REAL ESTATE AT A GLANCE: ISSUE-26
Fortnightly E-Newsletter
April 2, 2015
CREDAI UPDATE:
 The Extra-Ordinary General Body
meeting of CREDAI National held on
March 24, 2015 at Radession Blue, New
Delhi. The delegates from all over the
country upheld CREDAI’s sprit of unity
and evolved a consensus over its
leadership for 2015-17. Jaxay Shah was
elected unopposed as President Elect
along with five Vice Presidents and five
Joint Secretary representing each zone.
Satish Magar, Vice President, Harsh
Patodia, Vice President, Rohit Raj Modi,
Vice President, Anurag Sharma, Vice
President, S. N. Raghuchandran Nair,
Vice President, Boman Irani, Secretary,
Shekar Patel, Treasurer, G. Yoganand, Jt.
Secretary,
Anand
Singhania,
Jt.
Secretary, Nilesh Salkar, Jt. Secretary,
Narendra Kumar, Jt. Secretary, Santosh
Katara, Jt. Secretary. Jaxay Shah,
President Elect highlighted the importance of pursuing Profits, People and Planet, the 3 Ps as he
called them as the central theme of his endeavours at CREDAI. Getamber Anand, gave CREDAI the
mantra of CSR for the 2015-17 term and stated that Education would get added to Clean India and
Skill India campaign. Earlier, Lalit Jain, Chairman, and C Shekar Reddy, President of the outgoing
team thanked the CREDAI fraternity in their farewell address. (See Details Below)
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 CREDAI CARE Awards 2015: Builders
from across Karnataka had submitted their
nominations across various categories of
projects before an eminent jury panel. The
awards were presented across multiple
categories for North Karnataka, South
Karnataka and Bangalore City. The Program
was anchored by Mr. Suresh Hari, Chairman
of the CARE Awards 2015, Secretary of
CREDAI Bengaluru., with the introduction of
the event being held for the second time
followed lighting of lamp by the Founder
Member along with Mr. Lakshmi Narayana
Commissioner BBMP, Presidents, & Past
Presidents of CREDAI.
 MCHI-CREDAI Property Expo-2015
scheduled to be held on April 9-12, 2015
in Mumbai. The developers from Mumbai,
MMR, Ahmedabad, Vadodara, Surat,
Nasik, Goa, Bengaluru and Delhi are
presenting Quality Real Estate Product
on a single platform.
 A delegation led by Getamber Anand, President and S. N. Raghuchandran Nair, Vice President
met with Mr. V. Somasundaran, Secretary, Ministry of Civil Aviation, and Government of India and
took up the issue of clearances on building heights required by developers on case to case basis.
Secretary, Civil Aviation assured the delegation of notification by April 2015 which would put in
place a software that would indicate the permissible building heights around airports and no
clearance would be required thereafter for buildings with lower heights. Further, the process would
be online. To start with the facility would be available for Delhi and Mumbai and would be extended
to other towns subsequently. The delegation also met Shri Bishwanath Sinha, Joint Secretary,
Ministry of Environment and Forests and impressed upon him the need for clarity on coastal zone
regulations so that the FAR permissible under Municipal Bye-Laws can be availed and superfluous
processes are eased. Joint Secretary informed the delegation that an Expert Committee has
submitted its report which is being examined and the view of CREDAI would be fully kept in mind
while firming up recommendations.
News
1.
Now, no stamp duty on transfer of flat, land to heirs: The Times of India
Families won't have to pay a 5% of the ready reckoner rate of the property as stamp duty in Maharashtra.
Making the announcement, revenue minister Eknath Khadse said an affidavit on a on stamp paper of Rs
500 would be sufficient. Those with 500sq ft or smaller homes do not have to pay the increased property
tax and the government will allow twice the transfer of development rights to a landowner in lieu of land
surrendered for a public amenity. Full report: http://www.credai.org/now-no-stamp-duty-transfer-flat-landheirs-times-india
2.
Ease building permission process, Centre tells state: The Times of India
Municipal corporations should have a single window system to issue building permissions for 'ease of
doing business'. And online permissions would be much better. The Ministry of Urban Development has
made these suggestions to state governments, and asked them to issue directions to the municipal
corporations accordingly. Full report: http://www.credai.org/ease-building-permission-process-centre-tellsstate-times-india
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3.
Anand takes charge as national president of CREDAI: The Times of India.
Getamber Anand, CMD of ATS Group, took charge as the national president of Credai (Confederation of
Real Estate Developers' Association of India) at the investiture of its new governing council this week.
Credai is the apex body in India for private, real estate developers, with 23 state chapters and 152 city
chapters. The new governing body includes Irfan Razack, chairman Credai (National), Jaxay Shah,
president (Elect) Credai (National), Satish Magar, vicepresident Credai (Maharashtra, West Zone), Harsh
Vardhan Patodia, vicepresident Credai (Bengal, East Zone), Anurag Sharma, vice-president Credai
(Rajasthan, Central Zone), S N Raghuchandran Nair, vice-president Credai (Kerala, South Zone), and
Rohit Raj Modi, vice-president Credai (National).
4.
Pune Municipal Corporation for legalizing small-sized houses: The Times of India
The civic body urged the state government to provide protection to small illegal houses in the city. The
state government in 2014 formed a committee to frame a policy to tackle illegal constructions.
Brihanmumbai Municipal Corporation (BMC) Chief Sitaram Kunte, who heads the committee, has
submitted his report to the state. "The current development rules in Pune Municipal Corporation do not
permit constructions on plots less 2,700 sq ft. But in the last few years many constructions have come up
on plots measuring half a guntha (500 sq ft) or one guntha (1,000 sq ft)," Dhankawde told reporters.The
civic body is in the process of amending DC rules so that houses that are less than 2,700 sq ft and more
that 500 sq ft can be termed as legal and permission to build on such plots can be allowed after the
changes come into effect. Full report: http://www.credai.org/pune-municipal-corporation-legalizing-smallsized-houses-times-india
5.
PE deals in real estate hit multi-year high despite sluggish market: The Business Line
Real estate private equity funds are making a beeline for real estate. PE deals in the realty sector – both
INVESTMENTS as well as exits – are increasing. PE funds INVESTED ₹5,930 crore and ₹5,480 crore in
the third and fourth quarter of 2014 respectively – the highest since 2008. For the full year in 2014,
INVESTMENTS were ₹15,410 crore – more than double the amount invested in 2013. INVESTMENTS
were in both residential and commercial segment. Full report: http://www.credai.org/pe-deals-real-estatehit-multi-year-high-despite-sluggish-market-business-line
6.
Land acquisition simplified in Uttar Pradesh: The Economic Times
Uttar Pradesh government has simplified the acquisition process under which land could be sold through
a simple agreement between the seller and the buyer. The mutually agreeable route for land acquisition
was approved at a meeting of the state cabinet chaired by Chief Minister Akhilesh Yadav. The initiative
was taken keeping in mind the complexities and time-consuming procedures laid down under the Land
Acquisition Act of 2013, they said. Full report: http://www.credai.org/land-acquisition-simplified-uttarpradesh-economic-times
7.
Maharashtra FM hikes premium on additional FSI: The Business Line
With an eye on the floor space index (FSI) requirements as an additional source of revenue, Maharashtra
Finance Minister Sudhir Mungantiwar said, the increase of premium on additional FSI in the State, could
lead to an increase in real estate prices. “These gains in FSI tremendously benefit individuals but
Government does not get the benefit of revenue increase in the same proportion. These amendments are
proposed to ensure legitimate share of revenue for the Government from the overall benefits accruing to
the beneficiaries of FSI without burdening the common man,” the Finance Minister said, presenting the
State Budget. Mungantiwar said the State Government has also decided to enhance the FSI limit from
0.33 to 0.60 and increase the rate of fresh premium in the Brihan Mumbai Municipal Corporation limit. Full
report: http://www.credai.org/maharashtra-fm-hikes-premium-additional-fsi-business-line
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8.
IGBC, CREDAI ink pact to promote green buildings: The Business Line
The CII Indian Green Building Council inked a memorandum of understanding (MoU) with Confederation
of Real Estate Developers Associations of India (CREDAI) to accelerate Green building movement in the
country. C. Shekhar Reddy, President, Credai, in a statement said, “This MoU has further consolidated
our partnership with IGBC and we will work together in facilitating greener and healthier India.” The
objective is to increase the Green building cover in the country’s residential sector. Together they plan to
reach out all the stakeholders on Green building trends and techniques by jointly organising awareness
and training programmes to facilitate capacity building among the members of Credai and IGBC. S
Raghupathy, Executive Director, CII Godrej GBC, said the partnership would provide great impetus to the
green building movement.
Construction Cost Indices in India- January, 2015 (Base 100 in October-2007)
Ahmedabad
Bengaluru
Chennai Delhi
142.53
141.06
140.12
147.58
Hyderaba
d
141.25
Kolkata
Mumbai
Pune
144.69
139.30
140.37
Source: Construction Industry Development Council
MARKET SNAPSHOT (From 16th March to 31st March, 2015)
EXCHANGE /Index
BSE
NSE
NSE Realty
NSE Infra
USD/RUPEE
EURO/RUPEE
16th March, 2015 31st March, 2015
28438
8633
229
3261
62.82
66.17
27958
8491
216
3250
62.63
68.06
CHANGE
-480.00
-142.00
-13.00
-11.00
-0.19
1.89
PERCENTAGE
-1.69
-1.64
-5.68
-0.34
-0.30
2.86
R C Sahu
Research Officer
CREDAI-National
703, Ansal Bhawan, 16 K G Marg
New Delhi-110001
WWW.credai.org , email: [email protected] , Ph No: 011-43126205, Fax: 011-43126211
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