21 - 08 - 2020
TRANSCRIPT
21 - 08 - 2020
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CREDAI Bengal Daily News Update | 21.08.20
Buyers look to cut investment budget on apartments: Survey
The pandemic and subsequent impact on jobs and salaries have had a deep impact on the way
people want to buy homes. While 93% people are looking to buy a property, up from 67% in
April during the peak lockdown, three out of four people are also looking to cut their investment
budget by 10-30% in Bengaluru, as per a survey by Magicbricks.
Out of the total respondents seeking to decrease the budget, 56% were looking to reduce their
budget by more than 20%. At the same time, 32% indicated that they are trying to cut their
home buying budget by 11-20%. With prices not showing any significant downward trends,
these budget cuts may lead to demand for smaller configuration homes to reduce the overall
investment ticket size. While across all significant cities, 70%-80% of the respondents have
seen a cut in their budget, the maximum level of budget reduction is in Chennai, Hyderabad,
Delhi NCR and Mumbai.
"To accommodate the reduced investment ticket size, buyers across the country are exploring
innovative ways such as efficient designs and space-saving tools," said Sudhir Pai, Magicbricks
CEO.
Such efforts – seeking other ways to reduce price without compromising on comfort or space –
include picking smaller but space-efficient homes and intelligent furniture designs like
converting 2 rooms into 3 using partition and foldable or convertible sofas and beds. Over the
last few years, builders too have been reducing sizes of apartments – as customers are not keen
to pay a fortune for their houses.
As per the survey, about 60% of the respondents across 7 out of 8 cities said that they would
prefer to go with any developer who is offering economical options, regardless of the name or
reputation of the developer.
Avik Das, The Times of India/Magicbricks Bureau, Bengaluru
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Newspaper/Online The Times of India ( online )
Date August 20, 2020
Link https://content.magicbricks.com/property-news/buyers-look-to-cut-investment-
budget-on-apartments-survey/115489.html
Realty: Covid renews unexpected interest for senior living segment
According to Anarock Property Consultants, the top 12 senior living players currently
have just 55 ongoing or completed projects across the country.
The Covid-19 pandemic and subsequent lockdown has provided an unexpected boost for realty
companies in the senior living segment. This has emerged a growth segment in an otherwise
depressed residential segment. India will be home to 17.3 crore senior citizens by 2026 and
realty developers are looking at senior living with renewed interest.
Shashank Paranjape, MD, Paranjape Schemes, the oldest player in this segment with 2,000
homes in nine completed projects across Pune, Vadodara and Bengaluru under the Athashri
brand, said they have seen a 50% rise in demand and enquiries have increased. As of now senior
citizens are still under lockdown and advised to stay at home but he expects a spike in bookings
from September 2020 onwards. Even those who had booked and cancelled are re-booking and
those who were indecisive are now sure about making this move, said Paranjape.
Paranjape is building the largest senior citizen home along with a geriatric hospital in the
country at Pune that will be home to 1,200 families with investment of around Rs 1,000 crore.
The pandemic has made our senior citizens realise the true value of living here as everything
was taken care of during the pandemic from grocery to bank ATMs to medical help made
available at their doorstep and even a dedicated Covid Care Centre if anyone needed quarantine
or isolation, said Paranjape. He has seen an unusual flurry of mails from NRI children relieved
that their parents were living with us and being taken care during the pandemic.
There has been a fourfold increase in lead generation and three times jump in enquiries in the
last four to five months, said Mohit Nirula, CEO, Columbia Pacific Communities, which has
nine projects in India with 1,600 residential units. Every month since June, July and August we
have done double of the pre-Covid level business, said Nirula. They were seeing faster
Newspaper/Online Financial Express ( online )
Date August 21, 2020
Link https://www.financialexpress.com/industry/realty-covid-renews-unexpected-
interest-for-senior-living-segment/2061094/
conversion than before and sales has doubled, added Nirula. Part of the Seattle-based Columbia
Pacific Management, the company that has been building, managing and operating senior living
communities in the US, China, Canada and India, is expanding at a rapid pace.
Columbia Pacific has just got into a 50:50 JV with Pune-based real estate developer, Nyati
Group, for their foray into the senior living asset class.
Columbia Pacific said they will be pursuing similar JV models with other developers in the
country. Senior living is an underexplored subvertical but in the last four to five months, people
have realised the importance on external agency for day to day existence and how it is fraught
with risks .
Nyati has tied up with Columbia Pacific Communities for their first project in Pune at Nyati
County, a gated community project. This 3.64-lakh-sq ft dedicated senior living has 200 units in
one and two BHK formats from 736 to 1,331 sq ft and is priced between `50 lakh and `80 lakh
and expected to be at the start of the next fiscal year, said Pranav Nyati, director, Nyati Group.
The first project in Pune will see investments of around `150 crore and is awaiting approvals,
Nyati said. He plans to make similar projects across Maharashtra.
According to Anarock Property Consultants, the top 12 senior living players currently have just
55 ongoing or completed projects across the country.
Anuj Puri, chairman, Anarock Property, said due to the rise of nuclear families, increased life
expectancy and people living across geographies, ‘independent seniors’ are becoming a new
demography. “Such seniors do not settle for traditional old-age homes as they prefer and can
afford autonomy and the company of age peers in well-equipped retirement communities. A
recurring theme of this pandemic has been seniors living alone, struggling for basics, managing
without house help and anxious about existing and potential medical issues. The need for homes
in a setting where these factors are taken care of is now undeniable,” said Puri.
Covid-19 may reshape the future of the senior living segment in India, with demand for such
homes set to zoom amid the present uncertainties, added Puri.
The 55 projects are split between the top developers in this segment include Brigade
Enterprises, Paranjape Schemes, Tata Housing, Ashiana Housing, Max India’s Antara Senior
Living, Covai Care, Columbia Pacific Communities, Bahri Estates, Oasis Senior Living,
Aamoksh Oneighty, Ananya Shelters and Primus. Senior living facilities are designed with
senior-friendly amenities and medical support along with services for food, housekeeping and
24-hour assistance which makes them an attractive retirement home.
To safeguard the rights of seniors, according to Anarock, the ministry of social justice and
empowerment has defined models for operating and monitoring retirement homes. “With a
regulatory body for managing and developing such assets already in place, increased developer
activity, the institutionalisation of caregivers and specialised service providers are likely to be
the next steps and institutional capital will follow, said the Anarock report.
____________________________________________________________________________________
MahaRERA issues nearly 200 orders digitally in a month
“Over 342 cases were heard online and 187 orders issued during the period,” a
MahaRERA official said, adding that the office was at present working in a 100% digital
way.
The Maharashtra Real Estate Regulatory Authority (MahaRERA) has issued nearly 200 orders
after hearing cases through video conferencing from mid-July in the wake of the Covid-19
pandemic.
“Over 342 cases were heard online and 187 orders issued during the period,” a MahaRERA
official said, adding that the office was at present working in a 100% digital way.
MahaRERA secretary Vasant Prabhu said the response to the online hearing initiative was
encouraging from noth the developers and consumers. “The online process helps speed up the
process. We plan to continue with the online hearing process and encourage involvement of
maximum people to be part of it,” he said.
MahaRERA member Vijay Satbir Singh told TOI both the petitioners and respondents were
happy with the process while the lawyers were also finding it convenient, economic and less
time consuming.
“We can hear cases from across the state and anywhere in the country. We are constantly
improving our online facilities,” he said.
Singh had initiated the video conferencing hearing facility from the MahaRERA’s Pune office
for the bench in Mumbai last year. “We would like to continue with the arrangements even in
the post-coronavirus times,” he said.
Developers on their part saidif the technical glitches were ironed out, the online hearing would
be convenient for all stakeholders.
________________________________________________________________
Newspaper/Online ET Realty ( online )
Date August 21, 2020
Link https://realty.economictimes.indiatimes.com/news/technology/maharera-issues-
nearly-200-orders-digitally-in-a-month/77667603
Ahmedabad civic body mops up Rs 492 crore in property tax
The state government has announced 20% rebate for property tax under the Atma
Nirbhar package which is applicable for 4.75 lakh commercial properties in the city.
The extra 10% rebate for advance tax payers has yielded a good response and the fund
starved Ahmedabad Municipal Corporation (AMC) has been able to collect Rs 492 crore
as property tax from residential as well as commercial properties.
The AMC officials said that the corporation was the only corporation in the state to announce
10% rebate for advance tax payers for both commercial and residential properties. The state
government has announced 20% rebate for property tax under the Atma Nirbhar package which
is applicable for 4.75 lakh commercial properties in the city.
The officials said that the relaxation which was extended till August 31 and more and more
Newspaper/Online ET Realty ( online )
Date August 20, 2020
Link https://realty.economictimes.indiatimes.com/news/regulatory/ahmedabad-civic-
body-mops-up-rs-492-crore-in-property-tax/77651687
commercial property owners were paying their taxes. The officials said that against the property
tax of Rs 1,122 crore, for which bills have been raised by the AMC, a total of 44% tax has been
collected by the AMC.
The officials said that the eight municipal corporations had collected Rs 1,076 crore of which
the lion share was the collection by the AMC, followed by Surat Municipal Corporation.
The officials said that the AMC was the only corporation which had announced this rebate, and
hence the collection was very high. “Even in terms of percentage, Ahmedabad collection was
on the higher side,” said an AMC official.
The official said that against the property collection bills of R 946 crore for commercial
properties, the collection was Rs 426 crore, while for the residential properties, against the bill
of Rs 176 crore the collection was only Rs 66 crore.
________________________________________________________________
Andhra Pradesh to construct 30 lakh houses in 17,000 YSR colonies
According to an official release, the state government proposes to construct 30 lakh houses
in 17,000 YSR colonies across the state with 15 lakh houses each in two phases.
Andhra Pradesh Chief Minister YS Jagan Mohan Reddy on Wednesday inspected a model
house constructed by housing corporation at Tadepalli, Amaravati.
According to an official release, the state government proposes to construct 30 lakh houses in
17,000 YSR colonies across the state with 15 lakh houses each in two phases. As part of the
programme, the government would build 17,000 YSR Jagananna colonies across the state.
The state housing corporation has taken up the project by starting the construction of model
houses and the Chief Minister inspected the house having a living room, bedroom, kitchen,
bathroom, and a verandah.
Housing Minister Cherukuvada Sriranganatharaju, Ministers Kodali Venkateswara Rao,
Mekapati Gautam Reddy and Mangalagiri MLA Alla Ramakrishna Reddy were among those
who accompanied the Chief Minister.
________________________________________________________________
Newspaper/Online ET Realty ( online )
Date August 20, 2020
Link https://realty.economictimes.indiatimes.com/news/residential/andhra-pradesh-to-
construct-30-lakh-houses-in-17000-ysr-colonies/77651789
Centre asks Chandigarh administration to refix rates of flats under
housing scheme
UT adviser Manoj Parida said the project would not be abandoned and employees would
certainly get houses at concessional rates.
The Centre has now asked the UT administration to recalculate the rates of flats to be made for
different categories under the UT employees housing scheme 2008.
On the directions of the Punjab and Haryana high court, a meeting through videoconferencing
was held on Wednesday under the chairmanship of Union home secretary Ajay Kumar Bhalla,
UT adviser Manoj Parida, Chandigarh Housing Board (CHB) chairman Ajoy Kumar Sinha, and
representatives of petitioners in the court case of the UT employees housing scheme.
After deliberations to resolve the issue regarding rates of flats of the scheme, it was decided that
the calculation of rates be made again for different categories by applying various factors like
floor area ratio (FAR), collector rate, plot area etc. in consultation with the representatives of
petitioners of the UT employees housing scheme court case.
In the meeting, it was also decided that thereafter another meeting will be held again with the
Union home secretary for further directions in the matter.
UT adviser Manoj Parida said the project would not be abandoned and employees would
certainly get houses at concessional rates. He also thanked the local MP, Kirron Kher, for
pursuing the proposal with the home ministry continuously.
Last year, after the opposition by employees, the UT administration had decided to reconsider
high prices of flats under the UT employees’ self-finance housing scheme 2008. The employees
had also moved the Punjab and Haryana high court over the UT’s delay in handing over the
flats under the scheme to the employees.
The CHB had last year finalised a three-bedroom hall kitchen (BHK) flat for Rs 1.76 crore, Rs
1.35 crore for two BHK flat, Rs 99 lakh for one BHK flat and Rs 58.07 lakh for one BHK
(EWS) flat. The CHB, through a public notice, had asked all the successful applicants of the
scheme to give their consent within 21days for payment in five instalments with applicable
interest.
Thereafter, the employees had decided not to give consent to the high prices fixed by the CHB
Newspaper/Online ET Realty ( online )
Date August 20, 2020
Link https://realty.economictimes.indiatimes.com/news/residential/centre-asks-
chandigarh-administration-to-refix-rates-of-flats-under-housing-scheme/77652944
for the flats.
Earlier, the CHB had estimated Rs 2.08 crore for a three BHK, Rs 1.64 crore for a two BHK, Rs
1 crore for a one BHK flat and Rs 60 lakh for one BHK (EWS). As the decision was taken to
construct the flats for the UT employees on “no profit no loss” basis, the prices were calculated
to Rs 1.76 crore for three BHK, Rs 1.35 crore for two BHK, Rs 99 lakh for one BHK and Rs
58.07 lakh for one BHK (EWS).
When the scheme was announced in 2008, the rates were Rs 34.70 lakh for three BHK flat, Rs
24.30 lakh for two BHK flat, Rs 13.53 lakh for one BHK flat and Rs 5.76 lakh for one BHK
(EWS) flat. On January 2, 2019, a cabinet meeting chaired by PM Narendra Modi approved the
proposal of the housing scheme pending since 2008.
________________________________________________________________
Lucknow civic body may seize bank accounts of property tax
defaulters
According to LMC records, of 6.1 lakh properties, about 50% are tax defaulters. These
include around 19,000 commercial establishments, 324 educational institutions and 78
government buildings, while the remaining are housing units.
Going tough on tax defaulters, Lucknow Municipal Corporation (LMC) will now seize bank
accounts of property owners with dues over Rs 1 lakh.
The move comes after the civic body failed to meet the property tax collection target in
previous financial years despite offering several concessions.
According to LMC records, of 6.1 lakh properties, about 50% are tax defaulters. These include
around 19,000 commercial establishments, 324 educational institutions and 78 government
buildings, while the remaining are housing units. The civic body has not been able to achieve its
target for 12 years. As a result, total tax due on these properties is around Rs 400 crore.
LMC chief tax collection in charge Ashok Singh said, “There are many defaulters who have not
paid for years due to legal dispute. As a result, the dues mounted. Even after disputes were
resolved, there is a substantial number which is not paying. Hence, we decided to take action
against defaulters whose cases have been settled.”
LMC has been trying several measures to make people pay taxes. These include one-time
settlement scheme. It also got geographical index survey done to locate those paying
undervalued tax. The tax payment has also been made online. But the efforts did not yield the
desired results. Against the target of Rs 280 crore in 2016-17, LMC received Rs 192 crore,
which fell to Rs 178 crore in 2017-18 and Rs 174 crore in 2018-19.
________________________________________________________________
Newspaper/Online ET Realty ( online )
Date August 20, 2020
Link https://realty.economictimes.indiatimes.com/news/regulatory/lucknow-civic-body-
may-seize-bank-accounts-of-property-tax-defaulters/77651733