Saturday 12 January 2013

THANE IN FOCUS

THANE IN FOCUS

MCHI-CREDAI Thane Unit's 12th housing and real estate exhibition will be held between January 18 and 21, 2013



    MCHI-CREDAI Thane is organising its 12th Housing & Real Estate Exhibition 'PROPERTY-2013 THANE' from January 18 to 21, 2013, at Highland Gardens, Dhokali, Near Big Bazaar in Thane West. The event will host an assortment of property options from leading builders across Thane, andperipheral locations. It will showcase properties in various segments, including affordable housing, residential property, commercial property and second homes/ plots.
    The theme this year is: ‘Fall in Love with Thane’. The exhibition will have an entry fee of Rs 25 per person. Times Property is the exclusive media partner for the event.

    Earlier a small suburb near Mumbai, Thane has now grown and created its own, independent identity. It has also created a niche in terms of living standards that are on par with residential real estate options and the lifestyles offered in other suburbs.
    In the last decade, Thane has emerged as a lifestyle residential hotspot for home seekers in the Mumbai Metropolitan Region (MMR). "Being among the 20 largest cities in India, Thane is a self-sufficient residential locale in every way - with the additional advantage of its geographical location, being on the
periphery of Mumbai," says Shailesh Puranik, President, MCHI-CREDAI Thane.
    Suraj Parmar, MD, Cosmos Group says, "Wide roads, flyovers, well-maintained water pipelines, periodically checked storm drainage systems and
active participation of citizens in major development plans of the Municipal Corporation are some of the reasons for the city's growth."
    “Thane is a cosmopolitan city in the true sense,” says Jitendra Mehta, Hon. Secretary, MCHI-CREDAI Thane.
    This year's expo will give importance to technology. PROPERTY-2013 THANE is being held after a gap of a year, and to make up for the one year's 'absence' MCHI-CREDAI Thane are going all out in the digital space, with an innovative Q.R. code campaign which will be based on the concept, 'EVOLVING THANE'. Munish Doshi, Treasurer, MCHI-CREDAI Thane says,"Q.R. code stand will be placed all around the city. This innovative campaign will also be focused on the online medium via YouTube. On ground activities like a Q.R. code wall where all the information of the participants at the expo will be
accessible just on one wall."
    Founder and former President of MCHI-CREDAI Thane Mukesh Savla says, “Amidst this lifestyle-plus city, there is a home that suits almost every home seeker's requirements - and this, at a price tag which is true 'value for money'.


REDUCE THE BURDEN

REDUCE THE BURDEN

While developers have been expecting a revival for the sector in 2013, they are disappointed by the hike in ready reckoner rates, say NISHA SWAMI and NISHA SHROFF

    The Maharashtra government's decision to hike ready reckoner rates from five to 30 per cent from January 1, has left many in the real estate sector disappointed, with developers pointing out that there are already too many taxes impacting the property markets, and directly affecting the home buyer. The ready reckoner rates are used to calculate the market value of a property for stamp duty and registration charges. Therefore, any escalation in them results in higher stamp duty.
    CREDAI, the apex developer body, has strongly opposed the Maharashtra government's decision to hike stamp duty and other taxes related to property. Lalit Kumar Jain, CMD, Kumar Urban Development Ltd and President National - CREDAI says, "The hike in lease rentals, property taxes, fungible premium and now hike in ready reckoner rates despite the market realities of fall in sales bear testimony to the fact that the government adopts a unilateral approach and their mindset to increase revenues by hook or crook." He also appealed to the Chief Minister, Prithviraj Chavan, to take a comprehensive approach and involve all stakeholders before the government takes decisions that impact home buyers and developers.
    Lalit Kumar Jain adds, “We as the developer community can work with the government to increase revenue by volume approach.”
    Bharat Dhuppar, Chief Marketing Officer (CMO), Omkar Realtors and Developers Pvt Ltd observes, “A hike in ready reckoner rates may dent the revival of the market which of late has shown some positive sentiments after a two-year sluggish phase. The industry expects the state to be more supportive in aiding the sector's growth which directly impacts our economy.” Dhuppar also believes that the real estate market can be expected to do well in 2013 if key policy decisions are progressive like reduction in interest rates, land acquisition bill, new housing policy and the much deserved industry status.

    A reduction of stamp duty and taxes helps to bring down overall costs and increases affordable housing. An increase in duty and taxes, which ultimately is passed on to the buyer, will reduce demand and sales, the developers say. Shailesh Puranik, Managing Director, Puranik Builders Pvt. Ltd. believes that the government should slash the taxes rather than increasing them. This would also encourage home buyers and allow maximum transparency which will lessen the tax burden. Puranik adds, “Any rise in taxes always makes an immediate impact on the common man, since it increases the burden on him. The increase in the ready reckoner rates certainly is going to make an adverse impact on the market sentiments as it is the basis to decide charges of stamp duty and registration.”
    Manju Yagnik, Vice- Chairperson, Nahar Group believes that property prices across the city could go up. She says, “The announcement about the increase in the ready reckoner rates came at a time when the market was poised for a revival, which doubled its impact with this setback. Although the increase in these rates is a purely government decision and recognising the upward trend in the realty prices across all areas, it is expected to dampen overall real estate market sentiment.” Yagnik feels that the authorities should bring down the
tax burden in order to encourage transparency in real estate deals. The government should reconsider its decision in order to provide relief to the real estate market, she states.
    Gopal Sharma, General Manager-Marketing, Gundecha, adds: “The market will be affected in two ways. Firstly, property rates will go up. This is because the fungible premium which the developer will have to pay for additional FSI provided by the Municipal Corporation as per the recent rule is based on ready reckoner rates, will go up. Hence the price will increase and this burden will fall on the customer.
    “Secondly the property sales which were sluggish and have started showing little improvement in the last couple of months will again go downwards because of further increase in stamp duty. Customers are paying 5 % stamp duty, 1 % registration, approx. 3.1% Service Tax, and 1 % VAT totaling to more than 10% on the property cost. This is high and an added increase in ready reckoner rates is bound to affect sales.”
    Advocate Vinod Sampat, President, Cooperative Society Residents Users and Welfare Association says, “Stamp duty is the second highest
source of revenue for the government. Every year on January 1, they publish the rates and one has to pay stamp duty on agreement value or market value, whichever is higher. There is no proper system between a multi-storeyed building and a small building of three floors. As a result, small buildings are penalised as rates are very high.”

QUICK BYTE
    THE REAL ESTATE MARKET CAN BE EXPECTED TO DO WELL IN 2013 IF KEY POLICY DECISIONS ARE PROGRESSIVE AND AID THE SECTOR’S GROWTH


Navi Mumbai CALLING

Navi Mumbai CALLING

Pay a visit to the ongoing 13th mega property exhibition organised by the Builders Association of Navi Mumbai



    One of the biggest exhibitions in Navi Mumbai is back with a bang. Organised by the Builders Association of Navi Mumbai (BANM), the 13th Mega Property Exhibition has a range of properties on show, catering to buyers from all the segments.
    The exhibition that kicked off from January 11, 2013 will continue till January 14, 2013. Held at the sprawling ground at plot no. 19, sector 19, off Palm Beach road, Sanpada in Navi Mumbai, the venue is chosen taking into consideration the ease of accessibility for buyers from both Mumbai and Navi Mumbai.
    With more than 125 exhibitors offering their portfolio of properties, the exhibition has over 185 stalls and presence of over 11 banks and financial institutions.
    One of the key objectives of the exhibition is to showcase 'brand Navi Mumbai' to the homebuyers from Mumbai. Haresh Chheda, Media Incharge and Managing Committee member, BANM says, "Our aim is to promote Navi Mumbai as a brand to the buyers in Mumbai city. Through this exhibition we want to endorse Navi Mumbai as a suitable alternative."
    From affordable, semi-luxury to ultra-luxury projects, the exhibition has a mix of properties under one roof. Properties start at Rs 10-12 lakh up to Rs five crore and upwards. There are properties on offer from Panvel, Ulwe, Dronagiri, Taloja, Karanjade, Badlapur, Karjat, Pen, Khopoli,
Alibag, Pune and Nasik.
    Some of the top developers from the region have extended their support to the exhibition. The main sponsors are Bhumiraj Group, Paradise Group, Akshar Group, Shah Group, Swaraj Group and Dhan Group (Prakash Modi). The co - sponsors are National Builders, Regency Builders,
Lakhani Builders, Vishwagreen Realty and State Bank of India.
    Chheda adds, "Developments like the new airport, the Sewri-Nhava Sheva Trans Harbour Link, the Delhi-Mumbai corridor that goes up to Alibag, the expansion of the Panvel-Sion highway and the work on Metro and Mono

rail are going to boost the connectivity. The housing supply in Navi Mumbai is ample and with rates not too high, it becomes an affordable and advantageous location. The new developments are all going to have a very positive impact on the property market in the region."
    The exhibition has special offers for buyers along with financial assistance at hand. Special entertainment events have been planned on all the three days. A children’s play area has also been provided at the venue.
    Several social issues have been supported through this exhibition. A blood donation camp has also been organised at the venue.

>> HARESH CHHEDA, MEDIA IN-CHARGE, BANM


>> MEMBERS OF THE BUILDERS ASSOCIATION OF NAVI MUMBAI (BANM)

Green up your indoors Here are some rules to maintain potted plants at home

Green up your indoors

Here are some rules to maintain potted plants at home



    Most plants that are sold over the counter are very easy to maintain. Read on...
Don’t over or under water them. Most plants don’t want to have their roots submerged in a damp swamp.
Indoor plants like a constant temperature, so keep them in an area that does not become too cold or too hot.
They don’t like draughts or any sudden moves and they like some feeding because they have no access to nutrients beyond their pot or container.
Many indoor plants will like a moist environment, in other words, humid air.
You’ll find there are indoor plants suitable for the bathroom, ones that are almost indestructible and some that are pure delights — flowering or fruiting plants that are easy to tempt into dazzling displays a few times a year.
If you’re growing a foliage species that is cleaned and pampered by a rainy climate, you can mimic that situation by a simple applied mist.
For wonderful impact in a bright and sunny room, try something with flowers or berries.
Oh, and you can forget air fresheners — indoor plants will purify the air.

Thursday 10 January 2013

Kim, Kanye spend $11 million on Bel Air mansion

Kim, Kanye spend $11 million on Bel Air mansion


    Kim Kardashian and Kanye West have spent $11 million to buy a 10,000-square-feet pad in an uber-private, gated community in Bel Air.
According to sources, the celebrity couple, who
made the deal a few weeks ago, have already gutted the building and are designing a 14,000-square-feet dream home in its place. The new home will be an Italian-style villa with a gym, movie theatre, full-service hair and makeup salon, bowling alley, basketball court, indoor and outdoor pool. The couple’s new neighbours will include Jennifer Aniston, Chris Paul and Joe Francis. ANI

Kim Kardashian and Kanye West

Tuesday 1 January 2013

OUTLOOK FOR 2013

OUTLOOK FOR 2013

Efficiency, innovation and cutting-edge technology will be the keys to success, says SACHIN SANDHIR



    The year 2012 witnessed subdued interest in real estate due to inflationary pressures and rising interest rates, coupled with the on-going economic crisis in the Eurozone and US. GDP growth progressions for the country have been fairly narrow and revised lower continually over the last few months, with the economy expected to grow at an abysmal rate of just 5.3% - 5.5% in 2013. Additionally, disputes related to land acquisition, delays in regulatory processes and project clearances have weighed down the aggregate demand.
    Some good news for the last quarter of this fiscal year could be a boost to infrastructure spending, as the government now appears close to launching the National Investment Board. Therefore, overall sentiment for 2013 is expected to be one of cautious optimism. The Wholesale Price Index (WPI) indicates inflation in the country to have fallen to a 10-month low of 7.24% in November. Additionally, core inflation has declined to 4.49% in November as compared to 5.19% the previous month. Basis this development, some relief measures for developers and investors can be expected in the form of decline in interest rates and increased liquidity in the near future. This could help stimulate demand for real estate and lead to better economic growth prospects.
    However, outlook is likely to remain tempered in relation to growing concerns among investors that prime assets in several realty micromarkets are becoming overpriced. India hasn't really delivered since 2005 on the promise that it held as an investment destination. With 20% internal returns promised by most PE funds in 2005-07, the current rate of return is only 8-10%, less than half of what the funds aimed to achieve. Additionally, several funds are finding it extremely difficult to exit their investments. Even foreign direct investments (FDI) in real estate
between April 2009 and December 2011 have declined by a drastic 92% and accounts for only 1.94% of the total FDI inflow. Such diminished returns are prompting international investors to stay clear of the market, therefore most of the capital finding its way into the sector today is really domestic capital.
    On a positive note, the recent move by the government to open multi-brand retail to FDI will go a long way in strengthening organised retail in the country. FDI in retail will be a powerful vehicle in bringing the retail sector on the trajectory of the much needed growth. This will have a positive spill-over on real estate as well, as with multi-brand retailers entering the market, retail property will witness renewed demand and uptake along with improved investor confidence in the sector.
    As we step into the New Year, it is advisable that industry players focus on achieving operational efficiencies to improve construction productivity, delivery of projects in hand with the help of technological advances and commitment to improve delivery capabilities including upskilling of existing manpower. Therefore, efficiency, innovation and cutting-edge technology may well be the keys to success, in addition to improved project delivery and execution skills and addressing the rampant capacity constraints across the built environment.
    Also, we do hope that the issues related to the Land Acquisition and Real Estate Regulation Bills are addressed in the winter session of parliament, where clear, concise and practical reforms which work to the benefit of all stakeholders are brought to order, which in turn will help bring in much needed efficiency, transparency and accountability in the sector.
    The author is
    Managing Director,
    RICS South Asia


WHOSE RESPONSIBILITY?

WHOSE RESPONSIBILITY?

MAGICBRICKS ANSWERS READERS' QUERIES IN MUMBAI


I am planning to buy an underconstruction flat from a builder. The builder is asking me to pay the VAT and Service Tax and wants me to issue two cheques for the respective amounts in favour of the builder. The builder's firm will issue receipts to me for the same. 1) How can I be sure that he will immediately pay the amount to the government? He could keep the amount with him and use the flat till the last date possible for payment of these taxes. 2) Why can't I issue cheques in favour of the respective tax authorities and give them to the builder to deposit them with the government? 3) How can I ensure that he pays the exact amount to the government as paid by me? He may end up paying a lower amount to the government. 4) Are the builders required to deposit taxes in respect of each flat or the entire project in one lump sum? If he is supposed to pay for the entire project, he may not pay until all the buyers pay him. How will I make sure that he pays the complete amount in respect to my flat? It is the duty of the builder to pay the tax in full and in case he evades the tax then he will be liable for the same and not you. We would suggest you kindly make a clause in the agreement for the payment of tax also.
The residential property comprising six flats is 20 years old and needs urgent repairs to the building roof top. There are two flats each in the ground, first and second floor. There is an urgent need to repair the roof top since the second floor owner's house is getting damaged due to heavy water leakage due to rains. Now the issue is that all the flat owners are not ready to share the roof repair expenses. Is it not the responsibility of all the flat
owners to share the expenses for the common roof top? Is there any law that binds all the owners to meet the expenses? Repairing is the duty of the builder / promoter. If there is no such builder / promoter, then all individuals will be liable for repair. As such there is no law that binds all the owners to meet the expenses.
Seventeen acres of ancestral agricultural land is in my mother's name. My parents have passed away. Just before the expiry of my mother in 1993, myself, my brother and my mother each have onethird share in this property. All my four sisters got married before 1980 and therefore they have no share. My mother died without a will. Now what is my share in the property? Is it one-third plus one-sixth share from the share of my mother or one-sixth of the entire property? Now, the
law has changed and sisters married even before 1980
have equal share.
One-third of your shares will be intact with you and one-third share of your mother is required to be shared by all the siblings equally.
There is a plot which is in my maternal grandmother's name and she said that she allotted the plot to my mother, but she couldn't allot it while she died. Now my maternal uncle does not want that it should be in my mother's name. What can we do? And since the last 30 years we have been living there.
Since there are no written documents for the same, it will be difficult to get the same, apart from negotiation with the maternal uncle. However, you will get equal proportionate sharing on the plot as per the law of Hindu Succession Act along with your maternal uncle.