45 crore GLADA Rs 108.59 crore BDA Rs 46.29 crore PDA Rs 21.39 crore JDA Rs 20.63 crore ADA Rs 19.25 crore Total Rs 2,945.71 crore Source : Economic Time INDIA

Noida Authority to Launch 1,200 Plots Under Various Scheme

9/17/2024 11:24:00 AM

Noida: Noida Authority has identified around 1,200 plots across various categories for multiple schemes slated to launch soon. Additionally, plots where construction has not begun within the lease period will be subject to cancellation. A public notice regarding these plots will be published in newspapers before initiating cancellation. During a recent meeting chaired by CEO Lokesh M, the civil department provided a report according to which 1,190 vacant plots across sectors in work circles 1 to 10 are vacant. These plots, designated for industrial, residential, commercial, group housing, institutional, and facility purposes, are either unallocated, allocated but lacking construction, or have been cancelled after allocation due to various issues. The CEO directed the relevant asset departments to verify the status of these plots based on the civil department's report and initiate the publication of schemes for the unallocated plots. The Noida Authority targets to allocate 5.5 lakh square metres (135 acres) of land across various categories in this fiscal year. A total of 3.2 lakh square metres has been set aside for allotment under institutional purposes, 1 lakh square metres for industrial sectors, 67,500 square metres for residential plots, 35,000 square metres for commercial sectors, and 13,800 square metres for group housing projects. In terms of revenue, the Authority aims to generate Rs 3,795 crore from these allocations. The group housing sector is expected to contribute Rs 1,080 crore, followed by Rs 1,010 crore from the commercial sector. The industrial sector is projected to generate Rs 705 crore, while residential plots will bring in Rs 650 crore. Institutional allocations are expected to generate Rs 315 crore, and residential buildings will contribute Rs 35 crore. Source : Times of India INDIA

Punjab Governor: UT to Seek Legal Advice on Property and Land Dispute

9/17/2024 11:22:00 AM

Chandigarh: The UT administration will take a legal advice and act on issues including ban on share-wise properties, misuse penalty notices, one-time scheme for VAT cases and other citizen demands, said Punjab governor and UT administrator Gulab Chand Kataria during the Administrator’s Advisory Council (AAC) meeting held on Saturday. The administrator said a follow-up meeting with the chairpersons of the council’s sub- committees and other key dignitaries to resolve long-standing issues and guide policy decisions will be held. Senior UT officials will also be present in the meeting and share their response on these issues. The administrator also suggested forming small working groups for in-depth deliberations on the issues for a time bound redressal of the key issues and demands. Chandigarh MP Manish Tewari also stressed on the need to re-evaluate governance paradigm of the city and giving due role the people’s representatives in the decision making. In the matter of seeking permission for the floor-wise registries in UT Chandigarh, Tewari said the Chandigarh administration has misinterpreted the judgment of the Supreme Court. On the suggestion of approaching the apex court on the issue, senior BJP leader Sanjay Tandon said that the administration should decide at its own level on the issue and allow for the share-wise properties. Tandon supported allowing floor-wise registry in the city. Former Chandigarh MP Satya Pal Jain said provision of apartmentalisation is misused by the property dealers. Chandigarh Congress president H S Lucky raised the issues of non-implementation of MSME Act in the Union Territory, conversion of leasehold commercial and industrial to freehold. He also strongly demanded the withdrawal of misuse penalty notices being sent to industrial and commercial units. The demand for a review of the Chandigarh Master Plan was also raised. Council member Pankaj Khanna said, it was high time the Chandigarh Master Plan was reviewed in line with the changing needs and requirements of the city, particularly, master plan provision of ‘urban renewal’ should be worked upon. Raising the issue of composition and working of the Chandigarh Heritage Conservation Committee, MPS Chawla, president, Chandigarh Industrial Association, said, that it should be re-organised and representation to different sections of society should be given in the committee. Charanjiv Singh, president, Chandigarh Beopar Mandal, said, “As seven years have passed since end of Vat regime, still notice of crores of rupees are being issued to traders. So, OTS scheme for assessment of old vat cases should be introduced on Punjab Pattern to give relief to traders. It will also give revenue to state.” Chandigarh mayor Kuldeep Kumar said water connections outside the lal dora should be exptended. Source: Times of India INDIA

HC Pauses Construction in Palam Vihar Following RWA Petition

9/16/2024 12:50:00 PM

Gurgaon: The Punjab and Haryana high court has sought a response from the state govt over the construction of additional flats and floors in residential buildings in Palam Vihar's C-2 Block in violation of the Haryana Building Code Regulations, following a petition from the local resident welfare association (RWA). Despite previous sealing by department of town and country planning (DTPE), the buildings were illegally de-sealed, leading to an FIR. Justices Arun Palli and Vikram Agarwal issued an order to halt further construction on the building and sought a response from various govt departments by Oct 28. Jointly filed by a local resident Ravi Bhardwaj and 15 others, the petition flagged around a dozen flats — 979B, 921, 922, 924, 935, 913, 951, 956, 1251, 1226, and 1310 — in C-2 Block of the colony were four-storey buildings with stilt parking, and had four flats on each floor. It urged the court to address violations related to electricity, sewer and water supply services. It stressed that failure to enforce action would set a dangerous precedent for other colonies. Advocate Abdul Shahbaz Thind, appearing for the petitioners, said the high court has issued notices to the town planning department, municipal corporation, and the deputy commissioner. Source : Times of India INDIA

PM Modi Distributes Sanction Letters to 32000 PMAY-Gramin Beneficiaries

9/16/2024 12:50:00 PM

Ranchi, Sep 15: Prime Minister Narendra Modi on Sunday virtually distributed sanction letters to 32,000 beneficiaries under the Pradhan Mantri Awas Yojana-Gramin (PMAY-G) and released the first instalment of Rs 32 crore for the construction of houses. He also virtually handed over keys to 46,000 beneficiaries of PMAY-G across the country. “In line with his commitment to housing for all, the PM distributed sanction letters to 32,000 Pradhan Mantri Awas Yojana- Gramin (PMAY-G) beneficiaries from Jharkhand. He released the first instalment of assistance to the beneficiaries. The prime minister also participated in the ‘Griha Pravesh’ celebrations of 46,000 beneficiaries,” a statement from the Prime Minister’s Office said. The Centre has approved 1,13,400 houses for the poor in Jharkhand under the PMAY-G scheme. Addressing the beneficiaries virtually from Ranchi, Modi said that the first instalment of PMAY-G was released and thousands of houses were also handed over under the scheme. “The prime minister underlined that the first instalment of the Pradhan Mantri Awas Yojana-Gramin (PMAY-G) was being started today, which would ensure pucca houses to thousands of beneficiaries. Other facilities of toilet, drinking water, electricity, gas connection were also provided along with PMAY-G,” the statement said. The PM pointed out that when a “family gets its own house, their self-confidence increases”. Thousands of jobs were also being created in villages and cities for the people of Jharkhand along with pucca houses through PM Awas Yojna, he said. Modi also said the PM-Janman scheme is being run for the tribal brothers and sisters of Jharkhand and other parts of the country. “Efforts are being made to reach out to the tribes, who are still lagging, through the scheme. In a bid to provide houses, roads, electricity and education to such families, officers are reaching out to them. Such efforts are part of my commitment to ‘Vikshit Jharkhand’. We will fulfil the dreams of Jharkhand,” he said. The prime minister underlined that many significant steps have been taken to empower the poor, Dalit, deprived and tribal families of the country since 2014. He said the PM-Janman Yojana is being run for the tribal community across the country, including Jharkhand. Modi also tendered an apology to the people of Jharkhand as he could not be present at the venue due to poor weather conditions, restricting his helicopter’s movement and compelling him to inaugurate and lay the foundation stones for the projects via video conferencing. The prime minister is on a three-day visit to Jharkhand, Gujarat and Odisha, beginning Sunday, where he is scheduled to lay the foundation stones and launch projects worth more than Rs 12,460 crore. Source : Economic Times INDIA

Construction to Resume on Unitech Project After Bhoomi Puja Ceremony

9/16/2024 12:48:00 PM

The Unitech board appointed by the Supreme Court has decided to resume construction work on stuck housing projects in Noida, igniting hope among the homebuyers who have been waiting for the delivery of their apartments for more than a decade. The Unitech management on Thursday said that a groundbreaking (Bhoomi Poojan) ceremony will take place at the Unitech Golf and Country Club in Sectors 96, 97, and 98 on Sunday, paving way for the completion of these projects. The move comes after the Noida authority approved the revised building maps in June – weeks after the Supreme Court ruled that the revised building maps should be approved without asking the board to pay the land cost dues. Realty firm Unitech had planned a residential project in a large parcel of land called Unitech Golf and Country Club (UGCC) in 2006-07 under which three sets of residential developments were planned. Of these three, two were luxury group housing towers – Amber and Burgundy – and one was a bungalows project called Willows 1 and 2. The Noida authority, in accordance with the Supreme Court order, has so far approved revised maps only for housing towers, which are partially built, and not the revised maps for the plots. The tower projects entail 818 apartments on 164 acres of area in Sectors 96, 97 and 98, located along the Noida-Greater Noida Expressway, with 180 to remain vacant. At least 638 apartment buyers are waiting for delivery of their apartments in these two projects. The remaining 180 apartments will be sold in the future. The authority, in June 2006, allotted 344 acres prime land to Unitech, and the lease deed in order to transfer the property title was executed in December in the same year. A total of 5,586 homebuyers are waiting for possession in all three sites under UGCC. Unitech failed to complete the projects because it did not have adequate funds to pay the Noida authority land-cost dues of around ₹11,000 crore and was also unable to arrange funds to build the projects. The Enforcement Directorate (ED) and other agencies are still probing the diversion of funds done by the promoters of Unitech, according to authority officials. The back story Unitech had launched projects at three different sites in Noida. The first, named UGCC, is spread across plots in sectors 96, 97 and 98 along the Noida-Greater Noida Expressway. The second, named Unihomes 3, is in Sector 113 and along the Faridabad-Noida-Ghaziabad Expressway with 1,621 homebuyers. The third, consisting of Exquisite, The Residences, Unihomes 1 and 2, Uniworld and Gardens, is in Sector 117, with 3,327 homebuyers. The Unitech board said that a groundbreaking ceremony for the Sector 113 project is likely to take place in October this year. In the revised map, Amber has seven towers with 422 apartments, Burgundy has seven towers with 395 apartments. The new map for Willows has 397 plots for bungalows, but this is pending with the authorities, Unitech said. “We bought a flat in 2007 with the assurance of possession in 2012 in Unitech’s Amber project. But even after 13 years we have not got our apartment. Now after the SC order and the Unitech board in place, we hope that our apartments will be delivered in the next two years. We have suffered long enough and now it is time to get justice,” said Sanjeev Sood, president of the buyers' association in Amber project of Unitech. Following the Supreme Court order on April 26, 2024 the authority approved the revised maps on May 30, and released drawings on June 25, allowing construction to resume at the site. The Supreme Court order divided the total Unitech land into two parts – one where homebuyers were allotted flats and plots, and the other where projects were yet to be launched – and specified that the focus should first be on completing partially built apartment towers. “After we got the revised maps approved from the Noida authority, we waited for the environmental clearances from the requisite authorities in the state and centre. We have decided to organize bhoomi poojan on Sunday to resume the construction at the site only after we got all requisite approvals including EC in place. We have already finalized the contractors who will be engaged in the construction. We will make sure the construction is completed even before the timelines mentioned in the contractual agreements,” said YS Malik, former IAS officer who is the chairman of the board constituted by the Supreme Court. The board was appointed in 2020 to replace the promoters from their positions and take control of the company from them after they failed to deliver the projects. Until earlier this year, the Noida authority had refused to approve the revised map layouts until the realtor cleared its dues amounting to nearly ₹11,000 crore, said officials in the know of the matter. “We have approved the layout of incomplete housing projects in Noida on the orders of the Supreme Court, paving the way for the construction at the site,” said Lokesh M, chief executive officer, Noida authority. Source : Hindustan Times INDIA

DDA Extends Call Centre Hours For Housing Queries

9/14/2024 12:34:00 PM

Intending to address public queries effectively and uninterruptedly on Delhi Development Authority(DDA)Housing Schemes,2024, Delhi Lt Governor V K Saxena has directed it to keep its call centre open this Sunday and Monday. Normally, DDA’s call centre having number 1800110332 operates from Monday to Saturday (10 AM -6 PM) and remains close on Sunday and gazetted holidays. The opening of Call Centre will provide necessary assistance to the buyers, as calls volume have increased three to four times, DDA official said on Friday. Giving details, they said, the booking of DDA’s Sasta Ghar Scheme and Madhyam Vargiya Scheme started on September 10 and it has received impressive response from the buyers, with over 1,400 flats sold in just three days. Moreover, the flats in Jasola have been completely sold out and there is good demand for flats in Narela, Rohini, Ramgarh and Siraspur. Besides, as part of DDA’s commitment to hand over demand letters within 24 hours, all buyers have been provided demand letters. The scheme continues to generate interest of the buyers and prospective buyers can log on to DDA’s website www.dda.gov.in to book the flat. Besides, the last date for EMD submission for Dwarka Housing Scheme is September 17 and there are a number of queries from the prospective buyers for the MIG, HIG, Super HIG flats and Penthouse in Dwarka. The demand for flats in Narela has also been encouraging, as the Lt Governor has placed significant impetus on civic infrastructure, with many projects in the pipeline. The upcoming Education Hub with all university campuses, proposed International Sports Complex, institutions, court complex, policing and enhanced connectivity, have played a catalytic role in making Narela a preferred choice of buyers. Apart from these, the approval from the Ministry of Finance, Government of India, for the Rithala–Narela–Kundli corridor of the Delhi Metro has also enhanced its locational advantage. Besides, DDA’s pre and post sale services have also contributed to the sale seamless information to buyers and handing over all property related and ownership documents to the buyers helped generate customer confidence and trust towards DDA. Source : Business Standard INDIA

Arkade Developers Raises Funds for IPO

9/14/2024 12:34:00 PM

Realty firm Arkade Developers Ltd has raised Rs 122.40 crore from anchor investors ahead of its initial public offering. On Tuesday, the company had fixed a price band of Rs 121-128 per share for its Rs 410- crore initial public offering. The initial share sale will open for public subscription on September 16 and conclude on September 19. According to a regulatory filing, the company has issued 95,62,500 shares to anchor investors at Rs 128 per share, aggregating to Rs 122.40 crore. These investors include BNP Paribas Financial Markets -- ODI, Societe Generale-ODI and Saint Capital Fund. The IPO is entirely a fresh issue of equity shares worth Rs 410 crore with no offer-for- sale (OFS) component. Proceeds from the issue will be used for development of the company's ongoing as well as upcoming projects, funding acquisition of future real estate projects and general corporate purposes. Arkade Developers is a fast-growing real estate development company with a significant presence in Mumbai. As of July 31, 2023, it has developed 1.80 million square feet of residential property, including through partnership entities in which Arkade holds the majority stake. Between 2017 and Q1 2023, the company launched 1,040 residential units and sold 792 residential units in different markets in the Mumbai Metropolitan Region (MMR) in Maharashtra. Arkade Developers' revenue in fiscals 2023, 2022 and 2021 stood at Rs 224.01 crore, Rs 237.18 crore and Rs 113.18 crore, respectively. The company said that half of the issue size has been reserved for qualified institutional buyers, 35 per cent for retail investors and the remaining 15 per cent for non-institutional investors. Further, investors can bid for a minimum of 110 shares and in multiples thereof. Source : Economic Times INDIA

Punjab and Haryana HC No Ban on Stilt-Plus-Four Floor Construction, Awaits Government Decision

9/12/2024 12:54:00 PM

Gurgaon: The Punjab and Haryana high court on Wednesday clarified that it had not stayed construction of stilt-plus-four floors, but the state govt said the policy was still on hold as a final decision on it was pending. HC had sought the Haryana govt's response after a realtor filed a petition claiming a stay had been imposed on the stilt-plus-four-floor policy (S+4) policy in the city. The bench of justices Arun Palli and Vikram Aggarwal said it was up to the department of town and country planning (DTCP) to decide if it wanted to implement the policy. Additional advocate general Ankur Mittal, representing the govt, also admitted during the hearing that DTCP had put the S+4 policy on hold and the court had never imposed any ban on its implementation. The plea by realtors was filed as the two-judge bench has been hearing a petition by the Gurgaon Citizens Council, which had sought a stay on govt's policy allowing S+4 construction in the NCR city. In Feb 2023, DTCP had suspended the implementation of this policy and formed an expert committee that was supposed to recommend if S+4 construction should be allowed in Gurgaon. Despite this order, on July 2 this year, the department released guidelines for S+4 construction, prompting GCC to question before the high court on how the rules could be framed if the policy was on hold. The SOPs allowed S+4 construction in colonies where the layout plan permitted three floors with stilt parking and 10-metre-wide roads. DTCP also listed standards for issuing occupation certificates (OCs) for buildings where additional floors were constructed without permissions. It proposed creating a portal for transparent and quick approval of such building plans. Separately, developers have filed another petition before the HC to become parties in the case. The court has issued a notice to GCC seeking a response. The high court will take up the case next on Oct 23. As uncertainty persists about the policy's implementation, realtors said that HC's clarification gives them an indication that DTCP could come up with a revised set of norms. "There is no court order preventing construction of stilt-plus-four floors in residential areas. New directives could soon be issued by the department," Narendra Yadav, president of the Gurugram Home Developers Association, said. Source : The Times of India INDIA

Bajaj Housing Finance IPO: Oversubscribed 63.60 Times by Day 3

9/12/2024 12:53:00 PM

NEW DELHI: Bajaj Housing Finance Ltd's Rs 6, 560 crore initial public offer (IPO) was subscribed 63.60 times on Day 3. The issue received bids for 46,27,48,43,832 shares, against the 72,75,75,756 shares on offer, acoording to NSE data. The Qualified Institutional Buyers (QIBs) category witnessed a massive 209.36 times subscription, while the non-institutional investors' portion was subscribed 41.50 times. Retail Individual Investors (RIIs) subscribed 7.02 times. The IPO, which opened for bidding on Monday, was fully subscribed within hours and closed the day with a 2 times subscription. Prior to the opening, Bajaj Housing Finance had already raised Rs 1,758 crore from anchor investors on Friday. The IPO consists of a fresh issue of equity shares worth up to Rs 3,560 crore and an offer-for-sale (OFS) of equity shares amounting to Rs 3,000 crore by the parent company, Bajaj Finance. The price band for the offer has been set at Rs 66-70 per share. The listing of Bajaj Housing Finance is in compliance with the Reserve Bank of India's (RBI) regulations, which mandate upper-layer non-banking finance companies to be listed on stock exchanges by September 2025. The proceeds from the fresh issue will be utilized to strengthen the company's capital base and meet future capital requirements. Bajaj Housing Finance, a non-deposit-taking housing finance company registered with the National Housing Bank in September 2015, offers financial solutions for purchasing and renovating residential and commercial properties. The company has been classified as an "upper layer" NBFC by the RBI and provides comprehensive mortgage products, including home loans, loans against property, lease rental discounting, and developer financing. The IPO is being managed by a consortium of book-running lead managers, including Kotak Mahindra Capital Company Ltd, BofA Securities India Ltd, SBI Capital Markets Ltd, Goldman Sachs (India) Securities Private Ltd, Axis Capital, and JM Financial Ltd. The TOI Business Desk is a vigilant and dedicated team of journalists committed to delivering the latest and most relevant business news from around the world to readers of The Times of India. The primary focus of the TOI Business Desk is to keep a watchful eye on the global business landscape, covering a wide spectrum of industries, markets, economic trends, in-depth analysis, exclusive reports and breaking stories that impact businesses and economies. With a mission to provide valuable insights and updates, the desk ensures that TOI readers are well-informed about the ever-changing and dynamic world of commerce and can navigate the complexities of the business world. Source : The Times of India INDIA

Bank of Baroda Gives Green Light to Supertech’s Dehradun Project

9/12/2024 12:51:00 PM

Bank of Baroda, one of the lender in Supertech Group has approved and sanctioned the resolution plan for company’s Dehradun project paving way for delivery of over 600 homebuyers. The company had submitted a project-wise resolution plan in National Company Law Appellate Tribunal (NCLAT) and this is the first project which has got approval from the lender. Bank of Baroda has also given its consent for the inclusion of co-developer in the project. “We have tied up with a local developer to resume the stalled project. We will now seek further approvals from other lenders for other projects. Our aim is to secure approval for each project one by one. The bank has not shown interest in NBCC’s proposal of taking over the project and instead allowed us to resolve it,” said RK Arora, chairman of Supertech group. Recently, Kotak Investment Advisors Ltd (KIAL) has agreed to invest Rs 450 crore in Supertech’s stalled mixed-use project in Noida, offering a major financial lifeline to the cash-strapped realty developer. The 5 million sq ft ‘Supernova’ project in Sector 94 is currently 50% completed and it includes the tallest residential tower in the NCR region. On completion, the project has a revenue potential of more than Rs 7,000 crore, according to the proposal of Supertech to the Noida authority. The revival of Supernova is expected to help Supertech resume its other projects which have been delayed for several years. The Noida-headquartered property developer has to deliver over 15,000 homes. Supertech’s total liabilities including dues to banks and development authority total about Rs 8,000 crore, while project receivables from both launched and yet-to-be-launched projects exceed Rs 14,000 crore, making the projects' net worth positive. The company has already submitted a proposal to the Uttar Pradesh government for its revival. It is in the process of selling some land parcels to give exits to lenders and use the remaining funds to expedite construction on stalled projects. Source : The Economic Time INDIA

Bajaj Housing Finance IPO: Issue Subscribed 7.50 Times on Day 2

9/11/2024 1:14:00 PM

Bajaj Housing Finance IPO GMP soars: The unlisted shares of Bajaj Housing Finance continue to maintain a robust grey market premium on the final day of its IPO bidding, underscoring strong investor appetite. The shares are trading at a premium of Rs 70, a 100 per cent premium over the IPO's upper price band of Rs 70, as per sources tracking grey market activities. Moreover, today's grey market premium has risen by Rs 7, from Rs 64 on Monday, September 9, 2024, when the IPO subscription opened, indicating sustained momentum. The Bajaj Housing Finance IPO, which ends today, has so far received an overwhelming response from investors, with the public issue being subscribed 7.50 times by the second day of subscription. According to NSE data, the public issue of Bajaj Housing Finance received bids for 5,45,85,77,822 shares against 72,75,75,756 shares offered. Non-Institutional Investors (NIIs) bid the highest at 16.45 times for the Bajaj Housing Finance IPO, followed by Qualified Institutional Buyers (QIBs) at 7.46 times and Retail Individual Investors (RIIs) at 3.83 times. Meanwhile, the quota reserved for shareholders received 9.54 times subscription by Tuesday, September 10, 2024. The public issue of Bajaj Housing Finance arm has received positive reviews from several noted brokerages, including Deven Chokshi Research, InCred Equities, Motilal Oswal, and Swastika Investmart. At the upper end, Bajaj Housing Finance seeks to raise Rs 6,560 crore from the issue, offering a fresh issue of 937,142,858 shares worth around Rs 6,560 crore, as well as an offer for sale of up to 508,571,429 shares of the company with a face value of Rs 10 apiece. The Bajaj Housing Finance IPO is available at a price band of Rs 66-70 with a lot size of 214 shares. Accordingly, investors can bid for a minimum of 214 shares and in multiples thereof. KFin Technologies is the registrar for the Bajaj Housing Finance IPO, while Kotak Mahindra Capital, BofA Securities, Axis Capital, Goldman Sachs (India) Securities, SBI Capital Markets, JM Financial, and IIFL Securities are the book-running lead managers of the public issue. Following the closure of the subscription window, the allotment of Bajaj Housing Finance IPO shares is likely to be finalised on Thursday, September 12, 2024, and the company's shares will be credited to demat accounts on Friday, September 13, 2024. Bajaj Housing Finance Bajaj Housing Finance Ltd (BHFL), formerly known as Bajaj Financial Solutions Ltd, was incorporated as a subsidiary of Bajaj Finserv Ltd (BFS) on June 13, 2008. The company was acquired by Bajaj Finance Ltd (BFL) as a wholly-owned subsidiary from Bajaj Finserv on November 1, 2014, with the intent to conduct housing finance business through a dedicated subsidiary. The company's name was changed to Bajaj Housing Finance on November 14, 2014. Source : Business Standard INDIA

Upon 1,100 Flats of DDA Two Housing Schemes Vend on First Day

9/11/2024 1:13:00 PM

New Delhi: Delhi Development Authority has said that it has got an impressive response on the first day of booking of flats under two housing schemes — Sasta Ghar and Madhyam Vargiya Housing. The authority said it booked over 1,100 flats in the first four hours of the booking process on Tuesday. Over 450 flats were booked in Rohini, 100 in Ramgarh colony and all 41 flats in Jasola. Besides, over 350 flats were booked in Narela, including LIG and EWS units. Under the Dwarka Housing Scheme, DDA offered 173 MIG, HIG and higher category flats in Sector 14, 16B and 19B. Till Tuesday DDA received 1,910 registrations. "The lieutenant governor has been monitoring the schemes and has placed significant impetus on civic infrastructure. The upcoming education hub with university campuses, proposed international sports complex, institutions, court complex, policing and enhanced connectivity, have played a catalytic role in making Narela a preferred choice for buyers. The approval from the ministry of finance for the Rithala–Narela–Kundli corridor of Delhi Metro has enhanced its locational advantage," an official said. A professional marketing strategy adopted by DDA also helped the sale. "Single window enquiries on the website, seamless information to buyers, and handing over of ownership documents to the buyer helped generate customer confidence and trust," an official said. Under the Sasta Ghar Housing scheme, 34,000 flats are planned to be offered and in phase I and 8,000 flats are open for registration. In the General Housing Scheme, 5,400 flats (including MIG, HIG, LIG and EWS units) are on offer. "While the registration will continue, to handle queries efficiently, including aiding in the registration process, the authority has established a registration helpdesk at its head office, Vikas Sadan. A helpline number (1800110332) will work from 10 am and 6 pm from Monday to Saturday. People can log on to www.dda.gov.for more information," said an official. Source : The Times of India INDIA

Noida Authority Require UP Govt to Review Relief Granted To ET Infra Developers

9/11/2024 1:12:00 PM

Noida: Noida Authority will urge UP govt to reconsider a decision to grant a financial relief of Rs 63 crore to ET Infra Developers Pvt Ltd, the builders of World Trade Tower in Sector 16. The relief was granted to compensate for delays caused by a National Green Tribunal (NGT) ban on constructions within 10km of Okhla Bird Sanctuary between 2013 and 2015. Authority officials pointed out that the developer had completed the towers before the NGT orders were imposed, but failed to secure an occupancy certificate because of lack of documents. This, they argued, makes the company ineligible for the waiver as the NGT ban had no effect on the project. It was in March 2010 that Electrotherm Infra Developers (Consortium) was allotted commercial land in Sector 16 for the World Trade Tower project. The company was supposed to finish the project in three years and apply for an occupancy certificate by Aug 2, 2013. The builder, which had already deposited Rs 48 crore, applied for the certificate on June 5, 2013, but failed to submit proper documents. On July 9 that year, the Authority's Building Cell rejected the application, citing Building Regulations, 2010. The NGT ban was imposed only on Aug 14, 2013 within 10km of the bird sanctuary. NGT tightened the restrictions in Oct 2013, asking the Authority to stop issuing OCs to projects without environmental clearance. The developer requested the Authority to extend its payment instalments by two years and waive interest from Sept 2013 onwards, in keeping with NGT's orders. The plea was rejected. ET Infra made further appeals, requesting "zero period" waivers for a period starting July 9, 2013. The developer argued that despite completing the tower much before the ban, they failed to get the OC because of NGT's orders. The Authority, eventually, allowed partial relief between Aug 14 and Oct 28, 2013. In Aug 2015, the ban was lifted, with the Centre reducing the eco-sensitive zone around the sanctuary to 100 metres. But the developer approached Allahabad high court, seeking full waiver for a two-year period from Aug 2013. In 2017, the HC asked the Authority to address the company's grievances in four weeks. The Authority, however, granted a limited zero-period benefit and only waived penal interest from Oct 29, 2013 to Aug 19, 2015. On Aug 24, 2023, the developer sought a review of the waiver under the Uttar Pradesh Urban Planning and Development Act, 1973. The state govt reviewed the case and allowed a full waiver of interest and lease rent, amounting to Rs 63 crore, for the period between Aug 2013 and Aug 2015. The Authority, however, contested the decision. During its previous board meeting, officials argued that the delay in getting the OC had nothing to do with the ban but was because of the developer's own faults. They also pointed out that ET Infra had already received partial waivers for the affected period and had cleared all outstanding dues by Nov 2022. "This additional relief would set an unfair precedent and impose a significant financial burden on us," an official said. Source : The Times of India INDIA

Loan Case : Delhi HC Grants Bail to Former Directer of DHFL

9/10/2024 12:34:00 PM

The Delhi High Court on Monday granted bail to Dheeraj Wadhwan on medical grounds in a CBI case. He is accused in a multi-crore bank fraud case. Justice Sudhir Kumar Jain granted bail to Dheeraj Wadhawan after hearing the bail application. Justice Jain said, "Petitioner falls under the category of sick person." The trial court order is set aside, he added. On June 5, the Delhi High Court sought a status report on the bail plea, which he sought on medical grounds. His bail plea was dismissed by the trial court. The vacation bench of Justice Vikas Mahajan had directed the CBI to file a status report. Senior advocate Amit Desai had appeared through video conferencing and senior advocate Siddharth Agrawal appeared physically. Advocate Anupam S Sharma appeared for CBI and opposed the bail application. His earlier bail plea was withdrawn from Delhi High Court on May 17. He had moved his bail plea after his arrest in the DHFL Bank loan case. His bail plea has been dismissed twice by the trial court. The Rouse Avenue court's Special Judge A K Sarpal on May 10 dismissed his bail application on the grounds of maintainability. The court had also directed the CBI to arrest him after May 11 and to produce him before the CBI court as per the direction of the Supreme Court passed on January 24. While rejecting the bail application, the CBI Court at Rouse Avenue said that the accused is at liberty to move a fresh bail application for bail after he is arrested and comes into the custody of this court. At that time, his request for a grant of interim bail on medical grounds or regular bail, if moved, will be considered. However, the bail application was dismissed by the court following his arrest. The trial court also said that at this stage, the first order of the Supreme Court of January 24, 2024, has to be complied with for taking the accused into physical custody. Earlier, he was granted protection by the Bombay High Court till May 11 on medical grounds. He was hospitalised and underwent surgery. He was receiving treatment at his home after discharge from the hospital before his arrest. The Supreme Court on January 24 set aside a Delhi High Court order granting statutory bail to former Dewan Housing Finance Ltd. (DHFL) promoters Kapil Wadhawan and his brother Dheeraj Wadhawan in connection with a multi-crore rupee bank loan scam case. The apex court had cancelled the bail granted to the Wadhawan brothers. It said the High Court and trial court had erred in providing default bail to the Wadhawans. "We have no hesitation that the chargesheet having been filed and cognisance being taken in due time, respondents could not have claimed statutory bail as a right. The high court and lower court greatly erred. Trial court to hear afresh on regular bail. Appeals allowed accordingly," the bench said while pronouncing the order. The top court had set aside the findings of the High Court and the trial court, saying the Wadhawan brothers cannot claim the statutory right of default bail on the ground that the investigation is pending against other accused. In this case, CBI had filed the chargesheet on the 88th day after registration of the FIR and the trial court granted default bail to them and the Delhi High Court upheld the order. The charge sheet was filed on October 15, 2022, and cognisance was taken. The trial court had granted bail to them, noting that the charge sheet filed by the CBI is incomplete. On July 19, 2023, they were arrested in this case. The FIR in the case was based on a complaint made by the Union Bank of India. Source : Business Standard INDIA

Bajaj Housing Finance IPO Acheives Full Subscription on Day 1

9/10/2024 12:29:00 PM

Bajaj Housing Finance IPO subscription status: The initial public offering (IPO) of the much- awaited Bajaj Housing Finance received an overwhelming response from investors on the first day of its opening, with investors bidding for 1,46,58,24,030 shares against 72,75,75,756 shares offered by the company. Thus, the issue got subscribed 2.01 times by the end of the first day of subscription, as per NSE data. This was led by Non-Institutional Investors (NIIs) who bid 4.35 times for the Bajaj Housing Finance IPO, followed by Retail Individual Investors (RIIs) at 1.50 times and Qualified Institutional Buyers (QIBs) at 1.07 times by the end of Monday, September 9, 2024. Meanwhile, the quota reserved for shareholders witnessed 2.90 times subscription. The public issue is available at a price band of Rs 66-70 and a lot size of 214 shares for investors. Thus, investors can bid for a minimum of 214 shares and in multiples thereof. Accordingly, the minimum amount required by a retail investor to bid for the Bajaj Housing Finance IPO is Rs 14,980. Bajaj Housing Finance also garnered broadly positive reviews from brokerages, including Deven Chokshi Research, InCred Equities, Motilal Oswal, and Swastika Investmart, for the public issue. READ MORE Meanwhile, the unlisted shares of Bajaj Housing Finance continue to trade at a strong premium in the grey market on Tuesday. As per sources that track grey market activities, shares of Bajaj Housing Finance were quoted trading at a grey market premium of Rs 64 or 91.43 per cent. This suggests a positive market sentiment for the Bajaj Housing Finance IPO. The three-day subscription window to bid for the Bajaj Housing Finance IPO closes on Wednesday, September 11, 2024. Following this, the basis of allotment of Bajaj Housing Finance shares is expected to be finalised on Thursday, September 12, 2024, and subsequently, the company's shares will be credited into demat accounts on Friday, September 13, 2024. Bajaj Housing Finance shares are expected to make their debut on the bourses on Monday, September 16, 2024. Bajaj Housing Finance shares will be listed on the BSE and NSE. For the Bajaj Housing Finance IPO, KFin Technologies is the registrar, while Kotak Mahindra Capital, BofA Securities, Axis Capital, Goldman Sachs (India) Securities, SBI Capital Markets, JM Financial, and IIFL Securities are the book-running lead managers. Source : Business Standard INDIA

Haryana RERA to Review Developer Consent for Project Changes

9/10/2024 12:21:00 PM

The Real Estate Regulatory Authority (Rera) in the city has decided to check "to the extent possible" the veracity of two-thirds consent of allottees that real estate promoters submit in case they want any change in their layouts or a revision of their building plans. The decision was taken at a meeting of Rera officials on Monday. The Real Estate (Regulation and Development) Act of 2016 mandates changes or revisions — as the case may be — to layouts or building plans provided two-thirds of the allottees say yes to it. According to Section 14 of the Haryana Rera Act, "the promoter shall not make any additions and alterations in the sanctioned plans, layout plans and specifications and the nature of fixtures, fittings and amenities described therein in respect of the apartment, plot or building, as the case may be, which are agreed to be taken, without the previous consent of that person: provided that the promoter may make such minor additions or alterations as may be required by the allottee, or such minor change or alterations as may be necessary due to architectural and structural reasons duly recommended and verified by an authorised architect or engineer after proper declaration and intimation to the allottee." Section 14 (2)(II) of the Act also says that the "promoter shall not make any other alterations or additions in the sanctioned plans, layout plans and specifications or the buildings or the common areas within the project without the previous written consent of at least two-thirds of the allottees, other than the promoter". Before allowing the alterations, the authority usually issues a public notice inviting objections. In case there are no objections, it allows the changes. In case some objections are received, the case is decided on merit. "As a matter of abundant caution, the real estate authority will from now on get the consent checked to the extent possible. The idea behind this effort is to protect the sanctity of allottees' rights under the Rera Act," a senior official said. Advocate Harshit Batra, who deals in cases related to properties, backed the Rera move. "This will not only save the parties from any future litigation involving the approval of revised plans but will also help in the smooth implementation of revised development." Source : The Times of India INDIA

NBCC Offers Three-Phase Plan to Complete 50K Supertech Flats in NCR

9/9/2024 12:35:00 PM

NEW DELHI: Providing a confidence boost to several thousand homebuyers, state-run NBCC has proposed a three-phase construction plan spread over three years to complete all the 50,000 apartments spanning across 17 project of Supertech Ltd, which is being run by an insolvency professional and whose promoter is facing multiple charges including fund diversion and money laundering. The public sector construction company has sought the National Company Law Appellate Tribunal's (NCLAT) permission to enter as a project management consultant, a task it is performing at Amrapali. NBCC has estimated the cost of completing all the projects at close to Rs 9,500 crore and the receivables are pegged at Rs 16,000 crore, including Rs 14,000 crore that can be generated from unsold inventory of 10,000 apartments. The insolvency resolution professional had estimated the construction cost at Rs 6,406 crore. "Tentative time period for completion of various projects shall vary from 12 to 36 months from ‘Day Zero'," it has proposed. Day zero includes everything from access to land to receipt of approvals and availability of funds. Underlining the availability of funds as a key, NBCC has sought an "unencumbered designated project account", where an initial Rs 100 crore will be required. Besides, it has sought the support of local authorities and from Supertech as well as homebuyers. NBCC proposes to charge a fee of 8% on the actual cost of work and 1% marketing fees. While around half the apartments, around 13,000 have been delivered in the seven projects that are proposed to be taken up in the first phase, the possession level in the second and third phases is seen to be lower. NBCC has proposed the establishment of a committee appointed by NCLAT, comprising its representatives, along with those from banks and construction industry and the insolvency professional to decide on project execution, collection of money from homebuyers, offloading unsold inventory and payment of dues to lenders. It has also sought flexibility in execution of projects and has proposed to undertake structural stability analysis once it is appointed PMC. Several homebuyers are backing NBCC's bid given that it is a PSU and has made significant headway in delivering apartments to Amrapali homebuyers, who were similarly stranded. Homebuyers, almost all from the middle class, are worried over the fate of their apartments given that Supertech promoter and suspended director Ram Kishor Arora is facing multiple charges after Union Bank initiated insolvency action. Source : The Economic Time INDIA

Arakade Developers Rs 410 Crore IPO Set to Open on September 16

9/9/2024 12:33:00 PM

Real estate developer Arkade Developers Ltd is set to float its Rs 410-crore initial public offering (IPO) on September 16. The initial share sale will conclude on September 19, and the bidding for anchor investors will open for a day on September 13, according to the red herring prospectus (RHP). The maiden public issue is entirely through a fresh issue of equity shares worth Rs 410 crore with no offer-for-sale (OFS) component. The company has already raised Rs 20 crore through a pre-IPO placement round. Proceeds from the issue will be used for the development of the company's ongoing as well as upcoming projects and funding the acquisition of future real estate projects and general corporate purposes. Arkade Developers is a fast-growing real estate development company with a significant presence in Mumbai. As of July 31, 2023, it has developed 1.80 million square feet of residential property, including through partnership entities in which Arkade holds the majority stake. Between 2017 and Q1 2023, the company launched 1,040 residential units and sold 792 residential units in different markets in the Mumbai Metropolitan Region (MMR) in Maharashtra. Arkade Developer's revenue in fiscal 2023, 2022 and 2021 stood at Rs 224.01 crore, Rs 237.18 crore and Rs 113.18 crore, respectively. Unistone Capital is the sole book-running lead manager (BRLM) to the issue. The equity shares of the company will be listed on BSE and NSE. Source : Standard Business INDIA

ED Attaches Rs 78 Crore Worth of Properties Linked to Gautam Thapar in Bank Loan Fraud Case

9/9/2024 12:30:00 PM

"Directorate of Enforcement (ED) has provisionally attached 24 immovable properties spanning 52.11 acres of land valued at Rs 78.18 crore belonging to M/s Oyester Buildwell Private Limited, a company whose beneficial owner is Gautam Thapar. The properties so attached are located in Gurugram, Haryana," as per an official press release. ED initiated investigation on the basis of an FIR registered by Central Bureau of Investigation (CBI) under various sections of IPC, 1860 against M/s Oyster Buildwell Pvt. Ltd., M/s Avantha Realty Ltd., Gautam Thapar and others having committed criminal breach of trust, cheating, criminal conspiracy and forgery for diversion/misappropriation of the public money during the period from 2017 to 2019 and causing loss to the tune of Rs 466.51 crore to YES Bank, ED stated in the release. "ED investigation revealed that M/s Oyster Buildwell Pvt Ltd. obtained a loan of Rs 514.27 crore in the year 2018 from Yes Bank Ltd. on the basis of sham O&M agreements. Out of this loan amount, an amount of Rs 14.11 crore was retained by Yes Bank as loan processing charges and the balance amount of Rs 500.11 crore was thereafter transferred by M/s OBPL to its sister concerns in guise of sham O&M agreements," as per the release. Since the said loan was given under dubious circumstances, it eventually became a non-performing asset (NPA) for the bank, and only an amount of Rs 47.75 crore could be recovered from the loan of Rs 500.11 crore and POC to the tune of Rs 466.51 crore remained unrecoverable, the ED stated. As per ED, the Prosecution Complaint against 18 individuals, including Gautam Thapar and Rana Kapoor, has already been filed in the Hon'ble Special Court (PMLA), New Delhi in this case. Gautam Thapar was arrested by ED in this case, and currently he is out on bail on health grounds, it said. Further investigations are under progress. Source : Business Line INDIA

Noida to Seal, Auction Unsold Flats in Three Project Over Unpaid Dues

9/7/2024 12:37:00 PM

The Noida authority has decided to seal, attach and auction unsold flats of defaulter builders and took possession of vacant unused land of three projects -- the Grand Omaxe (Omaxe Buildhome) in Sector 93B, Antriksh Golf View (Colourful Estate) in Sector 78, and Matrott (Skytech Constructions) in Sector 76 -- in an attempt to recover dues and deliver justice to thousands of homebuyers, who have been suffering for the past many years. The decision to attach and seal the unsold inventory in housing projects came on Wednesday during a meeting chaired by Noida authority chief executive officer Lokesh M, who directed the group housing department to launch a crackdown against defaulter realtors. “We have directed the group housing and finance departments to attach and take back unused plots from the defaulter realtors in order to realise our revenue and also pave the way for addressing homebuyers’ grievances. Our teams will check the inventory that has got no third party rights on it, and then the attachment and seizure will take place,” said Lokesh M. The move comes after promoters failed to deposit 25% of the recalculated dues under the state’s policy meant for stalled housing projects that came on December 21, 2023. The authority has given a week’s ultimatum to the developers of 12 similar projects to deposit 25% of their dues or face legal action in the form of complaints filed with the economic offences wing (EOW). The developers of these projects have failed to pay the required amount, officials said, adding that some of them have paid only a fraction of the necessary deposit. The projects in question are Aims Max Gardenia, Omaxe Buildhome, Colourful Estates, Prateek Buildtech, Prateek Realtors, Sunworld Residency, Sunshine Infrawell, Antriksh Developers & Promoters, Perfect Propbuild, Mahagun Real Estates, Imperial Housing Ventures, Assotech Ltd, Assotech Contracts, Skytech Constructions and AVP Buildtech. Of the 56 builder projects covered by the government order issued in December 2023, which addresses legacy stalled real estate projects, 22 builders have deposited 25% of the total assessed dues, amounting to ₹275.72 crore, after availing of concessions. The dues for six builders have been nullified after recalculation, said officials. A total of 2,558 flat buyers across these 28 projects have been granted permission for registry, with 1,298 registrations completed and 1,260 pending. On Tuesday, the authority announced that it will write to the EOW against non-compliant builders who have failed to pay necessary dues. There are 28 projects whose developers have not taken advantage of the rehabilitation package, and owe the authority nearly ₹6,900 crore. Over 12,700 flats remain unregistered in these projects, said officials. “If the EOW probe will establish proof that realtors diverted funds or misused it, then enforcement directorate will probe the matter. The realtors who are willingly defaulting will face action,” said Vandana Tripathi, additional CEO, Noida authority. The Confederation of Real Estate Developers Association of India (CREDAI, a builder’s group, has also asked realtors to clear the dues. “The CREDAI has urged the developers to obey to the authority directive because it will benefit not only them, but also homebuyers, who have already suffered enough,” said Dinesh Gupta, secretary, CREDAI, western UP chapter. Source : The Economic Time INDIA

Noida Authority Acts to Resolve Dues,Aim for a Stronger Grand Omaxe Society

9/7/2024 12:13:00 PM

Noida authority sealed Omaxe Buildhome's land for failing to clear ₹457.81 crore dues, affecting 500 apartment owners unable to register properties. The Noida authority on Friday sealed a 9,262.625 square metre land parcel of Omaxe Buildhome Private Limited for failing to clear ₹457.81 crore dues despite repeated notices. The move comes after the realtor failed to pay at least 25% ( ₹114.45 cr) of the total land cost dues and obtain permission for registry of apartments in the name of the homebuyers. Under the state government policy launched on December 21, 2023, the authority is offering waivers on interest to stuck housing projects for the period of the Covid pandemic. “We have sealed the unused land parcel of Omaxe Buildhome after the realtor failed to make use of the policy… under which we offer waivers so that the dues can be cleared easily. But despite the relief given in the policy the Omaxe Group is not coming forward to pay the dues and obtain permission for the registry. Therefore, the authority has acted against the realtor. And the action against other defaulter realtors will continue,” said Vandana Tripathi, additional chief executive officer, of Greater Noida authority. The authority had on October 3, 2006 allotted the housing land in sector 93B for developing a housing project, located along Noida- Greater Noida Expressway. Subsequently, the authority had on December 29, 2006 executed the registry of the plot, and also gave possession of this prime land on which a luxury housing project was developed by the realtor. To be sure, the authority needs to recover ₹457.81 crore land cost dues that remained unpaid till December 31, 2023. The authority in January, 2024 through a notice directed Omaxe to pay the 25% of the dues. Around 500 owners of apartments in Grand Omaxe have been suffering for six years and are still not able to transfer the property title to their names. "Most of these apartment owners had purchased stamp fee 10 years ago. Some of them gave the stamp fee money to the builder itself. But even a decade later, these apartment owners are not being able to register there,” said PVS Prakash, a resident of Grand Omaxe and former apartment owners association president. The promoter of Grand Omaxe was not available for comment. Around 500 residents of Grand Omaxe housing complex in Sector 93B are yet to receive their property title despite paying the total flat cost as the Noida authority will allow registry of these flats only after the builder deposits dues. Residents asked why they should suffer for the builders’ fault even after paying the total cost on time. The Omaxe Buildhome private limited has developed around 1,500 apartments in this project named Grand Omaxe and residents are living in this project. Source: The Times Of India INDIA

Fresh Hope For Lavasa as NCLT Orders Restart of Insolvency Process

9/7/2024 12:05:00 PM

I Implementation of the resolution plan approved by NCLT, Union Bank of India, a secured creditor, and on behalf of the secured financial creditors of Lavasa also filed an IA. Union Bank submitted that due to the non-infusion of funds, the lender banks were forced and constrained (to maintain the CD) to infuse money into Lavasa. Accordingly, in the meeting, 62.73% of the lender banks agreed that the performance bank guarantee (PBG) submitted by DPIL should be invoked and encashed. Subsequently, ARCIL also indicated their approval for the invocation of the PBG of Rs25 crore, so there was a consensus of 73.65% of the lender banks in favour of the invocation of PBG. The NCLT bench observed that Darwin Platform not only failed to make the upfront payment as required under the approved resolution plan but also failed to take any real steps even after the dismissal of appeals by the National Company Law Appellate Tribunal (NCLAT) on 10 January 2024 while hearing an appeal filed by Union Bank and on 13 February 2024 while hearing the appeal filed by State Bank of India (SBI). "The PBG was invoked by Union Bank on 8 April 2024, i.e., many days after the rejection of the appeals. This clearly demonstrates that the Darwin Platform was never ready to implement the plan and was only making excuses to somehow save the PBG amount. In the light of the discussion, we have no hesitation in holding that Darwin Platform has starkly contributed to the failure of implementation of the approved resolution plan in accordance with the terms of the approved resolution plan. Consequently, Union Bank has rightly invoked and encashed the PBG furnished for by Darwin Platform, and the proceeds thereof can be used for the purposes as decided by CoC," NCLT says. As per the approved resolution plan, Darwin Platform was required to make an upfront payment of Rs100 crore within 90 days from the effective date, the date of approval of the resolution plan, and receipt of a copy of the order and a payment of the further amount of Rs50 crore within nine months from the effective date. A group of more than 500 homebuyers in Lavasa had filed an appeal alleging serious irregularities in Lavasa's resolution plan. It included fudging of figures and misrepresentation of facts, which comprises of fudging of net-worth, share capital and long- term liability figures, misrepresentation in the valuation of shares and inconsistencies in filings with the Union ministry of corporate affairs (MCA). NCLT also dismissed IA filed by employees of Lavasa, stating that the applicants lack the locus and there is no question of considering their apprehensions. Earlier in March, the enforcement directorate (ED) descended upon the Darwin Platform group, conducting raids across nine locations in Delhi, Mumbai and Goa, seizing cash worth around Rs78 lakh, incriminating documents and foreign currency of Rs2 lakh from the residence of Ajay Harinath Singh and his associates. The ED alleges the transfer of nearly Rs18 crore through layered transactions involving multiple accounts linked to the Darwin group and personal accounts of the Singh family and associates. The Darwin group also stands accused of being the primary beneficiary of funds routed through Dlehman Rea-IT Trade Pvt Ltd, adding weight to the money laundering charge. As reported by Moneylife, Mr Singh claims that the Darwin Platform group of companies is in the business of refineries, infrastructure, automobiles, defence, pharmaceuticals, airlines, electric vehicles, banking, finance and media – but has seldom mentioned that the group's primary source of income is multi-level marketing (MLM) or collective investment schemes (CIS). In fact, Darwin Platform Refineries, which is ostensibly its 'refinery business', is also into direct sales that resemble MLM or Ponzi business modules. INDIA

Adani Goodhome's Resolution Plan Moves Forward For Radius Estate Despite Legal Challenges

9/7/2024 12:02:00 PM

The Supreme Court on Friday declined to stay the resolution plan of Adani Goodhomes, a subsidiary of Adani Infrastructure and Developers, to acquire the insolvent real estate company Radius Estates. The bench, comprising Justices Sanjiv Khanna and Sanjay Kumar, issued a notice to Adani Goodhomes and other parties, including the dissenting creditor Beacon Trusteeship, which challenged the plan in the Supreme Court after it was upheld by the NCLAT. Beacon Trusteeship claimed the plan imposed an around 93% haircut on its claims. The case will be heard again in January 2025. This case highlights the ongoing issue of substantial haircuts taken by lenders in insolvency resolutions. The Congress party, on 4 September 2024, raised concerns based on data from the All India Bank Employees Association (AIBEA), which revealed that public sector banks took a 74% haircut on their outstanding dues from 10 financially stressed companies after they were acquired by the Adani Group. In this case on 27 May, the National Company Law Appellate Tribunal (NCLAT) upheld Adani Goodhomes' plan to take over Radius Estates, rejecting challenges from dissenting creditors includes ICICI Prudential Venture Capital Fund and Beacon Trusteeship. This decision reaffirmed an earlier order from the Mumbai bench of the National Company Law Tribunal (NCLT), which had approved the plan and dismissed allegations of collusion. Dissenting creditors, such as Beacon Trusteeship, alleged that the resolution professional (RP), Jayesh Sanghrajka, and HDFC Ltd, the largest creditor, colluded, resulting in only one bid being received. They demanded a restart of the insolvency process, but the NCLT Mumbai approved Adani Goodhomes' bid in December 2022, citing insufficient evidence for these claims. Financial creditors' loss, homebuyers' gain The Resolution Plan violated Section 30(2) of the Code, according to dissenting creditors. They argued it was unfair because it imposed a 93% haircut on secured financial creditors while providing 100% recovery to homebuyers through allotted units without reductions or price increases. They also criticized the RP for expediting the Corporate Insolvency Resolution Process (CIRP) and pressuring the Committee of Creditors (CoC), alleging that the incomplete Valuation Report hindered an informed decision. Adani Goodhomes has offered approximately ₹76 crore to Radius Estates' creditors, who have claims totalling around ₹1,700 crore, resulting in a 93% haircut for the creditors, accoding to media reports. The resolution plan received support from over two-thirds of the creditors, including nearly all of the 700 homeowners, as well as financial creditors like HDFC, Yes Bank Ltd, Piramal Capital & Housing Finance Ltd, Infinite Buildcon Private Ltd, and ICICI Bank Ltd. ICICI Prudential Venture Capital Fund, and Beacon Trusteeship were the only dissenting creditors who challenged the plan, citing foul play. Their challenges were rejected by both the NCLT and NCLAT, prompting them to escalate the matter to the Supreme Court. Homeowners had collectively advanced around ₹800 crore to book their homes. Although they are considered a separate class of creditors, they have the same rights as financial creditors. Of the ₹1,700 crore claims filed by financial creditors, debenture holders' claims are estimated at around ₹200 crore. Adani Goodhomes has also committed to completing the residential project in Mumbai at no additional cost to the homeowners. Following the plan's approval, Adani Goodhomes infused ₹450 crore as interim finance by 31 December 2021, which was used for dues payment, FSI premiums to the Municipal Corporation of Greater Mumbai (MCGM), and the commencement of construction. Radius Estates' bankruptcy Radius Estates and Developers Pvt. Ltd. had partnered with MIG (Bandra) Realtors and Builders Pvt. Ltd. to redevelop land in Bandra (East), Mumbai. The project aimed to construct residential flats for the rehabilitation of members of the Middle-Income Group Co- operative Housing Society, along with a free- sale component. However, construction halted in January 2020, leading Beacon Trusteeship Ltd. to file a petition under Section 7 of the Insolvency and Bankruptcy Code, 2016, initiating the Corporate Insolvency Resolution Process. On 30 April 2024, the NCLT initiated insolvency proceedings. At the start of the moratorium, Radius Estates had sold 224 units and had 146 units left for sale. Out of the 15 proposed buildings, only nine were partially constructed, while the construction for the remaining six had not yet begun. When the resolution professional invited plans, Adani Goodhomes and Ashdan Developers submitted proposals. Adani Goodhomes' plan was approved by the Committee of Creditors with an 83.93% voting share and received NCLT approval. Source: Mint INDIA

Ghaziabad : NGT Says in Three Months Hotels, Restaurants & Malls Get Pollution Certificate

9/6/2024 12:39:00 PM

The National Green Tribunal (NGT) directed on Wednesday hospitality establishments — hotels, malls, banquet halls, restaurants with seating capacity of 36 upwards — in the district to obtain consent to operate certificate from the state pollution control board within 3 months or face shut down. The certification allows for the discharge of effluent (sewage or trade effluent) into a sewer or land, as well as the emission of air pollutants. NGT asked the UPPCB to take "punitive, preventive, prohibitive and remedial steps including, assessment and recovery of environmental compensation, expeditiously " against establishments that were previously granted time by it to obtain consent to operate certificate but had not done so. Compliance conditions mentioned in consent to operate certifiactes must be abided by the establishments and this has to be made sure by the board, it added. The directive came in the wake of an original application filed by environmentalists Pradeep Dahalyia and Prasoon Pant in NGT last year. The duo had alleged that 21 large hospitality entities in the city were not following environmental norms and were causing pollution. Later on, more hospitality establishments were brought under the ambit of a survey carried out by the state pollution control board. "In respect of the orders of environmental composition already passed by the UPPCB, we clarify that these orders are appealable under the relevant statutes. Therefore, the aggrieved persons may avail such statutory remedy in accordance with law and this order shall not affect those orders already passed," the tribunal directed. Giving further reprieve to such establishments, NGT said "However, in respect of the closure orders already passed, but later consent has been obtained, appropriate order to enable such proponents to operate shall be passed by the competent authority of UPPCB in accordance with law without any further delay." Environmentalists said NGT has made it clear that hospitality establishments will have to comply with the Water and Air Acts. "Directions in this order should be replicated across other regions of UP and in other states," Dahaliya said. NGT further directed that a compliance report shall be filed by UPPCB by Jan 15, 2025, showing the status as on Dec 31, 2024, before the registrar general of the tribunal and if any further order is required, the matter shall be placed before the bench concerned. UPPCB had recently submitted a status report wherein it had directed closure of 15 units while issuing show-cause notices as well as environmental compensation on 25 establishments, including Aditya Mall, Indirapuram; Garam Dharam, Arthala; Hotel Grand Tushar, Chaudhary Mod; Mangalam Banquet, Vasundhara among other such establishments. Closure order has been initiated against Hotel Clarks Inn, Raj Nagar; Royal Enterprises, Bhopura; Pind Balluchi, Crossings Republik; Hotel Platinum, Sahibabad; Golden Leaf restaurant, Sahibabad among others. Source : The Economic Time INDIA

In Top Four Cities Ultra-luxury Homes Valued Rs 2,443 Crore Sold in 2024

9/6/2024 12:39:00 PM

A total of 25 ultra-luxury homes priced more than ₹40 crore were sold in Mumbai, Hyderabad, Gurugram and Bengaluru in the first eight months of 2024 for a collective sales value of approximately ₹2,443 core, Anarock data showed. Of the 25 ultra-luxury properties sold across the top cities in 2024 so far, Mumbai alone sold 21 units collectively worth ₹2,200 crore - an 84% share of the total deals in this segment across the top cities. At least two separate ultra-luxury home deals collectively worth ₹80 crore were closed in Hyderabad’s Jubilee Hills. Gurugram in NCR witnessed one ultra-luxury home sold for ₹95 crore, while Bengaluru also closed one deal worth ₹67.5 crore. Of the 25 deals closed across cities this year, nine were of large ticket sizes worth over ₹100 crore each, and a collective sales value of ₹1,534 crore. Contrastingly, the whole of 2023 saw 10 such large deals for a collective sales value of ₹1,720 crore, the data showed. Apartments remained the preferred property type for HNIs. Out of the total 25 deals, 20 were for apartments and the remaining five for bungalows. Of the total of 25 ultra-luxury homes sold in 2024 so far, at least 20 were high-rise apartments worth approximately ₹1,694 crore. The remaining five sales were of bungalows cumulatively worth about ₹748.5 crore. At least 80% of the total deals were concluded by businessmen, and 12% by senior professionals from across various sectors. Bollywood celebrities and leading legal and medical professionals accounted for the remaining 8%. Amid the rise in demand for ultra-luxury trophy homes in the last two years, Mumbai tops the list of cities with maximum sales of such properties, despite it being by far the most expensive residential market in India. The financial capital unfailingly attracts HNIs and ultra-HNIs who buy ultra-luxury homes for investment, personal use, or both. Of the total 25 deals, at least nine deals in 2024 were worth more than ₹100 crore each. All these were transacted in Mumbai - seven in South Central Mumbai and two in Bandra and Juhu, the data showed. Price of ₹100 crore homes increases by 14% The average prices of more than ₹40 crore homes witnessed a 2% jump in the last eight months while the average price of homes in the more than ₹100 crore bracket witnessed a 14% increase in the period, it showed. The average ticket price of homes priced more than ₹40 crore have witnessed a 2% rise in the last eight months – from ₹1,00,208 per sq. ft. in 2023 to ₹1,02,458 per sq. ft. in August 2024. A deeper dive into the data reveals that homes priced more than ₹100 crore have seen a 14% price jump in the last eight months alone – from ₹1,24,697 per sq. ft. in 2023-end to ₹1,41,904 per sq. ft. in 2024 till date. This double-digit price appreciation in this segment even before the year concludes stands testimony to the unrelenting appetite for trophy homes. Not surprisingly, leading Grade A developers have scaled up ultra-luxury homes supply in the last few years, the data showed. “The whole of 2023 saw about 61 deals with a cumulative sales value of approximately ₹4,456 crore in Mumbai, Hyderabad, and Gurugram. With four months remaining in 2024 and the festive quarter from October to December ongoing, we are likely to see more such large ticket-size residential deals happening before the year is through,” said Anuj Puri, chairman – ANAROCK Group. Source : Hindustan Times INDIA

HC Stays Land Rs 111 Crore Claim by L&DO on ITC Maurya Land

9/6/2024 12:38:00 PM

The Delhi High Court on Wednesday halted a ₹111-crore ground rent demand by the Land and Development Office (L&DO) for the past 25 years on six acres of land leased to the conglomerate in 1975. This is a significant relief to Calcutta-based ITC, which operates a luxury five-star hotel in the heart of New Delhi. On this property in Diplomatic Enclave, New Delhi’s Sardar Patel Marg, sits the ITC Maurya hotel. In addition to giving notice to the L&DO of the Urban Development Ministry, Justice Sanjeev Narula also halted the two demand notices dated March 14 and April 22, which demanded that ITC pay ground rent totalling ₹111.06 crore. The subject has been postponed until October 22 for additional hearings. In addition, ITC has asked the L&DO to issue a directive to proceed with its October application for the land’s conversion from leasehold to freehold in compliance with the then-current 2003 policy. Although ITC was given permission to use the six acres of property in 1975, a perpetual lease title was provided to it in 1988 in exchange for a yearly fee payment of ₹13.13 lakh. Enraged by “such brazen conduct from the L&DO officials,” senior counsel Anil Kher said the HC in his appearance for the ITC that the office was acting “arbitrarily and unreasonably” in trying to retroactively amend the ground rent in violation of its own office instructions and circulars. Source : The Economic Time INDIA

Gurugram: ED Searches Ramprastha Group Premises in Money Laundering Case

9/5/2024 12:52:00 PM

New Delhi, Sep 4 (PTI) The Enforcement Directorate conducted searches at multiple locations of real estate company Ramprastha Group in Gurugram on Wednesday as part of a money laundering investigation linked to alleged cheating with home buyers, official sources said. The ED case stems from a clutch of FIRs filed by the local police against the company by "disgruntled homebuyers for non-fulfilment of the promise of handing over the (housing) projects to them", the sources said. The projects include Ramprastha Rise, Ramprastha City and Ramprastha SKYZ located in Gurugram, Haryana. There was no response to phone calls made by PTI to the company. ED sources said some promoters of the group like Balwant Chaudhary, Arvind Walia and Sandeep Yadav have been called for questioning but they are yet to join the investigation. The company said on its website that it holds a large land bank in Gurugram with a combined development potential of over 80 million sq. ft. "We have successfully sold 8000 dwelling units in the region and have a potential to reach near 100,000 dwelling units in the days to come," the company said. The ED action in Haryana comes ahead of voting in assembly polls on October 5. Source : The Economic Time INDIA

Capital Land Target to More Than Double India Funds Under Management by 2028

9/5/2024 12:51:00 PM

Singapore property giant, CapitaLand Investment, plans to more than double its Indian funds under management (FUM) from its current levels around Rs 46,000 crore, by 2028, and also plans to expand its play into data centres, logistics and industrial parks, and renewable energy. CapitaLand, owned by Singapore's sovereign wealth fund Temasek, is also readying to enter the private credit business for real estate, especially in early-stage financing for various projects. CapitaLand Investment usually directs its Indian investments either through affiliated funds, or through the CapitaLand India Trust, a real estate investment trust listed in the Singapore Exchange. CapitaLand first entered India through the International Tech Park in Whitefield, Bengaluru, and has gone on to establish large office campuses across various cities, totalling 23.5 million square feet, as well as entering the hotels business through CapitaLand's Ascott vertical. Sanjeev Dasgupta, CapitaLand Investment's India Chief Executive Officer, said that significant capital expenditure has been earmarked for data centre projects, the first ones are expected to be operational from next year, with other data centres being planned in Mumbai, Hyderabad, Bengaluru, and Chennai. "Four data centres are under development, with a capital expenditure of 1.5 billion Singapore dollars. The first ones are expected to be operational in Mumbai and Hyderabad in the middle of next year. We are also planning a data centre in Kolkata in a partnership, in order to take advantage of the planned cable landing station in the state. We are seeing a wide range of interested parties, including global investors, for data centres," Dasgupta told Moneycontrol on the sidelines of an event. Dasgupta said that around half the Indian investments are expected to be routed through the real estate investment trust, while the rest are slated to be routed through CapitaLand's affiliated funds. As for the proposed entry into the private credit business for real estate, Dasgupta said that CapitaLand Investment has been monitoring the vertical for "quite a while", although the initial deployment may be a modest 200-250 million Singapore dollars. Private equity players have made a beeline in recent years to invest in real estate projects in India, either at a company level or a platform level, with such funding being crucial for developers in buying land or securing approvals. This form of funding is also popular with investment firms, especially those managing sovereign wealth, pensions, or private wealth, as they offer relatively quick exits with healthy rates of return. Property consultancy JLL has estimated construction finance in Indian real estate to be a $170 billion opportunity over the next two years. CapitaLand Investment's interest in renewable energy is largely linked to its growing portfolio in data centres, an asset class that is becoming a major consumer of power globally, to the concerns of some, especially if the sources of power are from non-sustainable sources such as coal or gas, known as "brown" power. The company has set up a 21 MW captive solar power plant in Tamil Nadu. Andrew Lim, group Chief Operating Officer of CapitaLand Investment, said that with some countries imposing moratoriums on building new data centres, India's role as a data centre hub is emergent, with more investors willing to bet their money in the country. "There has been a change in relative allocations to India. Capital market players are now willing to invest in India and diversify their portfolio. Data centres are a fundamentally local business, and have become important due to the increasing trend of nationalisation of data, with local power infrastructure also being important. Due to data centres consuming large amounts of power, it is important to undertake initiatives such as solar power and renewables, as no sustainability-minded investor would want anything to do with a sector that consumes large amounts of brown, dirty power," Lim told Moneycontrol. For its offices business, Dasgupta said that the company has a land bank for around 16 million square foot of office space in India, which is expected to be developed across Hyderabad, Pune, Chennai, and Bengaluru. He added that the projects are expected in a mix of greenfield and brownfield developments, in order to reach previously untapped micro- markets in cities that the company is already present in. Source : Money Control INDIA

SC Demand Details of Sahara Shareholders, Properties

9/5/2024 12:50:00 PM

The Supreme Court on Wednesday asked the Sahara Group to apprise it of its officials at the helm and the current shareholders besides the list of unencumbered properties which can be sold to realise Rs 10,000 crore. The amount has to be deposited in SEBI- Sahara refund account for returning the investors' money. In a series of directions on August 31, 2012, the top court had directed that Sahara Group firms Sahara India Real Estate Corporation Ltd (SIRECL) and Sahara Housing Investment Corporation Ltd (SHICL) would refund the amount collected from individual investors or group of investors, with interest of 15 per cent per annum to SEBI from the date of receipt of the subscription amount till the date of repayment within three months. A bench of Justices Sanjiv Khanna, M M Sundresh and Bela M Trivedi said the court has to find some practical solution for refunding the investors' money as the issue is pending for over a decade. "Sahara Group has said that it will submit some scheme for depositing around Rs 10,000 crore. This matter cannot go on and on. It has been more than 10 years since the court directed for a deposit of Rs 25,000 crore. We have to find some practical solution to make a headway as the company has only deposited around Rs 15,000 crore till now," the bench said. Justice Khanna pointed out that senior advocate Kapil Sibal, appearing for the Sahara Group told on Tuesday that the company will submit a roadmap for depositing the balance amount. Senior advocate Arvind Datar, appearing for SEBI, said after the demise of Subrata Roy in 2023, no one knows who heads the company and how it is going to deposit the money in compliance with the court's order. "We want to know about the current organisational structure including names of directors and the shareholders," the bench said, adding that on Thursday it will first deal with the question of sale of properties and then it would deal with the question of refund of money to the investors. "We will peruse the roadmap to be submitted by Mr Sibal and also the previous roadmaps, which have been given in this court. We want a list of all the encumbered and unencumbered properties of the Group except for Aamby Valley, so that necessary directions can be passed on them," the bench said. The bench asked senior advocate Shekhar Naphade, who has been appointed as amicus curiae in the matter to start his submission on Thursday. On Tuesday, the top court said there is no embargo on Sahara Group to sell its properties for depositing around Rs 10,000 crore in SEBI- Sahara refund account for returning investors' money. While expressing displeasure over the Sahara Group not depositing the full payment as directed by the court, the bench had said, "There is no embargo on Sahara Group in selling its properties for depositing the remaining Rs 10,000 crore out of Rs 25,000 crore ordered by the court. Only thing was that it should not be sold below the circle rate and if it is to be sold below the circle rate, then prior permission of the court is to be sought." In November 2023, Sahara Group chief Subrata Roy, who was earlier ordered to be taken into custody by the court in the matter, passed away at a private hospital in Mumbai. Earlier, SEBI told the court that in terms of the 2012 order of the top court, Sahara firms have till date deposited Rs 15,455.70 crore which has been invested in fixed deposits of various nationalised banks and as on September 30, 2020, the total amount along with interest earned in SEBI-Sahara refund account is Rs 22,589.01 crore. It had said the contemnors Sahara Group chief and his firms SIRECL and SHICL are in "gross violation" of various orders passed by the court regarding the deposit of "entire monies" collected along with the interest. A contemnor is a person or entity which has been held to be in contempt of court. The market regulator said out of the total outstanding principal liability of Rs 25,781.32 crore, SEBI has realised only Rs 15,455.70 crore from the Saharas and from sale of properties of the group. "The balance amount of Rs 10,325.62 crore (principal amount) is still to be paid by Sahara Group. It is submitted that as on September 30, 2020, total net liability of Saharas was Rs 62,602.90 crore taking into consideration interest at Rs 15 per cent in terms of directions of this court dated August 31, 2012," SEBI had said in its 2020 application filed in the matter. Source : Economic Time INDIA

Max Estate Secures Rs 800 Crore QIP For Growth Capital

9/5/2024 12:49:00 PM

Realty firm Max Estates plans to raise Rs 800 crore by selling equity shares to institutional investors for the growth of business. In a regulatory filing on Thursday, Max Estates informed that an Investment and Finance Committee of the board approved launch of Qualified Institutional Placement (QIP) issue. The panel also approved the floor price for the issue at Rs 628.74 per equity share. According to sources, all major domestic mutual fund companies have participated in the QIP issue. The company would utilise the fund to acquire land in Delhi-NCR, they added. According to the notice of the 8th Annual General Meeting (AGM) of the members of Max Estates Ltd, the company plans to raise up to Rs 800 crore. "The company anticipates certain growth opportunities in its existing line of business," Max Estates said. The company said it continues to evaluate various growth avenues, including land acquisition. Max Estates proposed to raise funds aggregating up to and not exceeding Rs 800 crore through the issuance of securities. The company is one of the leading real estate developers in Delhi-NCR. Source : Business Standard INDIA

EOW Audit Likely For COS that Didn't Take Rehab Deal

9/4/2024 12:27:00 PM

Noida: Noida Authority may soon write to the Economic Offences Wing (EOW) against the developers who are yet to avail of relief under UP govt's rehabilitation package for stalled residential projects. Of the 57 projects that had defaulted on land dues, 22 have accepted the rehabilitation package, which offers a two-year zero-period relief — from April 2020 to March 2022 — exempting developers from paying interest and penalties for the period when work was stalled due to the Covid-related lockdown. Twenty-nine realtors, who are yet to take up the package, cumulatively owe Noida around Rs 6,900 crore in land dues and have over 12,700 flats. "Builders claim that there are no unsold inventories in their projects. So, where has the amount collected from the homebuyers gone? They have not paid our dues. The Authority will write to the EOW and seek guidance on how to proceed with the case. The EOW will be requested to investigate and conduct a financial audit of the developers and determine how and where they diverted money received from homebuyers. If necessary, an FIR will be filed (against the defaulters)," CEO Lokesh M told TOI. The decision to write to EOW was taken at a meeting on Tuesday. It comes days after CM Yogi Adityanath directed the three industrial authorities to enforce punitive measures — sealing vacant or unallocated flats and reclaiming unconstructed or vacant areas — outlined in the rehabilitation package against non-compliant developers. Officials said developers who have deposited 25% of their recalculated dues after receiving relief for zero-period dues but have not completed the proportional number of flat registrations will not be considered for the next round of relief to projects that were affected due to a construction ban imposed by NGT. The Authority is to offer additional relief on a case-by-case basis to projects which were halted due to an NGT order that banned construction within 10 km of the Okhla Bird Sanctuary. So far, 22 builders have deposited 25% of the total recalculated dues that cumulatively amount to Rs 275.7 crore. The dues for six other builders have been nullified after they were extended zero-period relief. Across these 28 projects, a total of 2,558 homebuyers are now eligible to register their flats — of these, 1,298 registrations have been completed. While the total dues from the 57 defaulter projects were Rs 8,273 crore, a rebate of Rs 1,866 crore was calculated to be offered to builders on account of the two-year zero period, which was to reduce the dues to Rs 6,373 crore. With relief under the UP govt package applicable only to 28 projects — their cumulative dues are around Rs 1,375 crore — the total recalculated dues currently stand at Rs 1,020 crore. The 29 builders that have not availed the package are ineligible for rebate, which is to put their dues back to around Rs 6,900 crore. According to officials, 13 of these 29 projects accepted the govt's package for stalled projects but paid a minuscule amount, seven gave consent but did not pay anything, and nine projects never gave any consent. Source: Hindustan Times INDIA

Noida Authority Lift Ban on Sports City Project in Sector 50

9/4/2024 12:24:00 PM

NOIDA: The Noida authority is likely to lift the three-year long ban imposed on apartment registration in the Sports City housing project located in Sector 150, said officials on Tuesday. The move will benefit thousands of homebuyers who are suffering for the last three to four years after the authority, in 2021, had imposed the ban in view of the comptroller and auditor general (CAG) audit. The state’s highest body -- public accounts committee (PAC) consisting of senior MLAs -- following a probe has finally recommended to remove the ban, and approve the revised layout of Sports City project having Luxury housing projects in Sector 150, located along Noida-Greater Expressway. “Since we have got the recommendations to lift the ban on registry and also approve the revised layout submitted by the developer, we have decided to take the matter up in the upcoming board meeting that will be organised soon after the chairman gives time for the same,” said Noida authority’s chief executive officer (CEO) Lokesh M. After discussing the matter, the authority board will take a call on starting apartment registration, issuance of occupancy certificate and also approving the revised layout of this housing project, he added. The Noida Authority aims to organise the board meeting any time before the model code of conduct comes into effect ahead of the 2024 general elections, if the UP additional chief secretary Manoj Kumar Singh who is also chairman of the Noida authority gives time for the same, the CEO further added. Under Singh’s chairmanship, the board will discuss the Sports City issues on merit basis and decide the fate of this project where huge investment is at stake. “The authority had banned sub-lease (registry) of plot or flat sale in Sector 150 because the comptroller and auditor general of India had started the probe. Now the CAG observations were looked into and resolved by the PAC. Also, the PAC asked the Noida authority to remove the ban imposed on sublease deed and approve the revised layout of Sports City so that the stuck realty projects can take off,” said a Noida authority official aware of the matter. The Noida authority’s 201st board meeting had on January 18, 2021 banned the approval of building map revisions and also the registry of the apartment owners in the city’s Sector 150, located along Noida-Greater Noida Expressway causing distress to the homebuyers who are living in their respective apartments without registry. Under the sports city project, the consortium of developers led by Lotus Greens constructions private limited are developing ultra luxury housing projects on 30 percent of land and remaining 70 percent is reserved for recreational green with world-class sports facilities as per the terms of the scheme, said officials. In master developer Lotus Greens’ sports city the Tata, Godrej, ACE, Prestige Group, Home Kraft, Eldeco and Samridhi Group among others are developing realty projects, and the Birla Estates has also shown interest to take up land in this project, they added. In 2014-15, the Noida authority had allotted 12 lakh square metres of the sports city land in sector 150. However, the Noida authority is yet to hand over the possession of at least 300,000 square metres of sports city land due to farmers’ dispute prompting a group of realtors to approach the Allahabad high court. At least 10,000 homebuyers will get immediate relief as they will be able to execute their registries, if the authority implements the court order. According to Dinesh Gupta, secretary, Confederation of Real Estate Developers Associations of India (CREDAI), Western UP chapter, and managing director of Samridhi Group, they are happy to learn that the Noida authority will remove the ban on registry and also approve the revised layout of building maps following the PAC directions. “The move will benefit the homebuyers, who are waiting for their registries for a long time,” he said, adding: “Also, the move will boost sentiment in this sector 150 that is home to the luxury realty projects and the most sought after destination for those who want to own a dream home.” Source: Hindustan Times INDIA

Punjab Passes Bill Allowing Property Registration in Illegal Colonies Without NOC

9/4/2024 12:20:00 PM

Chandigarh, Sep 3 (PTI) The Punjab Assembly Tuesday unanimously passed a Bill, which aims to do away with the practice of NOC for the registration of properties in illegal colonies, with Chief Minister Bhagwant Mann saying it will be a major reprieve for common people. Mann tabled the Punjab Apartment and Property Regulation (Amendment) Bill, 2024 in the assembly on the second day of its three- day session. Participating in the discussion on the Bill, Mann said any person who, up to July 31, 2024, has entered into a power of attorney, agreement to sell on stamp paper, or any other such document for an area up to 500 square yards in an unauthorized colony, will not require any no objection certificate (NOC) for registration of land. Such property owners will be entitled to get registration of such an area executed before a registrar or sub-registrar or joint sub- registrar and this exemption of getting such an area registered shall be available up to the date as may be notified by the state government, he said. Mann said this amendment aims to ensure stringent control over the illegal colonies, besides giving relief to small plot holders. This is a major reprieve for the common man as this amendment aims to overcome problems being faced by the public in registration of their plots, he said. It will give a major relief to crores of people who mistakenly invested their hard earned money in the illegal colonies, said Mann, adding that these innocent people put their money into building their homes but landed in trouble. According to the Bill, if any person or promoter or his agent registered under this Act fails to comply with the relevant provision of the law, he/she shall be punished with imprisonment for a minimum term of five years which may extend to 10 years and with minimum fine of Rs 25 lakh, which may extend to Rs 5 crore. Mann said the illegal colonisers dupe people by showing them green pastures and sell their unapproved colonies which lack basic civic amenities like streetlights, sewerage and others. He said in an out of the box idea, the state government has introduced colour coding of the stamp papers to facilitate the investors for getting the necessary permissions. The CM said it will ensure that the land is optimally utilized only for the purpose for which investors sought necessary permissions. Illegal colonies had mushroomed up during the long “misrule” of the previous governments as the earlier rulers had patronized the illegal colonizers, he alleged. Participating in the discussion on the Bill, Congress leader Partap Singh Bajwa supported it but claimed that illegal colonies are still coming up in the state. He sought that money should be recovered from colonizers who had set up illegal colonies. There is a need to stop urban slums, he said. Finance Minister Harpal Singh Cheema said the amendment to the Punjab Apartment and Property Regulation Act (PAPRA) 1995 is a significant step towards improving the economy of Punjab and providing relief to the common people. Cheema said the PAPRA Act aimed to prevent unauthorised colonies, but the Congress and SAD-BJP-led previous governments’ “failures” led to widespread illegal colonies without basic amenities like water supply, sewage, and proper roads. Cabinet Minister Aman Arora said there are around 14,000 illegal colonies in the state. He further said this law will prevent the setting up of illegal colonies in the state. Independent MLA Rana Inder Paratp Singh sought from the government to know who will provide necessary facilities in illegal colonies. Source: The Economic Time INDIA

SC Directs No Stay Any Legal Action Against 300 Realtors

9/4/2024 12:16:00 PM

The Supreme Court has ordered an interim stay on a direction of the Allahabad High Court for an Enforcement Directorate probe into financial transactions linked to Noida's luxury housing project Lotus 300. A vacation bench of justices Sanjay Kumar and Augustine George Masih passed the order on Tuesday. Earlier on February 29, the Allahabad High Court had ordered the ED probe into alleged financial irregularities linked to the incomplete housing project Lotus 300 in Noida's posh Sector 107. The land was allotted to Hacienda Project Private Limited (HPPL), a consortium of companies with Pebbles Infrotech as lead member, to develop Lotus 300, with 3C as its parent company. The high court had also slammed the local Noida Authority, berating it for "gross negligence" in taking any steps or even ascertaining status of payment towards its dues for over a decade has led to ballooning of its dues, which is approximately Rs 166 crore as of today (February 29). "Pending further orders, there shall be interim stay of the direction of the High Court contained in paragraph 114. However, all parties concerned shall endeavour to ensure that the direction of the High Court in paragraph 117 is duly implemented within time," the Supreme Court bench stated in its order. The paragraph 114 of the high court order pertained to ED probe against all the directors, promoters, designated promoter, officer who is in default, companies, other entities in which money from HPPL is "syphoned or parked". "These entities or people are directed to cooperate in the investigation and if they do not cooperate in the investigation then ED would be free to take any appropriate action against them as available under the law," the high court had ordered. "The ED will make all sincere efforts to recover the said amount and pay off all dues of all the creditors," it had stated. In the paragraph 117 of the order, the high court had directed the Noida Authority to issue occupancy certificate or part-completion certificate, as the case may be, and to execute tripartite agreement and registered deed in favour of flat buyer within a month. Source: Hindustan Times INDIA

HC Orders Noida Authority to Maintain Status Quo in Wajidpur Demolition

9/3/2024 12:59:00 PM

NOIDA: The Allahabad high court has ordered the Noida authority to maintain status quo about a demolition notice in Wajidpur village until objections filed by the petitioners are addressed while also restraining the petitioners from carrying out any more construction on the disputed site or creating third-party interests on the land in question, officials said on Sunday. “We will follow the HC order and take appropriate step as per the law,” said Lokesh M, chief executive officer, Noida authority on Sunday. The matter had originated in July after owners of a plot in Nagli Wazidpur village started constructing a building. And the Noida authority objected to it. The court’ order was delivered against a writ petition filed by a group of landowners from Noida’s Nagli Wajidpur village stating that the Noida authority had issued a notice asking them not to continue with the construction work at the site in question. After hearing both sides, the court acknowledged the petitioners’ concerns regarding the potential harm if their objections were not duly considered. The court directed the Noida authority to resolve the objections filed by the petitioners within six weeks, ensuring that all stakeholders are given an opportunity to present their case. “In the interest of justice, we dispose of the writ petition with the observation that the objections of the petitioners shall be decided in accordance with law expeditiously and preferably within six weeks from today but certainly after giving an opportunity to all the stakeholders in the matter. Until the disposal of the said objection, the parties shall maintain the status quo as of today concerning the property in dispute. The petitioners are also restrained from raising further construction over the disputed site or creating third-party interest,” said HC order issued on 20 August, 2024. On July 23, 2024, the Noida authority issued a notice to the land owners of Nagli Wazidpur near Sector 130. The petitioners’ counsel argued in the high court that the land in question had already been declared as Abadi land (residential land) under a section of the UP Revenue Code by the additional district magistrate (ADM) in 2014. The petitioners claimed that despite an ongoing civil suit and an interim injunction granted by a local court, the authority tried to interfere with their possession of the land. According to the petitioners, the Noida authority had previously issued a notice under Section 10 of the UP Industrial Area Development Act on 5 April 2024, which was challenged in the high court. The HC bench allowed the authority to proceed in accordance with the law. However, the petitioners contended that the fresh notice issued on 23 July could lead to their eviction and the demolition of their property, without due consideration of their objections. Resisting the writ petition, the Noida authority argued that it was within its rights to take necessary actions regarding the disputed land, as it falls within the territorial jurisdiction of the authority. It also emphasised that the petitioners should not be allowed to pursue parallel legal remedies while evading the proceedings under the Act. Source : Hindustan Times INDIA

Omaxe Group Put Rs 2500 Crore to Develop Commerical-cum-sports Complex in Delhi

9/3/2024 12:56:00 PM

“With ‘The Omaxe State,’ we aim to provide Delhiites with an international-level experience right here in their own city. This development will bridge a significant gap in Delhi’s infrastructure by offering a world-class venue for sports, shopping, and entertainment. We are thrilled to contribute to the city’s growth and elevate its profile with this unique 5-in-1 destination,” said Mohit Goel, Managing Director of Omaxe Group. The facility is located close to Yashobhoomi, Asia's largest convention center, IGI Airport, Bharat Vandana Park and the upcoming diplomatic enclave. Delhi-based Omaxe Group will invest ₹2500 crore on a commercial-cum-sports complex at Dwarka spanning over 50.4 acres, the company said on September 2. The project is expected to be completed by 2027 and likely to generate over ₹4,200 crore in revenue during its lifecycle, the company said in a statement. Omaxe has launched The Omaxe State that comprises a sports complex, retail area and a hotel. The company will build a cricket-cum- football stadium besides providing indoor games facilities, it said. Where will the project be located? To be located in Sector 19-B, New Delhi, the project is being developed in partnership with the Delhi Development Authority (DDA) under a public-private partnership (PPP) model, with an investment over ₹2500 crore, the company said in a statement. The Omaxe State will feature a modern ICC and FIFA-standard International cricket-cum-football stadium with a seating capacity of over 30000, as well as an international multi-sports indoor stadium that can accommodate 2000 spectators, it said. The Omaxe State will feature a sports district, a shopping district, a hospitality district, a food district, and a social district. The food district will be inspired by London's Covent Garden and Carnaby Street. It will span over 5 lakh square feet and feature more than 40 fine dining restaurants, night and day clubs, sports bars, three drive-throughs, a large food court, rooftop restaurants, food kiosks, food trucks and banquet facilities, the company said in a statement. Beyond retail, the facility will include a by-invitation sports and leisure club, a 75,000 sq. ft. e-sports arena, and a hotel with 148 keys. The complex will also feature a large banquet space with multi-level parking, an event arena for social and cultural events, an Olympic- sized swimming pool and tennis, badminton, squash, basketball, and football facilities, it said. Source : Hindustan Times INDIA

Central Government Guidelines for Transfer of Salt Land

9/3/2024 12:51:00 PM

The Centre on Monday modified the guidelines for transfer of government-owned salt lands, providing for online auction under which the private sector can participate in case there are no takers from CPSEs, or states at the applicable rates. As per the revised guidelines, the land can be allocated for welfare measures, such as slum re-development, affordable housing and PM-Awas Yojana, and for the purpose of schools and colleges, lands can be transferred to CPSEs (central public sector enterprises), states and their enterprises at 25 per cent of the circle rate. These norms were issued in supersession of the internal policy guidelines-2012, after the approval of the Cabinet. "Online auction with the participation of private parties may be held in case CPSEs, state governments or their PSEs are not willing to take such lands at the applicable rates," the guideline said. The reserve price for such land parcel will be fixed through an approved valuer with reference to the circle rate after taking into account any physical constraints in developing such land. About 60,000 acres of salt land are there in different states like Maharashtra, Andhra Pradesh, Tamil Nadu, Odisha, Gujarat, and Karnataka. Highest tract of such land is there in Andhra Pradesh (20,716 acres), followed by Tamil Nadu (17,095 acres) and Maharashtra (12,662 acres). The Salt Commissioner's Office, headquartered in Jaipur, is under the administrative control of the DPIIT (Department for Promotion of Industry and Internal Trade). Its functions include promotion of technological development, custody and superintendence of departmental salt lands and other assets. Further, the guidelines said that for ports and its related activities, and industrial purposes, SCO lands may be transferred to CPSEs, states and their entities at 50 per cent of the circle rate. Similarly, for public infrastructure and utilities such as roads, highways, bridges, sewage treatment plants, and transmission lines, these lands can be transferred at 10 per cent of the guideline value/circle rate. "In those cases where CPSEs, state governments and their PSEs are willing to pay on the above terms for SCO land parcels that are encumbered due to ongoing litigation, encroachment or other types of disputes, a further discount of 20 per cent on the applicable concessional rates, shall be considered, for transfer of such land," it added. It also said that the allottee state governments shall not transfer ownership of this concessional land to any other entity in future even for the same purpose. "However, states/state PSEs are allowed to sub-lease plots to the beneficiaries in the case of slum redevelopment projects, EWS (Economically Weaker Section) housing projects and industrial plots, etc," it added. As part of the general terms and conditions for transfer of these lands, the guidelines stated that the request for the transfer would be made to the DPIIT Secretary. "As at present, the competent authority for transfer of SCO land will be the Minister in-charge of Commerce and Industry. However, land under Mumbai and its Suburbs will continue to be transferred only with the approval of the Cabinet," it said. Source : Hindustan Times INDIA

Authorities Issues New Notice For GST on Transfer of Leasehold Land

9/3/2024 12:47:00 PM

The issue of tax implications of transferring leasehold land has come to the fore once again as the authorities have started to issue notices to recover dues for such a transfer. This has sparked a significant debate among industry stakeholders as it is expected to have a major impact on future transactions and the broader real estate market. The Goods & Services Tax (GST) authorities have recently issued these notices concerning the transfer of leasehold land. The crux of the issue lies in whether the transfer of leasehold land constitutes a sale of land or a service. According to the tax authorities, such transfers qualify as a service, subjecting them to an 18% GST. This tax is levied in addition to the stamp duty already imposed by respective state governments, adding a financial burden to these transactions. In India, industrial development corporations and other governmental bodies often transfer land parcels on a leasehold basis. These leasehold lands are sometimes sold by the original leaseholder to a new party. The key question that has arisen here is whether these transactions should be treated as a sale of land, which is traditionally exempt from GST, or as a service, thereby attracting the 18% tax. “Hypothetically, if GST is made applicable on these transactions, then there will be a dual levy of stamp duty and GST on the same transaction, thereby leading to tax cascading by way of double taxation on the same supply. This is against the conceptual framework of GST,” explained Abhishek A Rastogi, founder of Rastogi Chambers, who has already moved to the court in Maharashtra, for testing the constitutional validity of GST applicability on these transactions. Tax experts argue that the transfer of leasehold land is akin to the sale of land and should not be taxed under GST. They believe that since the leasehold interest in the land is being transferred, it should be viewed as a sale of immovable property, which is not within the GST's purview. However, the tax authorities maintain that these transactions represent the transfer of leasehold rights, classifying them as a service that is subject to GST. This dispute has significant implications for businesses and individuals involved in such transactions, as the additional GST could increase the cost of acquiring leasehold land and ultimately homebuyer who may have to bear the burden of higher project cost. Some of these notices are issued now to ensure that the demands do not become time barred and that these are within the period of limitation. However, the outcome of this issue is likely to set a precedent for how similar transactions are treated under the GST regime in the future. Source : The Economic Time INDIA

Gurugram : Godrej Properties Purchase Two Group Housing Plots For Rs 515 Crore

9/2/2024 1:17:00 PM

Godrej Properties(GPL), a leading real estate developer, has emerged as the highest bidder in an e-auction conducted by the Haryana Shehri Vikas Pradhikaran (HSVP) to secure two prime land parcels in Gurugram. The combined bid value for both the plots is Rs 515 crore. Details of the Acquisition: • Combined Bid Value: The total bid value for both plots is Rs 515 crore. • Location: One plot is located in the prestigious Golf Course Road micro-market, measuring 3.6 acres. The other plot, measuring 1.97 acres, is strategically located in Sector 39 with proximity to NH 48. • Development Potential:Together, the land parcels offer a development potential of over 1 million square feet and an estimated revenue potential of over Rs 3,400 crore. • Residential Projects: GPL plans to develop luxury residential apartments of varied configurations on these plots. Strengthening NCR Portfolio: • In FY24, GPL bought two prime parcels of 5.15 acres and 2.76 acres in Golf Course Road micro-market from HSVP at auction and plans to launch both these projects in FY 25. • In FY24, the company also won auctions for two land parcels in Greater Noida. • With these new additions, GPL now has a strong portfolio of four projects in NCR with an estimated revenue potential exceeding $ 1 billion. “We have witnessed strong demand for our projects in NCR market demonstrating huge trust and confidence which the customers have placed in us. I am very confident that these two new acquisitions will further strengthen our development portfolio in NCR as well as cater to strong demand for our products in this market. We will aim to build outstanding residential communities that create long-term value for its residents," said Gaurav Pandey, MD & CEO, Godrej Properties. Properties worth approximately Rs 35,000 crore were sold together by major listed real estate developers during the April-June quarter of the financial year 2024-25, and Godrej Properties reported highest sale bookings followed by DLF. Data from regulatory filings show Godrej Properties witnessed pre-sales of Rs 8,637 crore in the April-June quarter while Delhi NCR- based DLF Ltd reported more than three-fold jump in its sale bookings at Rs 6,404 crore during the same period. The growth was mainly driven by luxury housing. Earlier this year, Godrej Properties sold over 1,050 homes worth over Rs 3,000 crore within three days of launch of its project at Gurugram, in Haryana. The project 'Godrej Zenith' is located in Sector 89, Gurugram. This is the second time in Gurugram, and the fourth time pan India, that GPL has recorded sales of over Rs 2,000 crore during launch in 2023-24 fiscal. The company sold inventory worth Rs 2,690 crore in its project, Godrej Reserve, located in Kandivali, Mumbai in Q4 FY24. Source : Business Standard INDIA

Noida Authority Enhances Industrial and Township Development with Increased FAR

9/2/2024 1:15:00 PM

The Noida Authority has proposed amendments to the building by-laws, aiming to increase the Floor Area Ratio (FAR) for various plot categories, including institutional, industrial, mixed land-use, and integrated township projects, officials said on Sunday. The changes, part of the Noida Master Plan- 2031, are expected to boost revenue and accommodate the growing urban population by allowing for vertical growth across the city. If approved, the amendments will enable plot owners and realtors to build more floors, creating additional built-up space to meet urban development demands. “The proposed changes in building by-laws, which were initiated long back, will increase population density and impact aspects such as traffic and infrastructure. The final decision will depend on public support,” said Lokesh M, CEO of the Noida Authority. The authority is seeking objections and suggestions from the public regarding the amendments, with feedback open for the next 15 days. Lokesh M said that if most people oppose the changes, the decision will be reconsidered. “We will share citizens’ feedback with the state government, which will make the final call,” he added. The floor area ratio (FAR) means the proportion obtained by dividing the total covered area (plinth area) on all floors by the area of the plot. The FAR of a plot dictates how many floors an owner can add (vertical expansion) and how much of the plot area can be covered with construction (horizontal expansion). The amendments propose significant changes, including increasing the FAR for plots designated for residential, industrial, and commercial use. For industrial plots of 25 acres or more, mixed- use will be permitted, with industrial activity remaining the core function at a minimum of 75% of the permissible FAR. The amendments also allow for 12% of the permissible FAR for dormitory (group housing) and field hostels, 8% for commercial use, and 5% for facility purposes—changes that were previously prohibited. Earlier housing facilities and commercial services were not allowed, said officials. In new industrial sectors along the Noida-Greater Noida Expressway, including sectors 145, 156, 157, 158, 159, 162, and 166, the FAR will increase from 2.5 to 3.5, officials said. In existing industrial sectors, the amendments propose an additional purchasable FAR of 1, increasing the total allowable FAR to 2.5, compared to the previous 1.5 FAR, they added. The increase in FAR allows plot owners to add more floors and set up additional industrial units, unlike previous regulations which limited a single plot to one industrial unit. For instance, under the new by-laws, a plot of 1,800 square meters (sqm) or more, located on a road at least 24 meters wide, could have a FAR of up to 3.5, enabling the construction of six floors covering 3,500 square feet. The Master Plan 2031 allocates 2,806 hectares for industrial development, though only 1,500 hectares have been developed so far. Noida’s current land use includes 18.37% for industrial areas, 37.45 hectares for residential, and 15.92 hectares for recreational (green) spaces, with the remainder designated for commercial, institutional, water bodies, and agricultural activities. Stakeholders expect these changes to significantly alter Noida’s skyline, particularly along the Noida Expressway. “The proposed changes enabling industrial units to go vertical will positively impact future business growth and fuel the economy,” said Vipin Malhan, president of the Noida Entrepreneur Association (NEA). However, some experts have raised concerns about the impact on infrastructure. “The proposed changes in building By-laws 2010 to increase FAR means increase in population density, a move that will over burden infrastructure including roads, sewer networks and the drainage system, among others. If we do not make adequate provisions to accommodate the vehicular pressure, chaotic situations will be seen on Noida roads as road design has not been changed. Also, an increase in FAR will require more housing facilities for industrial workers that we have not done. Without adequate provisions, traffic and other urban issues could worsen. The authority must address these challenges before implementing changes,” said Atul Gupta, president of Architects’ Association of Noida Zone. According to officials, earlier housing facilities and commercial services were not allowed in accordance to the previous Master Plans. The authority had in May, 2020 proposed to amend the building by-laws-2010 following the directions from the Uttar Pradesh chief minister Yogi Adityanath government that wanted to bring changes to create more space in the city to cater to the growing urban demands. Source : Hindustan Time INDIA

NBCC Rewards Shareholders with Generous 1:2 Ratio Bonus Shares Announcement

9/2/2024 1:14:00 PM

Bonus share issue: NBCC (India) Limited Board of Directors approved the issuance of 90 crore new equity shares as bonus shares to its shareholders, marking a notable event in the company's ongoing financial activities, on August 31. October 31, 2024, is the estimated date by which such bonus shares would be credited/dispatched, within two months from the date of approval of the Board. These bonus shares will be issued in the ratio of 1:2, meaning that shareholders will receive one new fully paid-up equity share of ₹1 for every two existing fully paid-up equity shares of the same value. The issuance will be financed through the company's free reserves, created out of profits, which amount to ₹1,959 crore as of March 31, 2024. To facilitate this bonus issue, ₹90 crore from these reserves will be utilized. “The Board of Directors has recommended the issuance of Bonus Shares to the Shareholders of the Company in the ratio of 1:2 i.e., 1 (One) new fully paid-up Equity Share of ₹ 1/- each for every 2 (Two) existing fully paid-up Equity Share of ₹ 1/- each to the eligible members of the Company as on Record Date, subject to the approval of the Shareholders in the forthcoming Annual General Meeting,” NBCC India announced in an exchange filing. The Company has a balance of ₹ 1,959 crore being reserves & surplus available for capitalization as per Audited Financial Statements on March 31, 2024. NBCC share price history The company's stock has seen remarkable growth this year, skyrocketing by over 251 per cent, rising from ₹52.76 to ₹186.35. Investors have flocked to this Navaratna stock, driven by a consistent stream of order wins. This strong performance has solidified the stock's reputation as a preferred choice for those aiming to capitalize on its growth potential. NBCC's market capitalisation stands at ₹33,543.00 crore on the BSE as of September 1, 2024. NBCC stock closed in the red, down 4.29 per cent, at ₹186.35, as per BSE, on August 30. NBCC stock hit a record high of ₹209.75 on August 28, 2024, and fell to a 52-week low of ₹51.00 on August 30, 2023, as per NSE. Bonus issue shares record dates and more details Pre-bonus issued share capital: 180,00,00,000 shares ( ₹180,00,00,000) Post-bonus issued share capital: 270,00,00,000 shares ( ₹270,00,00,000) The company has set Monday, October 07, 2024, as the record date to determine the eligibility of shareholders entitled to receive these bonus shares. Following the bonus issue, the company's share capital will increase from 180 crore shares to 270 crore shares, with the total share capital rising correspondingly from ₹180 crore to ₹270 crore. This decision by the NBCC Board is pending approval from the shareholders at the upcoming Annual General Meeting. The company has assured that the bonus shares will be credited or dispatched to eligible shareholders by October 31, 2024, ensuring compliance with regulatory requirements and timelines. Source : Live Mint INDIA

Unitech Resume Construction of South Park Project in Gurugram

9/2/2024 1:13:00 PM

GURGAON: In a relief to hundreds of homebuyers who have been waiting for nearly a decade, Unitech's stalled residential project South Park, located in Sector 70, has finally resumed construction. The project, which was halted in 2013, is now set to move forward and be completed within the next three years. The South Park project originally aimed to deliver 832 flats spread across 27.4 acres, but only 672 units were sold before the project was stalled. "We expect 8 to 9 towers to be completed in 24 months, but the completion of the entire project, with basements for parking and other infrastructure facilities, will take around 36 months," said Ashok Yadav, CEO of Unitech Ltd. Launched in 2008, construction started in 2011 after the approval of building plans, but work came to a grinding halt in 2013 due to financial difficulties and internal company turmoil. However, the newly appointed management, which took charge following a Supreme Court order, proposed a resolution framework in July 2020 to revive the project. This framework, which included the engagement of Project Management Consultants (PMCs), laid out a roadmap for completing the unfinished housing units across Unitech's pan-India projects. Despite the renewed efforts, the commencement of on-ground construction was delayed till July 2024 due to pending clearances from the Ministry of Environment, Forest and Climate Change (MoEF&CC) and approvals from the Haryana State Pollution Control Board. According to officials, all necessary clearances have now been secured. To improve the project's financial viability, the new management also plans to expand the development by acquiring an additional 4.31 acres of land adjacent to the existing site, bringing the total project area to approximately 31.7 acres. A 66 kV overhead line running through the site will also be shifted away, further improving the project's safety and aesthetics. One of the homebuyers, SL Juneja, who booked a flat in 2012, expressed cautious optimism at the development. "We have been waiting for over 12 years and it has been a long, painful struggle. Now seeing the work finally start again gives us some hope but the next six months will be crucial to see whether they will stick to the timeline," he said. A ceremony was held at the project site on Sunday to mark the official resumption of work, with several buyers in attendance. YS Malik, chairman and managing director of Unitech Ltd, said two contractors were tasked with completing the project on time. He also addressed concerns related to the safety and quality of the existing structures. "IIT Roorkee has been engaged to assess the constructed towers, ensuring that the buildings meet all necessary health and safety standards. While directions have been issued to expedite the work, there will be no compromise on quality. We are committed to ensuring this emerges as a good project," he said. "To ease the financial burden on homebuyers, a proposed quarterly payment plan will allow them to make payments in 11 instalments. However, buyers will need to bear an additional cost of Rs 50,000 for the installation of solar backup systems," he added. During the meeting, homebuyers also raised the matter of securing loans from the banks. "Although we are happy with the development, depositing the first instalment on such a short notice is a challenge for many buyers. The Supreme Court needs to intervene and direct banks to release the remaining balance. We will approach the court," said Rishi Gambhir, a member of the South Park Buyers Welfare Association. Most buyers have deposited 30% to 40% of the cost of their flats. The flats' cost ranges between Rs 80 lakh and Rs 1.30 crore. Source : The Economic Time INDIA

Delhi : DDA Partner for Advanced Drone Surveys to Safeguard Land from Encroachments

8/31/2024 12:51:00 PM

The Delhi Development Authority has signed a tripartite MoU with the MCD and the Survey of India (SoI) for drone surveys to combat land encroachments in the national capital, an official statement said on Friday. It will address the problem of uncertainty in the status of land belonging to various government agencies and protect such land from encroachers and prohibit unauthorised constructions in the future. In the penultimate meeting this month, Lieutenant Governor VK Saxena was shown the results of a trial run conducted over an area of 50 square kilometres. The results were encouraging, with high-resolution images being mapped clearly by the drones, it said. Saxena had then directed that all senior officers have access to such precise imagery on their monitors in office. This, the L-G had underlined will enable officers to visualise every drain, road, encroachment and even garbage on the ground and accordingly implement and monitor remedial measures, the statement said. The drone survey will provide immense advantages such as high level of data accuracy and high resolution images obtained through drones flying over identified areas. It would help in exact boundary demarcation of structures and ensure that ground-truthing of khasra layers is done more precisely, it stated. The aerial imagery thus obtained will have diverse uses that include easy identification, mapping and monitoring of encroachments. Data elevation models will be used to identify vertical encroachments. It will help in getting real-time data on encroachments, thereby prompting authorities to act against encroachments in the nascent stage itself, the statement said. The MoU aims to generate geospatial data by survey and mapping activities which will act as a base for integration of data of the DDA, MCD and various other departments in Delhi to maximise resource utilisation and ensure comprehensive coverage of all areas under their respective jurisdictions, it said. The scope of the work in the MoU includes data acquisition, creation of topographic template, resurvey for plot boundary/property for updation and collection of ownership data, storage and management of data acquired/generated, and training of officials. With the signing of this MoU, it is expected that both the DDA and the MCD will be able to better identify encroachments, unauthorised constructions, and change detection in their respective jurisdictions which will enable timely decision making and result in prompt and swift action, thereby helping in the planned development of Delhi as per the MPD, it added. Source : The Economic Time INDIA

Greater Noida : Eros Group Invest Rs 400 Crore to boost Phase III Project Growth

8/31/2024 12:50:00 PM

Eros Group will invest Rs 400 crore in developing phase 3 of its residential project Eros Sampoornam in Greater Noida. The company has also sold inventory worth Rs 200 crore. Spread across 21,728 square meters Eros Sampoornam 3 will have 11towers, offering a mix of lavish 2 and 3 BHK apartments. The initial sales opened for 5 of these towers, which house 318 units out of the total 726 units across the project. “The early sales success reflects the trust and confidence that homebuyers have,” said Avneesh Sood Director, Eros Group. EROS Sampoornam 3 offers luxurious 2 & 3 BHK apartments with a carpet area ranging from 531.63 square feet to 1,068.67 square feet. The project is conveniently located near the upcoming Aqua Line metro station of NMRC (Noida Metro Rail Corporation) in Sector 2 and situated on a 130-meter-wide main road connecting KP-5 and Depot metro station in Greater Noida. Source : The Economic Time INDIA

ED Attaches Rs 834.03 Crore Assets of Emaar India & MGF Ltd

8/30/2024 1:07:00 PM

The Enforcement Directorate (ED), Government of India, attached immovable properties of land worth ₹834.03 crore belonging to Emaar India Ltd. and MGF Developments Ltd. to the Prevention of Money Laundering Act (PMLA), 2002, according to the economic intelligence agency's post in the social media platform X, on Thursday, August 29. “ED has provisionally attached immovable properties under PMLA, 2002 in the form of land located in Gurugram, Haryana and Delhi, spanning 401.65479 acres and valued at Rs. 834.03 Crore belonging to M/s EMAAR India Ltd. (501.13 Crore) and M/s MGF Developments Ltd. (332.69 Crore),” said the law enforcement agency on its post on platform X. ED also stated that the land properties belonged to two companies namely Emaar India Ltd. and MGF Developments Ltd. The property belonging to Emaar India is valued at ₹501. 13 crore, and the land belonging to MGF Developments Ltd is valued at ₹332.69 crore, according to the data disclosed on the post. This is not the first time Emaar India is under the law enforcement's supervision. The news agency PTI reported, quoting anonymous sources on June 2, 2023, that some senior officials of the company Emaar India Ltd, a subsidiary company of Emaar Properties of Dubai, appeared before Delhi Police's Economic Offence Wing (EOW) allegedly over a case of real estate fraud. “Officials representing Emaar met with EOW officials and shared the information sought. They assured extending all help with the investigation,” according to the news agency citing an anonymous source in Delhi Police's Economic Offence Wing (EOW). The economic offence wing started investigating the case after a homebuyer, Manish Kumar Patni, registered a complaint on January 30 of the previous year, according to the report. Source : ANI News INDIA

Suraksha Group Earmarks 2552 Acres of Land For Jaypee Infratech Lender in Delhi-NCR

8/30/2024 1:06:00 PM

Suraksha Group, which has acquired Jaypee Infratech Ltd (JIL) through insolvency process, has identified 2,552 acre of land parcels for lenders of the bankrupt realty firm in accordance with the resolution plan. On June 4, Suraksha Group took control of JIL following the National Company Law Appellate Tribunal's (NCLAT) decision on May 24, upholding its bid to acquire JIL and constituted a new board. According to sources, Suraksha Group has earmarked 2,372 acre of land for assenting lenders and 180 acre, separately, for ICICI. The group had appointed real estate consultant CBRE to help in land identification process. JIL had around 6,250 acre of land in Delhi-NCR and adjoining areas. In its resolution plan, which was approved by the National Company Law Tribunal (NCLT) in March last year, Suraksha Group has offered bankers more than 2,500 acre of land to partly settle their dues. Sources said Suraksha Group, during the last three months, has infused Rs 125 crore as equity and another Rs 125 crore as debt in Jaypee Infratech, besides arranging a Rs 3,000 crore loan facility, as it gears up to complete around 20,000 unfinished flats in Delhi-NCR. Moreover, around Rs 1,000 crore cash is lying in the balance sheet of the JIL, which the bankrupt company has accumulated from real estate business and toll income of Yamuna Expressway that connects Greater Noida and Agra. So, the total cash available in JIL is Rs 1,250 crore. Sources said Suraksha Group will require Rs 6,500-7,000 crore investment to complete nearly 160 residential towers across various projects. Of these towers, the construction work was going on in only 62 towers before the takeover by Suraksha Group, while activities on the remaining 97 towers were completely stalled. Sources said Suraksha Group has accelerated the pace of construction in 62 towers and is also applying for completion certificates for the completed buildings. Out of the 97 completely stalled towers, the group has already awarded contracts for 41 towers to many construction companies and will soon give work orders for the remaining 56 towers. Sources said construction activities are expected to be in full swing by October. In June, Sudhir V Valia, promoter of Suraksha Group, was appointed as a Non Executive Director on the JIL board. Aalok Champak Dave was appointed as Executive Director and Usha Anil Kadam as independent director. Upholding the NCLT's decision of March 2023, the NCLAT in May this year, had said that the decision was made to avoid any further delay in the implementation of the resolution plan and also to take care of the interests of all stakeholders. The NCLAT had directed Suraksha Group to pay an additional Rs 1,334 crore to Yamuna Expressway Industrial Development Authority (YEIDA) as farmers' compensation. However, the authority now has appealed in the Supreme Court seeking more compensation. JIL was under the Corporate Insolvency Resolution Process (CIRP) since August 2017. The CIRP was initiated over an application by the IDBI Bank-led consortium. On March 7 last year, the NCLT approved the bid of Suraksha group to buy JIL. In its final resolution plan, Suraksha group offered to bankers more than 2,500 acre of land and nearly Rs 1,300 crore by way of issuing non-convertible debentures. It also proposed to complete all stalled projects over the next four years. Lenders of Jaypee Infratech had submitted a claim of Rs 9,783 crore. In the fourth round of the bidding process to find a buyer for JIL in 2021, Suraksha group won the bid with 98.66 per cent votes. The group had got 0.12 per cent more votes than state- owned NBCC, which was also in the fray. In the first round of insolvency proceedings in 2018, the Rs 7,350 crore bid of Suraksha group firm Lakshadweep was rejected by the lenders. The CoC (committee of creditors) had rejected the bids of Suraksha and NBCC in the second round held in May-June 2019. In November 2019, the Supreme Court directed that the revised bids be invited only from NBCC and Suraksha. Then, in December 2019, the CoC approved the resolution plan of NBCC during the third round of the bidding process. In March 2020, NBCC got approval from the NCLT to acquire JIL. However, the order was challenged before the NCLAT and later in the Supreme Court. On March 21, 2021, the apex court ordered a fresh round of bidding only between NBCC and Suraksha Group. In this fourth round, Suraksha Group won the bid. Source : The Economic Time INDIA

Noida DM Directs Builders to Clear Dues and Expedite Registry of Flats

8/30/2024 1:04:00 PM

Noida: The district magistrate on Thursday held a meeting with flat buyers, developers, and officials of the stamp and registration department to resolve flat buyers' issues, expedite flats' registration, and also increase stamp revenue for the state exchequer. The meeting was held at the collectorate auditorium. Assistant inspector general registration (I) BS Verma said that several issues were discussed at the meeting. "Out of 57 developers in Noida who had consented to the resettlement of their projects, only 28 have paid 25% of their dues upfront. However, some of these developers have furnished details, leading to registration delays." From Feb 26 to Aug 29, 2024, a total of 7,368 flats were registered in GB Nagar. Of these, 5,297 flats were registered under rehabilitation schemes, while the remaining 2,070 flats were registered through the routine process. At the meeting, some developers blamed the delay in registration on a lack of occupancy certificates (OCs). The DM sought a response from concerned builders and authorities about the lack of OCs. He instructed all builders to promptly register flats that have obtained OCs and to expedite obtaining OCs for the remaining flats to ensure their registration. Meanwhile, officials revealed that some developers have allotted flats to homebuyers without completing the registration process, causing revenue loss to the state. The Stamps and Registration Department collected Rs 3,585 crore in 2023-24, an increase from Rs 3,018 crore in 2022-23. The department has set a target of Rs 4,880 crore for the current financial year. Residents of some societies raised another issue at the meeting, claiming that developers in their societies were charging inflated maintenance fees while providing facilities that were below standards. On this, Verma said, "They also argued that some societies are developed but the developers were still not shifting the maintenance charge to the apartment owners' association." The DM district magistrate emphasised the importance of addressing these issues promptly. "The builders and buyers can bring their issues to the Stamp Department or directly to me for resolution of their issues through mutual coordination," the DM said. "Some builders have handed over possession to flat buyers without registration, causing significant loss of stamp revenue. We have directed the officials to launch a campaign and take strict action against such builders to ensure the registration of all flats and increase stamp revenue."As per data, the authorities have issued OCs for 9,762 flats but the developers are yet to process their registration. Source : The Economic Time INDIA

Over Rs 850 Crore Invested in Luxury Villa Across India’s Key Cities

8/29/2024 12:51:00 PM

The Chapter, a luxury holiday home developer plans to invest over Rs 850 crore to develop luxury villas across key leisure destinations in India. The company, part of the Isprava Group, has acquired over 100 acres in Goa, Alibaug, Karjat and Kasauli, with an initial investment of Rs 450 crore as part of this growth plan. Among key proposed projects, The Chapter is looking to develop 27 branded luxury villas spread over 2.25 acres of land adjacent to the Moira River in North Goa’s Aldona locality. This project is estimated to involve an investment of around Rs 100 crore. The site is 21 km from the Manohar International Airport and six km away from Assagao. The company has also acquired two adjacent land parcels spread over five acres near Aldona recently and work on a separate project on the same will start soon. Both Isprava and The Chapter which is backed by Nadir Godrej, Anand Piramal and Dabur's Burman family are investing to meet the demand for branded luxury villas and plans for steady growth in villa segment, offering exclusive living spaces that combine luxury with personalised services. The Group recently raised nearly Rs 200 crore in a funding round led by London Stock Exchange-listed Symphony International Holdings to increase the footprint across India. Its portfolio currently includes 600 under construction luxury villas, and has delivered 200 properties. Source : The Economic Time INDIA

Office Leasing to Surge by 10-12%, Reaching 42-43 Million SqFt FY25

8/29/2024 12:50:00 PM

NEW DELHI: The net leasing of grade A commercial office space in India is expected to grow by 10-12% to 41-43 million sq ft in FY25, driven by higher-than-expected leasing demand from global capability centers (GCCs), banking, financial services and insurance (BFSI) and manufacturing sectors, according to a report by Crisil Ratings. Improved absorption will stem rising vacancy levels, partly aided by denotification in underperforming special economic zones (SEZs) units. Net leasing will pick up pace this fiscal after four years of gradual recovery, while commercial office supply is expected to remain high, similar to last fiscal, the report said. GCCs, which encompass all sectors, are expected to account for 40-45% of india ‘s total net leasing this fiscal as new entrants set up office spaces and existing their footprint. Gautam Shahi, director of CRISIL Ratings, said, “The vacancy level, which had shot up 600 basis points (bps) between fiscal 2020 and 2024 amid the pandemic, is expected to plateau at 17.4-17.5% this fiscal.” Information technology (IT)/ IT-enable services (ITeS) companies, which account for 20-25% of overall demand, will grow in low single digits due to tepid growth of domestic firms though demand from IT/ITeS GCCs will hold steady. Healthy demand from the engineering and manufacturing, and BFSI sectors, which together account for 30-40% of net leasing demand, will be driven by continued growth of the Indian economy and offshore demand through GCCs. Source : The Economic Times INDIA

NGT Take Action on Illegal Construction at Ansals Aravali Retreat

8/29/2024 12:48:00 PM

GURGAON: Taking suo-motu cognisance of a TOI report on illegal construction at Ansals Aravali Retreat in Raisina, the National Green Tribunal issued notices to authorities and said that rebuilding of razed structures was a "flagrant violation" of its previous orders. The bench of NGT chairperson Prakash Shrivastava and expert member Dr A Senthil Vel on Aug 23 directed Haryana chief secretary, principal chief conservator of forest, Haryana space application center and Gurgaon district magistrate to respond at least a week before the next date of hearing on Dec 3. Titled ‘Gurgaon farmhouses back: Raze & rebuild cycle ensures Raisina never heals', TOI reported on July 28 that farmhouses demolished just 15 days ago were being reconstructed in Raisina hills. New roads were also being laid down on protected forest land and electricity poles were being installed. The report also said that some farmhouse owners were pasting "court orders" on their gates and claiming that their properties cannot be razed. There are no court orders to that effect. In the latest directive, NGT noted that Aravali land in Raisina was ‘gair mumkin pahar (uncultivable hill)' and thereby protected under the Punjab Land Preservation Act (PLPA) and the Aravali Notification. The two regulations prohibit construction and tree felling without permission from the authorities. The tribunal said that reconstruction was a "flagrant violation" of its 2022 ruling in the Sonya Ghosh vs State of Haryana and others case. In this order, NGT had directed Haryana and Rajasthan govts to remove all encroachments on protected Aravali land, create a monitoring committee and revive degraded forest areas. "The news item raises substantial issues relating to compliance of environmental norms, especially compliance of Forest Conservation Act, 1980 and the Environment Protection Act, 1986," the order said. The tribunal underscored the ecological significance of Raisina hills, which serve as a wild life corridor between sariska national park in rajasthan and Asola Bhatti Wildlife sanctuary in Delhi. Asked about the direction, a Haryana forest department official told TOI on Wednesdsay. “We haven’t received any direction yet. We will submit the response as directed.” Source : The Economic Time INDIA

Residential Prices in Seven Indian Cities See 45% Rise in Five Year: Anarock

8/28/2024 1:15:00 PM

Real estate consultant Anarock stated that residential prices in India’s top seven cities have surged, driven by high-demand areas and increased new supply. Among the shortlisted localities by the firm, Bengaluru’s Bagaluru recorded the highest price appreciation of 90 per cent between 2019 and the first half of 2024. “With the new supply of about 17,065 units in the period, the average residential prices at Bagaluru jumped from Rs 4,300 per square foot in 2019 to about Rs 8,151 per square foot in H1 2024,” says Anuj Puri, chairman, Anarock Group. “A deeper dive reveals that of the total new supply launched in this micro market since 2019, over 94 per cent was in the price bracket of Rs 40 lakh to Rs 1.5 crore—the mid and premium segments. The remaining 6 per cent was in the luxury segment priced above Rs 1.5 crore. There was no new affordable supply in this locality,” Puri added. Next, Hyderabad's Kokapet saw an 89 per cent price appreciation, with rates rising from Rs 4,750 to Rs 9,000 per square foot, according to the Anarock survey. Approximately 12,920 new units were launched during this period. Notably, 52 per cent of new launches were in the ultra-luxury segment (over Rs 2.5 crore), followed by 30 per cent in mid and premium segments, while 19 per cent fell in the Rs 1.5 to Rs 2.5 crore luxury range. Marking the third, Bengaluru’s Whitefield recorded about an 80 per cent rise in residential prices in the period. The area witnessed close to 18,600 units launched between 2019 and H1 2024; over 66 per cent was in the mid and premium budget category, and the remaining 34 per cent was in the luxury homes segment. In this pocket, average prices increased to Rs 8,600 per square foot in H1 2024 from Rs 4,765 per square foot in 2019. As per the report, NCR’s (National Capital Region) Dwarka Expressway ranked fourth. It saw a 79 per cent price appreciation, with average prices rising from Rs 5,359 per square foot in 2019 to over Rs 9,600 per square foot in H1 2024. Bengaluru’s Sarjapur Road followed with a 58 per cent jump, while Hyderabad’s Bachupally and Tellapur recorded 57 per cent and 53 per cent growth, respectively. MMR’s (Mumbai Metropolitan Region) Panvel and Dombivli, besides NCR’s New Gurugram, saw price increases ranging from 40 per cent to 50 per cent. “Housing price growth accelerated after the pandemic, particularly if we consider the last two years. As per our data, the top 7 cities collectively saw over 44 per cent price appreciation in the last five years. At a city level, Hyderabad recorded the highest jump of 64 per cent between 2019 and H1 2024, followed by Bengaluru with a 57 per cent increase. The lowest price growth of 25 per cent was seen in Kolkata. NCR and MMR both witnessed a 48 per cent price appreciation each in this period,” Puri stated further. Source : The Economic Time INDIA

Gautam Buddh Nagar Announces E-Auction of Industrial Plots Up to 8000 Sq Meters

8/28/2024 1:14:00 PM

NOIDA: The industrial land allotment policy for the three development authorities in GB Nagar is set to be modified again. Authorities plan to use e-auctions for plots up to 8,000sqm, and an objective criteria or interview for larger land parcels. The decision follows a review meeting led by chief minister Yogi Adityanath. According to sources, Noida, Greater Noida, and Yamuna Expressway Industrial Development Authorities, being autonomous bodies, had sought approval from the CM to determine the method and criteria for plot allotments independently. On July 6 last year, UP industrial development commissioner Manoj Kumar Singh issued a letter directing the authorities to abolish the e- auction process and reinstate the previous objective criteria method, effective before April 2022. Noida and Greater Noida authorities switched to an interview-based method after scrapping the e-auction process in Aug, and YEIDA followed suit in Sept. The move followed persistent agitation by entrepreneurs, particularly those in the micro, small, and medium enterprises (MSME) sector, who argued that the e-auction process favoured large-scale entrepreneurs, making it difficult for smaller enterprises to secure plots. Noida Authority subsequently allotted some plots to industrialists based on the new criteria, while Greater Noida and YEIDA launched schemes under the revised system. However, in Feb this year, UP industrial development minister Nand Gopal Gupta Nandi directed the authorities to seek the CM's approval before proceeding with any industrial land allotments through interviews. This directive stalled the allotment process, which is now expected to resume soon with the issuance of a new order to implement the updated policy. Before April 2022, industrial plots in GB Nagar were allocated through a combination of draws, interviews, and evaluations by a screening committee led by the chief executive officer. Entrepreneurs of all categories were eligible to participate. Plots larger than 2,000 sqm were allocated after evaluation by the screening committee, and those smaller than 2,000 sqm were allocated through a draw of lots. PK Tiwari, president of the Industrial Entrepreneurs Association, expressed concern that the new categorization still favors larger investor. Source : The Economic Time INDIA

Delhi Urged to Clarify Groundwater Regulations by NGT

8/28/2024 1:12:00 PM

Taking a serious note of "water scarcity" in Delhi, the National Green Tribunal today pulled up the authorities for failing to perform their statutory administrative obligation in ensuring adequate water supply. Irked over unauthorised and illegal borewells operating here, a bench headed by Justice Swatanter Kumar directed Delhi Jal Board, Central Ground Water Authority, government of NCT of Delhi and corporations concerned to set up committees which shall visit and seal industrial areas extracting water illegally. "Water scarcity in Delhi is a fact of which tribunal can take judicial notice, and equally it cannot be denied that these authorities i.E. Corporations, DJB and government of NCT of Delhi have statutory and even a public administrative obligation to ensure that adequate water supply is made to various parts of Delhi and there is no illegal extraction of ground water in any manner whatsoever," the bench said. It also ordered that such committees shall prepare a complete and comprehensive report as to how many bore-wells were operating in industrial pockets, including at Bawana and Narela, and whether they have the permission from competent authority or were registered with the Delhi administration. "We direct the Delhi Pollution Control Committee and DJB to submit a complete and comprehensive report as to why they have not fixed any meters for calculating cess," the green bench said. "We make it clear that all the senior officers shall be responsible for ensuring that the order of the Tribunal is implemented without demur and delay," it said and fixed the matter for hearing on August 22. The tribunal on September 3 last year had set up a panel to collect data of all illegal and permissible borewells in NCT of Delhi as well as to ensure that the cases of illegal extraction of ground water were prosecuted and water meters were installed for measuring consumption of underground water. Thereafter, on November 12 and December 19 last year respectively, the tribunal had expressed dissatisfaction over the report submitted by the panel and had termed it as "poor and vague". The tribunal was hearing petitions filed by the NGT Bar Association and Raj Hans Bansal opposing the illegal use of groundwater in Delhi. Source : The Economic Time INDIA

UP-RERA Guides Homebuyers of Five Builder to Secure Claims

8/27/2024 1:03:00 PM

GHAZIABAD: National Green Tribunal (NGT) has asked the Centre to initiate proceedings against the UP housing board commissioner for not appearing before the tribunal during a hearing on encroachments of green belts in Vasundhara. The two-judge bench of Justice Sudhir Agarwal and expert member Afroz Ahmad, in its order in August this year noted, "An officer in the rank of housing commissioner, we expect, must be pre-occupied with official duties every day, but that does not mean that compliance with the tribunal's order would not be a part of the performance of official duty or is of less importance compared to other duties, particularly when non-compliance with the order of the tribunal is an offence under Section 26 of the National Green Tribunal Act, 2010." According to its provisions, failure to comply with the NGT order can lead to a jail term of three years or a fine of up to Rs 10 crore. The green panel has sought a compliance report within two months. A housing board official told TOI that during an April 2024 hearing, the housing board commissioner had submitted an application in the NGT seeking exemption from personal appearance, but the court had found "no justification to grant exemption". Balkar Singh, who took over as the UP housing board commissioner in March this year, was unavailable for comment. The petition, filed in 2022 by Vasundhara resident Amit Kishore, had claimed that an RTI query had revealed the township has 5,50,545 sqm green belt area which included 210 parks, but could not provide data on encroachment of these zones. Kishore filed a petition before the NGT stating green belts abutting residential sectors in Vasundhara were dotted with kiosks, while others were used as vending zones. Kishore claimed 62 kiosks were running from green belts, several of them in sector 15 and Atal Chowk. "Before the NGT could give any direction, Ghaziabad Municipal Corporation removed these kiosks. However, there was a lack of coordination between GMC and housing board officials over the encroachment of green belts. Subsequently, in April, NGT asked the DM, municipal commissioner, and housing board commissioner to appear personally," Kishore said. Source : The Economic Time INDIA

Haryana RERA Directs Quick Completion of OSB Expressway Tower

8/27/2024 1:03:00 PM

The H-Rera conducted a meeting on the stalled OSB Expressway Towers project in Sector 109 with homebuyers on Friday and issued a final warning, stating if the project was not completed within six months, the regulator would invoke Section 8 of the Rera Act. This would transfer control to the buyers' association and potentially involve a third-party builder. The project, faced significant delays, and despite repeated warnings, the builder failed to deliver possession of the flats. In response to Rera chairperson Arun Kumar's warning, the builder assured completion of the project within time. However, he faces challenges arising out of licence suspension of three of his other projects due to default in payment and non- compliance with DTCP orders. His failure to meet this deadline could result in severe actions and loss of project. The warning, which was given in 24th meeting since the issue was first brought to Rera's attention in Feb 2023, was considered a last resort to protect interests of buyers, who have been waiting for their homes for over seven years. Source : The Times of India INDIA

NGT Asks Central Government to Initiate Proceedings UP Housing Board

8/27/2024 1:02:00 PM

NEW DELHI: Uttar Pradesh real estate regulatory authority (UP-RERA) has informed the allottees of the projects of Supertech Realtors, Supertech Township Projects, Ajnara Realtech, Rudra Buildwell Constructions and Gayatri Hospitality to immediately file their claims before the insolvency resolution professional (IRP) appointed by the NCLT, consequent on start of CIRP under the Insolvency and Bankruptcy Code (I.B.C.). Once CIRP is started under the orders of NCLT, moratorium under section 14 of the IBC and appointed IRPs. Once CIRP is started under the orders of NCLT, moratorium under section- 14of the IBC comes into effect as result of which no court or tribunal or authority can have jurisdiction to hear the complaints or cases against the debtor company or even to proceed with the enforcement of existing orders. UP RERA also has placed the pending complaints of the allottees as well as the proceedings of enforcement of its existing orders in ‘abeyance’. “UP RERA keeps a track of the orders of the NCLT and as and when CIRP is started against a company, it promptly informs the allottees of such projects for filing their claims with the IRP so that they do not suffer on account of any delay in filing such claims or not filing the claims at all. Such negligence can really cause huge loss to such allottees,” said Sanjay Bhoosreddy, Chairman , UP RERA. Source : The Economic Time INDIA

India Rises as a Top Global Destination for Real Estate Investment in 2024

8/26/2024 11:15:00 AM

India has rapidly emerged as one of the most attractive global destinations for real estate investment, particularly in 2024. The country's robust economic growth, coupled with strategic government reforms like the Real Estate (Regulation and Development) Act (RERA), has significantly boosted investor confidence. India’s real estate market, encompassing both residential and commercial sectors, is experiencing unprecedented dynamism, attracting international investors, including NRIs. The nation's resilient economy has continued to advance despite global uncertainties, outpacing many developed and emerging markets. With India’s population projected to reach 1.55 billion by 2034, and 42.5% of it expected to reside in urban centers, the demand for real estate is set to soar. This demand is further fueled by the growing affluence of residents and an increasing preference for global and integrated housing projects. Notably, Tier 2 and Tier 3 cities like Vrindavan, Jaipur, Mohali, and Dehradun are emerging as new real estate frontiers, witnessing substantial growth in housing sales. Source: Knight Frank’s Prime Global Cities Index Q2 2024, and statements by Yash Miglani, Managing Director of Migsun Group. India

Manila Tops Global Property Price Index; Mumbai Ranks 2nd, New Delhi 3rd

8/26/2024 11:04:00 AM

Mumbai has secured the 2nd position in Knight Frank’s Prime Global Cities Index for Q2 2024, with an impressive 13% annual increase in real estate prices. New Delhi follows closely, ranking 3rd with a 10.6% rise, while Bengaluru saw a more modest 3.7% growth. Globally, Manila has topped the index with a significant 26% surge in property prices. The Prime Global Cities Index, which tracks prime residential prices across 44 cities worldwide, highlights the growing demand for luxury homes in India. According to Knight Frank’s report, the premium segment has been the main driver of this growth, fueled by the increasing affluence and demand for lifestyle-oriented properties among India's wealthy. This trend is expected to continue as the economic outlook remains strong, keeping market sentiments positive. Shishir Baijal, Chairman and Managing Director at Knight Frank India, noted, "The increasing affluence of the wealthy and their need for lifestyle-oriented properties has fueled the prime residential market. We expect this momentum to sustain in 2024, as the economic outlook continues to remain strong and keeps sentiments buoyant." Source 'HT Real Estate News' India

Adani Group Promoter Sheds 2.8% Stake in Ambuja Cement, Increase Rs 4,254 Crore

8/24/2024 12:49:00 PM

New Delhi: Adani Group promoter on Friday divested nearly a 2.8 per cent stake in Ambuja Cements to investors like GQG Partners for Rs 4,250 crore via open market transactions. The promoter sold the stake of Ambuja Cements as part of a regular adjustment of holdings they carry to keep stake across the ports-to-energy conglomerate at desired levels. Meanwhile, Rajiv Jain-backed GQG Partners purchased more than 4.39 crore shares, amounting to a 1.78 per cent stake in Ambuja Cements through bulk and block deals in two separate transactions. The shares were bought at an average price of Rs 625.50 apiece, taking the combined deal value to Rs 2,746.79 crore. Also Read - ‘Peak power demand to rise by 15GW/year for next 6 yrs’ Post-stake buy, Fort Lauderdale-based asset management firm GQG Partners increased its stake in Ambuja Cements to 3.13 per cent from 1.35 per cent. According to the block deal data available on the National Stock Exchange (NSE), Holderind Investments Ltd, promoter in Ambuja Cements, sold 6.79 crore shares, amounting to a 2.8 per cent stake in the company. The shares were offloaded at an average price of Rs 625.50 apiece, taking the transaction value to Rs 4,250.64 crore. After the stake sale, Holderind Investments’ shareholding in Ambuja Cements has declined to 48.1 per cent from 50.90 per cent. Also, the combined stake of promoters of Ambuja Cements has reduced to 67.53 per cent from 70.33 per cent. Also Read - Govt seeks proposals to set up e-comm export hubs for examination, support & hand-holding These shares were picked up by Axis Mutual Fund (MF), Baroda BNP Paribas MF, ICICI Prudential MF, Invesco MF, Mirae Asset MF, Canara HSBC Life Insurance Company, SBI Life Insurance, and National Pension System (NPS) Trust. Also, US-based Morgan Stanley and The Vanguard Group as well as Norway government’s pension fund were among the buyers of Ambuja Cements’ shares. Billionaire Gautam Adani-led promoter group holds shares worth $125 billion across the 10 listed companies of the conglomerate. Sources said the adjustments in the holdings are done on a regular basis to keep the promoters’ interest at a desired level. The equity adjustments typically range from 0.5 per cent to 3 per cent. Also Read - ‘SBI able to support loan growth, low deposit growth not a challenge’ The stake sale in Ambuja Cement is part of that and is not linked to any debt reduction, they said. Ambuja is one of the two firms that Adani bought in 2022 from Holcim Ltd to emerge as India’s second-largest cement maker overnight. Shares of Ambuja Cements rose 0.51 per cent to close at Rs 635 apiece on the NSE on Friday. On Monday, the conglomerate said it has enough cash to cover more than 30 months of debt payments and that its businesses are firing on all cylinders. Cash balance at the group accounted for 24.8 per cent of gross debt of Rs 2.41 lakh crore as of the end of June, up from 17.7 per cent a year earlier, it had said in a statement. It had said that “24.77 per cent of gross debt is in the form of cash balances providing liquidity to cover 30 months of debt servicing”. The conglomerate saw June quarter pre-tax profit surge 33 per cent on the back of strong performance by the core infrastructure business as also emerging businesses ranging from solar and wind manufacturing to airports. “EBITDA (in April- June) surged 32.87 per cent year-on-year to reach Rs 22,570 crore, resulting in a trailing twelve-month (TTM) EBITDA of Rs 79,180 crore, marking a 45.13 per cent increase over the corresponding TTM of the previous year,” the group said. Source : The Economic Time INDIA

Supreme Court Swat Noida Bodies For Ignoring Homebuyers

8/24/2024 12:48:00 PM

The Supreme Court on Friday issued a stern rebuke to land-owning and development authorities in Noida, castigating them for their indifference for the suffering endured by thousands of homebuyers who have been waiting for years to receive their apartments. These homebuyers, the top court lamented, have found themselves trapped between real estate developers’ inability to complete construction and the authorities’ relentless pursuit of recovering dues owed by such developers. “Most of the projects under the IBC (Insolvency and Bankruptcy Code) are in Noida, and Noida authorities are largely to blame for this. The scheme they framed, they never bothered about flat buyers. They are least concerned about flat buyers,” remarked a bench led by justice Sanjiv Khanna the bench, highlighting the systemic neglect of homebuyers’ rights. Coming down hard on the Yamuna Expressway Industrial Development Authority (YEIDA) for assailing a resolution plan for the debt-ridden Jaypee Infratech Limited (JIL) over compensation claims, the court rued that the authorities in Noida prioritised the recovery of dues from developers over the interests of those who had invested in homes. The bench, also comprising justices Sanjay Kumar and R Mahadevan, directed YEIDA to submit records of schemes and regulations it has framed and implemented to ensure the protection of homebuyers’ interests when entering concession agreements with private developers. Asserting that the authority must act in a way to protect the flat buyers, the bench added: “You can’t say I’m concerned only about my money and that I have nothing to do with the flat buyers. That won’t be acceptable to this court.” The directive came during the court’s hearing of YEIDA’s appeal against a May 24 order of the National Company Law Appellate Tribunal (NCLAT), which had approved the Suraksha Group’s resolution plan for JIL, which has failed to deliver nearly 20,000 apartments in its “Wish Town” housing project in Noida and Greater Noida. The Supreme Court’s insistence on protecting homebuyers’ interests offers a glimmer of hope for tens of thousands of homebuyers, who have been caught in the crossfire of the prolonged real estate and financial dispute. For nearly a decade, these homebuyers have faced uncertainty and financial strain as real estate developers failed to deliver promised apartments, while development authorities focussed primarily on recovering their dues. As soon as the matter came up on Friday, the court, however, was clear in its stance that the authority could not focus solely on recovering its dues at the expense of the homebuyers. “Even if you want a concessionaire to pay, they will not pay from their own pocket. They will shift the burden on the home buyers... Ultimate sufferers are the flat buyers,” it told solicitor general Tushar Mehta, who appeared for YEIDA. While SG pointed out that the authority was not against the rehabilitation of the projects, but was acting in a public duty to collect dues that will eventually be used for public amenities, the bench countered by demanding evidence of what YEIDA had done so far to assist the distressed homebuyers. “You told NCLAT that you want to extend a helping hand to the home buyers. Now, you show us what you have done... Let us tell you that if you are not concerned about the home buyers, this court will step in,” the bench remarked. In its order, the court directed YEIDA to submit a detailed affidavit outlining the monetary and other concessions granted to homebuyers, as well as the status of projects delayed due to IBC proceedings. The authority was also instructed to provide specific clauses in its agreement with Jaypee Infratech that were meant to protect the interests of flat buyers. “You gave it (land) to Jaypee, and you cannot now say I am not responsible for anything. You must tell us what you have done,” the bench told SG while scheduling the next hearing in October. The court also refrained from interfering with separate proceedings initiated by YEIDA, which challenged an arbitral award favoring Jaypee against the authority’s demand for additional compensation from the lessees of land, including corporate debtors. NCLAT’s May 24 order had set aside a previous decision by the National Company Law Tribunal (NCLT) that had asked Suraksha Group to pay only ₹10 lakh towards farmers’ increased land compensation. YEIDA had sought ₹1,689 crore in compensation, but NCLAT ultimately ruled that Suraksha Group could pay 79% of this amount – ₹1,334.3 crore – over four years. “The impugned order passed by adjudicating authority (NCLT) insofar as it deals with the claim of the appellant of ₹1,689 crore of additional farmers’ compensation is set aside. The rest of the impugned order approving the resolution plan is upheld,” stated the NCLAT order, delivered by chairperson justice Ashok Bhushan and member (technical) Barun Mitra. NCLAT directed Suraksha Group to implement its modified resolution plan, emphasising the need for swift action to benefit all stakeholders, including 20,000 homebuyers and 10,000 farmers. NCLAT order revived hopes of homebuyers, who have been waiting nearly a decade to receive their homes – many of whom have paid over 50% of the total flat cost. In addition, YEIDA had also raised a demand in April 2024 for Suraksha Group to pay ₹1,500 crore as external development charges (EDC) for the development of common area facilities in the Wish Town project. However, NCLAT’s order did not address the EDC demand, leaving the issue unresolved. Source : The Economic Time INDIA

Suraksha Group awards tenders for 41 towers of Jaypee Infratech projects

8/24/2024 12:47:00 PM

Mumbai-based Suraksha Group, which took over debt-ridden Jaypee Infratech Limited this June, has restarted construction work on at least 41 of 97 delayed housing towers in Jaypee Wish Town Project, which has remained stuck for over a decade, thereby affecting the interests of at least 20,000 homebuyers. Tenders were issued for 97 towers, with contracts awarded for 41 towers in Wish Town located in sectors 128, 129, 130 and 132 along the Noida-Greater Noida Expressway. These 41 towers include Krescent Homes, Garden Isles, Kasa Isles, and Kube. The remaining contracts for 56 towers will be awarded in the coming months, with Suraksha Group on track to meet the timelines specified in the resolution plan, said sources. “Our contractors have started mobilising daily wagers, machines and other material required for construction at the site. We have infused ₹125 crore to resume construction and are taking measures required to build the projects so that we can deliver apartments to buyers as per the assurances that we made in our resolution plan,” said Aalok Dave, executive director, Jaypee Infratech Limited. According to the resolution plan, Suraksha Group was supposed to infuse funds within 90 days after taking over the company. After a long litigation the National Company Law Appellate Tribunal on May 24, 2024, had upheld Suraksha Group’s resolution plan for the debt-ridden Jaypee Infratech and also directed Suraksha to pay ₹1,335 crore to Yeida towards farmers’ compensation over a period of four years. Subsequently, after a six-year long court battle, Mumbai-based Suraksha Group on June 5, 2024, took over Jaypee Infratech and its office-bearers assured homebuyers that the work will soon restart at project sites. Suraksha Group will infuse around ₹8,000 crore to complete and deliver these 20,000 apartments in the next two to three years. The new office-bearers of JIL is also working on awarding construction work to new contractors for the remaining 56 towers in the next couple of months. “As work will be in full swing at 41 towers in the next couple of days, delivery can begin after the next 18 months. And soon after that, delivery in another 56 towers will also start,” said a source in Jaypee Infratech. Apart from this the JIL’s new management has also started appointing a committee in each tower comprising a homebuyer and two from Jaypee. These committees will supervise the construction work and quality of work, as well as pace of work. These committees can approach the executive director if it finds that the contractor is not working properly. “Also, we have asked these contractors to open an escrow account so that they can monitor if he is paying the money to labourers or his vendors on time. We have done this so that in the event that the contractor does not pay the money to vendors and labourers, money can be paid from these escrow accounts without affecting the pace of work and delivery schedule,” said Dave. As of now the work on these 41 towers is underway with the help of around 100 labourers and the number of labourers is set to rise. At peak construction, the JIL needs around 8,000 labourers to meet the delivery deadline. The new office-bearers of the JIl has hired around 200 new staff from reputed developers to handle the construction and also customer queries. “We are happy that finally the work is resuming at the site and we hope to get our flats without further delay. The UP government and the Yamuna Expressway authority must help the new team get the project completed,” said Ashish Mohan Gupta, president, Jaypee Infratech Limited real estate allottees’ welfare association. Source : The Economic Time INDIA

Strong Start: Over 1,100 Registrations on Day One of Delhi’s DDA Housing Schemes

8/23/2024 12:59:00 PM

NEW DELHI: More than 1,100 people registered in two housing schemes of the Delhi Development Authority (DDA) on the first day of the registration on Thursday, officials said. They said 414 people registered through e-auction in the DDA Dwarka Housing Scheme 2024 in the first two days. The registration for this scheme was started on Wednesday. On August 6, three housing schemes were announced at a meeting of the DDA which was chaired by Delhi Lieutenant Governor VK Saxena. According to the officials, 750 people registered in Sasta Ghar Housing Scheme 2024, and 405 registered in DDA Madhyam Vargiya Housing Scheme 2024 on the first day of the registration on Thursday. It is further stated that around 30,000 registered customers of first comefirst serve (FCFS) Phase-IV and Diwali FCFS scheme are not required to register again in Sasta Ghar and Madhyam Vargiya Housing Scheme. They can directly participate in the flat booking process, the officials added. The Sasta Ghar Housing Scheme 2024 would offer low-income group (LIG) and Economically Weaker Section (EWS) flats at discounted rates in Ramgarh Colony, Siraspur, Loknayakpuram, Rohini, and Narela through FCFS mode. Under the scheme, around 34,000 flats are to be offered, with a starting price of around Rs 11.5 lakh. The DDA Madhyam Vargiya Housing Scheme 2024 provides flats of all categories, including high-income group (HIG), medium-income group (MIG), LIG and EWS at different localities, including Jasola, Loknayakpuram, and Narela, will be offered at 2023 prices without any price escalation. The starting price of flats is around Rs 29 lakh and around 5,400 flats are to be offered under this scheme. The DDA Dwarka Housing Scheme 2024 will offer MIG, HIG and higher category flats in Sector 14, 16B and 19B through an e-auction process. This will provide an opportunity to people to own a house in the upscale area of Dwarka. About 173 flats are being offered under the scheme. Source : The Economic Time INDIA

Ciena Secures 1.35 Lakh Sq Ft Lease in Gurugram’s TRIL Tower, Boosting Growth

8/23/2024 12:58:00 PM

Ciena, a US networking systems, services and software company, has leased 135,000 square feet of office space in Gurugram's TRIL Tower by Tata Realty, people aware of the development said. "A lot of space that was partof the SEZ is getting denotified now, opening up newer areas for corporations," one of them said. "Tata also has a large portfolio under SEZ and is getting it denotified." The sources did not share the rental and other details of the lease deal. The NYSE-listed Ciena and TRIL did not respond to ET's emailedqueries until press time Thursday. The National Capital Region (NCR) witnessed a gross leasing volume of 3.01 million sq ft in the April-June quarter, similar to the volume recorded in the previous quarter but a 16% dip from the year-ago period, according to Cushman & Wakefield. Source : The Economic Time INDIA

Haryana Government Temporarily Pauses Fourth-Floor Policy; Next Hearing on September 3

8/23/2024 12:57:00 PM

GURUGRAM: The Punjab and Haryana High Court has rescheduled the next hearing on the stilt-plus-four (S+4) floors policy for Sept 3. The latest hearing took place on Thursday, when the department of town and country planning informed the bench of Justices Arun Palli and Vikram Agarwal that the govt has put the policy on hold. On July 2, Haryana decided to allow construction of four floors, a move that raised significant concerns over the city's infrastructure. Gurgaon Citizens Council (GCC), a residents' group, approached the high court challenging the policy. During the previous hearing, Haryana additional advocate general Ankur Mittal assured the court that the policy would be put on hold. The court had then set a deadline of Aug 22 (Thursday) for the state to submit its reply. When DTCP submitted its response on Thursday, the court announced the policy hold would be extended until the next hearing. The delay is intended to provide the court with ample time to review the state's submission and consider the implications of the four-floor construction policy. The govt had given its nod to build stilt-plus- four (S+4) floors on residential plots after suspending all new plan approvals for more than a year and a half. The approval for such buildings was halted on Feb 23, 2023 after residents of licensed colonies demanded a ban on construction of the fourth floor, citing burden on the existing infrastructure and civic amenities. Several builders, including private entities, have sought to become parties in the case, filing applications with the high court. However, the court has yet to issue notices on these applications. Senior advocate Nivedita Sharma, representing the GCC, argued against the involvement of the builders, emphasising that their participation is unwarranted. Sharma also cited a Supreme Court order in a similar case from Chandigarh, which stated that no urban planning can proceed without a thorough environmental impact assessment. She argued that such an assessment is crucial in the current case, given the potential impact of the four-floor construction policy on the city's already strained infrastructure. Baljeet Rathi, vice president of GCC, voiced strong opposition to the reimplementation of the four-floor scheme without necessary infrastructure upgrades. Rathi warned that such a move would further deteriorate the city's basic facilities, including drinking water supply, sewage, and drainage, which are already under strain. He emphasized that the govt's previous implementation of the four-floor policy, without addressing these infrastructure issues, has led to significant damage to the city's urban fabric. Source : The Economic Time INDIA

Haryana RERA Take Action, Ensures Accountability in 1000 Trees Housing Project

8/22/2024 12:37:00 PM

Gurugram, Aug 21 (PTI) The Haryana Real Estate Regulatory Authority (HRERA) of Gurugram has imposed a Rs 1.5 crore penalty on city-based real estate promoter M/s 1000 Trees Housing Pvt Ltd for not registering its project even after 12 years of obtaining the relevant licence. The penalty was imposed after scrutiny of the application of the promoter seeking registration of the project to complete construction and hand over units to homebuyers. As per rules, after obtaining licence from the competent authority, it is mandatory for a promoter to register its project with HRERA before creating third party rights and advertisements, a statement said. The authority, however, has approved the project in principle subject to payment of late fees and the penalty, it said. "A penalty of Rs 1.5 crore is also imposed under Section 59 of the Act for non-registration of the ongoing project," said the HRERA order. Source : The Economic Time INDIA

Keystone Realtors Invest Rs 900 Crore in Residential Project in FY25

8/22/2024 12:36:00 PM

New Delhi: Keystone Realtors will step up investment on construction of residential projects this fiscal to Rs 800-900 crore as part of its strategy to ramp up execution capabilities. Keystone Realtors, which sells its properties under the Rustomjee brand, is one of the leading real estate developers in the country with a significant presence in the Mumbai Metropolitan Region (MMR). In an interview with PTI, the company's CMD Boman Irani, who is also president of realtors' apex body CREDAI, said the company would invest a lot in construction and land purchases this fiscal to grow its business. "We will be investing around Rs 800-900 crore on pure construction during this fiscal. We invested around Rs 400 crore in the last financial year," he said. Irani said the company has a surplus liquidity of around Rs 3,000 crore to make investments for growth. "We raised Rs 800 crore from Qualified institutional placement (QIP) plus our internal cash flow," he said. Irani noted that the demand in the housing market continues to be strong. Hence, the company has set a target of 32 per cent growth in its sales bookings this fiscal to Rs 3,000 crore. "We will hopefully cross that number," he added. Already, the company has achieved pre-sales of Rs 611 crore in the first quarter of this fiscal, up 22 per cent from Rs 502 crore in the year-ago period. During the entire 2023-24, the company sold properties worth Rs 2,266 crore. Earlier this month, Keystone Realtors reported a 45 per cent decline in its consolidated net profit at Rs 25.82 crore for the June quarter of this fiscal on higher expenses. The company had posted a net profit of Rs 46.97 crore for the year-ago period. Total income increased to Rs 437.20 crore during the April-June period of this fiscal from Rs 282.82 crore in the corresponding period of the previous year. Total expenses, including construction spend, surged to Rs 398.16 crore from Rs 216.54 crore during the period under review. In June quarter, the company launched two new projects with an estimated GDV (gross development value) of Rs 2,017 crore as per its guidance of launching two projects per quarter. The company acquired one more project in the first quarter with an estimated GDV of Rs 984 crore. Keystone Realtors has 34 completed projects, 15 ongoing projects and 27 forthcoming projects. So far, the company has delivered 25+ million square feet of construction area, with a pipeline of 43+ million square feet of construction area in the works. Source : The Economic Time INDIA

Developers See Opportunity to Collaborate with Quality Contractors Amid Housing Boom

8/22/2024 12:34:00 PM

Real estate developers are finding it tough to get the right contractor for construction to ensure quality and timely delivery as the number of launches has doubled to approximately 1.25 lakh housing units across top seven cities every quarter from 60,000 before the Covid-19 pandemic. Many developers are boosting in-house capabilities while some are getting global contractors to ensure there is no delay in project delivery, industry insiders told ET. Some are also engaging construction tech companies. TARC Ltd recently appointed Abu Dhabi- headquartered Arabian Construction Company as the principal contractor for its luxury residential project TARC Kailasa in Central West Delhi and the upcoming TARC 63A in Gurgaon, while Trehan Iris said it is boosting in-house construction capabilities and partnering with global contractors. “It has indeed become challenging for developers to get the right contractors for their new projects. The fact that there are numerous government infrastructure projects underway doesn’t help,” said Anuj Puri, chairman of real estate services provider Anarock Group. “Moreover, construction technology has also progressed rapidly. This poses another challenge in getting contractors who can build quality projects using the latest technology within stipulated timeframes,” he added. According to Anarock data, 2.36 lakh housing units were launched in the top seven cities in 2019, which dipped to 1.27 lakh in 2020 largely due to Covid and increased again to 2.36 lakh in 2021. The number rose to 3.57 lakh in 2022 and reached a record high of 4.45 lakh units in 2023. This year, it is expected to breach the 5-lakh mark. Industry body Confederation of Real Estate Developers Associations of India (Credai) said appropriately skilling workers and developing a regulatory framework for them is the key to improve quality and speed of construction. “India is a labour-intensive country, and the long-term solution lies only in skilling the labour and not availing services of foreign contractors as the latter, at best, could be a temporary measure and not the long-term answer to skill shortage,” said Manoj Gaur, president of Credai-NCR and chairman and managing director of Gaurs Group. Construction industry is the largest employer of unskilled labourers in the country. “Many developers are now beefing up their in-house teams to have more control over projects,” said Shivkumar Borade, founder and managing director of construction tech startup Mytek Innovations. “This move allows them to maintain high standards and greater control over project execution, ensuring that sustainability goals are met without relying solely on external partners.” A platform for contract manufacturing and projects, Mytek plans to raise $10 million from investors to triple its order book by FY25. Ishaan Singh, director at Gurgaon-based real estate developer AIPL, said securing the right contractor has become increasingly challenging amid a surge in launches. “Builders are now more than ever focused on ensuring quality and timely delivery. It is crucial that the management is closely involved at every stage of the construction process to prevent delays and maintain the highest standards of quality,” he said. Amar Sarin, managing director and CEO of TARC Ltd, said Arabian Construction Company with 50 years of experience is known for high quality developments and specialises in construction of high-rise buildings. “We want to bring the best consultants and engineers for our customers to deliver nothing less than the best,” he said. Pralayesh Guha, VP – project at Trehan Iris, said, “By prioritizing collaboration and transparency with our construction partners, we aim to set new benchmarks for quality and efficiency in the industry. Source : The Economic Time INDIA

DLF Takes Legal Action Against Ex-CFO For 311 Crore Blackmail, Extortion

8/21/2024 12:20:00 PM

NEW DELHI: DLF has filed an FIR against its former CFO and MD of rental arm, Ramesh Sanka, accusing him of blackmailing the company to agree to his terms on a deal to extort ₹311 crore, and threatening to misuse and leak confidential data allegedly stolen during his decade-long association with the country's biggest property company. According to the FIR filed at a Gurgaon police station, DLF has alleged that Sanka is threatening to cause financial loss and also to defame and malign the reputation of the company. Sanka was in DLF's employment from June 2004 until July 2014. "We have filed a complaint with Gurugram police, based on which the police have registered a FIR. Contents of the FIR are self explanatory, and we have no further comment to offer at this stage," a DLF spokesperson said. Source : The Economic Time INDIA

Safety First: Gurugram’s Chintels Paradiso Tower C Declared Unsafe

8/21/2024 12:19:00 PM

A structural audit of the Chintels Paradiso condominium at Gurugram Sector 109 has deemed a seventh tower in the complex — Tower C — to be unsafe, and has recommended that it be demolished, people aware of the development said on Tuesday. The audit, undertaken by experts from the Central Building Research Institute (CBRI), was commissioned by the developer, the people said, adding that the final report, dated August 16, has now been sent to a district committee comprising officials from the Haryana department of town and country planning (DTCP) as well as the Gurugram administration. The builder said that they got the report from CBRI on August 16, and sent it to the committee. “We have got the structural audit report from CBRI which has found that Tower C is unsafe. We have submitted the audit report to the district administration for further action. We will offer flat owners the option of taking compensation or reconstruction as it has been offered to owners of other six towers, which are being demolished,” said JN Yadav, vice president, Chintels India Ltd. On February 10, 2022, renovations at a sixth-floor flat of Tower D in the society led to the ceiling of a bedroom collapsing, causing a cascade effect in which portions of flats caved in all the way down to the first floor. Following the incident, in which two residents were killed, DTCP ordered a structural audit of the entire complex. Based on a report prepared by IIT-Delhi, the administration deemed five of the nine towers in the complex — D, E, F, G, and H — unsafe, and in need of demolition. Later, on January 5 this year, Tower J was also declared unsafe. In the fresh audit, CBRI experts observed that a visual investigation study of Tower C revealed that it is “suffering from corrosion”. “In light of the high deterioration of reinforcements due to the presence of chlorides, most of the structural elements are failing to pass the structural stability (carried out considering the present strength and reinforcement area), conforming to the Indian standards considering earthquake zone IV. Therefore, it can be concluded that Tower C is not safe in its present condition,” the report said. “In view of the high chloride content in the structure and owing to the large number of failures of structural elements considering corrosion, the safe demolition of Tower C is advisable. It is recommended to consider reconstruction for the heavily damaged buildings since the cost of retrofitting would exceed 50 percent of the original construction cost,” it added. HT has seen a copy of the audit. The Chintels Paradiso RWA, meanwhile, said that the developer should first share the reconstruction plan with home owners before getting the tower vacated. “Tower C has 64 flats, and these owners must be first given a proper plan for reconstruction. Offer of rent should be made along with shifting charges. Also, we want to know why the report of Tower A and B has not come while the testing of these towers was carried out before Tower C,” said Chintels Paradiso RWA president Rakesh Hooda. When asked about the matter, Gurugram district commissioner Nishant Kumar Yadav said, “We will get it examined.” Source : The Hindustan Time INDIA

Noida Authority to Reclaim 13 Acres from Unitech for Future Projects

8/21/2024 12:17:00 PM

NOIDA: The Noida Authority is planning to reclaim 13 acres of a 24-acre area in Sector 144 that was allotted to the Unitech Group for residential projects in 2011, but no work was initiated on it in all these years. Officials said on Tuesday that this plot is not part of an ongoing Supreme Court case over unfinished projects of Unitech, so the Authority can cancel its allotment. "The Authority took a decision to reclaim the land in its last board meeting. But it will seek SC's approval before taking possession of this land," an official said. Allotted a 1 lakh sqm land parcel in Sector 144 in March 2011, Unitech took over possession of this area only in 2015. The same year, the realtor requested division of the parcel and subsequently sub-leased 11 acres to Gulshan Group, which carried out two housing projects on this section. The remaining 13 acres of land has been vacant since, and Unitech had accrued dues of Rs 392.8 crore as of April 2024. According to the lease deed, the developer was supposed to complete projects on the Sector 144 plot by July 2022. "As no projects were launched, there are no homebuyers associated with this land," the official said. The lack of development in the Sector 144 plots is attributed to a Supreme Court case that was filed in 2016 over Unitech's unfinished projects and the subsequent arrest of the developer's former promoters. SC, in 2019, dissolved the Unitech management and appointed a govt-approved group of directors to complete the realtor's unfinished projects. The new management took charge in 2020. The two plots of 13 acres are not mentioned in Supreme Court's April 2024 order, which had directed the Noida Authority to approve the layouts for Unitech projects where homebuyers had been allotted flats. Around 5,500 homebuyers have been waiting for possession of their flats and villas in Unitech projects across sectors 96, 97, 98, 113 and 117. On Noida Authority's stand to reclaim vacant land parcels allotted to Unitech, SC said a decision on it will be taken later. Unitech had proposed constructing new towers and plotted houses in vacant areas to generate capital and resources to complete its unfinished projects, but the Authority had opposed it. Source : The Economic Time INDIA

Chandigarh : UTMA to Meet on September 2 to Discuss Tricity Metro Project

8/20/2024 12:30:00 PM

CHANDIGARH: In a move that is expected to speed up implementation of the much-awaited Tricity Metro project in Chandigarh, Panchkula and Mohali, UT administration will hold its first Unified Metropolitan Transport Authority (UMTA) meeting under the chairmanship of newly-appointed UT administrator and Punjab governor Gulab Chand Kataria on September 2. Detailed agenda for the meeting includes the Alternative Analysis Report (AAR) prepared by Rail India Technical and Economic Service (RITES). Notice of the meeting, along with schedule and agenda, has been sent to all members of UMTA, mainly state governments of Punjab, Haryana and Himachal Pradesh. Crucial agenda items expected to be deliberated upon in the meeting are confirmation of land for depots in areas of Chandigarh, Panchkula and Mohali, consent for topographical survey along areas of the Vidhan Sabha in the Capitol Complex, approval of the underground corridors of an approximate length of 16.5 kilometres on decided routes, Greater Mohali Area Development Authority (GMADA) not sharing required utility data and approval of modified MRTS corridors, extending from the previous around 79.5 kilometres to 85.65 kilometres due to modifications as per technical requirements. “Since decisions on key agendas or subjects and detailed report of the AAR fall under the domain of UMTA, the meeting is crucial to increase the pace of the Tricity metro project in the days to come. Several aspects of the project, including financial, infrastructure and consultation, have to be discussed with the Ministry of Housing and Urban Affairs (MoHUA) of the central government but before that, UMTA’s decisions and unanimity of the three key stakeholders — Chandigarh administration, Haryana and Punjab governments are very important,” sources said. One of the most important parts of the over 150-page Alternative Analysis Report (AAR) report is increase of the length of the Metro corridor from 79.50 kilometres to 85.65 kilometres. “The around 6.15 kilometre extension of length has been made on two routes of the project, from Zirkpur bus stand to Panchkula and from Sukhna Lake to Sector 43 ISBT. Alignment of the route and practical viability of the space has been kept in mind while making the extension. After extensions on both routes, Chandigarh will have 40.235 kilometre route in its jurisdiction within the city, while the area of Mohali district, comprising Mohali and New Chandigarh, will have 31.750 kilometres. The route in Panchkula district of Haryana will be 13.665 kilometre long. Details of each area and its jurisdiction have been minutely specified in the Alternative Analysis Report (AAR) report,” sources said. Source : The Economic Time INDIA

Smartworks Coworking Spaces Reports Lesion of 50 Crore in FY24

8/20/2024 12:29:00 PM

IPO-bound Smartworks’ net loss narrowed 51% to INR 49.8 Cr in the financial year 2023-24 (FY24) from INR 101.02 Cr in the previous year on the back of a strong business growth. The startup, which recently filed its draft red herring prospectus (DRHP) for its IPO, saw its revenue from operations cross the INR 1,000 Cr mark during the year under review. Smartworks’ operating revenue zoomed 46% to INR 1,039.4 Cr in FY24 from INR 711.4 Cr in the previous fiscal year. Founded in 2016 by Neetish Sarda and Harsh Binani, Smartworks is a shared workspace provider that offers customisable coworking solutions for enterprises. At INR 997.1 Cr, the startup earned 96% of its revenue from lease rentals. This was an increase of 45% from INR 687.5 Cr it earned from lease rentals in FY23. Besides, it earned INR 42 Cr revenue from ancillary services in the last fiscal year. Including other income, total income stood at INR 1,113.1 Cr in FY24 as against INR 744.1 Cr in the previous fiscal year. Source : The Economic Time INDIA

Sebi New Guidelines For Market Borrowing By Category I , II AIF’s

8/20/2024 12:22:00 PM

Capital markets regulator Sebi on Monday came out with guidelines for borrowing by Category I and Category II alternative investment funds (AIFs), along with the maximum permissible limit for extension of tenure by Large Value Fund for Accredited Investors (LVFs). Under the rule, Category I and II AIFs are not allowed to borrow or use leverage for investments, except in limited cases for temporary needs. These AIFs are allowed to borrow funds to address temporary funding needs or manage day-to-day operational expenses, with specific limitations. Such borrowing is permitted for up to 30 days, can occur no more than four times in a calendar year, and must not exceed 10 per cent of the investable funds. To facilitate ease of doing business and provide operational flexibility, Sebi has allowed Category I and Category II AIFs to borrow for the purpose of meeting temporary shortfall in amount called from investors for making investments in investee companies ('drawdown amount'), according to a circular. On conditions for borrowing, Sebi said borrowing must be disclosed in the Private Placement Memorandum (PPM) of the scheme. Borrowing is only allowed in emergencies as a last resort. The borrowed amount cannot exceed the lower of 20 per cent of the investment, 10 per cent of the fund's investable assets, or the pending commitments from other investors. Sebi said only the investors who failed to provide their drawdown amounts will bear the borrowing costs. Borrowing cannot be used to give different drawdown timelines to investors and details of borrowing and repayment must be disclosed to all investors regularly. AIFs must wait 30 days between two borrowing periods, calculated from the repayment date of the previous borrowing. On extension of tenure for LVFs, Sebi said it can be done by up to five years with the approval of two-thirds of unit holders. LVFs with no disclosed extension period or an extension period beyond five years must align with the five-year limit by November 18. They can revise their original tenure if all investors agree, and they must submit an undertaking to Sebi confirming this by November 18. They must update their extension details in the quarterly report for the quarter ending December 31, 2024. New modalities for Venture Capital Fund to migrate to AIF rules Sebi has also outlined the process and conditions for Venture Capital Funds (VCFs) for migrating to the Alternative Investment Funds (AIF) rules. The regulator, in July, permitted VCFs registered before the introduction of AIF regulations to transition to the current regulations by becoming migrated venture capital funds. In its circular, the Securities and Exchange Board of India (Sebi) said that VCFs can now choose to migrate to AIF Regulations to handle unliquidated investments after their scheme tenure ends. This option is available until July 19, 2025. A 'Migrated VCF' is a VCF that transitions to become a sub-category of VCF under Category I - Alternative Investment Fund as per the AIF norms. On application requirements, Sebi said that VCFs wishing to migrate must submit their original registration certificate and specific information as outlined by the regulator. With regards to the conditions for VCFs with active schemes, Sebi said that if the liquidation period hasn't expired, they can migrate, with the scheme's tenure continuing as originally disclosed or determined with investor approval. If the liquidation period has expired, they must not have any unresolved investor complaints and will get an extra year (until July 19, 2025) to liquidate. On post-migration considerations, Sebi said that after migration, existing investors, investments, and units will be transferred under the AIF Regulations without change. With regards to VCFs not opting for migration, Sebi said that VCFs with active schemes will face stricter reporting requirements and VCFs with expired schemes may face regulatory action. "Scheme(s) of VCFs, whose liquidation period (in terms of Regulation 24(2) of VCF Regulations) has not expired, shall be subject to enhanced regulatory reporting... in line with the regulatory reporting applicable to AIFs under AIF Regulations," said the Sebi circular. It further said that "VCFs having at least one scheme whose liquidation period (in terms of Regulation 24(2) of VCF Regulations) has expired shall be subject to appropriate regulatory action for continuing beyond the expiry of their original liquidation period." VCFs that have wound up all schemes or haven't made any new investments would be required to surrender their registration by March 31, 2025, Sebi said. Source : The Economic Time INDIA

700 km of New Metro Lines Operational in a Decade: A Boost to Urban Connectivity

8/19/2024 10:32:00 AM

In the past decade, India's urban infrastructure has seen a transformative shift with the successful operation of approximately 700 kilometers of new metro lines across various cities. This development, as announced by the Housing Minister, reflects the government's commitment to enhancing urban mobility and creating efficient public transportation networks. The expansion of metro services has significantly eased daily commuting for millions of residents, providing them with a faster, more reliable, and eco-friendly mode of transport. The introduction of these new metro lines has also played a crucial role in reducing traffic congestion in major urban centers, contributing to lower pollution levels and a cleaner environment. By offering an alternative to road transport, metros have helped in managing the burgeoning urban population’s demand for sustainable transit solutions. Looking ahead, the government remains dedicated to further extending the metro network, with plans to cover more cities and expand existing lines. This initiative is a key part of the broader urban development strategy aimed at improving the quality of life for city dwellers and supporting economic growth through better connectivity. Source: Economic Times Realty India

Delhi Jal Board’s Effort to Enhance Rainwater Harvesting

8/19/2024 10:30:00 AM

The Delhi Jal Board (DJB) has initiated a comprehensive assessment of approximately 7,000 rainwater harvesting systems across the city. This effort is part of DJB's broader strategy to enhance water conservation and ensure the efficient utilization of water resources in Delhi. By reviewing the existing systems, the board aims to identify areas for improvement and ensure that these structures are functioning optimally to recharge groundwater and reduce the dependency on external water sources. Rainwater harvesting is a critical component of Delhi's water management plan, especially in the context of the city's growing population and the increasing strain on its water supply. The assessment will help in addressing any operational challenges and promote the adoption of best practices in water conservation. The Delhi Jal Board's proactive approach underscores the importance of sustainable water management and its role in building a resilient urban environment. Source: Economic Times Realty India

India’s Leadership in Green-Certified Office Spaces

8/19/2024 10:29:00 AM

India is emerging as a global leader in sustainable real estate, with over two-thirds of its Grade-A office stock now green-certified, according to a report by Colliers. This significant achievement highlights the country’s commitment to environmental responsibility and energy efficiency in the commercial real estate sector. Green certification is a testament to the growing emphasis on eco-friendly practices, such as energy conservation, waste management, and the use of sustainable materials in building construction. The adoption of green-certified buildings is not only contributing to a reduction in carbon footprints but also enhancing the overall well-being of occupants through improved indoor air quality and natural lighting. As businesses and investors increasingly prioritize sustainability, the demand for such environmentally friendly office spaces is expected to rise further, driving the growth of green real estate in India. Source: Economic Times Realty India

Omaxe's Growth Strategy: Overcoming Q1 Challenges

8/19/2024 10:28:00 AM

Omaxe Limited, one of India’s prominent real estate developers, reported a net loss of ₹147.44 crore in the first quarter of FY25, marking a significant widening from previous figures. This decline reflects the ongoing challenges faced by the real estate sector, including fluctuating market conditions and rising costs. Despite the setback, Omaxe remains focused on its long- term growth strategy, with plans to streamline operations, enhance project delivery, and explore new opportunities in the market. The company is determined to overcome these financial hurdles by leveraging its existing assets and adapting to the evolving demands of the real estate industry. Omaxe’s leadership is confident that with strategic adjustments and a renewed focus on key projects, the company can navigate through the current difficulties and return to profitability in the upcoming quarters. Source: Economic Times Realty India

Transparent Realty Transactions: Punjab & Haryana HC's Software Initiative

8/19/2024 10:26:00 AM

The Punjab and Haryana High Court has raised concerns about the prevalence of sham realty transactions and questioned whether any software or technological tools exist to detect such fraudulent activities. The court emphasized the need for robust measures to ensure transparency and accountability in real estate dealings, particularly in light of the increasing number of dubious transactions that undermine the integrity of the property market. The court’s inquiry is a step towards enhancing regulatory oversight in the real estate sector, encouraging the adoption of advanced technology to monitor and verify transactions. This move is expected to safeguard the interests of genuine buyers and sellers while maintaining the credibility of the real estate market in the region. Source: Economic Times Realty India

Signature Global Plans New Housing Projects in Delhi and Noida

8/16/2024 10:51:00 AM

Signature Global, a leading name in the real estate industry, is set to expand its presence by launching new housing projects in Delhi and Noida. These projects align with the company’s vision to provide affordable and quality homes in prime locations. The strategic expansion into Delhi and Noida highlights Signature Global's commitment to catering to the growing demand for residential properties in these regions. With a focus on modern amenities and sustainable development, these new projects are poised to attract homebuyers looking for value- driven investments. Source: ET Realty India

Kalpataru Files Draft IPO Papers with SEBI to Raise ₹1,590 Crore

8/16/2024 10:48:00 AM

Kalpataru, a prominent name in the real estate sector, has taken a significant step towards expansion by filing draft IPO papers with SEBI. The company aims to raise ₹1,590 crore through this Initial Public Offering (IPO), which will further strengthen its position in the real estate market. The funds raised are expected to be used for ongoing and future real estate projects, as well as for general corporate purposes. Kalpataru's move is seen as a strategic initiative to fuel its growth and reinforce its market presence. Source: ET Realty India

Valor Estate and L&T Realty Team Up with Lodha Group to Develop 5.7 Million Sq Ft

8/16/2024 10:41:00 AM

Valor Estate Limited, previously known as DB Realty Limited, has announced a landmark development project in partnership with industry giants L&T Realty and Lodha Group. This collaboration will see the development of approximately 5.7 million square feet of carpet area, reinforcing Valor Estate's commitment to expanding its real estate portfolio. The project is expected to generate an impressive revenue of ₹6,000 crores, marking a significant financial milestone for the company. Valor Estate, a leading real estate developer based in Mumbai, has a well-established reputation for delivering high-quality projects. The company's current land bank spans 600 acres, with plans to acquire additional land to support future developments. Beyond real estate, Valor Estate is also making strides in the hospitality sector through a 50:50 joint venture with Prestige Estate, which will result in a 779-key hotel-cum-commercial complex in Aerocity, Delhi. With a robust pipeline of 13 million square feet of residential projects, this new collaboration with L&T Realty and Lodha Group positions Valor Estate for substantial growth and solidifies its standing as a key player in the real estate market. Source: ET Realty India

Cautious Optimism Surrounds Real Estate Growth: Developers & Financial Institutions Eye Steady Progress Photo

8/15/2024 9:40:00 AM

The real estate sector remains cautiously optimistic as developers, investors, and financial institutions look forward to growth over the next six months. According to the 41st edition of the Knight Frank – NAREDCO Real Estate Sentiment Index Q2 2024 report, both current and future sentiment scores have shown a slight decline but continue to reflect a positive outlook for the sector. The current sentiment index score has moderated to 65, down from the all-time high of 72 recorded in Q1 2024, while the future sentiment score also decreased from 73 to 65. These scores indicate a more tempered view on real estate growth, largely influenced by election and budget speculations. Despite these concerns, stakeholders maintain a firm belief in the sector's long-term potential, underlining the sector's resilience and adaptability in the face of challenges. Key Highlights: Current Sentiment Index: Moderated to 65 from 72 (Q1 2024) Future Sentiment Score: Declined to 65 from 73 Outlook: Positive but tempered by upcoming elections and budget considerations Conclusion: While the real estate sector continues to display robust growth, stakeholders are adopting a cautious approach given the uncertainties surrounding the political and economic climate. This cautious optimism reflects a strong belief in the sector’s potential, with steady progress anticipated in the coming months. Source: HT Real Estate News, Knight Frank – NAREDCO Real Estate Sentiment Index Q2 2024 Report. India

NBCC (India) Reports 38.47% Increase in Net Profit for Q1 FY25

8/14/2024 11:28:00 AM

New Delhi, August 14, 2024: NBCC (India) has announced a significant 38.47% increase in net profit for the first quarter of FY25. This impressive growth reflects the company’s strong performance and effective management strategies during the period. The surge in net profit underscores NBCC’s continued success in its core business areas, including project execution and real estate development. The company’s robust financial results highlight its capacity to deliver value and maintain a solid market position despite the challenges faced by the sector. This positive financial outcome is attributed to successful project completions, effective cost management, and strategic business initiatives. NBCC’s commitment to excellence and efficiency is evident in its ability to achieve substantial profit growth and deliver strong financial results. The company’s performance in Q1 FY25 sets a positive tone for the rest of the fiscal year, reinforcing confidence in its future prospects and strategic direction. NBCC remains focused on leveraging its strengths and expanding its market presence to sustain growth and achieve long-term success. Source: Economic Times Realty India

Three Entities Resolve Insider Trading Charges with SEBI in PNB Housing Finance Case

8/14/2024 11:25:00 AM

Mumbai, August 14, 2024: In a significant development, three entities have reached a settlement with the Securities and Exchange Board of India (SEBI) regarding insider trading charges related to PNB Housing Finance. This resolution marks a key step in addressing market integrity issues and demonstrates SEBI’s dedication to upholding transparency and fair practices in the financial sector. The settlement follows an investigation into alleged insider trading activities involving PNB Housing Finance. By resolving these charges, the entities involved have acknowledged the importance of adhering to regulatory standards and have taken steps to rectify their actions. SEBI’s decisive action in this case highlights its ongoing commitment to enforcing securities laws and maintaining a fair trading environment. The settlement also serves as a reminder of the regulatory body’s proactive approach in tackling violations and ensuring that market practices remain transparent and equitable. The resolution of this case is expected to reinforce confidence in the regulatory framework and contribute to a more robust and trustworthy financial market. SEBI continues to monitor and address potential breaches, ensuring that the interests of investors and the integrity of the market are safeguarded. Source: Economic Times Realty India

Omaxe Reports Net Loss of Rs 146.98 Crore in Q1 FY25: Strategic Adjustments Ahead

8/14/2024 11:22:00 AM

New Delhi, August 14, 2024: Omaxe Limited has announced a net loss of Rs 146.98 crore for the first quarter of FY25, reflecting the ongoing challenges in the real estate sector. Despite the financial setback, the company is poised to make strategic adjustments to address these issues and improve its performance moving forward. The loss reported is attributed to various factors including market conditions and operational costs. However, Omaxe is focusing on implementing measures to enhance efficiency and optimize its portfolio. The company is committed to navigating these challenges with a proactive approach and is confident in its long-term growth prospects. This period of adjustment is seen as an opportunity for Omaxe to refine its strategies and strengthen its market position. The company's leadership is optimistic about the future and is dedicated to turning the current situation into a stepping stone for future success. Omaxe’s ongoing projects and strategic initiatives are expected to drive positive outcomes in the upcoming quarters, reinforcing the company's commitment to delivering value to stakeholders and maintaining its position in the competitive real estate market. Source: Economic Times Realty India