January 2009 to April 2010: Number of flats sold and stamp duty collected in Pune real estate market:
After the recession-related slump in property deals, figures at the government registration office in Pune show that, compared to last year, more people are purchasing flats in Pune real estate market. In fact, the registration department has doubled its revenue as compared to the first quarter of 2009.
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11) My Favorite Blog:
(which was 13th most popular blog in May 2010)
THURSDAY, MAY 27, 2010
2 BHK Flat for Rs. 20 Lakhs, all inclusive property price, near Warje Pune!
Join Vastushodh Projects' Google Group - Vastushodh's 2 BHK Flat for Rs. 20 Lakhs all inclusive near Warje Pune
Now, Vastushodh Projects' housing solution for the young first time home buyers in Pune real estate market!
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Home buyers might have to shell out 10-15 per cent more for buying apartments in newly launched projects this year as developers are looking at passing on the hike in construction cost to customers, what with the recent surge in steel and cement prices.
While the pricing of completed projects or those under construction is mainly governed by the demand-supply situation, the input cost becomes a deciding factor in pricing new projects.
Steel and cement prices increased by nearly 15 per cent over the last six months. The two raw materials together contribute about 20-25 per cent of a project's cost.
"The impact of the rise in input costs comes with a time lag and so an over five per cent increase in prices can be expected in the coming six to nine months," Mr Param Desai, Research Analyst, Real Estate and Logistics, Angel Broking, said..
Property prices in cities with a large IT footprint, such as Bangalore, Pune, Gurgaon and Kochi were, however, likely to witness a higher price rise, to the tune of 10 per cent, on account of high demand, he observed.
Megapolis Hinjewadi Phase 3, Pune - Are you investing in a 1 BHK for Rs. 16.87 lakh or a 2 BHK for Rs. 25.34 lakh Smart Home?
Pre-launch offer of Avinash Bhosale and Kumar Properties' joint venture Megapolis creates buzz in IT companies in Rajiv Gandhi Infotech Park, Hinjewadi!
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My first reason, i enjoy visiting a launch event of a real estate project. As some enjoy a "first day first show" of a Bollywood movie.
My second reason, as i have already told you, with the launch of Astonia Royale, Amit Enterprises Housing Ltd (www.amitenterprises.com), i believe, is setting a trend of "Luxurious Affordable Housing" in Pune real estate market.
Amit's Astonia Royale: An Important Mile Stone:
Amit's new trend, "Luxurious Affordable Housing", i am very much sure, is an important mile stone. A mile stone which declares the end of an era of "an easy home ownership for the young India", started by the government in 2003.
A mile stone which announces the end of experimenting with the size of a flat to attract untaped property buyers. The loud and clear announcement is:
"Builders in Pune, now, you don't have to construct small affordable homes for the property buyers who have limited budgets.
Builders in Pune, now, you don't have to worry about reducing property prices because, thanks to RBI, inflation is here to stay.
Builders in Pune, now, once again, you can focus on a small percent of property buyers who have enough confidence and income to buy a home. Starting from a smallest unit, you prefer to offer, a 2 BHK Flat for Rs. 35 lakhs!"
Amit's Astonia Royale: Beginning of a New Era:
Pune property buyers, launch of Amit' Astonia Royale proclaims, builders in Pune have regained their lost balance and now are back in commanding position to serve their preferred market.
Now, property buyers in Pune, if you want to buy a good 2 BHK Flat in Pune or in any fringe village of Pune, your budget should be around / above 35 lakhs. (Actually 43 Lakhs for a 2 BHK Flat! If you like Wakad near Hinjewadi!!) (Or 25 Lakhs for a 2 BHK Flat! If you value the benefits of staying in an integrated township Megapolis in Hinjewadi!)
Now, property buyers in Pune, give up the hopes of property rates going down. (No need of Rohan Builders' Price Protection Scheme!)
Now, property buyers in Pune, there are no possibilities of any new project coming up with a smaller size 2 BHK / 3 BHK Flats fitting in the budget of Rs. 20 to 40 lakhs. (Like Celestial City at Ravet, Pradhikaran, PCMC!)
Now, property buyers in Pune, only privileged few can own a home in Pune. (Pethkar Projects' Samrajya, at ShivtirthaNagar, on Paud Road, Kothrud, Pune!)
Now, property buyers in Pune, "Rent or Buy a Home?" is not your choice but a compulsion. (No need of Mont Vert Homes' "Rent Today Own Tomorrow" Scheme!)
In short, in the true sense, launch of Amit's Astonia Royale is the beginning of a new era in Pune real estate market and i wanted to be the witness!
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Amit's Astonia Royale: 2 BHK Flat: 748 sq.ft. Carpet + 65 sq.ft. Terrace: Rs. 33,34,100 to 37,48,650 all inclusive(!)
Amit's Astonia Royale: 3 BHK Flat: 926 sq.ft. Carpet + 132 Terrace: Rs. 43,11,650 to 45,81,350 All inclusive(!)
Amit's Astonia Royale: 3 BHK Flat: 931 sq.ft. Carpet + 140 sq. ft. Terrace: Rs. 43,60,200 to 46,33,350 all inclusive(!)
Royal version of Amit's Astonia at Balewadi?
I was happy to see a full page ad of Amit Enterprises Housing Ltd. (www.amitenterprises.com) in today's news papers. First reason, the ad was not about Amit's Sapphire Park at Balewadi!
Second reason, "Astonia" rang the bell of hope. Remember Amit's Astonia at Balewadi? Though the ongoing property rate of Amit's next door project Sapphire Park was Rs. 3,600 per sq.ft., at that point of time, Amit launched 2 BHK Flats of 685 sq.ft. Carpet + 88 sq.ft. Terrace in Astonia at Balewadi for the all inclusive property price of Rs. 25 lakhs!
Luxurious Affordable Homes In Pune:
Third reason, by adding "Royale" to "Astonia", i thought, Amit is trying to suggest that it's the "luxurious" version of an affordable "Astonia at Balewadi". "Luxurious Affordable Homes" quite an interesting idea! Isn't it? Looks like Amit is trying to set a new trend in Pune real estate market!! Just like Lodha Group successfully set with their Casa brand in Thane, Dombivali and Dahisar in Mumbai!
2nd Phase of Amit's Bloomfield?
Fourth reason, in the ad Amit insists that Astonia Royale is "Next to Bloomfield" on "Mumbai Bangalore Highway".
By associating with their popular and luxurious Bloomfield, Amit tells you that Astonia Royale is an attractive offer. You can't ignore "Affordable Luxurious Homes" at Amit's Astonia Royale if you are looking for a 2 BHK / 3 BHK Flat at Dhayari, on Sinhagad road, Warje & Bavdhan at Chandani Chowk, Baner, Balewadi, Sus, Wakad and even at Hinjewadi on one side and Katraj Kondhwa road on the other side!
Compare and reconsider your investment decision:
Fifth reason, with the help of the powerful visuals Amit forces you to reconsider your decision of booking a flat at any other project in your preferred location. You start comparing the carpet areas of the flats, proportion between carpet areas of flats and their attached terraces, property rates, total all inclusive property prices, specifications and amenities.
In the process, you keep on reminding yourself that you should not forget about the construction quality and reliability of Amit Enterprises! Now, Astonia Royale becomes "sophisticated affordable luxurious homes from the reliable builder who is famous for quality construction in Pune real estate market!" Have a look at these visuals:
"I am going to make him an offer he can't refuse":
Can you refuse to visit Amit Astonia Royale?
Yes, only if, from the 1st standard, you are cherishing an ambition to become a Sarpanch of Sus Village!
Yes, only if, you are God's Free Gift to the builder in Balewadi!
Amit Enterprises launches 'Bloomfield', real estate project of apartments, twin bungalows and villas at Ambegaon in Pune Singapore is now here: on Mumbai- Bangalore New bypass, Ambegaon, Pune..(!)
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In addition to its concern about food inflation cascading into a wider increase in prices, the Reserve Bank of India is worried about burgeoning asset prices.
The concerns have arisen as both capital markets and real estate prices are looking up.
RBI governor D Subbarao expressed his concerns about the rising real estate prices. “Increasing optimism about the recovery and high levels of liquidity are driving up real estate prices although they are still some distance away from the pre-crisis peaks.”
This could mean that the central bank may raise risk weights/provisioning on bank loans to real estate going forward.
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In his inaugural address Vijay Chandok revealed that:
In the past 6 months total unit sale had gone up 1.5 times. 38,000 apartments were sold now as compared to the same period last year. This is 50 to 60% more compared to the previous year’s figures.
Hearing this from the horse's mouth was too much for the builders in Pune. The good news made them speechless. Realizing the state of mind of Pune builders, Mr. Chandok said,
"Honth ghuma, Seeti bajaa Seeti bajaa ke bol, Bhaiyaa aal izz well
Aree bhaiyaa all izz well Aree chachu aal izz well Aree bhaiyaa all izz well"
However, GM of ICICI, saw that commercial real estate developers present at the inauguration didn't join him in singing "All izz well". Addressing them Mr. Chandok said,
"We estimate that there will be development of 3 million sq ft of mall space in Pune. Given the economic performance and increase in buying capabilities we have reason to believe that these malls so constructed will meet the demand created by Pune."
Realizing the serious condition of mall and office space developers in Pune, Mr. Chandok requested mall developers to sing along with him,
"Dil jo tera baat baat pe Ghabraaye Dil pe rakh ke haath usae tu fuslaa le Dil idiot hai pyaar se usko samjha le
Honth ghuma Seeti bajaa Seeti bajaa ke bol Bhaiyaa aal izz well Aree bhaiyaa all izz well Aree chachu aal izz well Aree bhaiyaa all izz well"
Mr. Vijay Chandok not only made Pune builders happy, but at the same time he out performed GM HDFC, Ms. Sonal Modi. Ms. Modi didn't even try to make Pune builders happy. GM of HDFC only expressed her happiness for being associated with Credai Pune (PBAP) for the last 10 years!
Aal izz NOT well:
Mr. Satish Magar, President Credai Pune, said that he is optimistic about the year ahead but like a true President, Mr. Magar said that, "Aal izz NOT well!".
Mr. Satish Magar believes in FDI, Farmers Direct Investment. Means Mr. Magar believes that farmers should not sell their land to the builders. But pool it together and develop their own real estate projects. Like his 400 acre Magarpatta City and 700 acre Nanded City Pune. However, as a president of Credai Pune, Mr. Magar cares for the builders too. He said,
"While there is a demand for homes we as a builder community are seriously concerned about the availability of land for new projects.
If the DP is not finalized, land will get scare and that can lead to a price rise.
I think the Government should focus more on making homes more affordable as against increasing taxes that will burden the common man."
Bakra kya jaane uski jaan ka kya hoga:
Now, it was my turn to become speechless!
President of Credai Pune was talking about DP, Development Plan!
Today, Mr. Magar's love and concern for common man overwhelmed me.
I was almost sure that Mr. Magar was going to express his concern for increasing prices of sugar and pulses, if those who were sitting in the corner hadn't started singing:
"Agarbattiyan raakh ho gayi God to phir bhi dikha nahi Bakra kya jaan uski jaan ka kya hoga Sekh ghusegi ya saala Keema hoga Koi na jaane apna future kya hoga
To Honth ghuma Seeti bajaa Seeti bajaa ke bol Bhaiyaa aal izz well Aree bhaiyaa all izz well Aree chachu aal izz well Aree bhaiyaa all izz well"
I couldn't find out who they were,. Builders or property buyers. Hope, aal izz well there!
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Pointing at the car park i asked the security guard, "Is there any function today?". He said, "No. On Saturdays and Sundays it's always like this!," "Really?," i said and went ahead and joined the group of kids watching big fat golden fish (fishes!?) in the pond.
"Can i see Mr. Hemant Kulkarni?," I went inside and asked the receptionist. "Would you like to see the sample flat?," he asked me. "No, no! I said, "Can i see Hemant sir?," i almost shouted. "Sure...sure, but you have to wait for a while!," he said looking at the crowd all around in the reception. "In the mean time, would you like to see the sample flat?," he shouted back in my ear.
Looking around i realized that, waiting alone in this reception among all these families, would be like standing alone in the interval of a family movie, that too without popcorn!
To avoid facing this awkward situation, i shouted back, "How long? What else can i see?" "Film!" he said. "Cartoon films?," i asked. "No! Film on Megapolis. Someday, may be cartoons, who knows!," he said smiling at children all around.
After hanging around for a while, Mr. Hemant Kulkarni, General Manager, called me inside.
"Karandeekar Saheb! Now, we are friends!! This time, i am giving you official information about Megapolis," Mr. Kulkarni said. "Great! Thanks!!," i said. "I am arranging a Victoria!," Hemant Saheb said. "Queen Victoria?," i asked.
"Victoria! Remember Horse Buggy on Chowpati in Mumbai? Ride for a 4 anna!," he said. Looking at child like enthusiasm on his handsome face, i said, "Oh! i had almost forgotten about it. What about Victoria?," i asked him.
"We will start a ride for the kids! While parents are busy in the site office, kids should have a great time! Lots of chocolates, balloons, games, Victoria rides of Megapolis!," Mr. Kulkarni said. "What do you think? Isn't it a good idea? I saw you shooting. You like kids too. Right?," General Manager of Megapolis asked me.
Considering that it was our first official meeting, i didn't disclose that more than kids, i like their moms and said, "Yes. Very much! But, i am here to know about the bookings of Megapolis Smart Homes. How is it going?," I asked him in a serious voice.
"Come on, you have been here for a while! I am sure, by now, you must have got all the answers! Haven't you?," Mr. Hemant Kulkarni said with a smile.
"Come on let us go out, enjoy the fountain and have a cup of tea! We serve best tea here. I have personally trained my staff. You will enjoy our tea!," getting up Hemant sir said.
"Snacks! We should make arrangements for snacks too!," sipping flavoured tea Hemant said. "Pithala Bhakari and Bhaji? Wada Pav? or Pizza? What should be the menu?," he asked me.
"It looks like you can have everything! How many?," i asked him.
"Yes, we can! More than 400. Out of 1,200 Smart Homes!," Mr. Hemant Kulkarni, General Manager of Megapolis said with a smile.
Related Stories:
1) Sunday, January 3, 2010 Megapolis Hinjewadi Phase 3 news - Visit puneprophinjewadi's Picasa Web Album
Pre-launch offer of Avinash Bhosale and Kumar Properties' joint venture Megapolis creates buzz in IT companies in Rajiv Gandhi Infotech Park, Hinjewadi!
6) Thursday, May 1, 2008 Megapolis - views and property ratesof Kumar Properties' and Avinash Bhosale Group's 150 acre integrated township at Hinjewadi, in Pune
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However, District Collector Chandrakant Dalvi rejects the charge that the decision to increase Ready Reckoner Rates would escalate the property prices!
President of Confederation of Real Estate Developers Associations of India (CREDAI) Pune:
"Hike in RRR coincides with hike in stamp duty. This is certainly unwarranted. This raise will now increase the prices of property by Rs 50-60 per sq ft. This will escalate property prices and take the costs higher"
District Collector:
"We have made a survey of prevailing property prices in all the zones and sub-zones of the city. In our observation, it has been found that the actual prices are much higher than what has been stated in the reckoner. The developers should not be worrying so much"
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Whenever small budget 1 BHK & 2 BHK Flats are launched, they are advertised as something unexpected, impossible, unbelievable happening in Pune real estate market!
Darode Jog Properties' Greenland County at Narhe Ambegaon Pune
When Sara City Chakan launched 1 BHK Flat for Rs. 6.99 lakhs, you were warned "To get ready for the shock of your life!"
Sara City at Chakan
When Eiffel City Chakan launched 'fully furnished 2 BHK Flat at Rs. 12 lakhs only', they thought "You must be joking!" would be your reaction.
Eiffel City at Chakan
2 BHK Flat for 7 Lakhs!:
For a builder "2 BHK Flat in 12 lakhs, and 1 BHK Flat in 7 lakhs" may be unbelievably less property price. But for a property buyer in Pune it was not too less a cost and not an easily affordable home. However, we didn't object much because, after all it was just real estate advertising. Where "Only" comes, without fail, after any "per sq. ft." property rate. Right?
However, in case of Anandgram Yavat, 35 klms from Magarpatta City Hadapsar, on Pune Solapur Highway, it's not the builder, Vastushodh Projects, but the critical press found "2 BHK Flat for 7 Lakhs" something unexpected, impossible, unbelievable news!
At the press conference, reporters asked probing questions. But their tone was not sarcastic, as usual. They were actually curious to find out why this builder, my dear friend Sachin Kulkarni, MD of Vastushodh, is building homes for the class of people which was completely ignored by all builders in Pune.
The press wanted to find out how Vastushodh has managed to give 2 BHK Flat for 7 Lakhs. As much as me, even they were concerned about the finance and profitability of the builder!
The appreciation expressed in the press conference, reflected in the news about Vastushod Projects' initiative of developing satellite townships of affordable homes for the masses.
2 BHK Flat for Rs. 7 Lakhs!
"2 BHK Flat for 7 Lakhs" was the breaking news for Sakal, leading Marahti Newspaper, and DNA .
2 BHK Flat for Rs. 7 Lakhs
For the first time in Pune real estate market, these newspapers gave the information about the property prices of 1 Room Kitchen, 1 BHK Flats and 2 BHK Flats in Anandgram Yavat!
About Anandgram Yavat
If these newspapers had published "For Bookings Contact", the address and phone numbers, I am sure, for Anandgram Yavat there was no need to give a launch ad!
Have a look at these news stories and tell me what do you think of Anandgram Yavat. Isn't it a good idea to build satellite townships of affordable homes for those who earn 5,000 to 10,000 rupees per month?
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Congrats, Dileep Athavale (TNN), my friend, for writing a great head line! "A house for everyone in New Year "!!
Technically, a sub-headline, in today's Times of India, talks about recycled "studies" conducted by Jones Lang Le Salle Meghraj (JLLM), Cushman & Wakefield (C&W) and adds "insights" of Mr. Satish Magar, president of the Confederation of Real Estate Developers’Associations of India (Credai), Pune, and Business Intelligence Unit of Gera Developments Pvt. Ltd.
Moral of the story is " 5 Home Truths". If you read these "Home Truths", you will call them "Wish-list of Pune Real Estate Developers!" Have a look:
1) Age demographics indicate strong, sustained demand for homes
2) Demand fuelled by low cost of home finance
3) Not a significant dent in the disposable incomes
4) Confidence levels rising in tune with rise in mood globally
5) Price levels stable and likely to be so for some time to come
What say you?
We all know that these studies and survey reports are supposed to draw expected conclusions. Isn't it? So, for you and me, what you say and Google search is more important.
For example, in this month, Decemebr 2009, you were searching Google and calling me mostly to discuss about booking a flat in Megapolis Smart Homes or Celestial City Ravet. From today, i am sure, one more project will be added to the list. Pharande Spaces' Woodsville at Pradhikaran in PCMC.
Considering the volume of these projects, i believe, these projects will not only dominate Pune real estate market but dictate price reduction too! Property rate and budgets in these projects will force other projects to recalculate and reconsider their offers.
These projects, Megapolis Smart Homes, Celestial City Ravet and Woodsville at Pradhikaran in PCMC, have proved that Rs. 2,400 per sq.ft. could be an acceptable property rate and budget of 2 BHK and 3 BHK Flats should be in the range of Rs. 20 to 40 lakhs. Thus, these projects define "affordable housing for the salaried middle class in Pune real estate market".
Considering the expected rise in interest rates of home loans, ever increasing cost of food and living, announced rise in the stamp duty and registration charges, in 2010, the acceptable property rates and affordable budgets of these projects may become unaffordable for many. So, in 2010, you will need a lot more confidence to create a liability!
In short, after 2 years of recession, in the uncertain economy of 2010, builders in Pune have to realign themselves with the property buyers and tailor their offers in the budget range of 2009, 2 BHK & 3 BHK Flats in 20 - 40 lakhs!
What say you? Share your views, demands and expectations in the comments, please! How long we have to keep on reading ridiculously obnoxious statements like "A house for everyone in New Year " and builders' Wish-list? Go ahead and prepare your charter of demand! Happy new year!!
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