 |
Real Estate Developers Fear Mumbai Property Rates May Shoot Through the Roof Soon
Author: Property | Posted: 14-01-2008 | Comments: 0 | Views: 29 | 
Mumbai, Jan 13 Real estate developers fear 30% to 50% increase in prices as well as demand for property in Mumbai, Pune, Nasik, Chennai and Bangalore, compared with the ongoing steady demand and prices in Delhi and the NCR region from March 2008 onwards.
According to industry experts, with Indiabulls (14 lakh sq ft of commercial and retail) and Peninsula II (5 lakh sq ft) properties under construction in Lower Parel in Mumbai, the demand for residential properties is expected to rise by 30% from March 2008. While Indiabulls property is expected to be operational this
year with a parking space for 3,500 cars, the Peninsula II properties will be completed next year.
According to Abhinandan Lodha, director, Lodha Group, “The commercial property rates in Mumbai are expected to rise by about 50% with more premium buildings getting constructed. Besides, India is emerging as a leading hottest destination for premium commercial establishments whereby builders would be setting up huge number of commercial buildings situated in one location.”
Property prices has already touched the roof since the past two years when the booking for Ashoka Towers started at Rs 4,000 per sq ft. However, now the prices have shot up by an additional Rs 18,000 per sq ft. As a result, home buyers have started eyeing Pune, Nasik, Chennai for setting up second homes instead of buying a second home in Mumbai for weekends.
This is also because of the requirement of 90 lakh homes in Mumbai, only 30% homes have been built so far. For example, investors have bought many flats in Kharghar, where 70% of the buyers have still not resided.
In Chennai and Bangalore, dual income families have started spending more on EMIs on buying big homes. Although currently Chennai is not considered a very active property destination, with the mixed used development under construction by Hirco (15 mn sq ft), Chennai will also see boost in prices and demand as well. Besides, there is already overbuilding been happening in Bangalore. Hence, the huge demand. On the contrary, NCR region and Delhi has already seen developments of this size. Rate this Article:
Article Source: http://www.articlesbase.com/real-estate-articles/real-estate-developers-fear-mumbai-property-rates-may-shoot-through-the-roof-soon-303824.html
|
Submitting articles has become one of the most popular means of generating quality backlinks and targeted traffic to your website. Join us today - It's Free! |
|
Related Articles
Bonanza for Old Mumbai Firms
By: Property | 20/01/2008 | Real Estate
The Maharashtra government’s decision to repeal the Urban Land Ceiling and Regulation Act (ULCRA) in order to obtain funds under the Jawaharlal Nehru Urban Renewal Mission has spelt a bonanza for some of the oldest companies in the city. According to real estate consultancy Knight Frank India in Mumbai alone as much as 17,000 acres of prime land will be released across the city. Others estimate the amount of land to be released at 30,000 acres.
Harvard Eyes Indian Realty Sector With Corporate Programme
By: Property | 12/03/2008 | Real Estate
New Delhi, March 10 (IANS) Eyeing the “explosive” realty market in India, the Harvard Business School (HBS) is set to offer a short duration certificate programme to top executives of real estate industry - but at a stiff fee of Rs.297,000 ($7,310). The Ivy League university will offer the four-day-long programme at Hyderabad Convention Centre beginning June 17.
Deutsche Bank Arm Buys Stake in Golden Gate
By: Property | 23/01/2008 | Real Estate
RREEF, the global alternative investment management business of Deutsche Bank, advised by Deutsche Asset Management (India), has made its first real estate investment in India. RREEF has nearly completed the purchase of an undisclosed stake in Bangalore and Hyderabad-based real estate development company, Golden Gate Properties, for $70 million (Rs 273.5 crore).
Dubai Properties Targets High Net-worth Indian Investors at Mumbai Extravaganza 2008
By: Property | 14/03/2008 | Real Estate
Mumbai Extravaganza offered a unique platform for international real estate institutions as well as developers to launch and promote new products. Apart from high net worth individuals, the high life show also attracted professional advisors such as lawyers, bankers, brokers, top management and decision makers of Mumbai´s leading corporations, successful entrepreneurs and celebrities.
Rubber Growers Keen on Tapping Into Real Estate
By: Property | 18/03/2008 | Real Estate
Kochi: The proposed 20% subsidy for rubber replantation—announced by the Union government on Wednesday as part of a Rs241 crore programme in the 11th Plan period—may not be incentive enough to keep growers from converting their gardens into real estate.
Icici Arm Buys Vernon’s 40% in Updater Services
By: Property | 05/02/2008 | Real Estate
CHENNAI: ICICI Venture has picked up New Vernon Bharat’s 40% stake in Chennai-based Updater Services (UDS), India’s largest integrated facility management company, for close to Rs 100 crore. Founded in 1985, UDS manages over 50 million sq ft of space across all segments including corporate, IT parks, industrial and retail. It also offers production support services for auto major Hyundai Motor India and French glass major Saint Gobain.
US Court Orders India to Pay $ 42.4 Mn Tax
By: Property | 20/03/2008 | Real Estate
New York (PTI): A US court has ordered India to pay a real estate tax of USD 42.4 million after it rejected New Delhi’s argument that a 26-storey building occupied by its diplomatic staff is exempted from tax under international treaties.
Kampani’s Real Estate Firm Invests Rs 600 Cr in Maytas
By: Property | 07/02/2008 | Real Estate
MUMBAI/HYDERABAD: Nimesh Kampani’s real estate arm Infinite India Investment Management has picked up a minority equity in Hyderabad-based Maytas Properties, promoted by sons of Satyam Group founder B Ramalingam Raju, for Rs 600 crore.
Got a Question? Ask.
Ask the community a question about this article:
Frequently Asked Questions
Ho to list home on AOL
By: greatgrampastew | 13-05-2008
I have been searching the AOL real estate ads and looked for a place to find requirements for listing a house for sale by owner. Found nothing.
How do I claim property I own in Puerto Rico
By: CBJB | 12-05-2008
How do I claim property I own in Puerto Rico
Anyone know of a good realtor?
By: stpbowm | 12-05-2008
does anyone know of a really good realtor near noblesville indiana that also doesn't have a huge fee? i'm new with this so i have no idea what to do thanks in advance
Education
By: dush | 11-05-2008
Hey... i want to start learning real estate and i researched about different ways to start, i would like to get an advice of where and how to start (home study,courses etc...), i want to know also what are all the topics (finance, law, morgage etc...) that take part in real estate learning? any information about the subject will be very helpfull, thank you very much for your answer.
How much money do you save buying a house FSBO?
By: kell326 | 09-05-2008
How much money do you save buying a house FSBO?
Does anyone have Gulf Front property for sale that ...
By: northernboy | 05-05-2008
Does anyone have Gulf Front property for sale that allows pets, price approximately $250k
Q&A Powered by: 
More from Property
Bank of Baroda Enters Into Memorandum of Understanding With Dubai Properties
By: Property | 14/05/2008 | Real Estate
Bank of Baroda, India’s international bank has entered into a Memorandum of Understanding (MoU) with Dubai Properties, the region’s leading real estate company, whereby the bank will provide home finance to buyers of residential units in a number of Dubai Properties’ projects across the UAE.
Haryana’s Apartment Law on Shaky Ground
By: Property | 12/05/2008 | Real Estate
Twenty-five years after its enactment, two notifications and one amendment later, the Haryana Apartment Ownership Act (HAOA), which seeks to regulate the development and administration of group housing colonies in the state, desperately needs a re-look. The law was passed when the first condominium to come up in Gurgaon was still another six years away. With no local know how, the government drew perfunctorily on the experience of other states.
Mahindras to Drive Into Low-cost Housing Projects
By: Property | 08/05/2008 | Real Estate
Mahindra Lifespaces Developers (MLDL), the housing and real estate arm of the $ 7.5 billion (Rs 30,566 crore) Mahindra Group, is planning to enter the business of building low-cost houses for the middle-income group. Low-cost houses have become a fad among young people, as they are available at an affordable cost of Rs 25-30 lakh.
Real Estate Mfs and Reits Come Cheap
By: Property | 06/05/2008 | Real Estate
They say bureaucracy in India can be slower than the most patient snail. So, more than seven years after the proposal was first mooted, the Securities and Exchange Board of India (Sebi) came out with its draft guidelines for real estate mutual funds (MFs). This move has brought much joy and relief to the MF industry.
Realty Space to Gain From Real Estate Mfs: Kpmg
By: Property | 02/05/2008 | Real Estate
NEW DELHI: The Indian real estate sector, currently facing strong headwind due to the credit turmoil as well as high inflation, is set to get a breather from the market regulator SEBI’s move to allow Real Estate Mutual Funds, says global consultancy giant KPMG.
Asian Investors Pump Aed 9 Billion Into UAE Property Market in 2007
By: Property | 29/04/2008 | Real Estate
Asian investors have shelled out approximately AED 9 billion in real estate investments into the UAE from March 2007 to the early months of 2008, according to recent market studies. Driven by the huge potential of marketing its developments to Asian-based investors, Bonyan International Investment Group has participated at the recently concluded Cityscape Asia 2008, where it showcased its AED 3.5 billion project portfolio.
Realty Deals Bring Rs 23,000 Cr During January-march
By: Property | 23/04/2008 | Real Estate
MUMBAI: Slowdown in the real estate market notwithstanding, land deals in India are thriving. According to a recent study, the total value of such deals, in the first three months of 2008, have touched around Rs 23,000 crore, while another Rs 10,000-crore worth deals are in the pipeline.
Ansals Join Hands With Malaysia-based Uem
By: Property | 21/04/2008 | Real Estate
Real estate developer Ansal Properties & Infrastructure Ltd today announced it has joined hands with Malaysia-based UEM Group to form a new company to carry out construction activities across the country.
|
|
Finance 
