Mumbai Economy Thread [Archive]

IchimaruGin1

January 14th, 2010, 01:00 PM

Builders make a beeline for slum projects
Redevelopment projects offer access to prime properties in Mumbai, while avoiding large investments in land

Besides building Signature Island, an expensive residential project in the Bandra-Kurla Complex business district in Mumbai, Sunteck Realty Ltd will also redevelop a slum in the financial capital.

The developer has no experience in redeveloping shanty towns, but took a calculated risk in November when it entered into a joint development agreement with a local builder familiar with such projects.

The local partner identified a slum for the project and is responsible for getting the consent of the residents and the state authority’s nod for it. Sunteck will handle the cash required and the construction.

The firm is among at least 10 large- and mid-sized developers making maiden attempts at redeveloping slums—projects considered lucrative and yet not capital-intensive to begin with.

With greenfield developments becoming more difficult and land deals turning scarce during the economic downturn, developers say slum projects offer a way to access prime properties in Mumbai with clear titles, while avoiding large investments in land.

“There is limited potential for development otherwise in Mumbai,” said V.K. Phatak, former chief town planner with the Mumbai Metropolitan Region Development Authority. “It has also become easier than before to develop them because of the help offered by the government.”

In these projects, private firms build free tenements for slum dwellers in exchange for being allowed to construct other projects in the area that can be sold at market prices.

“The return on investments gets magnified in slum redevelopment projects and we would look at them in a joint development format because the initial, difficult process is made easy with a partner around,” said Kamal Khetan, managing director of Sunteck.

Another realty firm, Neptune Developers Pvt. Ltd, which has filed for raising funds through an initial public offering (IPO), is also considering slum projects. It will bid for a portion of the Rs15,000 crore Dharavi slum redevelopment project, the largest such in Mumbai, said a senior company executive.

HCC Real Estate Ltd, a subsidiary of infrastructure firm HCC Ltd, is planning two slum projects in the city—a 50-acre land in suburban Mumbai and a 1 million sq. ft development near the Indian Institute of Technology, Powai campus, the firm’s president, Rajgopal Nogja, said.

“The reasons are simple. Entry capital is cheaper, cost of clear land is way too steep in Mumbai, and returns are better in such projects,” said Ramesh Jogani, managing director and chief executive (CEO) of Indiareit Fund Advisors Pvt. Ltd, a private equity fund promoted by Piramal Group. Indiareit is close to investing Rs20-30 crore in two slum redevelopment projects in the city.

The Maharashtra government has paced up clearances and slum projects stuck during the economic crisis are being revived. Around 450 slum projects are going on in Mumbai, involving 250,000 homes. The Union and state governments are aiming for a slum-free Mumbai by 2015.

“There is a clutch of new developers who are sending in proposals for slum projects, particularly after the floor space index (FSI) was raised to 3, from 2.5 in such ventures last year,” said S.S. Zhende, CEO of the Slum Rehabilitation Authority (SRA). With higher FSIs, firms get additional construction rights for development.

Zhende also credits the high-power committee formed last year to settle disputes between slum developers and authorities for making the projects more attractive to developers.

“It has become easier to get into slum projects now because the SRA has been proactive and the requirements are not so rigid any more,” said Lalit Kumar Jain, chairman of Pune-based Kumar Builders.

The firm, which is also set for an IPO this year, has a large slum project in Pune and is looking to enter the Mumbai market as well.

http://www.livemint.com/2010/01/11213910/Builders-make-a-beeline-for-sl.html

IchimaruGin1

January 14th, 2010, 02:25 PM

http://www.narains.com/images/bench1.jpg

sumant

January 14th, 2010, 04:00 PM

^^^^ even if 10% of the total homes mentioned above get rehabilitated above without any controversy .I will be very happy.

ankushgupta

January 14th, 2010, 05:47 PM

GDP of Mumbai: 208
GDP of Pakistan: 164.5

2008, In Billion USD (nominal):lol:

Jodhpur2

January 14th, 2010, 05:54 PM

stop being a troll.

ab041937

January 14th, 2010, 07:40 PM

**SIGH*** :ohno:

Someones still carrying baggages here.

IchimaruGin1

January 14th, 2010, 09:44 PM

GDP of Mumbai: 208
GDP of Pakistan: 164.5

2008, In Billion USD (nominal):lol:

ahh akush ji , unfortunately thats the PPP values of mumbai metropolitan area

ankushgupta

January 15th, 2010, 01:01 AM

ahh akush ji , unfortunately thats the PPP values of mumbai metropolitan area

Oh yeah :lol: , I looked into wrong table. Sorry about that, Do you have any idea about GDP of Mumbai in nominal terms?

IchimaruGin1

January 15th, 2010, 01:24 AM

Oh yeah :lol: , I looked into wrong table. Sorry about that, Do you have any idea about GDP of Mumbai in nominal terms?

hmm hard to say for sure

figure ranges from 60-80 billion dollars for the Mumbai metropolitan area

but the figure i follow is that in 2007-2008 it said the mumbai metro area was 6.16% of Indian GDP so say 6% of 1.2 trillion Indian gdp means

about 70-72 billion dollars in nominal terms......would be my own personal extimate

IchimaruGin1

January 15th, 2010, 02:00 PM

ADIH Begins Enabling Work on $400m Mumbai Project

15 January 2010 ABU DHABI — Abu Dhabi Investment House, or ADIH, has commenced enabling works and site facilities for its $400 million India Entertainment City project in Navi Mumbai.
The work includes site offices, boundary fences and other areas that will assist contractors to carry out infrastructure-related construction. The investment company also announced that the Phase II of the infrastructure work on the project, comprising 75 per cent of the total area, will commence in February. The company has awarded a contract for the Phase II of the infrastructure work, which includes civil works and roads network. Remaining infrastructure work includes electrical, telecommunication and data services; central gas network and district cooling; in addition to a landscaping and pavements, says a company announcement. A formal ground-breaking ceremony of the Economic Development Zone, of which, India Entertainment City is a component, will take place next month. India Entertainment City is one of a series of Shariah-compliant ‘Entertainment Cities’ funds created by Abu Dhabi Investment House, first of which is currently being developed in Doha, Qatar.

The concept pivots around a mixed-use development, encompassing residential, commercial, retail and entertainment components.

The entertainment component will include film and multi-media studios, movie theatres, convention halls and other cultural elements.

The residential area will consist of medium to up-scale areas including branded villas and neighbourhoods.

“India was selected as an ‘Entertainment City’ destination due to a few contributing factors such as the resilience of its economy, government’s support to economic boost as well as expected growth of demand on real estate for both investors and end users,” says a Press release issued by the investment company.

The company expected Indian project to contribute to the economy by providing numerous jobs.

The project which will be built is located on the outskirts of the financial capital in an area which is rapidly developing into commercial and industrial hub of Navi Mumbai.

http://www.khaleejtimes.com/DisplayArticle.asp?xfile=data/business/2010/January/business_January295.xml&section=business&col=

IchimaruGin1

January 15th, 2010, 02:18 PM

Oversupply in metros, office rents stay low
After rentals fell between 25% and 40% in almost all markets last year, vacancy levels, despite healthy absorption, will increase in the first half of 2010 and then stabilise or fall in the latter part of the year

Bangalore: Office rentals continued to be depressed in key markets such as Mumbai, Pune and Chennai as supply outpaced demand in the three months ended December, realty consultants said.

Although occupancy levels in commercial office space improved marginally, there is increased demand only for high-end projects, said a report by property consultancy CB Richard Ellis. The firm based its report on data collected from seven cities—Delhi, Mumbai, Bangalore, Hyderabad, Pune, Chennai and Kolkata.

“The downward pressure on rentals in Chennai and Pune are primarily due to oversupply,” said Kaustuv Roy, executive director, Cushman and Wakefield Inc., a property advisory. “But hopefully in the next six months, we will see an upward movement in rentals in larger markets like Mumbai and Delhi-NCR (national capital region).”

Of the 84 million sq. ft of space scheduled for completion in six key Indian cities, only 66 million sq. ft is likely to come up in the next five quarters, DTZ Research said in a December report.

After rentals fell between 25% and 40% in almost all markets last year, vacancy levels, despite healthy absorption, will increase in the first half of 2010 and then stabilise or fall in the latter part of the year, the report predicted. Vacancy rates in secondary business districts, such as Nehru Place in New Delhi, increased from 12% in the third quarter in 2009 to 21% in the fourth quarter due to poor leasing acitivity.

All three consultancies said telecom and consumer goods firms would drive demand in the near term, as rentals from technology companies would be slower to recover. Roy believes that even in the case of the many upcoming special economic zones focussed on information technology, only those tax-free enclaves that are nearing completion would see better occupancy levels

http://www.livemint.com/2010/01/13212119/Oversupply-in-metros-office-r.html

IchimaruGin1

January 15th, 2010, 02:22 PM

The Spirit of Mumbai and Trading Holidays

First-time visitors to India are often intrigued by the "Spirit of Mumbai," which has been exhibited time and again by our city as a whole. The city, especially in the last decade or so, has been subject to many calamities both man-made and natural but has shown its resilience by bouncing back to near normalcy within a very short time. This laudable characteristic of the city and its people is probably based on the deep-rooted philosophy in the Indian psyche that everything happens for the best and should be accepted as part of a larger design. Most Indians have grown up with this philosophy and this has served us well while recouping from many a disaster.

But in some situations, adopting this philosophy may not be the most appropriate thing to do. Take for instance, the long weekend in the year 2009 that Indian markets enjoyed when the Indian stock markets were closed over four consecutive days. It was fortunate that no significant global event occurred during this period. If it had, due to our very close linkages with the global markets, it could have been potentially significantly damaging for our investors and the Indian financial system as a whole.

Investors with open trading positions on the Wednesday prior to that weekend would have been helpless and unable to respond to any changes in the global environment. The markets would have opened with a gap on the following Tuesday, leaving little or no room for effective risk management. This would have been a serious constraint particularly to those market participants who do not have access to the SGX market in Singapore.

This happens only in India" may well be the truth with respect to the numerous trading holidays each year. Being a diverse nation with many religions and different regional festivals sprinkled with elections and similar events that take place with regular frequency, India topped the charts in the number of trading holidays in the stock market in 2009 with 23, far greater than the eight and nine trading holidays in the U.S. and U.K. respectively, and 11 in Singapore. Indian stock markets have had an average of 21 annual trading holidays over the last five years.

The regulators and the exchanges are conscious and aware of the risk posed by situations like the one outlined above and have been supportive of proposals to manage this risk. It is now the responsibility of the community of brokers to be the prime movers in this matter. We need to do this in the interest of our customers as well as to ensure that the stability of the markets is not affected.

Recently a broker poll was conducted in which only 36% of the brokers supported the move to reduce trading holidays. While feedback from market participants is critical and a consultative process is a healthy one which needs to be followed by policy makers, policy cannot be determined based on the popularity of the measure; rather it should be in line with the objective, which in this case is to facilitate effective risk management in an increasingly globalized market

For instance, when the proposal for mandatory dematerialization of shares – (where shares were permitted to be traded only in electronic form and the delivery of physical shares was discontinued) -- was first mooted, most market participants had expressed serious reservations. But the regulator was clear that this was indeed required to reduce fraud and went ahead with the policy and the rest is history. The positive results are evident today and the Indian market's performance on the demat front is among the best in the world.

This milestone also set the basis for Straight Through Processing – the use of a single system to process or control all elements of the work-flow of a financial transaction - and shorter settlement cycles. Though there may have been operational issues and temporary problems faced by participants, the long term results have vindicated the stand taken then by the policy makers.

Similarly, to protect investor interest, it is necessary to reduce the number of trading holidays and increase trading hours, both of which may cause some operational inconveniences today but would serve the system well in the future. The commodity exchanges in the country have far fewer holidays than the stock markets, putting paid to the argument that our settlement and banking systems may not support the extended trading hours and lesser holidays.

If we want a market that is robust and offers good risk management opportunities and investor protection avenues, we need to move in the direction of fewer holidays and extended trading hours

Thus, if we want a market that is robust and offers good risk management opportunities and investor protection avenues, we need to move in the direction of fewer holidays and extended trading hours. Or else we may need to fall back on our age-old traditions and pray hard that there are no systemic shocks that arise on extended weekends and holidays. And if they do, we would need to accept them as part of our "fate" or "karma." The choice is ours.

http://online.wsj.com/article/SB126352895040729447.html

IchimaruGin1

January 16th, 2010, 01:47 PM

New Delhi: Jet Airways, India's largest airline by passengers flown, may become the country's first carrier to fly to South Africa should the civil aviation ministry grant it permission to do so. The airline is keen to gain permission for commencement of services ahead of the football World Cup slated to commence in June.

It is likely that the airline will join hands with Kenya Airways for onward connection to the North Africa region.

According to government sources, Jet is keen to start non-stop daily flights from Mumbai to Johannesburg, South Africa's largest city. Earlier, airline operations to South Africa were restricted as only one carrier could operate services to Mumbai. This restriction no longer applies.

Currently, flag carriers Air India and South African Airways (SAA) connect both countries, though Air India dose so only through a code-share agreement with South African Airways.

SAA flies four times a week on the Mumbai-Johannesburg route.

Jet Airways officials have let it be known that should permission be granted they will operate wide-body A-330 planes on the route.

Jet Airways, which covers at least 18 international destinations, has increased the share of its revenues from international operations to 62%, from 12% in 2005-06
http://www.domain-b.com/aero/airlines/20100115_south_africa.html

IchimaruGin1

January 17th, 2010, 12:15 AM

http://www.thehindubusinessline.com/iw/2010/01/17/stories/2010011750791300.htm

Commercial realty back in business in Mumbai

Commercial real estate may not have got over the slowdown blues, but it has not stopped developers from showcasing innovative designs to draw their clientele.

Kanakia Spaces, which has just about completed its 1.2 million sq.ft project costing Rs 380 crore in Andheri, Mumbai, claims to have the largest single floor plate of 1.60 lakh sq.ft (0.7 km long; and more than 3.5 acres) in the country.

The eight-floor complex shaped like a boomerang on about 10 acres also boasts of a 3,500 sq.ft vertical garden at its 40 ft tall entrance lobby. A 1,000 sq.m pond is being created close to the gate to match the lush walled green inside.

Of a total plot area of 32,481 sq.m, the garden area (outside) is 4,693 sq.m along with a paved spread of 6,620 sq.m. The building expanse covers 5,231 sq.m. Two floors of basement parking are for 1,200 cars.

“We are planning to get golf-carts to ferry people inside the campus, said Mr Vishal Doshi, AGM, Marketing and Business Development. Kanakia has sold close to 40 per cent of office space at around Rs 10,000 a sq.ft. The company also offers space on lease at Rs 100 a sq.ft.

VERTICAL GARDEN

The vertical garden looks ‘pinned up' displaying 12,320 exotic plants with a drip irrigation system to water the plants twice a week. The commercial space comes with a bundle of add-ons such as a 616 sq.m club house, gymnasium and cafeteria, exclusively for the inmates.

DEMAND UP

“It is after a long gap that we see demand picking up in office spaces in various locations, thanks to the rapid infrastructure development happening in Mumbai, such as the Bandra-Worli sealink. We are experiencing good demand for small business spaces from the banking, financial services and insurance companies as well as shipping and logistic units, said Mr Mayur Shah, Managing Director, Marathon Group.

With the economy looking up and encouraging financial performance across sectors in the third quarter, the demand for office space is expected to increase in a big way. Upcoming development such as the Metro and Mono rail is expected to further boost commercial spaces demand.

Among various locations, Lower Parel is fast emerging as a hot destination for commercial spaces. BFSI companies are looking for great ambience, hospitality, facility of best restaurants, safety and security measures and unique designs, while buying spaces in Lower Parel, he felt.

Mr Abhishek Kiran Gupta, Head-Research, Jones Lang LaSalle Meghraj, said Mumbai saw the completion of about nine million sq.ft every year in 2008 and 2009, whereas the average annual absorption was six million sq.ft for the two years.

The overall vacancy level across Mumbai is about 14 per cent. Prices, both in the city and micro-markets, had corrected 35-50 per cent in 2008-09.

To keep real estate costs down tenants had moved from the central business district (CBD) to secondary business districts (SBDs) such as Andheri and suburbs such as Malad, Powai, Thane and Navi Mumbai.

Standard Chartered, UBS, Ernst & Young and JP Morgan are among those who chose to shift from Nariman Point (CBD), he said.

Financial centre

A Religare report said BKC had gradually transformed itself from a secondary district to the city's second business district (after Nariman Point) and is set to become India's international financial centre.

BKC's G block, housing leading banks and financial institutions, had secured the Maharashtra Government's nod to increase its floor space index (FSI) from two to four.

However, development in the block was likely to be spaced out due to the high realty prices stemming from the strong, continued demand and improving connectivity to the centrally located business hub.

IchimaruGin1

January 17th, 2010, 01:05 PM

Space bonanza as unlimited FSI debuts at BKC

MUMBAI: Unlimited floor space index has finally entered Mumbai's commercial real estate industry via the 330-acre G Block of the Bandra-Kurla comples.The Mumbai Metropolitan Region Development Authority (MMRDA) recently sanctioned an unbelievable FSI of 9.34 to the Vijay Wadhwa-owned Raghuleela Leasing to be used on a plot of less than two acres that this developer had bought for Rs 831 crore two years ago. In layman's terms, the developer will be able to construct a 19-storey commercial tower with this unusually high FSI as compared to about 12 floors that buildings in the BKC have because of their proximity to the airport. Wadhwa is to get an additional 3.6 lakh square feet built-up area.

The FSI—the ratio of the permissible built-up area to the plot size—in the BKC was doubled from 2 to 4 some time ago. However, since the FSI in G Block was underutilised, the MMRDA decided to redistribute it among those who occupied plots here in exchange for a premium.

With the airport just a couple of kilometres away, buildings in the BKC are not allowed a height more than 50 to 55 metres. However, with the opening up of the FSI, several developers have now sought the civil aviation ministry's permission to go up to 80 metres. "The civil aviation ministry will decide these proposals on a case-by-case basis," said a senior MMRDA official, refusing to explain what "case-by-case" meant.

It is learnt that chief minister Ashok Chavan has written to the Centre to allow buildings in the BKC to go up to 85 metres. The Wadhwa Group has already got clearance for 79 metres but has now asked for an additional three metres to construct its tower, The Capital.

TOI has learnt that as many as 18 corporates, developers and government institutions currently based in this area have applied for additional construction rights. Since last year, the MMRDA has approved their proposals and that added 28 lakh square feet of construction space in the G Block. The MMRDA, which controls BKC land, is expected to earn more than Rs 260 crore as premium by granting these rights.

RIL centre going slow

The Mukesh Ambani-led Reliance Industries has got an FSI of 6.13 for its proposed convention centre in the BKC. The company had applied for an additional built-up area of close to 8 lakh square feet over and above the 5 lakh square feet it had been granted. In January 2006, Reliance had created a stir in the real estate market by offering a hefty Rs 1,104 crore for this 5-acre plot.

But MMRDA officials pointed out that work on the convention centre had been very slow. "The plot was purchased four years ago. But there has been very little construction activity since then," an official said.

The convention-and-exhibition centre will consist of five exhibition halls, a convention auditorium to accommodate 2,000 people, conference halls, boardrooms, shops and offices, public areas and car parking space. The commercial complex will be spread over 5.38 lakh square feet of built-up area and will house a multiplex, shopping malls, an entertainment centre, offices and shops, a hotel and restaurants.

Parinee Developers with an FSI of 5.89 and Starlight System with an FSI of 5.97 are among those who have got sanction for additional built-up area in the BKC. G Block of the BKC has about 80 plots. MMRDA officials said 75 of them were occupied.

There are about 300 buildings in the BKC, which have come up in phases since the mid-1980s. It was in 1977 that the state government decided to develop the BKC into a commercial hub to decongest the overcrowded island city, especially the southern tip of Nariman Point. A government report said the region, hemmed in by the Western Railway tracks to the west, the airport to the north, LBS Marg to the east and the Mahim Creek to the south, would probably furnish the "best location for... an alternative centre of business".

The then Bombay Metropolitan Region and Development Authority was given the task of turning it into one. A series of land surveys and feasibility studies later, work commenced on the project in 1982-83 but gathered momentum in the early 1990s.

http://timesofindia.indiatimes.com/city/mumbai/Space-bonanza-as-unlimited-FSI-debuts-at-BKC/articleshow/5454555.cms

IchimaruGin1

January 18th, 2010, 03:40 PM

NTC resurrects 3 Mumbai mills

Has invested Rs 150 cr to modernise these mills, employing 2,500 workers.

Even as private textile mill owners here shift from producing cloth to developing real estate, government-owned National Textile Corporation (NTC) has pumped in Rs 150 crore to modernise three mills in the city, to be inaugurated on Tuesday.

The company’s three units in the city’s mill district — Tata Mills (Parel), Podar Mills (Lower Parel) and Indu Mills No 5 (near Lalbaug) — are set to use new German and American equipment. These mills employ over 2,500 workers and would carry out spinning and weaving operations only, not processing. They would together produce 10-12 million kg of yarn annually and 14 million tonnes of cloth.

The second innings for the three units comes when only two private undertakings — Ruby Mills and Bombay Dyeing — remain, both only partially operational. The others have either shut or been relocated to other parts of the state or to neighbouring Gujarat. For instance, Morarjee Mills shifted its operations to Butibori near Nagpur; a part of Ruby Mills went to Khopoli, Hindustan Mills to Karhad and some of Bombay Dyeing’s facilities shifted to Ranjangaon. Mafatlal Mills and Century Mills opted for Gujarat.

As for the land vacated by them in central Mumbai, it has been used to develop office complexes, apartments and shopping malls. Some are in the process of also building hotels, in line with the provisions of Development Control Rules.

Though some NTC properties have been sold, a Mumbai-based analyst said the development is quite significant, that NTC preferred to modernise and run these mills than opt for closure to reap a windfall through the sale of land. Property prices have picked up in recent months and in central Mumbai, the going rate is in the region of Rs 20,000 per sq ft.

“Three mills are located on 50 acres. NTC has ploughed back a portion of proceeds of sale of land from other mills to revive these,” an official who did not wish to be identified to Business Standard.

But, he said, given the high cost of power, the public sector company would be asking the state government to provide electricity at subsidised rates.

NTC used to have 25 mills in Mumbai. Apart from the revival of these three, it has taken the joint venture route to redevelop India United Mills No 1, Apollo Mills and Gold Mohur Mills, in south-central Mumbai. These mills were closed after NTC got approval from the Board for Industrial and Financial Reconstruction.

The redeveloped mills will not be composite units but will have a garment unit and other allied businesses. NTC has closed 19 mills and paid about Rs 12 lakh to each worker. Maharashtra minister of state for industry Sachin Ahir said NTC has entered into an agreement with the textile millworkers union, the Rashtriya Mill Mazdoor Sangh, for providing jobs to nearly 5,000 workers in the to-be-redeveloped India United Mills No 1, Apollo Mills and Gold Mohur Mills.

http://www.business-standard.com/india/news/ntc-resurrects-3-mumbai-mills/382966/

IchimaruGin1

January 18th, 2010, 03:41 PM

Office space rentals dip again in Nariman Point

The micro-market of Nariman Point was among the few in the country where office space rentals fell over the last quarter in an otherwise stabilising commercial real estate market.

According to a report by commercial real estate services firm CB Richard Ellis, this is primarily due to relocation of offices from Nariman Point to further north of Mumbai. Rentals of grade A offices in the Central Business District (CBD) of Nariman Point, Fort and Cuffe Parade fell from Rs 300/sq ft to Rs 290/sq ft a month while those in grade B offices fell from Rs 225/sq ft to Rs 210/sq ft a month. The overall rentals in the area decreased by three per cent over the last three months of 2009.

“The Central Business District (CBD) of Nariman Point continued to witness pressure on absorption on account of tenants relocating or evaluating potential relocation to the Extended and Alternate Business Districts,” the report says.

Some of the major offices that have recently vacated more than 1 lakh sq ft of office space in Nariman Point include JP Morgan that has shifted to Kalina and Hindustan Unilever that has moved to Andheri. As a result, grade A office space in Nariman Point, which had a high vacancy rate of 10 per cent in September last year, has now registered a higher vacancy rate of 18 per cent.

In contrast, the report points out, the Alternate Business District (ABD) of Bandra Kurla Complex and Kalina witnessed absorption of 78,000 sq ft over the last three months alone, leading to a six per cent increase in rentals. Also, several ‘cost-conscious’ companies have moved to the secondary business district of Andheri, Vile Parle, Jogeshwari while the peripheral business district of Powai and Goregaon witnessed an increase in demand for back office space.
Anshuman Magazine, chairman and managing director of CB Richard Ellis, South Asia, said, “Since the third quarter of 2009, the office segment has seen some movement with corporates slowly returning to the market and office space take-up improving.”

In 2010, the demand is expected to improve though the rentals will remain the same in the near future owing to the large supply of office space, according to Magazine.
http://www.indianexpress.com/news/office-space-rentals-dip-again-in-nariman-point/568596/2

Bombay Boy

January 18th, 2010, 05:09 PM

seems like a lost cause the ntc is pursuing. better to use that money to offer the workers VRS. i doubt a unit in the middle of prime bombay real estate is going to be able to compete with much larger and cheaper run units in maharashtra, gujarat and other states. it just doesnt make sense

IchimaruGin1

January 18th, 2010, 05:28 PM

IchimaruGin1

January 18th, 2010, 06:43 PM

Godrej Properties, Sole Indian 2009 Realty IPO, Gains in Debut
Jan. 5 (Bloomberg) -- Godrej Properties Ltd., the sole major Indian real estate developer to sell shares in an initial public offering last year, gained as much as 20 percent in its Mumbai trading debut.

The real estate company, controlled by Indian billionaire Adi Godrej, raised 4.69 billion rupees ($101 million) selling 9.43 million shares to individuals and institutions last month. The shares traded 11 percent higher at 544.3 rupees as of 2:10 p.m. today, after climbing as high as 586.8 rupees.

“We see demand for homes quite strong,” Executive Director Pirojsha Godrej, Adi’s son, told reporters in Mumbai. “There is now greater confidence in the Indian economy. We see the industry performing well for many years.”

The Mumbai-based developer plans to use the funds to reduce debt and build new projects in a nation that faces a shortage of 24.7 million homes, according to government data. The company may need to raise an additional 30 billion rupees over the next three years, Chairman Adi Godrej said.

Lodha Developers Ltd. and Emaar MGF Land Ltd. are among other property companies planning to raise a combined 164 billion rupees selling shares. The developers are seeking to take advantage of a doubling in the benchmark Bombay Stock Exchange’s Sensitive Index since March. The exchange’s Realty Index has risen threefold in the same period.

Godrej Properties sold 7.73 million to individuals and institutions at 490 rupees a share. The Mumbai-based developer sold about 1.7 million shares to anchor investors at 530 rupees a share. The institutions include JF India Fund, JF Eastern Smaller Companies Fund, Ward Ferry Management Ltd. and Royal Bank of Scotland Group Plc, the company said on Dec. 8.

Affordable Housing

Godrej Properties plans to sell about 80 percent of its homes for less than 3.5 million rupees each to tap buyers of affordable homes.

“I see a huge opportunity in the affordable housing segment,” Adi Godrej said at the Bombay Stock Exchange after the shares began trading. “I don’t expect prices to rise back to the unrealistic levels of 2007.”

The company plans to begin selling homes at its 330 acre (134 hectare) project in the city of Ahmedabad, in the western state of Gujarat, in a few weeks, Godrej said. It also plans to start work by October on a 35-acre project in north Mumbai to build offices, high-end retail stores and a hotel.

The developer forms joint ventures with land owners to avoid tying down capital for land purchases, Godrej said. This helps reduce risk on land price movements, he said.
http://www.bloomberg.com/apps/news?pid=20601091&sid=a8wFLFZtMbzE

IchimaruGin1

January 18th, 2010, 06:46 PM

Are our cities ready for e-governance?

Are our cities ready for e-governance?
7 Jan 2010, 0218 hrs IST,

Save Print EMail Share Comment Text:
The mid-term appraisal of the Eleventh Five-Year Plan (Eleventh Plan) is currently under way. The Planning Commission is assessing in detail the

performance of the economy as well as the performance of individual sectors in relation to the targets set in the 11th Plan. Chapter 11 of the Eleventh Plan is on urban infrastructure, basic services and poverty alleviation. This chapter makes a case for e-governance, as specified in the Jawaharlal Nehru National Urban Renewal Mission (JNNURM).

The key objectives of the JNNURM are to introduce e-governance in the municipalities to provide single-window services to the citizens, to increase efficiency and productivity of the urban local bodies (ULBs), and to provide timely and reliable management information. This chapter also emphasises the role of information technology in efficient governance and in provision and management of urban services.

We conducted a study to assess the state of e-governance and other related characteristics of India’s 35 cities with million-plus population. While the findings from this study are still preliminary, they have a number of implications for e-governance in India’s cities. With respect to e-governance, we categorised e-governance services of cities into two types: information-oriented and service-oriented.

In the area of information, we examined whether the budget of the city for the most-recent year was online, whether information for building sanctions and drainage/water connection were online, links to the Right to Information Act (RTI), and links to important locally-provided public services such as water supply, sanitation, sewerage, solid waste management, roads and street lighting. We examined whether the municipal corporation website has a map of the city and contacts for the city.

When we examined the scores on information attributes, we found Greater Mumbai was the only one with a perfect score. The closest score to this baseline was a distant Vijayawada. When we looked at attributes, the most popular one receiving attention on city websites was the link to the RTI which most (23 out of 35) cities adhered to, followed by their contact information. The one attribute that municipal corporations were unable to manage online was the information on drainage/water connection for which the customers’ physical presence seemed to be required. Only four out of the 35 cities could make this facility available online.

In the area of services, we considered the following six attributes: whether there is provision for online payment of property taxes, water charges, online registration of birth and death, online complaints registration, online feedback and whether provision existed for online tendering and auction. We found Greater Mumbai was again the one with a perfect score with all services considered being online, followed by Hyderabad.

When we examined scores across attributes, we found that the most popular one was the online registration of complaints, followed by online feedback. The one service on which most cities performed poorly was online payment of water charges, for which only four out of the 35 cities made a provision. This is a surprise because nearly 12 cities made provision for online payment of property tax.

However, this might be explained due to considerable variability in the institutional arrangement for water supply across cities. In Bangalore, for example, a utility, the Bangalore Water Supply and Sewerage Board (BWSSB),
is entrusted with this responsibility, whereas in cities such as Pune, the municipal corporation itself has this responsibility. These expenditure responsibilities are mandated by the statute. Hence, the capacities
of the service provider might help explain variability in online payment of water charges.

We found that cities with an information orientation on their websites were Greater Mumbai, Chennai, Vijayawada, Delhi, Kolkata, Hyderabad, Amritsar, Madurai, Bangalore, Patna and Ludhiana. We found that cities with a user-orientation, or service-focused, in their websites were Greater Mumbai, Hyderabad, Madurai, Pune, Indore, Chennai, Bangalore, Ahmedabad, Ludhiana, Allahabad and Varanasi.

Our findings indicated that the cities with both low information and low service-orientation websites were Lucknow, Agra, Kanpur, Asansol and Dhanbad.

Summarising, our findings indicated that the largest cities, especially those with more than 10 million inhabitants, fared relatively well in their preparedness towards becoming digital compared to smaller cities. Despite the variance in the adoption of e-governance across the large Indian cities, we should recognise that cities in the e-governance era are much more open to citizen complaints and grievances than they were earlier. Though Indian cities are still evolving in their digital status, governments, private organisations and citizens should take cognisance of the fact that connectivity and information-sharing are the stepping stones for transparency and accountability in governance.

http://economictimes.indiatimes.com/news/politics/nation/Are-our-cities-ready-for-e-governance/articleshow/5418281.cms

IchimaruGin1

January 18th, 2010, 06:54 PM

Nice Ads beats MMS to get ad rights in local trains

Nice Ads, a Mumbai-based outdoor media owner, has recently bagged the rights to the route map transfers placed above the entry and exit doors in Mumbai's local trains which were first owned by MMS. The company has won the rights for three years for all local trains shutting on the Central and Harbour Lines of Mumbai.

The company will look after the branding on a total 96 trains on these two lines. A nine-coach train has 66 transfers to assist commuters with directions, stations, distance and time taken to reach while and the twelve-coach ones have 88 transfers each.

Elaborating on why these transfers make for great advertising space Nikesh Gupta, owner, Nice Ads, says, "Route map transfer is certainly a cost-effective medium and is ideal because of its strategic location, just above exit doors. Over 30 lakh commuters travel by train on the Central and Harbour lines; therefore, cost per thousand is extremely low."

Advertising costs on a single nine-coach train with all its 66 transfers comes to around Rs 18,000 and Rs 22,000 for the twelve-coach train.

http://www.medianewsline.com/news/128/ARTICLE/5628/2010-01-18.html

IchimaruGin1

January 18th, 2010, 07:01 PM

Powai Hill to have villas and service apts, approach via spiral concrete drive-way

Powai - 17 January 10 : Powai is getting all set for the next wave of concrete revolution. After the Hiranandani complex, it is the upcoming 'Supreme City' on the base and top of Powai Hill that is going to become the next icon of excellence here. It shares its neighbourhood with Winchester bldg in Hiranandani Business Park along the base of the hill. It is exactly located just behind Avalon/Verona and Lake Castle bldgs in Hiranandani Gardens at the fag-end of Forest Street.

The project is an architectural marvel, the Supreme City sprawls across a versatile landscape of over 32 acres with a distinct topography, it has only 10 per cent of the land parcel as construction blue print while the rest remains open. The project was conceived by Bhawani Shankar Sharma who has taken Supreme Group to great heights by executing prestigious public road projects.

Backed by modern technology it consists of a business park, residential villas, service apartments, helix, and a lake are sprawling over the contoured basalt hill canvas - The grand set-up of the project is accentuated by the central visual axis which is an end-to-end 220 mt. long unobstructed view that originates at a 150 ft. high waterfall fuelling the 3.5 acre lake and an array of cascades, retention pools and waterfalls that stretch right up to the entrance.

Explaining their foray into the such a project the third generation scion of the Sharma family, Vikram Sharma of 'Supreme Real Estate Innovations' said, “Since the land belongs to us and had been lying unsued, we conceived something path-breaking and architecturally innovative that will be a sound investment offering to corporates and alike.

There exists nothing like this in Mumbai, it could match any modern international city. We have taken care of environmental concerns by employing world class consultants. Not only this we will make the hill green and beautify as the project takes shape.”

The Business Park with its impeccable mix of commercial and social infrastructure will be easily accessible from both Central and Western suburbs. Construction is 90% complete and it would be ready by the monsoon of 2010. It is a three stack architecture built like in a campus style with two wings, where one is cantilevered over the natural lake below.

Speaking to PP, Shivanand Samant, the CEO, he said this on the environmental aspects, “We have ensured to get the project cleared by the relevant authorities and have obtained prior permission in all aspects. We intend to be transparent and ethically responsible to preserve the environment around.”

When asked, will the Missile Launching position on the hill get disturbed? Vikram Sharma said, “We are only using the Western side of the hill which belongs to us. The missile site is further to the East which we are not disturbing at all. Moreover, we have got clearances to this effect from the government. Do you think we would have got clearances like this from the authorities, without meeting norms?”

The project is being executed in strategic partnership with CB RICHARD ELLIS and has been designed by Architect Raja Aderi who has studied architecture under Frank Loyd Wright in US. Aderi has worked on many international projects. In India he is known for his buildings like: Essar Towers Mumbai, Hotel Le Meridien, ICICI Bank in Bandra Kurla, Jawahar Bhavan Delhi and Technolpolis Mumbai.

A unique spiral concrete drive-way, HELIX will connect the lower contours of the site with the higher ones, thereby ensuring minimum intervention with the existing landscape. It has an overall height of 71 meters Spread across 9 levels. In the center, is planned an Activity Center, around which will be the spiral ring road. Radial car parking space provision is provided on each floor with the top most floor conceptualized as a Dome Restaurant cum banqueting service facility. The Activity Center with 4000 sq. ft. on each floor would have indoor activities like squash courts, billiards room, table tennis, etc.

On the hill top will be Service Apartments in a crescent shape. It will have a total of 130 bays across 8 floors, the stepped terraces dotting each bay shall have an unmatched view of the sky-line of the economic capital of the country Underlining its marvellous architecture will be a swimming pool cantilevered outside the building.

Perched high on the basalt hill shall be Residential Villas that shall complement the comprehensive package of Supreme City. Styled with contemporary architecture and modern amenities, these boutique villas provide a rare advantageous combination of lifestyle, luxury and location.

The entire city would be complete by 2013.

http://www.planetpowai.com/news/1701201001.htm

IchimaruGin1

January 18th, 2010, 07:03 PM

Mumbai could become next ICC headquarter

Telegraph report claimed that India has started an exercise to further strengthen its hold over the International Cricket Council by relocating the ICC headquarter from Dubai to Indian financial capital Mumbai.

The BCCI is expected to expedite its effort for the same after the succession of politically strongman Sharad Pawar as a next President of International Cricket Council in July next year replacing outgoing President David Morgan. The move requires a 7-3 majority of the Test-playing countries, which is not considered as a bird in the bush for India, the powerhouse of the world game.

However, there may be opposition from certain quarters as England and New Zealand never want to house ICC headquarter in Mumbai, as also vindicated by their traditional stance in ICC executive board meetings.

Lord MacLaurin, the former Chairman of the ECB, while opposing any such move, said, "I think it was a tragedy when the ICC left Lord's, the home of cricket. I believe Gordon Brown when Chancellor was ready to make some tax concessions, but it didn't happen.”

The next headquarter may find place near the BCCI office block next to the Wankhede stadium in Mumbai or at Bandra Kurla complex near the airport, according to the report.
http://topnews.ae/content/21105-mumbai-could-become-next-icc-headquarter-daily-telegraph

IchimaruGin1

January 18th, 2010, 07:05 PM

Kotak fund invests Rs 105cr in Sunteck Realty SPV: Sources

The Kotak Group’s private equity fund with a focus on real estate, Kotak Realty Fund, has invested Rs 105 crore in Sunteck Realty. CNBC-TV18’s Priyanka Ghosh reports.
The Kotak fund and Sunteck Realty have come together to invest in a project in Bandra Kurla Complex, Mumbai, in which both partners have a 70:30 share. The investment is based on a profit-sharing basis, on a special purpose vehicle (SPV) model, sources said. Sunteck would build residential projects on a BKC plot, which measures a little less than 1 acre.
Incidentally, the plot was at the centre of one of the most expensive real estate deals when Sunteck bought two plots admeasuring at under 2 acres at Rs 496 crore. Sunteck, which had for long been deferring payment, has now made a payment of about Rs 190 crore, sources said, and the latest bout of capital from Kotak may help the company further. The company in November raised funds by selling shares through the qualified institutional placement (QIP) route.
Realisations for the project are expected to be to the tune of Rs 700 crore, it is learnt.
Incidentally, this is second time Kotak has associated with Sunteck. In 2007, the fund picked up a 10% direct equity stake in the company.

http://www.moneycontrol.com/news/advertising/kotak-fund-invests-rs-105crsunteck-realty-spv-sources_435733.html

IchimaruGin1

January 18th, 2010, 07:08 PM

Mumbai Port Trust sets sail on Rs 3,652 crore projects

Mumbai: The Mumbai Port Trust (MbPT) is going ahead with its plan to develop two commodity berths, a second chemical jetty, a cruise
ship terminal, and an offshore container terminal, at an estimated cost of Rs 3,652 crore, said P Mohanchandran, secretary of the port.

According to Mohanchandran, the proposed ultra-modern commodity berths, one for dry bulk and the other for conventional cargo including break-bulk, costing a total Rs 90 crore, will replace four century-old berths (number 1, 2, 10 and 11) at Indira Dock.

The port has received three expressions of interest for the dry bulk berth, and seven for the conventional cargo berth, he said.

“Short-listed bidders will be invited next week to submit requests for proposal in two covers, one each for technical and financial (revenue sharing) offer. The project contract in the form of concession lease licence, and will be awarded before the end of the current financial year,” said Mohanchandran.

The companies that have bid for this project include ABG Ports Pvt Ltd, Mundra Ports & SEZ, SNB Infrastructure Pvt Ltd, Parekh Marine Group, Aditya Marine, and US-based Master Marine Services.

The second chemical jetty, estimated to cost Rs 116 crore, will be a self-financed venture at the port’s existing offshore Peer Pau oil terminal. NW18

http://www.dnaindia.com/money/report_mumbai-port-trust-sets-sail-on-rs-3652-crore-projects_1335347

IchimaruGin1

January 18th, 2010, 07:11 PM

CBaySystems opens new centre in Navi Mumbai

MUMBAI: Leading transcription technology and service provider, CBaySystems, on Wednesday said that it has expanded its Indian operations with a new centre in Navi Mumbai.

Located in Mindspace, Airoli, this 45,000 sq ft centre can seat over 800 employees.

“The new facility is a testament of our leadership position and our commitment to provide a productive working environment to our employees. The new centre will enable us to accelerate our growth plans in Mumbai,” the CBaySystems (India) Chairman and Man aging Director, Mr V. Raman Kumar, said in a press statement issued here.

The company plans to grow its employee strength at this centre to 800 by end-2010, he said.

“This is in line with our larger growth strategy to increase our total workforce in India to 9,000 by 2010 from the current strength of 6,200,” he added.

CBaySystems sees a tremendous potential for providing medical transcription services in the US healthcare outsourcing market, the statement said.

At present, the company has a workforce of 6,200 employees and operates out of a network of 42 centres spread over 11 cities, it added. — PTI
http://www.thehindubusinessline.com/blnus/02231403.htm

IchimaruGin1

January 19th, 2010, 05:46 PM

Wadhwa Group buys Mumbai suburb plot for Rs 571 crore

In one of the biggest land deals in the country in the past one year, the Mumbai-based Wadhwa Group today said it had bought 18.18 acres in Mumbai’s Ghatkopar suburb for Rs 571 crore from Hindustan Composites Ltd. The deal works out to Rs 7,210.31 a sq ft (1 acre equals 43,560 sq ft).

The developer has tied up Rs 300 crore from the Indiabulls Group to pay for the land and will use internal accruals to fund the rest of the deal. Consultants termed the deal expensive, given the prevailing property prices.

“I think it is a good price for the seller. The buyer will be able to make his returns by the time the project gets all approvals and gets going. Since markets have improved, such deals are happening now,” said Akshaya Kumar, chief executive of Park Lane Property Advisors.

In 2008, another developer, K Raheja Universal, had almost bought the same land for Rs 700 crore but the deal did not go through.

The Wadhwa Group plans to sell the property for about Rs 9,000 a sq ft. It plans to launch a complex by the name Address, with 10 buildings on the said land. “The plan is to launch the project by January 31,” said Vijay Wadhwa of the group. Apartment prices in Ghatkopar range from Rs 6,000 to Rs 10,000 a sq ft.

“We have paid a price that is a little high. But, you do not get such a big chunk of land in Mumbai. We want to build and sell the products at affordable rates. We are getting enquiries from diamond merchants, NRIs and stock brokers,” he added.

The national record for a commercial land deal was created by the Wadhwa Group itself, when it won a plot that was less than two acres in size at the Bandra-Kurla Complex in Mumbai for Rs 831 crore in November, 2007. When the property market went down, the Mumbai Metropolitan Region Development Authority came to its rescue and increased the floor space index (FSI)— the amount of construction permitted on a given piece of land. The group got an FSI of 9.34 for the land.

http://www.business-standard.com/india/news/wadhwa-group-buys-mumbai-suburb-plot-for-rs-571-crore/383048/

IchimaruGin1

January 19th, 2010, 05:48 PM

World's first Indian art hotel 'Le Sutra' to open in Mumbai today

Mumbai-based real estate developer and hospitality player, Bajaj Group will be opening its Indian art hotel 'Le Sutra' at Khar Road in Mumbai today. This will be the world's first Indian art hotel. The Group has converted its existing hotel 'Hotel Pali Hill' into an art hotel. The 16 room art hotel houses F&B outlets namely Out of the Blue, Olive Bar & Kitchen and Deliciae. The three-storeyed hotel has each floor depicting different characteristics Sattvic, Rajasic, Tamasic and each of these 16 rooms are based on either 'characters' (Ravana, Ashoka, Buddha) or 'characteristics' (sensuality, love, purification) inspired by Indian mythology. Initially, Sattvic level rooms will be operational with rooms namely Prakriti, Nirvan, Shuddhi and Mandala.

Speaking exclusively with Hospitality Biz, Radha Bajaj, Director, Bajaj Group of Hotels said, “Sutra in sanskrit means a rope or thread that holds things together and Le Sutra is the thread that binds Indian art and Indian hospitality together. Le Sutra is the effort of 18-25 designers which have been put together and represented in the form of an art hotel. We do not believe in offering only a room full of art but rooms which have a story to tell. The average room rate for Le Sutra would be around USD 250.”

Talking about the target audience, Bajaj said, “We have created a project not only to attract mind, body and spirit but hospitality, aesthetics and mind. However, the target would be business travellers, NRIs, people with knowledge and love for art and culture and also those in the age group of 25 to 40, since these people are open to experimenting new things and trying out contemporary Indian design.”

Elaborating on further expansion plans, Bajaj said, “Currently, another Le Sutra at Dehradun with 116 rooms is under construction. We will be converting our hotel at Visakhapatnam 'Palm Beach Hotel' into Le Sutra. However, we are negotiating with dealers in Kolkata, Goa, Delhi, Chennai and Rishikesh to introduce this brand. We are not focusing on a particular market or city but are looking for those destinations wherein art as a concept can be well accommodated. We are open towards different modes of operations like joint ventures, lease and rent.”

http://www.hospitalitybizindia.com/detailNews.aspx?aid=7249&sid=1

IchimaruGin1

January 19th, 2010, 05:53 PM

Maha SEZ plan put off

Mukesh Ambani [ Images ] and Anand Jain promoted Mumbai [ Images ] SEZ Ltd has suspended its land acquisition for the MahaMumbai special economic zone in coastal Raigad for an indefinite period.

The company may drop the project altogether, as it was not able to acquire "a minimum of 1,000 hectares of contiguous land" as mandated by the SEZ Act.

The company had acquired over 1,500 hectares, but non-contiguous land, at Rs 10 lakh per acre, by mutual consent. It is now considering a gas-based power project on the land. The company also awaits the passage of Land Acquisition (Amendment) Bill in Parliament, whereby a company can acquire 30 percent of land forcefully to achieve contiguity, if it has already got 70 percent of the total land. Mumbai SEZ officials declined to comment.

Sources familiar with the project said the fate of the MahaMumbai SEZ was virtually sealed, as the Maharashtra [ Images ] government had not recommended the SEZ proposal afresh for issue of in-principle approval by the department of commerce.

Earlier approvals for the SEZ had lapsed.

A senior state government official, who did not want to be quoted, told Business Standard on Tuesday: "As the land is not contiguous as mandated under the SEZ Act, there is no question of development as far as land acquisition is concerned. Approval to the company is subject to its' filing of fresh application, along with fresh state government recommendation. The matter being a sensitive one, the government has yet to take a call whether or not to recommend for land acquisition."

He added that during a referendum taken in October 2008, farmers and villagers had cast their votes against the project and, therefore, the government would think hundred times before recommending Mumbai SEZ's case.

"Chief Minister Ashok Chavan [ Images ] is expected to ask the industries minister, Rajendra Darda, to review the case and submit a report to him," he said.

Meanwhile, Vivek Patil, a legislator from the Peasants and Workers Party, which is spearheading the agitation against the SEZ project, said a fresh protest would be launched if the government recommended the Mumbai SEZ proposal to the commerce department.
Sanjay Jog in Mumbai

http://business.rediff.com/report/2010/jan/06/maha-sez-plan-put-off.htm

IchimaruGin1

January 19th, 2010, 05:57 PM

Marriott bullish on India

MUMBAI, India—Marriott International’s strategy for India includes a heavy emphasis on the Courtyard by Marriott brand, according to the company.

Courtyard, Marriott’s “upper moderate” product, is critical to Marriott’s growth in India, said Rajeev Menon, Marriott’s area VP for India, Pakistan, Maldives & Malaysia.

Four Courtyards recently opened in India: The 164-room Courtyard by Marriott Hyderabad; the like-sized Courtyard by Marriott Ahmedabad in Gujarat; and the 199-room Courtyard by Marriott Gurgaon each opened in November. The Gurgaon property is Marriott’s first foray into the National Capital Region of Delhi.
The 299-room Courtyard by Marriott Mumbai International Airport opened a month later. Mumbai, the nation's economic heart, features the highest concentration of Marriott product. It is Marriott's Indian analog to Washington, D.C.

“Due to the global economy shift, upper moderate products are becoming increasingly popular in India,” Menon said via e-mail. “We currently have four Courtyards in India with 12 more in the pipeline.”

These hotels suit primary and secondary markets and “provide full service, offer meeting spaces and all the other amenities at a lower price,” Menon said. They also differ greatly from their select-service U.S. parent, which doesn’t feature restaurants like the MoMo Café, a full-service eatery featuring Western and Indian cuisine.

The economic downturn has prompted Marriott to offer Indian Courtyard guests a special promotion through 31 January. “You Stay, We Pay” gives customers INR3000 (US$64.36) in credit redeemable for hotel services such as the all-day restaurant MoMo. The introductory rate at the Courtyard in Hyderabad, through 31 January is INR4499, or about US$96.50. At the Gurgaon Courtyard, the “You Stay, We Pay” rate is INR9500, or nearly US$204. Gurgaon is the center of business process outsourcing in the country.

These Indian Courtyards also provide roomservice and meeting space: The Courtyard in Hyderabad, a center of information technology in the south, offers seven meeting rooms with nearly 7,000 square feet of space, with full catering services and staff. It is located next to the Hyderabad Marriott Hotel & Convention Centre, so the two hotels, connected by a bridge, can offer one of the largest convention spaces in town and open 350 rooms to residential conferencing at one time.
In addition, rooms at these Courtyards are oversized: 32 square meters, or about 344 square feet. The Courtyards also offer recreation facilities and, in primary markets, an additional specialty restaurant: Red Zen, at the Mumbai and Gurgaon Courtyards, spotlights Asian cuisine.

No master franchisor

Viceroy Hotels Limited, one of several developers and investors in India with whom Marriott has a relationship, owns the Courtyard Hyderabad and the Hyderabad Marriott Hotel & Convention Centre and is developing a JW Marriott in Chennai, a Marriott Executive Apartments in the Jubilee Hills section of Hyderabad, and a Renaissance in Bangalore.

Other Marriott developers own similar, multiflag portfolios. That’s the way Marriott likes it, Menon suggested, noting a country of such size and diversity doesn’t lend itself to a master franchisor.

Viceroy's seven-star, 387-room Chennai project is expected to cost RS620 crore, its 300-room Bangalore project RS311 core. The respective US figures are about US$130 million and US$66.6 million. Both projects are due to open in December 2010. Viceroy is trying to raise about RS150 (US$32 million) through private placement.

The exterior of the Courtyard by Marriott Gurgaon. “Most of these owners are highly reputed and established families in their specific markets,” Menon said, citing K. Raheja Construction in Mumbai, the Salgaocar Group of Companies in Goa, and the Chordia Group in Pune. “This puts Marriott in a unique position of strength, as these owners have long history and are well entrenched in their respective markets.”
Marriott, which has deployed five of its flags in India, doesn’t own any of its hotels there.

“We manage all our hotels in India under a long-term management agreement,” Menon said.
Its largest property is the 355-room JW Marriott Mumbai. Its other flags are Marriott Hotels & Resorts (in Goa) and Renaissance Hotels & Resorts and the extended-stay Marriott Executive Apartments (in Mumbai). It aims to introduce Ritz-Carlton to India in 2011, according to Menon.

http://www.hotelnewsnow.com/Articles.aspx?ArticleId=2533&ArticleType=35&PageType=News

IchimaruGin1

January 20th, 2010, 01:31 PM

Orbit May Sell Stock to Fund $11 Million Mumbai Homes

Jan. 20 (Bloomberg) -- Orbit Corp., India’s best-performing real estate stock, plans to raise funds from institutions and a buyout firm to build apartments costing as much as $11 million in a nation with Asia’s second-largest number of billionaires.
Orbit may sell as much as 3.5 billion rupees ($76.3 million) of stock to institutions in the first half of the year, Managing Director Pujit Aggarwal said in an interview. The Mumbai-based developer is close to getting 1.75 billion rupees from a private-equity fund to build 200 acres of luxury villas at Mandwa, 33 kilometers (21 miles) from Mumbai along the Arabian Sea, he said. Orbit shares rose as much as 5 percent to their highest level since June 2008.
Demand for luxury apartments is rising as the biggest rally in stocks in 18 years, doubling of copper and sugar prices, and record rice harvests boost the ranks of the affluent in the second-fastest growing economy among the Group of 20 nations. The South Asian nation has 84,000 millionaires, according to the 2009 World Wealth Report by Cap Gemini SA and Merrill Lynch Wealth Management.
“Mumbai is the deepest market, the demand is phenomenal and any money that comes in will be used for further growth,” Aggarwal, 37, said in an interview. “If we can manage funds from internal resources then we may defer such a share sale.”
Orbit’s shares have surged sevenfold in the past 12 months, making it the best-performing stock in the Bombay Stock Exchange Realty Index. They were trading at 339 rupees, up 2.3 percent, at 12:50 p.m. in Mumbai.
India’s benchmark stock index, the Sensex, gained 81 percent in 2009, while the S&P GSCI Index of 24 raw materials rose 50 percent, the most since at least 1971.

Home to Billionaires

About 40 percent of India’s 52 billionaires, the most in Asia after China, live in Mumbai, according to Forbes magazine. The city is home to India’s two main stock exchanges, its biggest trading centre for diamonds, bonds, currency, gold and other commodities. It is also the main centre for the world’s most prolific movie-making industry. Two-thirds of Orbit’s properties are in central and south Mumbai.
“Areas such as south Mumbai and south Delhi always command a certain premium,” said Vivek Dahiya, the chief executive of New Delhi-based GenReal property advisory firm. “One always finds buyers here irrespective of the cycles.”
The number of millionaires in India and China are expected to triple between 2008 and 2018, according to the Merrill Lynch and Cap Gemini wealth report.

Dilapidated Buildings

About half of the 16 million residents of Mumbai, the commercial capital of the world’s second-most populous nation, live in slums. That’s more than the population of Switzerland.
Orbit, which has built 500,000 square feet of space, mainly by tearing down old and dilapidated buildings, is building 3.2 million square feet, Aggarwal said. Orbit will start developing another 3 million square feet over the next four quarters, he said.
“Through the re-development route one can get land for a fraction of the price,” Aggarwal said. “Fresh land in south Mumbai is anyway not available.”
Mumbai has almost 20,000 buildings that are old and crumbling, he said. Developers such as Orbit buy out the residents or offer them alternative homes as per the municipality rules to get the necessary land for luxury homes.

http://www.businessweek.com/news/2010-01-20/orbit-may-sell-stock-to-fund-11-million-mumbai-homes-update1-.html

IchimaruGin1

January 25th, 2010, 03:30 AM

Mumbai to Sell Offices in Reclaimed Marshland for $94 Million

Jan. 24 (Bloomberg) -- Mumbai, India’s financial capital, plans to sell office space in an emerging business district at a minimum price of 4.35 billion rupees ($94 million) in a deal that may test demand for property amid an economic recovery.

The Mumbai Metropolitan Region Development Authority, or MMRDA, plans to sell 14,500 square meters (157,900 square feet) of built-up area on 3,162.5 square meters of land in Bandra- Kurla, where Citigroup Inc. and the nation’s capital markets regulator are located. The reserve price is 300,000 rupees ($6,500) per square meter, the authority said in a newspaper advertisement, unchanged from the last such offer in 2008.

The sale aims “to cater to the growing demand for business area” in the north-central neighborhood that was reclaimed from marshland, MMRDA said. Indian and overseas companies in the financial services, insurance, fund management, information technology, telecommunication, among others can bid for the land, the advertisement said. Bids will open on March 3.

Standard Chartered Plc and Nomura Holdings Inc. are among companies expanding their India operations as consumer spending fuels growth in Asia’s third-biggest economy. An 81 percent rally in the benchmark stock index in 2009 has also revived developers’ interest, with Lodha Developers Ltd. and Sahara Prime City Ltd. among at least nine property companies planning to raise about 164 billion rupees in initial sale of shares.

Daily Commute

Bandra-Kurla is centrally located in the Manhattan-shaped island-city and the authorities are increasing its access with a new Metro rail, in addition to the existing commuter-train and road networks. The existing main business district in South Mumbai at the tip of the city lacks expansion space and stretches daily commute to up to four hours for some.

The new business district is closer to the city’s two airports, compared with Nariman Point in South Mumbai, which is about 25 kilometers from the closest domestic airport.

The last sale of land in 2008 attracted buyers for only three of the five plots on offer as the global economic slowdown dried up funds and demand for property. Jet Airways India Ltd. then bid 344,448 rupees a square meter for a land parcel with a maximum 24,000 square meters of development area.

India’s gross domestic product grew 7.9 percent in the three months ended Sept. 30, making it the fastest-growing major economy after China. Finance Minister Pranab Mukherjee on Jan. 8 forecast a growth of as much as 7.75 percent for the year ending March.

The Reserve Bank of India has slashed interest rates to record low to shield India’s $1.2 trillion economy from the global recession, fueling demand.

http://www.bloomberg.com/apps/news?pid=20601091&sid=ay9Wctyk2tBI

IchimaruGin1

January 25th, 2010, 03:32 AM

Mumbai Plans Bollywood Park in Biggest Land Deal in 21 Months

Jan. 22 (Bloomberg) -- A group of private companies plan to develop a filmmaking center on the lines of Hollywood in a Mumbai suburb, after winning the biggest land bid in India’s financial capital since April 2008.
Future City Properties Pvt. yesterday won the right to develop 250 acres (101 hectares) of land at Kharghar, Navi Mumbai, about 40 kilometers northeast of Mumbai’s main business district, for 15.3 billion rupees ($332 million), Mohan Ninave, the spokesman for City and Industrial Development Corp. of Maharashtra, or CIDCO, said in a phone interview.
Mumbai boasts of a prolific movie making industry. Almost 479 films were produced in Mumbai in 2008, according to the Film Federation of India, to cater to the country’s 1.2 billion people and about 25 million Indians living abroad.
“This is a tipping point for Navi Mumbai as this project and other developments would make it a very attractive and growth oriented city,” Sanjay Dutt, chief executive for business at Jones Lang LaSalle in India.
The Future City group will set up film studios, pre- and post-production facilities, theatres, convention centers, hotels, entertainment for tourists and homes, just like Los Angeles’ Hollywood district, Ninave said. He declined to specify the timeframe for the project.
The developer group is partly owned by India’s Bhushan Steel Ltd., the DNA newspaper reported today. Neeraj Singal, managing director at Bhushan Steel, directed queries to Nittin Johari, financial director, who didn’t answer calls made to his work and mobile phone.

India’s Main Hub

Mumbai, home to India’s biggest companies, the two main stock exchanges, and prime trading centre for bonds, currency, and commodities, has been seeking to develop Navi Mumbai on the mainland to ease congestion in the island city.
“This project would also bridge the gap in entertainment, which is severely lacking in Navi Mumbai,” said Dutt. “The Bollywood park will have the potential to attract foreign and local tourists, besides generating more jobs in the entertainment industry.”
The Mumbai film industry is popularly called Bollywood, after Hollywood and Bombay, Mumbai’s earlier name.
The land deal is the highest since April 2008 when a group led by Larsen & Toubro Ltd., India’s biggest engineering company, paid 1.8 billion rupees to develop a commercial complex in Navi Mumbai.
Groups led by Indiabulls Real Estate Ltd. and Hindustan Construction Co. were the other two bidders, Ninave said.
The first phase of the Kharghar project will be developed by 2013 and the second by 2016, the Times of India reported today.
http://www.businessweek.com/news/2010-01-22/mumbai-plans-bollywood-park-in-biggest-land-deal-in-21-months.html

great india

January 26th, 2010, 08:30 PM

^^Awesome!

IchimaruGin1

January 27th, 2010, 02:17 AM

^

the great thing about it the rate at which they acquired the land.

IchimaruGin1

January 27th, 2010, 02:12 PM

Axis Bank, the country’s third-largest lender, is set to have its own headquarters (HQ) soon. The bank is close to finalising a deal with the Wadias to move its headquarters from the leased premises at Maker Towers in Cuffe Parade to the sprawling Bombay Dyeing mill complex at Parel in central Mumbai.

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While the deal size could not be ascertained, sources said the cost could be over Rs 500 crore. HDFC Realty is said to be advising the bank on the transaction.

When contacted, a bank executive confirmed that the deal had been nearly finalised. The going rate in the area was around Rs 13,000 per square feet, property consultants said.

Axis Bank has been on the lookout for acquiring a corporate headquarters for the last few years. However, the bank’s board had earlier turned down a proposal, citing high real estate cost. The proposal was revived after Shikha Sharma took charge last year.

Axis Bank is the latest in a series of financial sector companies to move out of the south Mumbai business district. A few months ago, JPMorgan shifted its India headquarters to Kalina, which is next to the Bandra-Kurla Complex (BKC). Swiss banking major UBS, too, has moved to BKC, which houses the headquarters of ICICI Bank, Citi, Bank of Baroda, Bank of India, Dena Bank and UTI, among others.

HDFC Bank, IndusInd Bank and Aditya Birla Financial Services would be Axis Bank’s neighbours, while private equity player KKR is also expected to move into the nearby Peninsula Complex.
http://www.business-standard.com/india/storypage.php?autono=383230

Abhishek901

January 27th, 2010, 08:45 PM

Is slipping of Mumbai only because of other cities growing faster or because Mumbai has stagnated ?

http://img24.imageshack.us/img24/4056/67629257.png

Source: Economic Times

IchimaruGin1

January 27th, 2010, 09:28 PM

hmm from what i can tell

Maharashtra gov is more interested to get big cos to invest in the state. So they are looking at bigger size of corps.

the tax collection from smaller cos was a nightmare.

Abhishek901

January 27th, 2010, 09:35 PM

but then even gap between the 2 cities is closing in terms of revenues and profits of companies.

IchimaruGin1

January 27th, 2010, 09:49 PM

but then even gap between the 2 cities is closing in terms of revenues and profits of companies.

true

it is

as i said before Mumbai as a city is waiting for India to float the rupee to attract more foreign cos.

IchimaruGin1

January 27th, 2010, 10:22 PM

Mumbai: The future of many projects is shrouded with uncertain after Union environment and forests minister Jairam Ramesh announced that no new projects in industrial clusters will be given clearance for the next eight months. However, it seems that Navi Mumbai will remain unaffected as no new proposals here are waiting for approval.

According to a study conducted by the Central Pollution Control Board (CPCB) and the Indian Institute of Technology (IIT), New Delhi, Navi Mumbai features in the list of the most polluted industrial clusters in Maharashtra.

“The decision pertains to the Trans Thane Creek (TTC) Industrial Estate. We don’t have any proposal for major projects in this area,” said Valsa Nair, environment secretary.
The proposed Navi Mumbai International Airport also will not be affected by the decision. “Since the proposed airport is in Panvel and the pollutant industrial cluster is in Navi Mumbai, it would not come under the purview of the decision,” Nair added.

http://www.dnaindia.com/mumbai/report_no-new-projects-industrial-clusters-navi-mumbai-won-t-be-affected_1340007

IchimaruGin1

January 27th, 2010, 10:24 PM

Navi Mumbai body asks banks to pay cess on gold deals
Public and private sector banks in the Navi Mumbai municipal area which have done gold transactions, will have to pay 1 per cent account-based cess on the total turnover. The Navi Mumbai Municipal Corporation (NMMC) could be the first civic body in the country to recover such a cess on gold transaction.

Transactions of gold items like coins, biscuits, chips and bullion to customers, including jewellers attract cess, a tax levied on the entry of goods in the local market. A cess is an alternative to the octroi duty.

NMMC has served notices to 150 branches of 25 banks for the non-payment of cess during 2000-2009. Since 1996, the civic body has been authorised to collect cess from private and government sectors.

According to NMMC, these banks clocked a turnover of Rs 800-900 crore during the last nine years. Banks would have to pay a total of Rs 18 crore for this period. This comprises a cess of Rs 9 crore, or 1 per cent of the total turnover, and another Rs 9 crore for delayed payment.

Indian Banks’ Association (IBA) sources said they were not aware of the recovery of cess from banks on gold transactions. They added that IBA had not received any representation from banks in this regard.

“The Navi Mumbai Municipal Corporation could be the first civic body to recover such a cess on gold transaction. These banks are registered with the civic body but, may be due to their ignorance, they have not paid cess during the last nine years. However, it is mandatory for banks to pay the cess. The civic body is able to find out non payment of cess on gold transactions after carefully examining their balance sheets,” said NMMC deputy commissioner Mahavir Pendhari.

“So far, the civic body could identify a turnover Rs 350 crore in gold transactions by going through the balance sheets of some of the banks. By the end of January or early February, we will be able to cover balance sheets of the remaining banks. Our estimate is that the total transaction would be close to Rs 900 crore,” he added. Pendhari informed that the civic body had received a boost after the High Court recently dismissed a petition filed by the Andhra Bank against the recovery of cess on gold transactions.

The high court has directed the Andhra Bank to approach the assessing officer of NMMC to give a bank guarantee on the payment of cess.

Meanwhile, a state government official said that other municipal bodies in Mumbai, Thane, Pune and Nagpur might follow the NMMC move to recover the octroi duty on gold transactions done by banks in their respective jurisdiction.

Pendhari said the civic body would not charge a penalty of 10 times of the turnover clocked by these banks but they would have to pay the 2 per cent interest rate for delayed payments.
http://www.business-standard.com/india/news/navi-mumbai-body-asks-banks-to-pay-cessgold-deals/383334/

Indian Rockstars

January 28th, 2010, 04:29 AM

Ichi boy...Mumbai is not waiting..mumbai is loosing the battle...read the artical carefully it states that the major companies have either setup their HQ's in NCR or are shifting from mumbai to delhi...examples are given too...they are not small companies....bharti airtel, pepsi, LG, Samsung, DLF, Unitech, Jindals, Hero Honda, MARUTI....etc etc etc etc......dude how can you call them small industries...yeah Coca Cola, Mercedes, BMW...Jaypee Infra, RANBAXY, HCL, "NOKIA"..kya yaar...too bad yoou call them small companies...

delhi deserves whats it getting from centre , delhi works to earn it...dude accept the fact atleast now....that mumbai is loosing its tag of financial capital to the National Capital very fast...and it has just overtaken mumbai infact.

cheers nt intended to start a fight club here....just the facts with links

Indian Rockstars

January 28th, 2010, 04:52 AM

"Some like Philips, Videocon and ICI moved their head offices to the NCR from their established operations in Mumbai and Kolkata. And many emerging firms in the sunrise sectors such as education services company Educomp have set up their base in the region.
Sure, companies can still choose to set up their headquarters in Mumbai despite registering their firms in Delhi NCR, but given the success of the new generation of companies in the region and the fast development in infrastructure, it may not be long before Delhi becomes the business capital too. Companies based in Delhi NCR already appear to have better profitability."

source: Economic Times(Mumbai Edition)

read these lines from the artical carefully....proves it all...and its not our journo's but the facts and the experts

cheers

i hope delhi doesn't get to hear, that it does not deserves what it gets

( yes delhi is getting some extra for CWG, but cannot be blamed , delhi will showcasing india to the world...we cannot blame beijing taking over shanghai due to Winter Olympics)

Bombay Boy

January 28th, 2010, 06:01 AM

as ichi points out bombay's skills lie in high end services like finance, entertainment, advertising, accounting, etc. manufacturing, trading of goods, etc are not needed to be within the city anymore, i dont think anyone particularly cares if these are shifted out. bombay's share of the financial markets has only grown since 1990 and once the indian government is confident enough of opening up the market this is the city that will corner the lion's share and turbo-charge its growth

right now delhi attracts a lot of companies which need to lobby with the government as the article says. when this need is gone with less regulations then they may shift their HQs closer to the financial and advertising capital

anyways this is a thread for the bombay economy. if people want to discuss delhi they can surely open their own thread. if people want to discuss bombay vs delhi then maybe chaibar is the place

Indian Rockstars

January 28th, 2010, 07:40 AM

oh boy you always got good excuses up your belly...wow...mumbai dont need any manufacturing units anymore...financial& Accounts??? i thot delhi had a better of mumbai in financial in industry....

delhi doesn't need advertisment industry ....manufacturing industry generate more funds..certainly i thought soo...anyways you still don't wanna accept it..your luck...

its about mumbai economy...dude

Bombay Boy

January 28th, 2010, 07:44 AM

what?

Indian Rockstars

January 28th, 2010, 07:44 AM

And you don't agree with the fact that Delhi is providing better infrastructure and envoirnment for companies, MNC's to set their shops here...*( i hope you dont take that word shop in terms what it actually means)....mumbai's govt policies, Crumbling infrastructure is the reason...and Delhi is providing favourable conditions to them....

'
and still you find it hard to digest and give us kiddish reasons like " who needs manufacturing, Media,BPO's, Financial , accounting firms in mumbai.." what do you need then!!!!

FMCG is the biggest grosser after agricultural sector

Bombay Boy

January 28th, 2010, 08:05 AM

umm, maybe you need to read my post again. i said bombay is already dominant by a long way in financial markets, media, advertising and accounting. these are the high-end services which define a world city in the end, not manufacturing. how much manufacturing do you think london or new york do? manufacturing relocates itself to cheaper and cheaper areas. now its delhi, tomorrow it will be pune. high end services are much harder to relocate as they depend on people and a collaborative environment. this is what bombay should be aiming for. even with all your "manufacturing" units the turnover of delhi companies is barely more than half of bombay's companies. it has a long way to go before it competes with bombay, let alone overtakes it

and delhi has better infrastructure? besides roads what else? electricity? no. water? no. public transport? no. financial markets? no.

Indian Rockstars

January 28th, 2010, 08:14 AM

oh yeah really...u read my posts carefully...who said financial and accounting firms are just concentrated in mumbai????

are you uptodate with the market..corp market...yes delhi now has a better transport...Metro, low floor buses, Cabs( More Radio Cabs than anyother city) against filthy mumbai locals , old broken cabs, dirt on roads...

recently saw in news about the terrible water woes in mumbai!!!!! and electricity cuts in mumbai and suburbs...12 hours of power cuts.....ohhh that musn't be a problem to you...

delhi has a financial market.......better road netword , better transport...better than offcourse mumbai.....

and trunover of delhi Pt are less then half of mumbai?????? is it...dude i am sure you must be well eductaed to read the artical well and understand.... if not yeah eduuctaion system in mumbai too needs a makeover...

read the artical carefully.....delhi the new business capital...

what exactly do you mean by financial market dude...??? you make me laugh on you even more with your comments...you must be small kid i bet...

frog prince come out of well!!!!

Indian Rockstars

January 28th, 2010, 08:19 AM

ohh high end services....kyu poori mumbai ka maajaak uda raha hai yaar.....ok tell me what are high end serv ices in technical terms and not yours first!!!

and you think that delhi is very cheap place to work in.....ohhhhhhhh.....now you make laugh even more....

and yeah HIGH END Medical service sector is based in delhi....Yu call "ADVERTISIN" high end service ohhh yeahhh...then what about media which is based in Delhi...

ok....bollywood---well thats a big time high end service sector...oh yeahhhh....achcha pata nahi is it only me or everybody ....but all the major movies are being shot in delhi...you name it...recently 3 Idiots, Ayesha...etc etc...you name it....

oh give me a comparision in recent times about a grade movie being shot in mumbai and Delhi????

kid grow up...mumbai dominent hehehe...yeah that's exactly what the Economic times article states.....well done dude

Indian Rockstars

January 28th, 2010, 08:34 AM

HIgh ends....Automobile Industry...oh BMW, Rools Royce, Maruti, Audi might be low end according to you...

ok Airline Industry.......ok...that tpoo might be low end industry to you...

kid you grow up first then we'll talk with you....

again i would suggest if educated read the artical well...article

Bombay Boy

January 28th, 2010, 09:01 AM

trying to read that just gave me a headache. you can open a new thread in chaibar on delhi's awesomeness and ejaculate all over it for all i care

sumant

January 28th, 2010, 09:34 AM

:lol: looks like somebody is really pissed at mumbai and mumbaiites.

IchimaruGin1

January 28th, 2010, 11:49 AM

lets just not try to spam this thread.....

IR

you need to read up what floating the rupee means. Mumbai is trying to corner a different market to Delhi, something which is highly reliant on proximity to stock exchanges, which the city has 2 off.

floating the rupee means that global transactions can take place in converting the rupee without any hitches.

A strong port Oil and Finance thats the future of mumbai. Delhi cannot corner the finance industry without a big stock exchange . As things stand Culcutta stock exchange is bigger than Delhi. The top 10 financial cities in the world all have prominent stock exchanges neither does Delhi have a port.

Business differs from Finance.
Ie mumbai is trying to follow the financial model of shanghai. the net value of both mumbai's stock exchanges is twice the size of the countries gdp.

IchimaruGin1

January 28th, 2010, 02:38 PM

BKC rethink: steady income rather than long-term lease

Plots on the Bandra Kurla Complex (BKC) may go up for lease for variable periods, rather than be put on sale or given on long-term lease, with the rethink forced by the economic slump.

The Mumbai Metropolitan Region Development Authority (MMRDA) is studying new financial models that will ensure a regular flow of income, rather than the one-time payments that sale or a long-term lease involves. Consultant firm KPMG recently submitted a report with four or five financial models.

One is offering plots on shorter lease periods, varying according to the demand of a given market segment. Another suggestion is that the MMRDA could enter into a tripartite agreement with the bidder/developer and the private firms that sub-lease the space. This way, the MMRDA can get a share of what developers earn while renting out the space after construction.

“Our infrastructure projects are carried out in phases and we need a regular stream of income. To tap the full potential of land, we need to decide on an alternative financial model,” said additional metropolitan commissioner S V R Srinivas.

The present policy involves plots being leased to the winning bidders for 80 years, resulting in one-time revenue.

One alternative suggested in the report is a delayed payment model: the bidder/developer can pay the amount over a time-span of a few years, instead of within three months of getting the allotment letter. “Bidders will be ready to shell out a higher price for the land if they are allowed to go in for deferred payments. It is also easier to raise money from banks and financial institutions over a longer period of time,” said an MMRDA official. The MMRDA is expected to work out soon which of the models suits its needs the best.

After a gap of almost two years, the MMRDA has put on the block one of its plots at the BKC. Spanning 3,162.47 sq m, it offers a floor space index of 4.5 and has a reserve price of Rs 435 crore. The rate of Rs 3 lakh per sq m is based on the pricing of the last three commercial plots for which bids had been opened in March 2008, the start of the slowdown. Back then, two of the plots had no takers but the third was taken by Jet Airways, which has not yet cleared Rs 826 crore dues to MMRDA.

http://www.indianexpress.com/news/bkc-rethink-steady-income-rather-than-longterm-lease/572241/2

IchimaruGin1

January 28th, 2010, 02:41 PM

to re clarify

Delhi is going to grow through different avenues. Mumbai is going to grow through different avenues.

the two cities have followed different growth paths.

Indian Rockstars

January 28th, 2010, 07:30 PM

IchimaruGin1

January 28th, 2010, 08:50 PM

not pissed but i think that i have pissed somebody with facts...anyways enjoy the well and cut this discussion....we are happy with what we have and soo is you...

my debate was based on facts...was not intended to offend anybody here...so chill

yeah but you dont seem to realise that you cant corner the financial market which your talking about without a proper stock exchange

financial companies move to a place which has a stock market.

I repeat Delhi cannot become the financial capital without a global stock exchange!

That is also a fact.

business and finance are not the same thing. Which is why delhi is following the beijing model and mumbai the shanghai model.

IchimaruGin1

January 28th, 2010, 09:04 PM

and to make it clear this is what mumbai is waiting for more than anything else.

Unshackling the rupee
By Indrajit Basu

KOLKATA - After toying with the idea for more than 10 years and taking at times baby steps to allow the rupee to float fully - capital-account convertibility, in economic parlance - India might finally be ready to take the plunge.

Last Saturday, Prime Minister Manmohan Singh signaled an unexpected push toward full convertibility when he revealed that

he had asked the Finance Ministry and the Reserve Bank of India (RBI - the country's central bank) to consider the rupee's full float and draw up a possible roadmap.

Finance Minister P Chidambaram echoed his consent three days later, and immediately the RBI announced the formation of a six-member committee to chalk out a roadmap by July 31.

The move is considered a logical extension of the country's continuing reform of the financial markets, yet the decade-old debate of whether the country is prepared to go for full convertibility has started raging again.

While advocates say it is time to raise the comfort levels of foreign investors and hence boost the flow of foreign money into the country, the specter of the Asian crisis of 1997-98 that resulted in a meltdown of the Thai, Indonesian, South Korean and Malaysian economies still looms large. The problems of these countries were widely blamed on the ability of companies to borrow money easily from abroad.

"We have only seen the inflow of foreign money so far," said Srinivasan Vardarajan, managing director of JP Morgan India, "but we have not seen investments taken out of the country in a hurry." In other words, it is not clear whether the country's economy is fundamentally strong enough to deal with global shocks.

Full convertibility (or a floating rupee) means the removal of all controls on the cross-border movement of capital, out of India to anywhere else or vice versa. Since the introduction of the Foreign Exchange Regulation Act (FERA) in 1947, India has followed a policy of strict controls on foreign-exchange transactions.

It was made more rigorous through what is now termed the "notorious" FERA of 1973. However, from 1993, after the opening up of the economy in 1991, the government started moving toward loosening the noose. It allowed trade and businesses to move the rupee across borders, except under national-security and sector-specific restrictions.

As such, the rupee is pretty much fully convertible on the current account, which means that it can be moved across borders for trade in goods and services. The rupee is also almost fully convertible for foreign investors other than individuals, which means that foreign companies and foreign institutional investors can convert the rupee into dollars (or any other global currency) and back with just a few limitations.

Indian citizens, too, can remit up to US$25,000 a year for acquiring property overseas and opening bank accounts abroad, and Indian mutual funds can invest overseas, again subject to a few restriction. For Indian companies, the freedom is even greater in the sense that they can not only issue global and US depository receipts, but they can also cumulatively raise $12 billion a year through external loans. Similarly, foreign companies have the option to list on Indian stock exchanges through Indian depository receipts.

So why fix it then, when it ain't broke? ask skeptics. "After all," said Milind Sarwate, a chief financial officer of a local company, "Indian companies can raise funds overseas whenever needed. There is also the fear that the early years of convertibility may not be smooth for India."

Clearly, Sarwate and his kind are still scared of a repeat of the Asian crisis, where a combination of financial deregulation and liberalization across the world caused investments of large institutional financial players (such as the speculative hedge funds, investment banks and the huge mutual and pension funds) to rush out almost overnight because of a lack of restrictions on forex inflows.

"If you take a hard look, a similar situation prevails in India right now," said Prakash Karat, a leader of the leftist parties that support the Congress party-led central government. "And there is merit in retaining the existing restrictions when all economic indicators are positive."

But Manmohan and the RBI feel otherwise. The central bank said in an official statement: "Given the changes that have taken place over the last two decades, there is merit in moving towards fuller capital account convertibility within a transparent framework. There is a need to revisit the subject and come out with a roadmap towards convertibility based on current realities."

Indeed, much has changed over the past decade and the most significant development is that the country's treasury is overflowing with foreign-currency reserves - about $140 billion, excluding gold.

Cherian Varghese, chairman of a state-owned bank, said: "The booming economy, slated to grow at around 8% [annually], will get more investment coming into the country post-full convertibility, and that would be topped with the huge amounts of funds parked overseas by non-resident Indians."

Advocates of full convertibility also argue that with the country's fiscal deficit slated to come down to 3.8% of gross domestic product (GDP) next fiscal; the annual inflation rate expected to hover around 4%; and the foreign debt-servicing ratio set to touch 20% of GDP from 25% or more for years, when if not now?

According to Mohan Das Pai, the chief financial officer of Infosys Technologies, the country, particularly foreign-exchange earners such as the information-technology (IT) industry, is suffering from the lack of full convertibility.

"Most Indian IT companies' revenues are in foreign currency, and because of the restrictions that the RBI still imposes, they do not get the same facility to operate like the competition does overseas," said Pai. "We should be allowed to do whatever we want in terms of hedging, taking positions, investing overseas without any interference from the regulating authority [the RBI] to the extent of our foreign-exchange earnings."

Nevertheless, all, including Pai, admit that there are dangers in a tether-free rupee, and the fear of a sudden rush of capital out of the country is not the only one. "There is also the danger of India getting swamped by an inflow of dollars, and the rupee appreciating beyond manageable limits as a result," said Pai.

This is why Vardarajan of JP Morgan India feels that "the new panel will do a status check on where India is on the full-convertibility roadmap and chart an incremental map which has the goal of full convertibility in the next four to five years".

Expectations thus are not running very high. It is widely expected that after studying the implications of full convertibility on the economy and the progress made in tackling revenue and fiscal deficits, the new committee will just provide a comprehensive medium-term framework and timing for full convertibility.

The committee is also expected to lay down policy measures and safeguards that will ensure financial stability if the going gets rough.

http://www.atimes.com/atimes/South_Asia/HC25Df03.html

IchimaruGin1

January 28th, 2010, 09:13 PM

Float the rupee=forex trading= Big advantage to to stock market rich mumbai.

Global investors can buy company stocks in the bombay stock exchange without any blocks. 2% charge on buying and selling

they are looking at about $225 billion annually in forex trade in mumbai from the rupee. (which is quite less even by global standard a conservative estimate) 2% of 225 is about 4.5 billion alone from direct tax benefits every year. or about 7% of the gdp of mumbai. Not to mention the side effects of these stuff like staff and big financial relocating etc etc or the commodity exchanges.

The ultimate aim is make mumbai the global gold trading centre.As india is the largest consumer of gold. Its only a matter of 10 years from now when mumbai becomes the 4th largest stock exchange in the world after the Dow jones, toyko and shanghai.

The financial and banking sector in india is still very very much constrained to foreign investors. The sooner you open it, the more mumbai will boom

Bombay Boy

January 28th, 2010, 09:31 PM

IchimaruGin1

January 28th, 2010, 09:47 PM

another sector that would be highly beneficial for high-end work would be legal arbitration if the legal sector is opened up to foreign firms. most of them would locate to the financial capital as thats where the high-value deals are made. same with accounting firms, advertising firms, etc

its a similar template to any financial capital around the world. and its ridiculously hard to shift the financial capital within a country, especially one that has seen some development and has reached a certain size. i dont know of any other precedent

new bombay-pune-thane will be the industrial hinterland to bombay's services sector

thane and navi mumbai are booming with bio tech and IT

even delhi will have those and probably have more of them as we must face it they have planned better than us for them with their set up.

what i have waiting for hope against hope is the maha mumbai sez of ambani which will provide the city with the much needed manufacturing component to complete the trioka. Mumbai and greater mumbai finance and banking. Thane Navi mumbai kalyan IT and biotech aka other services, Mumbai port and maha mumbai sez manufacturing, Konkan-agriculture.(mango monopoly)

I also see a huge shift within mumbai NSE stock exchange moved to BKC and so did a lot of financial law and brokerage houses.

If BSE moves to BKC (looks unlikely) , it will be the end of nariman point and dalal street as mumbai's premium financial district.

Abhishek901

January 29th, 2010, 01:25 AM

yeah but you dont seem to realise that you cant corner the financial market which your talking about without a proper stock exchange

financial companies move to a place which has a stock market.

I repeat Delhi cannot become the financial capital without a global stock exchange!

That is also a fact.

business and finance are not the same thing. Which is why delhi is following the beijing model and mumbai the shanghai model.

I think he was referring to Delhi as commercial capital. Of course, Mumbai will remain the financial capital with its stock exchanges and banks.

Indian Rockstars

January 29th, 2010, 05:39 AM

I think he was referring to Delhi as commercial capital. Of course, Mumbai will remain the financial capital with its stock exchanges and banks.

dont worry abhi ....they wont understand it...BB is a kid ..itni deer se samjha raha hu..he read's something else and understands something else...and he continues his High end....High end ..high end stories again n again n again..

Question to ABHI..." what are high end services and low end services , please throw some light on it...i did my MBA from a small institute and you from MDI.so in better position"

pleaseeee

bharatiya

January 29th, 2010, 06:37 AM

RUN! The supreme rulers of the Delhi threads have come and bringing all their friends to take us over!!

Welcome to Mumbai guys, honor to have you here :)

Bombay Boy

January 29th, 2010, 06:41 AM

:|

this is like some dilli-neta coming to bombay. all loud sirens and blocking of traffic but a waste of time and a headache for everyone

what time is the flight back to dilli?

IndiansUnite

January 29th, 2010, 07:02 AM

The flight back to Dilli is right NOW.

Everyone, please keep Delhi out of this thread. Articles may carry good comparisons between Indian cities but let's leave it right there. This thread is about Mumbai and it's growth story so please focus on that and not deride one another's city.

IchimaruGin1

January 29th, 2010, 12:51 PM

A parcel of land close to the Bandra-Kurla commercial hub in Mumbai has been put up for sale again by the Railway Land Development Authority (RLDA). The reserve price of the 45,371-square-metre plot was last pegged at Rs 3,960 crore.

This is the fourth attempt by RLDA, the nodal agency for development of railway land in the country, to sell the land.

It has invited expressions of interest (EoIs) from companies to develop the prime land. The last date for receiving EoIs is February 28, after which a new reserve price will be announced.

The land authority had put the auctioning on hold earlier as the deputy commissioner of the area claimed part ownership of the land. “The dispute with local authorities had been partly solved. We hope to resolve it completely soon,” said a senior official from RLDA.

In its previous attempt to sell the land in 2008, RLDA had cut the reserve price of the plot by nearly 14 per cent to the current Rs 3,960 crore. It also reduced the minimum networth requirement by similar margins in a bid to perk up the interest of bidders.

Though developers such as DLF, Unitech, Parsvnath and Indiabulls expressed interest in the project, they backed out as the reserve price was considered too high given the slowdown in the real estate.

Earlier, the authority had more than trebled the reserve price of the plot to Rs 4,628 crore, on the grounds that extra development could be done on the land due to relaxed norms.

The state government had increased the floor space index to 4 and a developer could build up to 150,000 sq metres, or 1.6 million sq ft, of space.

The reserve price, eligibility criteria and other conditions were again set to change, said a senior RLDA official.

On two other occasions in the past, the RLDA failed to continue with the auctioning of the plot due to slowdown in the real estate sector and change in development plans.

“We hope that this time it goes through,” the RLDA official said.

Developers are keenly watching the reserve price to be announced by RLDA, which will determine their bid. “Last time, the reserve price was too high. Given the oversupply in the Mumbai market, we have to see the reserve price and take a call,” said Rajeev Talwar, executive director of DLF, the country’s largest developer.

http://www.business-standard.com/india/news/rly-land-panel-makes-4th-attempt-to-sell-prime-mumbai-land/383997/

IchimaruGin1

January 29th, 2010, 12:56 PM

McCann Erickson to split Mumbai office

MUMBAI: IPG-owned agency McCann Erickson is splitting its Mumbai office into two units – McCann Erickson One and McCann Erickson Two. Both the

units will operate as separate P&L centres, complete with branch heads as well as creative heads. Further, the agency is in the midst of setting up a separate agency, which will target small localised businesses. The agency will also be shifting to a new office space shortly which will house the two units in separate floors.

Confirming the move, Prasoon Joshi, executive chairman – India, McCann Erickson, told ET that McCann One and Two is aimed towards making the Mumbai office more accountable and profitable. “Once you have the basic size of business, you look to create bench strength and provide leadership and entrepreneurial opportunities for employees in Mumbai,” said Joshi. He added that this move will benefit the clients also as there will be dedicated resources and a far wider talent pool to service brands. When asked if the creation of McCann One and McCann Two is a precursor to similar such plans in the future for other offices, Joshi said there are no such plans for Delhi and Bangalore.

The broad contours of the division envisage dedicated branch heads and creative teams. So, McCann One will be headed by Parvati Nair, currently a group business director, while Loveleen Raina has been roped in from Leo Burnett to head McCann Two, said Joshi. For Raina, this will be her third stint at McCann. Parallelly, Namrata Nandan, presently the group business director at McCann Mumbai, is moving to Bangalore to head the branch . Further, the duo of Rahul Mathew from Rediff Y&R and McCanner Akshay Kapnadak will head the creative department of one of the units.

Similarly, Joshi said that the agency will shortly announce the other two creative directors who will spearhead one of the units. The third specialist arm, which is yet to be named will focus on smaller clients and new businesses and will be headed by the creative team of Nagesh Panaswamy and P K Anil. “This unit will look to acquire business or clients, who are typically tentative about working with bigger agencies,” said Joshi.

When it comes to clients, joshi said that work is on to divide the clients between the two units. McCann Mumbai has clients like Marico, Nerolac, Kotak Mahindra, Pears, J&J to name a few. Senior officials at McCann said that the agency is working out the process to slot the clients while ensuring there’s equitable resources allocated to clients who have multiple brands with the agency.

“Marico for example has Saffola and Parachute with McCann, so we have to ensure that teams and resources are equally divided and it shouldn’t be seen that one is getting preference over the other,” said a person close to the development. Even as the two units will compete for businesses, certain resources like design and film department will be commonly shared by the two.

The move to split into separate P&Ls is not a new phenomenon in the world of advertising. In the early 90s, McCann Delhi office was also split into two profit centres. Even Lowe Lintas has for a long time had Bombay One, Two etc for its Mumbai office. While McCann’s Delhi experiment with One and Two went on for sometime before the two units getting merged, it remains to be seen how will Mumbai office fare with the current split.

http://economictimes.indiatimes.com/news/news-by-industry/services/advertising/McCann-Erickson-to-split-Mumbai-office-/articleshow/5502868.cms

IchimaruGin1

January 29th, 2010, 01:22 PM

Mumbai: Kamaraj Nagar, popularly known as mini-Dharavi, is set to become one of the biggest redevelopment projects in the city. The ownership of the 46-acre slum abutting the Eastern Express Highway in Ghatkopar (east) has changed hands and now lies with Champalal Vardhan of the Neelam Group.

Kamaraj Nagar marks the shift of focus from the western to the eastern suburbs on the redevelopment radar, and will be a realty bonanza for Vardhan. With a floor space index (FSI) of three for slum schemes, the developer will get approximately two crore sq ft (1.97 lakh sq mt) as developable space. While part of the land will be used to rehabilitate over 10,000 shanties free of cost in as many 269 sq ft flats, the balance will be available for the developer to sell in the open market. Since property prices in the area are currently pegged at over Rs7,500 a sq ft, property brokers believe the developer has struck a good deal.

Vardhan, also the owner of the controversial Atria mall at Worli, got the development rights from Sitaram Garodia, the land owner. Set
up in the early 1960s, the slum colony is named after the late Congress stalwart from Tamil Nadu, K Kamaraj, and is predominantly inhabited by south Indians who came to Mumbai to work as dock workers and scavengers.

Confirming the project, Vardhan said he was planning a township in the area that would be available for free sale. He is implementing the scheme in phases. ``Slum schemes are a long-drawn process. It takes time to get various letters of consent and construct transit camps as alternative accommodation while the redevelopment work is on. Though we have the consent of 40% of the slum dwellers, the slum redevelopment authority has approved the first phase of five acres,’’ he said. The entire process in the first phase could take at least two years.

More on the anvil
The clamour for slum redevelopment is growing stronger. BJP legislator Prakash Mehta has recently asked the Congress-led state government to redevelop the three big slum colonies in Ghatkopar on lines of the Dharavi. Before the October state assembly elections, Mehta along with the federation of housing societies of slumdwellers from Ramabai Nagar, Nityanand Nagar and Kamaraj Nagar—predominantly Dalit, Muslim and south Indian localities respectively—had requested the government to allow the redevelopment of three colonies on the lines of Dharavi. The first of them, the Kamaraj Nagar slum, is off the blocks. The rest could follow in due course.

http://www.dnaindia.com/mumbai/report_next-46-acre-mini-dharavi-up-for-redevelopment_1340557

IchimaruGin1

January 29th, 2010, 01:26 PM

Rentals deflate in city, but firm up in suburbs

MUMBAI: The residential lease rental market in Mumbai has stagnated since last year with few takers for flats on offer despite owners slashing

Realty experts said since there is still a recruitment freeze in several companies, there is not much demand from employees who would generally take these apartments on lease. TOI has learnt that one of the top-most residential properties in south Mumbai—NCPA Apartments—no longer commands the lease rentals it used to till a while ago.

“Earlier, a three-BHK apartment in NCPA would fetch the owner a rent of Rs 4.50 lakh a month. At present, it is down to about Rs 3.75 lakh,’’ said a source familiar with the south Mumbai property rental market. “Demand is poor and there are not many inquiries from clients who earlier would pay a decent rent for a posh south Mumbai accommodation,’’ he said.

In Chembur, an owner of a three-BHK flat who wants to rent it out has been unable to find a single party for more than eight months now. “Two years ago, I used to get Rs 48,000 a month, including a Rs 3 lakh deposit. Now, despite dropping my rent to Rs 25,000, I am still unable to get anyone. Even the brokers, who were once active, don’t seem to be interested,’’ he said.

Property consultant Ashok Narang said the lease rental market is very slow. “MNCs are not opening any offices and many flats are lying vacant as a result. Demand in south and central Mumbai is not great. However, in the suburbs, rents have firmed up because redevelopment projects are forcing people to look out for temporary accommodation.’’
Knight Frank India chairman Pranay Vakil said rental values have fallen. “A flat fetching a rent of Rs 2.50 lakh a month is now down to about Rs 1.75 lakh. Some of this is linked to an increase in the supply of housing stock. More owners want to lease out.”

According to him, some companies, instead of searching for flats themselves, have now decided make the rental amount available to employees, who, in turn, restrict their budgets while hiring a flat.

Property consultant Chetain Narain said rents dropped soon after September-October last year. “The residential rental property market seems to have a moderate support, but has not recovered. Rentals for premium properties are firm and holding up, but inquiries are scarce. The mid level has taken the biggest beating where rentals are down by 25% to 40% in most locations. The one- and two-BHK segment too has not completely recovered, but due to scarcity in supply, seems to have sustained.’’

He added, “Overall, till we do not see the return of demand from banks, insurers and MNCs, the market might remain lukewarm to cool.”

http://timesofindia.indiatimes.com/city/mumbai/Rentals-deflate-in-city-but-firm-up-in-suburbs/articleshow/5511416.cms

Abhishek901

January 29th, 2010, 01:28 PM

^^ Projects like these (slum rehabilitation) should have started much earlier and at a mass scale in our cities. Don't know what is holding us back in going ahead for these things.

IchimaruGin1

January 29th, 2010, 01:31 PM

^^ Projects like these should have started much earlier and at a mass scale in our cities. Don't know what is holding us back in going ahead for these things.

court battles.

IchimaruGin1

January 29th, 2010, 01:36 PM

Cabinet go-ahead for 4th terminal at JNPT

NEW DELHI: The Cabinet Committee on Infrastructure (CCI) on Thursday approved a proposal to develop fourth container terminal at the country’s

busiest Jawaharlal Nehru Port at an estimated cost of Rs 6,696 crore.

The proposed terminal having handling capacity of 4.8 million TEUs (twenty-feet equivalent units) containers annually would be constructed on design, build, finance, operate and transfer (DBFOT).

The port project would be implemented in two phases with the first phase commissioning within three years since signing of the concession agreement. "The project would be developed on public-private partnership (PPP) mode to reduce burden on the government funds which are not sufficient to meet all infrastructure needs of the country," an official statement said.

The government also cleared a proposal to build standalone container handling facility at Mumbai port at a cost of Rs 600 crore. The project would be implemented within two years from the date of the award of the project.
The CCI also gave its approval to mechanisation of coal handling facilities and upgradation of cargo berth at outer harbour of Visakhapatnam.

"The project will help in de-congestion of the port due to faster unloading of coal after mechanisation and strengthening of the berth," the statement said.

Meanwhile, the union cabinet cleared the Clinical Establishment Bill 2010 that would make it mandatory for all clinics in the country to be registered with the "national registry". The bill aims to regulate and ensure a uniform standard and quality of medical services provided in the country, including clinical trials. The proposal will be initially implemented in five smaller states and union territories before being rolled out nationally.

"It is a path-breaking decision. It had been in the pipeline for long. It is upto the states to implement it. It would help in providing better services and regulation of services provided ," union information and broadcasting minister Ambika Soni said.

The government also approved a National Tobacco Control Programme to create awareness about its harmful effects.

http://economictimes.indiatimes.com/news/news-by-industry/transportation/shipping-/-transport/Cabinet-go-ahead-for-4th-terminal-at-JNPT/articleshow/5511753.cms

IchimaruGin1

January 29th, 2010, 01:37 PM

http://www.tankstoragemag.com/industry_news.php?item_id=1649

India the Mumbai Port Trust (MbPT) will develop a second chemical jetty and related infrastructure at an estimated cost of Rs 3,652 crore (€557.4 million).

The port will further develop two commodity berths, a cruise ship terminal, and an offshore container terminal.

The second chemical jetty alone is estimated to cost Rs 116 crore, and will be a self-financed venture at the port’s existing offshore Peer Pau oil terminal.

The proposed ultra-modern commodity berths, one for dry bulk and the other for conventional cargo including break-bulk, costing a total Rs 90 crore, will replace four century-old berths at Indira Dock, P Mohanchandran, secretary of the port, says.

The berths have received interest from ABG Ports, Mundra Ports & SEZ, SNB Infrastructure, Parekh Marine Group, Aditya Marine, and US-based Master Marine Services.

sumant

January 29th, 2010, 02:21 PM

sorry... wrong thread

IchimaruGin1

February 1st, 2010, 03:19 PM

Realtors drool over US mission’s city property

MUMBAI: The Yankees are leaving. No, not Afghanistan, but south Mumbai. This August, the US consulate will vacate its landmark Breach Candy property after more than 50 years and set up base in a new building on a 10-acre plot in the Bandra-Kurla Complex.

As the consulate staff packs up, visa-seekers are not the only ones rejoicing, because the BKC office will be more spacious. The first signs of a keen jostling among builders and property brokers for this juicy slice of the American pie is apparent.

Washington House, the three-storey residential building on Altamount Road which houses senior consular officials and their families, will be put on the block in the next six months. “Yes, we have plans to sell this property soon,’’ US consul general Paul Folmsbee told TOI during an informal tete-a-tete.

“Everyone who is someone has lined up for this property, including the person across the road,’’ said Folmsbee, refusing to reveal who that person is. It is learnt that a top industrialist is very keen on the plot.

According to property experts, Washington House is one of the choicest pieces of real estate in south Mumbai—the plot, measuring a little less than an acre, could fetch upwards of Rs 350 crore.

http://timesofindia.indiatimes.com/city/mumbai/Realtors-drool-over-US-missions-city-property/articleshow/5518637.cms

IchimaruGin1

February 1st, 2010, 03:20 PM

Anagram recommends DB Realty IPO at upper band

MUMBAI: Anagram Stock Broking has recommended DB Realty IPO at the upper band of Rs 486. It expects the issue to give good returns in 6-12

months time.

“DB Realty a Mumbai based real estate developer with a land bank of around 61 million square feet is coming up with the IPO to raise around Rs 1500 crore. The strong point goes in favour of the promoters of the company are, its strong presence in Mumbai City, especially in Central Mumbai, where selling price rules between Rs. 18,000 to Rs. 25,000 per sq. feet, coupled with almost debt free status and strong execution capability.

The promoters of the company have the track record of developing composite housing complexes in the period of 1985 to 2005. About 37 lakh sq. ft. has been developed at Kandivali (West) with about 42 lakh sq. ft. in Goregaon (East). All these projects and complexes are equipped with school, shopping malls, commercial and shopping complexes, multiplexes, community hall, temples, medical centres, which has resulted in better saleability and preferred locations of the buyers.

The company also has its forthcoming projects coming up at Goregaon, Dahisar, Malad, Mumbai Central, Byculla, Bandra, Kurla Complex and Mira Road. All these projects are going to give very good margins, as also fast selling of the units and apartments.

Thus, the company has an advantage and edge of probably the only and largest company, amongst the listed peers, to have such a strong presence in Mumbai. Also, due to saleable area of close to 61 million sq. feet, it should be able to have strong pipeline of projects for next 7-8 years, of which, one third are under development.

Considering all these factors, due to strong presence in Mumbai coupled with debt free status, issue looks good and we recommend this IPO at the upper band of Rs 486. The issue should be able to give good returns, if held with a 6-12 months view, as also listing gains, as it is found to be reasonably priced while comparing it, with its listed peers,” the IPO note said

http://economictimes.indiatimes.com/Views/Recommendations/Anagram-recommends-DB-Realty-IPO-at-upper-band/articleshow/5523078.cms

IchimaruGin1

February 1st, 2010, 03:22 PM

Way off: diplomatic enclave in Airoli has no takers

Two years since it was planned, the ambitious International Diplomatic Enclave (IDE) project in Airoli, Navi Mumbai, has found few takers from foreign embassies and consulates. City and Industrial Development Corporation (CIDCO) officials said the initial response had been good, but the project has been stuck since.

For most embassies in South Mumbai, the preferred shift is to the more centrally located Bandra-Kurla Complex. Airoli is at the city’s northeastern tip. The American Consulate, the UK Deputy High Commission and the French Consulate have already shifted to the BKC.

“We don’t expect developed countries but have been targeting developing countries with plans to extend their offices. As land prices is Mumbai are soaring, this can provide a better option. We don’t expect Consul Generals to shift base, but would like to see economic attaches, visa services and sub-governmental bodies shift here,” said CIDCO MD and vice-chairman G S Gill.

http://www.indianexpress.com/news/Way-off--diplomatic-enclave-in-Airoli-has-no-takers/573948

February 2nd, 2010, 09:50 PM

Bombay needs to push very hard on infrastructure to keep up with Delhi (especially), and even other Indian cities. Relying on past glories and distracting the government with irrelevancies like keeping "outsiders" out is only going to cause the city to lose over the long run.

Important issues:
- Slums
- Roads
- Metro lines
- Road-based public transport
- Adequate electricity throughout the MMR (at least)
- Water

All of these need to be addressed on a war footing. Things are happening, but not at the pace needed.

If Delhi's example is anything to go by, we should have the Central government shift to Bombay for a few years, and host an international sporting event or two. That will take care of the infrastructural problems. :)

Oh, and getting a reasonable percentage of generated tax revenue back from the Centre would help too.

Bombay Boy

February 2nd, 2010, 10:07 PM

If Delhi's example is anything to go by, we should have the Central government shift to Bombay for a few years

no thanks. prefer bombay without the netas, this is a city for professionals

but yeah, a games or two wouldnt hurt

IchimaruGin1

February 5th, 2010, 06:58 PM

Bids for parking lot triple expectations

The Mumbai Metropolitan Region Development Authority (MMRDA) has received offers quoting thrice the expected amount for operating the 14-storey public parking lot at Bandra Kurla Complex (BKC).

The MMRDA had invited tenders from private firms interested in running the spanking new parking lot adjoining Hotel Trident at BKC. The winning bidder will maintain and operate the lot while keeping the money collected from the parked vehicles of BKC office-goers for a period of three years. In return they have to pay the MMRDA a fixed licence fee per month. The MMRDA has recently received offers from six parking lot operators. The highest offer has been made by Santosh Enterprises which has agreed to pay the MMRDA a monthly fee of Rs 21 lakh, thrice the minimum amount of 7 lakh that the MMRDA was expecting from bidders.

The parking lot spread over a 3000 sq mt plot was constructed by Trident hotel as part of its deal with the MMRDA when it won the bid for a plot reserved for a hotel and public parking lot. The Rs 40 crore parking lot with space for up to 850 cars was thrown open to public in December last year. However, car owners continued to haphazardly park on the road outside for free instead of paying to park within the parking lot. “We had communicated the problem to the traffic police after which cars are being parked inside the lot,” said deputy MMRDA commissioner AR Wankhede.

http://www.indianexpress.com/news/Bids-for-parking-lot-triple-expectations/575790/

Indian Rockstars

February 6th, 2010, 05:46 PM

no thanks. prefer bombay without the netas, this is a city for professionals

but yeah, a games or two wouldnt hurt

yeah absolutely right...mumbai anyways have lots of loud neta's there...making headlines everyday for wrong reasons..anyways separate thing

and off course 1 single big event will take care of all the infra developments...

its already there though bt needs a little push to get all these completed on time...

cheers

Bombay Boy

February 6th, 2010, 05:48 PM

IchimaruGin1

February 7th, 2010, 01:32 PM

Mumbai beats all in realty price rise

Property-seekers might think Delhi-NCR has the maximum appreciation potential within a year's time. However, according to the latest property index released by real estate portal Makaan.com, it's the Mumbai real estate market which beat all Indian cities in terms of price escalation over a period of 12 months.

Mumbai has bucked the economic slowdown by witnessing a whopping 24.7 per cent jump in prices between January and December 2009. During the same period, realty rates in Delhi-NCR rose by 8.8 per cent.

But other emerging residential destinations such as Hyderabad and Bangalore have witnessed a fall of 7.7 and 2.2 per cent, respectively, the index added. However, Pune market gained significantly by 9.9 per cent.

The survey revealed that all these five cities -- Delhi- NCR, Mumbai, Pune, Hyderabad and Bangalore -- witnessed a drop in property prices in the first six months -- January to June -- due to slump in the market. But the subsequent gain came following the launch of various affordable units. These units have now achieved premium value across India.

The study said property prices increased by another 12.8 per cent nation-wide during the surveyed period of 12 months.

Commenting on the price rise, Anupam Mittal, chairman and managing director (CMD), Makaan.com, said, "Prices in Mumbai have gone up dramatically but it has not been able to touch the peak of mid- 2008.

However, the trend should continue in the near future." The primary reason for the price rise in Mumbai's market could be attributed to expansion of the peripheral areas.

Abhishek Kiran Gupta, head (research), Jones Lang LaSalle Meghraj, said, "Among the huge population base, there is always a component of people who seek to own property. With more and more suburbs getting developed, there are always opportunities to enter the residential market at a relatively affordable level."

Gupta added, "They will benefit from the inevitable price rise as these areas develop in terms of connectivity and infrastructure. Therefore, there is also a perennial demand for owned residential properties among those who can afford the capital outlay necessary to avail of the investment potential of Mumbai's high appreciation rates. Lowered home loan interest rates serve to keep this demand at a healthy level."

New project launches from developers such as Hiranandani, Mantri Developer, Mahindra Lifespaces and Orbit have also added to this rate rise. As per the latest data made available by Gurgaonbased research firm PropEquity, Mumbai will offer 172 million sq ft of residential space by 2012.

Its eastern suburbs -- Thane and Navi Mumbai -- have become favourable investment destinations. Delhi-NCR, too, has upcoming suburbs such as Faridabad, Greater Noida, Noida, Ghaziabad and Gurgaon. Small towns in the distant suburbs like Hapur, Meerut, Sonipat, Panipat, Palwal and Kundli have, however, taken a backseat.

In comparison, Delhi-NCR falling behind Mumbai could be attributed to the oversupply of residential units and commercial spaces, according to Rakesh Kaul, COO, Ansal API. He said, "In Delhi-NCR, one would find that there are three different states with different policies and investor sentiments. Moreover, there is an oversupply in the residential as well as the commercial segments. This had led to a drastic drop in the prices till the middle of the year."x

http://indiatoday.intoday.in/site/Story/82696/Business/Mumbai+beats+all+in+realty+price+rise.html

Safrica

February 8th, 2010, 12:34 AM

IchimaruGin1

February 8th, 2010, 02:01 AM

Hi
i have been offered 3 1 bedroom 300 sqft units in a still to be constructed developement
in dadar (west) gokhale road (shivaji) at 20000 inr sqft.
Expected completion 30 months,
I am thinking of purchasing these units with the intention of selling 2 of them on completion.

please advise if this a fair deal and what is the market value in this area or should i rather buy 450sqft units.

Is this a good startegy of buying now with the intention of selling the 2 and keeping 1 on completion.

Thanks

rate per square foot is right with it being that close to the worli seaface and parel. but try to bargain for 18,000 seems about the right rate for that area.

hmm about selling on completion. The mumbai market will be volatile for quite some time to come, nobody is in position to predict 100%Prices fell a lot and then rose quite a bit. so Say if the countries like Greece spain etc fall then I am guessing real estate world wide will slow down especially in developing markets and gold will go up. the times we live in means that the unprecedented can happen. also depends on the finish of the building and if it is completed on time of a reputable builder. depends on the view floor and various other factors.

zenith_suv

February 8th, 2010, 07:38 AM

IchimaruGin1

February 8th, 2010, 12:05 PM

The writer puts a positive spin on it and gives a article a genrally positive outlook but that should not be the case. If price continue to rise dramatically in Real estate Sector then it's a very Real indicator of a lack of Real Estate or Free land in Mumbai.

The supply preassure is pushing the land prices here much more than demand boom. Rentals are nearly un-affordable , public transport is crying out for help and Slums are there as always. All this puts incredible supply preassure on Mumbai , the narrow roads and limited scope of expansion also mean that Travel time is getting longer and longer. These things damage the economy big time.

This leads me to believe that there is a balancing act on the cards in the next decade , cities which are set for a Boom like NCR , B'lore , Hyd , Chennai , Ahmd. and Pune stand to benifit a lot more in a sky rocketing economy.

Mumbai ofcourse being the financial captal will continue to grow but at a much slower pace compared to others while the Infrastructure catches up.

i agree with you that super high prices are going to damage the growth of mumbai.

but some suburbs of mumbai certainly are very much affordable and navi mumbai with thane have affordable housing with good transport links.

what we are seeing is the movement of business from the proper city to the cheaper suburbs.

South mumbai prices most certainly need to come down. They are at ridiculous levels

however your spot on when you say that too high house prices will dent the business of mumbai

IchimaruGin1

February 8th, 2010, 12:16 PM

also one other baffling thing about mumbai unlike any city in the world is that residential projects seem to be taller than commercial ones.

never seen that happen anywhere in the world.

IchimaruGin1

February 8th, 2010, 12:26 PM

Jet needs help to develop BKC plot

Mumbai: A severely cash-strapped Jet Airways that had bagged a 2.5-acre plot at Bandra-Kurla Complex for Rs339 crore back in 2006, is now seeking help to develop it. The plot is strategically located next to the Mumbai Cricket Club.

Developers like the Wadhwa Group, Oberoi Constructions, Godrej Properties, and industrialists like steel tycoon Mittal submitted their offers last week.

Oberoi has apparently made an offer of 2 lakh sq ft space, monetary compensation of Rs530 crore and an additional corpus of around 10% to the airline. Others have made similar offers.

The airline has taken the joint venture route as, according to rules framed by the Mumbai Metropolitan Region Development Authority (MMRDA) for BKC plots, the owner cannot sell the plot to a third party for five years after the commercial building has been constructed.

MMRDA rules also stipulate that Jet, who had bid for the plot in the end-user category, has to occupy 60% space of the original area, which comes to 2 lakh sq ft.

In view of the MMRDA rule, and the fact that the global floor space index at BKC has increased to 4 thereby, increasing developable area on the plot to roughly 13 lakh sq ft, the airline had asked developers to make offers involving both monetary and built-up area sharing options.

The airline had sought a monetary component in the proposed JV in order to pay off a loan of approximately Rs 400 crore taken from HDFC to purchase the plot.

Real estate experts say, technically, the JV could be termed a sale, but for all official and practical purposes, the airline is free to enter into an agreement to develop the property with a third party. “Only the land will remain in Jet’s name, a fact that the new developer has to bear in mind,” said a consultant.

M Shivkumar, Jet’s senior vice president (finance), confirmed the JV plans, saying the airline had already drawn up the building design. “We have not set any deadline for developers to present their proposals. Neither has a decision been taken nor a JV signed with any developer,” said Shivkumar, maintaining it was not a sale.

Though the plot — already excavated — had been marked for the airline’s corporate headquarters, no construction activity was undertaken in the last three years.

Also, despite the global economic recession, the airline, in 2008, had purchased another plot at BKC measuring 24,000 sq mt for an astounding Rs826 crore, claiming it needed the land for its corporate office. As the airline could not fulfil its commitment by September 2009, MMRDA commissioner Ratnakar Gaikwad said the plot would be auctioned.

Interestingly, MMRDA has since been dragging its feet on re-auctioning the plot and could stand to forfeit the earnest money of Rs10 crore deposited by the airline.

Shivkumar maintained that the airline would be taking a decision on the plot in some time.

http://www.dnaindia.com/mumbai/report_jet-needs-help-to-develop-bkc-plot_1344755

IchimaruGin1

February 8th, 2010, 05:08 PM

New Delhi, Feb 5 (PTI) FMCG major HUL today said it is planning to lease out its former head office in South Mumbai and has already hired real estate consultant Jones Lang LaSalle Meghraj as an agent for the purpose.

"Post move to our new corporate office at Andheri, it is our intention to lease out our erstwhile head office after suitably renovating the same and modernising various amenities," an HUL spokesperson said.

The company had moved out of its 46-year old office at Churchgate in Mumbai last month, to a 12.6-acre campus at Andheri in Mumbai.

The spokesperson said the property is under renovation at present and is likely to be completed in June this year.

"Jones Lang LaSalle Meghraj are our mandated agents and considering the prime nature of the property, several parties have shown keen interest," he said.
http://www.ptinews.com/news/502581_HUL-ropes-in-JLLM-to-advice-on-leasing-out-old-office

IchimaruGin1

February 8th, 2010, 05:15 PM

Anglo-Eastern inaugurates new academic facility in Karjat

Mumbai: Anglo-Eastern’s Group ceo Peter Cremers oversaw proceedings at the official inauguration of the new $8m Anglo-Eastern Maritime Academy in Karjat, on the outskirts of Mumbai. “We now think it’s time to give back and by setting up this Maritime Academy, which will bring us Cadets straight from High School, it is the first step,” he said addressing the 300 guests, which included representatives from the Indian Government and a large number of national and international shipping dignitaries.

Set on 53 acres, in Karjat, the new institute took its first batch of 120 students last year, enrolling them in a first-year nautical science course. A graduate mechanical engineering course, a one-year curriculum to convert mechanical engineers into marine engineers, is set to commence with 40 students.

At present all the students enrolled will be offered employment in the Anglo-Eastern fleet and future development will see a second campus develop, which will increase the potential number of students to 1,000; by this time the Company hopes to have the campus open to all students, not only exclusive to Anglo-Eastern. Today, the Company employs in excess of 8,000 Indian seafarers, approximately 80% of its crew requirement, for its fleet of 315.

Cremers stated, “We still have a job to do – there's a long way to go: this institution has to become one of the standard bearers of Nautical Education in India – that’s the goal – and we will see to it that this happens. Our first batch of students is close to graduating but we need help to complete the second campus. The planning and designs have been done and we are now actively seeking the financial support of our owners. Our clients have been very supportive insofar as having cadets on board our ships and we hope they will continue to do so, by supporting our Maritime Academy.”

Cremers explained that he felt the emphasis on training and cadets was becoming more of an industry trend as owners were realizing that the shortage of quality officers would not be going away in the near future. Consequently, any investment in this area should be seen as a long-term strategy.

Urging shipowners to provide more places for cadets, he said, "An ideal situation would be to have our own training ship for 20 cadets. Help us to get a training ship for 20 cadets, and we will manage it free of charge”. [08/02/10]

http://www.seatradeasia-online.com/News/5192.html

Indiadreams

February 8th, 2010, 06:25 PM

The writer puts a positive spin on it and gives a article a genrally positive outlook but that should not be the case. If price continue to rise dramatically in Real estate Sector then it's a very Real indicator of a lack of Real Estate or Free land in Mumbai.

The supply preassure is pushing the land prices here much more than demand boom. Rentals are nearly un-affordable , public transport is crying out for help and Slums are there as always. All this puts incredible supply preassure on Mumbai , the narrow roads and limited scope of expansion also mean that Travel time is getting longer and longer. These things damage the economy big time.

This leads me to believe that there is a balancing act on the cards in the next decade , cities which are set for a Boom like NCR , B'lore , Hyd , Chennai , Ahmd. and Pune stand to benifit a lot more in a sky rocketing economy.

Mumbai ofcourse being the financial captal will continue to grow but at a much slower pace compared to others while the Infrastructure catches up.

I think the author talks about the recovery after the supply glut and artificial increase in real estate prices prior to mid-2008. And may be stressing the point that price boom in Mumbai was not artficial as it was elsewhere.

It is true that high real estate prices will hamper the growth; but world-over, it is proved that expensive and land-starved cities (New York, Singapore, Tokyo etc) are still attractive and grow at the same pace as their counterparts. Probably Mumbai will find a solution by attracting only high-end service industries and gradually moving out the low-end services and manufacturing industries to other cities.

Except Delhi, (road) infrastructure is a constraint in all cities of India. Mumbai is slightly ahead in power and water(??) though.

IchimaruGin1

February 8th, 2010, 06:48 PM

I think the author talks about the recovery after the supply glut and artificial increase in real estate prices prior to mid-2008. And may be stressing the point that price boom in Mumbai was not artficial as it was elsewhere.

It is true that high real estate prices will hamper the growth; but world-over, it is proved that expensive and land-starved cities (New York, Singapore, Tokyo etc) are still attractive and grow at the same pace as their counterparts. Probably Mumbai will find a solution by attracting only high-end service industries and gradually moving out the low-end services and manufacturing industries to other cities.

Except Delhi, (road) infrastructure is a constraint in all cities of India. Mumbai is slightly ahead in power and water(??) though.

since the new year been getting 24 hours electricity

water issues only started a month back.

dont know about delhi.I am sure they would have 24 hour electricity

Abhishek901

February 8th, 2010, 07:27 PM

since the new year been getting 24 hours electricity

water issues only started a month back.

dont know about delhi.I am sure they would have 24 hour electricity

Many parts of Delhi don't have 24 hr electricity esp. South and east Delhi. But by 2010-2011, Delhi will be power surplus as there are many mega power projects going in and around Delhi like 1500 MW in Bawana in Delhi, 1000-2000 MW more within Delhi (Badarpur, Pragati etc.), 1500 MW Jhajjar in Haryana and mother of all 7800 MW (??) at Dadri east of Delhi. Plus there are some other sub 1000 MW projects around Delhi.

Bombay Boy

February 8th, 2010, 07:32 PM

since the new year been getting 24 hours electricity

we have had 24 hours electricity at least since my dad was born. i have never seen load-shedding in my own lifetime. in the original bombay city at least. i think now even the far suburbs get 24 hour electricity

sumant

February 8th, 2010, 07:57 PM

^^There was load shedding mainly in thane kalyan area and parts of navi mumbai . Though virar vasai region face abt 6 hrs daily power cut.

IchimaruGin1

February 8th, 2010, 08:28 PM

we have had 24 hours electricity at least since my dad was born. i have never seen load-shedding in my own lifetime. in the original bombay city at least. i think now even the far suburbs get 24 hour electricity

yup

i live in mulund

barring a small blip last year it was 24 hour electricity

now its 0 load shedding.

now water remains the final frontier for the basic amenities

so mumbai metropolitan area pune nagpur and nashik have zero load shedding in maharashtra since the new year.

rural area too to get 24 hour electricity supply by 2012 with the completion of a few power plant projects.

with the completion of Jaitapur nuclear power plant (10,000 MW) and a few other projects the state is projected to be power surplus till 2025

sumant

February 8th, 2010, 08:46 PM

Have they started work on the jaitapur nuclear plant.there was huge protest recently by villages in ratnagiri and other areas against this project

IchimaruGin1

February 8th, 2010, 08:46 PM

Many parts of Delhi don't have 24 hr electricity esp. South and east Delhi. But by 2010-2011, Delhi will be power surplus as there are many mega power projects going in and around Delhi like 1500 MW in Bawana in Delhi, 1000-2000 MW more within Delhi (Badarpur, Pragati etc.), 1500 MW Jhajjar in Haryana and mother of all 7800 MW (??) at Dadri east of Delhi. Plus there are some other sub 1000 MW projects around Delhi.

hmm isnt the south the posh part?

i also read that many people with farm houses in south delhi have solar panels on their roof and are not connected to the grid

IchimaruGin1

February 8th, 2010, 08:47 PM

Have they started work on the jaitapur nuclear plant.there was huge protest recently by villages in ratnagiri and other areas against these project

from what i know they have cleared the area (levelling etc) and most of the land has been acquired

french are keen to push the project through

karunakaranashok

February 8th, 2010, 08:47 PM

yup

i live in mulund

barring a small blip last year it was 24 hour electricity

now its 0 load shedding.

now water remains the final frontier for the basic amenities

so mumbai metropolitan area pune nagpur and nashik have zero load shedding in maharashtra since the new year.

rural area too to get 24 hour electricity supply by 2012 with the completion of a few power plant projects.

with the completion of Jaitapur nuclear power plant (10,000 MW) and a few other projects the state is projected to be power surplus till 2025

In the 10 years that I lived in Mumbai (1982-1992) , the only time I experienced a major outage was due to a cascade trip initiated by some glitch at Tarapore Atomic power station(TAPS). Since 1992 I am only an annual visitor to Mumbai (with visits lasting less than two weeks or so at a time) and whenever I am there , I have not experienced any power cuts.

IchimaruGin1

February 8th, 2010, 08:49 PM

well its good to know that mumbai metropolitan area has got one of the basic amenities covered.

so its just water which is left.

Bombay Boy

February 9th, 2010, 06:15 AM

Bombay Boy

February 9th, 2010, 06:17 AM

hmm isnt the south the posh part?

i also read that many people with farm houses in south delhi have solar panels on their roof and are not connected to the grid

when i visit delhi i usually stay with family in south delhi. average power cuts are 2 hours a day, usually worse in the summers. almost everyone has generators and inverters at home

Abhishek901

February 9th, 2010, 06:41 AM

hmm isnt the south the posh part?

Maybe that's why. Since it is most posh, all people have access to gensets etc.

Indian Rockstars

February 9th, 2010, 07:18 AM

Maybe that's why. Since it is most posh, all people have access to gensets etc.

i live in south delhi and never see powercuts happening here.....i hardly remember any.....

anyways Delhi will now be having surplus power , i believe we already have 360 MW of surplus ....isn't it???

phaedrus

February 9th, 2010, 09:10 AM

when i visit delhi i usually stay with family in south delhi. average power cuts are 2 hours a day, usually worse in the summers. almost everyone has generators and inverters at home

hardly any powercuts in south delhi anymore. even in summers things are way better.

Abhishek901

February 9th, 2010, 09:19 AM

i live in south delhi and never see powercuts happening here.....i hardly remember any.....

anyways Delhi will now be having surplus power , i believe we already have 360 MW of surplus ....isn't it???

I don't think Delhi is power surplus right now during peak times when demand is more than 4400 MW, though it will be power surplus in few months from now.

Anyways good to see power situation improving in south Delhi.

zenith_suv

February 9th, 2010, 09:26 AM

this ones again going thw rong way.

Back to Mumbai bahi log !!

IchimaruGin1

February 9th, 2010, 11:18 AM

water would not be an issue when the middle vaitarna and pinjal projects are completed in the next few years. of course a poor monsoon like this year will always lead to shortages, nothing the bmc can do about that

they can start a water treatment plant of about 550 million litres a day ideally located to suck fresh water out of the ulhas river and refine it. I read into it and it will be much cheaper to set up than a full blown desalination plant

the thing is that population will continue to grow.

dont think that middle vaitarna is the permanent solution for that.

Need to provide about 160 litres of water per capita today.

or 3700 million litres of water per day for Mumbai mmr

I agree bmc is not to blame. But mmrda needs to step in.

IchimaruGin1

February 9th, 2010, 11:26 AM

Real estate bubble building up again in Mumbai

Mumbai: Mumbai’s real estate prices have begun to run amok once again, suggesting that another realty bubble is in the making. In a quick reversal from last year’s recessionary trends, residential property prices which had dropped by almost 35% in some areas have risen sharply in the last nine months and are now close to their earlier peaks of 2007-08.

The rise has been sudden both at the premium end of the market and the deep suburbs, suggesting the return of speculators and investors to the property market.

A three bedroom-hall-kitchen (BHK) apartment at upmarket Warden Road was recently sold at Rs93,000 a sq ft (built up rate) when it was quoting at just Rs 50,000 in early 2009. Apartments (mostly owned by investors) in Beaumonde, a building by Sheth Developers at Prabhadevi, are now quoted at approximately Rs50,000 a sq ft as against Rs35,000 and above in 2008. Apartments at Planet Godrej, developed by Godrej Properties at

Mahalaxmi, are being quoted at approximately Rs27,000 a sq ft, close to the peak rate of Rs30,000 a sq ft quoted in 2008. Prices in 2008-2009 had dropped to almost Rs16,000 a sq ft.

Raheja Vivaria at Mahalaxmi is now quoted at Rs26,000 a sq ft, close to its high of Rs30,000 a sq ft in 2008. It had dropped to Rs16,000 a sq ft at the trough earlier in 2009. Similar was the case with Ashoka Towers at Lalbaug which is now quoting Rs 25,000 a sq ft. Prices at Cuffe Parade, Nariman Point and Altamount Road, which had dropped to almostRs40,000 a sq ft, are back to their earlier rates between Rs50,000 and Rs70,000
In the western suburbs, flats in Kandivli and Malad have touched Rs7,000-Rs8,200 a sq ft, a huge jump from the Rs 5,000 a sq ft quoted in January 2009.

At Andheri, rates are between Rs7,200 a sq ft (somewhere at Chandivali, Powai) to Rs14,000 a sq ft in premium buildings. Earlier, rates were around Rs5,000-8,000 a sq ft. Lodha Group, which had not raised prices during recession, is now quoting Rs7,500 a sq ft in Lodha Aqua, a project at Mira Road.

Pre-recession, flats were quoted at Rs6,250 a sq ft.
Sheth Developers have jacked up prices at Ivy Towers at Goregaon to Rs9,000 a sq ft from Rs7,500 a sq ft. Property experts have attributed the sharp rise to improved market sentiments and shortage of ready flats, with developers either cancelling projects or slowing down construction.

http://www.dnaindia.com/mumbai/report_real-estate-bubble-building-up-again-in-mumbai_1341717

IchimaruGin1

February 9th, 2010, 11:27 AM

Neev Group completes 16 Rainwater harvesting projects

A city-based real estate and infrastructure services company, the Neev Group, has successfully completed 16 Rainwater harvesting projects, commissioned by the Municipal Corporation of Greater Mumbai (MCGM), the primary agency responsible for urban governance and development in Greater Mumbai, at desired locations in Central Mumbai, South Mumbai, and Eastern and Western highways.
The completed harvesting tanks have been set up across the city at several areas including Wadala, Kurla, Chembur and Byculla. These projects are worth approximately Rs 1.5 crore, covering an area of approximately 124,000 square feet.
Talking to mediaprerson here today, company's Cheif Operating Officer (COO) Mr Alkesh Jain said ''As water shortage continues to affect city's water supply due to the previous year's weak monsoon, rainwater harvesting is one of the most promising solutions for collecting and supplying fresh water to the residents of the city and significantly reducing the water scarcity in several areas.
Through this project, the Neev Group is ensuring that it contributes towards safeguarding the city's community, environment and assisting the government in providing better water access for the residents of city.
Some of the infrastructure projects completed by Neev Group till date includes K N P Market at Dadar, Jogila Market at Thane. School projects at Worli, Dindoshi and Versova. Bhabha Hospital, Nair Hospital (OPD building), KEM Hospital (restoration work), Centenary hospital Kandivali (first phase) and In addition to these projects, Neev Group is even looking at leveraging its expertise in public utility projects like bridges, skywalks, mass housing, irrigation projects like dams, canals, water and sewage treatment plants, recreation parks, and beautification and landscape enhancement projects.

http://www.centralchronicle.com/viewnews.asp?articleID=26417

IchimaruGin1

February 9th, 2010, 11:31 AM

Alok Industries to sell properties to raise funds, cut debt

MUMBAI: Textiles maker Alok Industries Ltd , said it plans to sell its real estate portfolios to raise funds and retire debt, a top official

said. "We will encash our real estate portfolios.

We believe, in the next one-and-a-half to two years, we would get a net inflow of 7 billion rupees," Chief Financial Officer Sunil Khandelwal said on Monday. He said the firm has already signed a deal to sell part of its property in central Mumbai to an undisclosed buyer and expects an inflow of about 670 million rupees from the sale.

http://economictimes.indiatimes.com/markets/stocks/stocks-in-news/Alok-Industries-to-sell-properties-to-raise-funds-cut-debt/articleshow/5524377.cms

IchimaruGin1

February 9th, 2010, 11:32 AM

Mumbai Malls witness surge in footfalls

Mumbai: If you had visited any retail mall last month, you could not have failed to notice the crush of customers enticed by special discounts and clearance sales. Whether it is home furniture or entertainment electronics, laptops and cameras or even apparel, retailers are seeing a surge in footfalls, erasing memories of consumer diffidence around this time last year.

“Retail growth is going through high euphoria, backed by the festival period in the third quarter of 2009-10. Q4 (January-March 2010) will have occasions such as Valentine’s Day and clearance sales by retailers,” says Anurag Rajpal, vice-president, apparel, Spencer’s Retail Ltd.

InOrbit Mall at Malad reported more than a million visitors last December, and is counting on the good times continuing.

“Retail is looking very positive. Footfalls are rising and there has
been an 8-10% increase in retail sales from September 2009. Q3 (October-December 2009) has been very good for retail owing to the return of consumer confidence. We are expecting Q4 of this year to be better,” says Kishore Bhatija, chief executive officer,
Inorbit Malls

Kishore Biyani, managing director, Pantaloon Retail (India) Ltd, says that big ticket purchases such as LCD TVs and furniture are happening again.

“(Lack of) consumer sentiment is history. The 30% growth we achieved during the four-day Republic Day sale was more than expected. We are creating categories and occasions for consumers to spend. Youth categories like laptops and cameras have done specifically well for us,” he adds.

“The overall sense I get from retailers is that footfalls are increasing. The business has genuinely picked up as consumers are spending again after turning cautious for long. The job markets are opening up; there is a feel-good factor which is helping consumers spend,” says Viraj Nadkarni, sector analyst, Angel Broking.

Among others, Pantaloon Retail and Shoppers Stop have reported same-store sales growth of 11% and 12%, respectively, during the quarter ended December. Spencer’s Retail has been reporting month-on-month sales growth of 15-20% since November.

Pantaloon Retail’s formats Big Bazaar and Food Bazaar, which ran
a four-day sale styledSabse Saste Char Din, saw a big surge over last year’s footfalls.

The home furniture and furnishings segment, which was experiencing a decline in sales till July-September, 2009, has started to look upbeat again. This segment was worst affected during the slowdown of 2008-09, with double-digit negative same-store sales growth following the collapse in real estate.

“With the real estate sector picking up and consumers buying new homes, it is very obvious for home segment retailing to start growing again,” Angel Broking’s Nadkarni says.

Retailers in the home segment who had earlier shelved expansion plans are now trying to regrow the category as consumers are showing renewed willingness to buy more furniture, electronics and decor items.

Manish Parekh, director, @Home chain of home stores, is optimistic, “We are expecting to double sales compared to the November- December, 2008 period.”

However, Rajpal of Spencer’s says he is keeping his fingers
crossed for the first quarter of 2010-11. “The real test of consumer sentiment for us will be in sustaining this growth in the first quarter of the next fiscal,” he says. The budget will obviously be a key driver of consumer sentiment.

http://www.dnaindia.com/mumbai/report_malls-witness-surge-in-footfalls_1344787

IchimaruGin1

February 9th, 2010, 11:40 AM

Indian utility will buy 150,000 water meters
Bangalore: Liberty Lake-based Itron has sold 150,000 automated water meters to the Indian city of Mumbai. The deal, worth about $15aEURemillion, is the first sale of the company's automated water units in India.

Itron, which develops metering systems and software used by gas, water and electric utilities, has sold products in India before, said the company's Spokeswoman Marni Pilcher. According to the company, it will provide implementation and maintenance services, in addition to training meter-readers in India. But most of those sales have been gas meters and a minimal number of electricity meters, she said.

Prior to this sale, many Indian utilities bought water meters from Actaris Metering Systems, the European company Itron acquired in 2007. The units contain data collection technology along with communications chips, giving the meters two-way communications with system managers. In India and many other countries, metering and regulating water use is uncommon.

Marni said the decision by officials in Mumbai shows "a movement toward resource conservation." Mumbai's municipal water system undertook a pilot project in 2009 in which the company installed 3,000 residential and commercial water meters in one section of the city, all equipped with radio transmitters. That six-month test helped the company win the new contract, which is expected to be completed in about two years.

http://www.siliconindia.com/shownews/Indian_utility_will_buy_150000_water_meters-nid-65288.html

Its great that water meters will be installed.

IchimaruGin1

February 9th, 2010, 11:53 AM

The Mumbai Project: 24-hour water supply? It’s no pipedream

Mithesh Kapadia, a 30-year-old event manager who lives in a three-bedroom apartment in the upmarket Lokhandwala Complex in the western suburb of Andheri, uses up to 25 buckets of water a day. That’s the same as a middle-class citizen of Shanghai, the Chinese city our politicians look to as a model for Mumbai. (Check out the special on The Mumbai Project)
How does Mumbai match Shanghai?
The Brihanmumbai Municipal Corporation (BMC) supplies water to India’s financial capital for no more than six hours a day. Shanghai supplies water for 24 hours. That’s the same as international cities like London, Bangkok, Seoul, Kuala Lumpur and Hong Kong.
Mumbai has enough water for its 14 million citizens, enough for a 24-hour supply. So say experts. So says the BMC. So says a World Bank study.

The city — from Churchgate to Dahisar on the west, from Chhatrapati Shivaji Terminus to Mulund and Mankhurd on the east — is supplied 3,350 million litres per day (mld) from five lakes. That’s 33,500 tankers of water a day. Yet, every Mumbai household knows the water announcements: Get ready, the water will go soon! Fill the buckets! Don’t wash your hair!

So, if we have enough water, why don’t we get it?

“Mumbai has enough water for a 24-hour supply but water gets wasted because there are too many leakages in the old pipe network,” said David Ehrhardt, chief executive of Castalia Ltd, a global infrastructure consultancy firm that in June 2007 studied Mumbai’s water supply — in Andheri with money from the World Bank.

Here’s what Ehrhardt found: “The amount of water Shanghai loses in its 24-hour supply is lost in Mumbai’s six-hour supply process.” Mumbai loses 670 mld of water.

Continuous water supply — a given in global cities across the world — will solve many of our water problems:
• To start with, people will no longer have to wake up at odd hours or plan their lives around the water-supply schedule.
• It will cut the waste of water. People tend to empty stored water every time the six-hour supply resumes, said the World Bank-funded study.
• It will reduce contamination. Sewer and water pipes, many a century old, run parallel. When there are leaks, there’s contamination and outbreaks of water-borne illnesses.

If there is a 24-hour supply, water will simply flow out if there’s a leak; sewage will not get in. When pipes are empty, contamination is easy, said Ehrhardt. Contamination is highest during the monsoons, between June and October.

The answer: Replace 4,000 km of leaky pipes, some up to 70 years old. The 2007 BMC budget set aside Rs 253 crore to replace and repair these old pipes.

Work began after the rains, in October. “We have replaced 150 km of the city’s water pipes and we will replace about 174 km more with money from this year’s budget,” said Madhukar Kamble, chief hydraulic engineer with the BMC. “Work worth another Rs 100 crore will be done in the next financial year.” The civic body also plans to repair 290 km of pipeline.

Replacing these pipes won’t be easy. Civic officials say there is no underground map of the city’s water pipes and sewage lines. “So we have to dig a section of the road and check if the pipes are actually there,” admitted an official from the hydraulic department, requesting anonymity. “We rarely find the pipeline we are looking for in the first attempt.”

Till Mumbai gets new pipes, our best hope is that the city quickly detects leaks and fixes them.

On an average there are 250 major pipe-bursts every year. That’s a pipe-burst every 36 hours. Each time, around 10 lakh citizens face water cuts for varying amounts of time — it could be from a few hours to two days.

Fixing the leaks would not be difficult, if the BMC had had an efficient system of detecting leaks. “We still follow the old method of listening to the water gushing in the pipe to locate the leak,” said P.R. Sanglikar, retired deputy municipal commissioner.

Isn’t there a more efficient way to detect water leaks? “Well, the BMC bought electronic leak detectors 20 years ago but they were never used due to lack of enthusiasm among the staff,” explained Sanglikar. “Now, they have rusted and do not work.”

It took between seven days to a month to get a pipe repaired, until recently: A BMC meeting had to be held and a committee had to sanction money for repairs. Additional municipal commissioner Manu Kumar Srivastava, who heads the water department, has now put a system in place where pipe-bursts are attended to in a few hours instead of weeks. “If a pipeline bursts, work will not have to wait,” Srivastava. “Work is being given to private contractors and money has been budgeted so that repairs don’t get delayed.”

No waiting for water, no fear of contamination, no water cuts. Mumbai can make all of this happen, once the new water pipelines are laid and dams are built. The work is on. Let’s hope we meet the deadlines
Is this enough?
Problem 1: We need more than sharp ears
The civic body needs to invest in technologically advanced equipment that will detect leaks, then train employees to use the equipment — instead of relying on a staffer’s sharp hearing to detect pipe-bursts.

Problem 2: How do we get to the pipes?
Slums built on water pipes need to be cleared and slumdwellers quickly rehabilitated. That will make repairs easier and ensure pipes don’t get damaged.

Problem 3: Where are the pipes?
Water pipes — many laid up to 100 years ago — need to be mapped urgently. Projects are often delayed as workers dig blindly trying to find pipes. Indiscriminate digging also mars roads and snarls traffic.
Problem 4
Poor water pressure

The city needs booster pumps so every part of Mumbai gets enough water. Neighbourhoods on hills do not get enough water because it flows at a pressure that is worse than most international cities.
Other initiatives
Universal meters will be installed in flats to make sure users pay as much as they consume. “We are inviting tenders from agencies to supply, install, operate, maintain and read water meters throughout Mumbai for five years,” said Srivastava. The agency will be appointed by the end of January 2008.

Introduction of telescopic rates to ensure people who consume more pay proportionately more. The proposed tariff rates include doubling the rates if you consume more than the global standard quota of 150 litres per day. “This proposal is before the BMC standing committee. It will check excessive consumption,” said Srivastava.

Prepaid water meters will be introduced soon. Officials hope easy availability and low cost will discourage slumdwellers from tampering with pipes and stealing water. This proposal is pending before the standing committee.
A heavy monsoon. A forgotten plan. A 13-year delay
1994: Mumbai is reeling under a severe water crisis.
A team of eight experts, headed by Dr Madhavrao Chitale, an expert in irrigation and water management, put their heads together and came up with a master plan that would be the answer to the city’s water shortage. Not a stopgap solution but a plan that would sustain the city’s water needs for 26 years, till 2020.

The plan was to build five dams. Permissions from the state government were in place, Rs 2,599 crore was allocated, work was set to begin.
It rained heavily that year. Monsoon was normal and the water crisis resolved itself. And the plan? It was forgotten.
2007

Thirteen years later, the Brihanmumbai Municipal Corporation (BMC) dug out the report and revived the five-dam plan, starting with the Middle Vaitarna project. The proposal has survived the termites, but its deadlines have been left far behind. “What would have cost the BMC Rs 2,599 crore is an estimated Rs 9,609 crore, if work starts today,” said P.R. Sanglikar, retired deputy municipal commissioner. The difference? A cool Rs 7,010 crore. With that money the BMC could have built five more dams.

The civic body got clearance in May this year from the Central Public Health and Environmental Engineering Organisation and the Ministry of Environment and Forest to build the first dam, called the Middle Vaitarna project. Its new deadline is December 2011. Once ready, it will supply Mumbai an additional 455 mld of water, that’s about 4,550 tankers of water. Feasibility studies are now underway for two other dams, the Gargai and Pinjal projects.

If the civic body had followed the original plan, the Middle Vaitarna dam would have been ready four years ago and by 2013, Mumbai would have had enough water to meet the projected demand for the year 2021. Water supply would have gone up from the current 33,500 tankers per day to 53,880 tankers in Mumbai.

“When I was appointed to do the study 15 years ago, the main focus of the study was that the city should continue to develop without water becoming a constraint,” said Chitale.

Additional Municipal Commissioner Manu Kumar Srivastava said, “Since I took over two-and-a-half years ago, water supply has increased by about 355 mld. This was done by getting more water sanctioned for Mumbai from the state.”
Work in progress

For more water: New dams
Middle Vaitarna
The project involves construction of a 300-feet-high dam on the Vaitarna river, located in the forest area. From the river, water will be brought down to Lower Vaitarna. From there, a 7.5-km-long tunnel and a 35-km-long pipeline will bring water to a new water treatment plant in Bhandup, where water will be treated and then supplied to the city.
Cost: Rs 1,600 crore
Effect: Mumbai will get 4,550 tankers of water
Deadline: “It will take four years to build,” said Srivastava. “We will be able to draw water from the dam by December 2011.”

Gargai and Pinjal
The dams will come up on the river Gargai (about 120 km north of Mumbai) and Pinjal (about 130 km north of Mumbai). Work on the two dams is likely to start simultaneously, as recommended in the feasibility study. The Japanese Bank For International Cooperation is currently studying the project and may fund the project.
Cost: Not yet determined
Effect: 4,550 and 8,550 tankers of water respectively
Deadline: 2017 and 2021

For better supply: New pipes

• The BMC has set aside Rs 253 crore in its 2007 budget to replace pipes in the city. Work began in October.
• The BMC also plans to repair 290 km of the pipeline.
• Another Rs 100 crore will be allocated in 2008 budget to continue replacing the city’s 100-year-old pipelines.

Tunnel vision

The civic body has started constructing tunnels instead of laying huge pipes to bring water from the dams into the city as these underground tunnels are low maintenance and cannot be encroached upon.

Tansa: A tunnel is being built at the Tansa dam site. The 17-km-long tunnel will run between Gundawali village, about 90 km from the city on the Mumbai-Nashik highway, and the Bhandup water-treatment complex, from where water is released to the city. The project also includes replacement of the existing pipelines. The existing water lines from Tansa, Vaitarna, Upper Vaitarna — Middle Vaitarna and Pinjal will come later — will be connected through this tunnel to the Bhandup water treatment complex.
Cost: Rs 1,650 crore: Rs 800 crore for the tunnel; Rs 850 crore for the pipeline. The BMC will seek funds from the Centre.
Others tunnels:
Malabar Hill-Cross Maidan
Cost: Rs 150 crore
Length: 3.6 km

Maroshi-Ruparel
Cost: Rs 350 crore
Length: 12 km

Yerawali-Yari Road
Cost: Rs 250 crore
Length: 6.1 km
Deadline: Work on all projects has started; the BMC deadline is 2010.
The buck stops here

Manu Kumar Srivastava, Additional Municipal Commissioner
What are the BMC’s plans to improve water supply to Mumbai?
We are taking up many initiatives under the Sujal Mumbai campaign. We have taken up work worth Rs 2,800 crore. The initiatives include creating new water sources by building dams, like the Middle Vaitarna project, and improving the city's water distribution system by replacing old water mains with three tunnels. These tunnels are easier to maintain and inaccessible to miscreants. We are also repairing and replacing water pipelines. In addition to this, to speed up the repair of smaller pipes carrying water to the consumer, we have fixed contracts with agencies to carry out work as per the directives of the hydraulic engineer.
Why did the BMC not build a single dam to increase water supply for 13 years?
I can only talk to you about the last two-and-a-half years since I have taken charge. We have got all the approvals for the Middle Vaitarna dam project, including funds from the Centre. The project is on track. We are also doing a feasibility study for the Gargai and Pinjal water dam projects.

What measures are you taking to improve water supply in the city?
We are aiming at a 24x7 water supply by minimising water wastage, through improvements in the distribution system and by developing new water sources.

Why is the civic body not investing in equipment to detect leaks?
We are improving the water distribution system with the help of a reputed consultant. We will divide the city into smaller areas and conduct water audits in each area to identify the leaks and rectify it.

IchimaruGin1

February 9th, 2010, 12:10 PM

Cash-strapped BMC to present surplus budget

Mumbai: Despite facing financial crisis this year, the Municipal Corporation of Greater Mumbai (MCGM) would present a surplus budget tomorrow.

According to civic sources, this year's municipal budget will be around Rs 21,000 crore as against last year's budget of Rs19,931 crore, an increase of Rs 1,069 crore.

According to civic officials, the focus of the budget this year will be on completion of ongoing projects. "The focus will be on completing existing projects like BRIMSTOWAD, Middle Vaitarna and others. No new project will be undertaken this year," a civic official said.

As the city is grappling with water shortage, MCGM's main concern area will be water department.

"Our concentration will be on water related projects like repairing water mains, bore wells, rain water harvesting techniques, setting up desalination and grey water plants" the official said.

According to civic sources, direct taxes like water and property tax are less likely to be increased again keeping in mind the upcoming elections in the year 2012.

While, indirect taxes like hoarding and hawking charges and license fee among others are likely to be increased.

"MCGM's major sources of revenue - octroi and the development plan department managed to bounce back from the slump period and are expected to achieve their respective targets by the end of this financial year," civic officials said.

Rising over the effects of recession, the octroi and development plan department of the civic body managed to recover and are expected to achieve their targets of Rs4,300 crore and Rs1,200 crore respectively for the year 2009-10 by March end, they said.

While, for the year 2010-11 the estimated target for the octroi and development plan department will be Rs4,750 crore and Rs1,200 crore respectively, they said.

The property tax department's current income is Rs1,848 crore. Restructuring of property tax system is likely to see a growth of around Rs2,800 crore this year, officials said. The budget will be presented by municipal commissioner Swadhin Kshatriya tomorrow.

http://www.dnaindia.com/mumbai/report_cash-strapped-bmc-to-present-surplus-budget_1342376

IchimaruGin1

February 9th, 2010, 12:12 PM

BMC to give out part of its plots to pvt developers

Two years after the Brihanmumbai Municipal Corporation reserved 36 plots across the city to house its 27,000 conservancy workers; it is now contemplating giving out a part of these plots to private developers for commercial activities. In return, the cash crunched BMC is hopeful of getting financial aid from developers for constructing housing for its solid waste management department employees.

In February 2008, the BMC had first proposed a scheme ‘Ashray’ to build staff quarters for conservancy workers with a carpet area of 350 square metres each by okaying FSI of 4 on these municipal owned plots — 17 in the city and 10 in the western suburbs and nine in the eastern suburbs. However, the project has not been implemented so far because of lack of funds.

While announcing BMC’s annual budget for the financial year 2010-11, municipal commissioner Swadheen Kshatriya said parts of these lands could be given away for commercial exploitation. “We are exploring the feasibility of reserving certain part of the project for commercial purposes so that builders and developers are attracted to these projects and the financial burden on the BMC is eased to some extent,” said Kshatriya adding that the BMC will soon draft a policy in this regard.

Out of its 27,000 conservancy workers such as sweepers, the BMC currently provides housing for only 5,000 workers. The proposed seven storey buildings are to have facilities such as health centre, community and welfare centre, balwadi etc.

The decision to include private players has raised eyebrows as many of the plots are situated in prime real estate locations. All the plots together measure up to 1.9 lakh square kilometres worth over Rs 7,000 crore. The BMC estimated the total project cost at about Rs 850 crore.

http://www.indianexpress.com/news/BMC-to-give-out-part-of-its-plots-to-pvt-developers/576871

IchimaruGin1

February 9th, 2010, 12:14 PM

HC cancels contract for golf course

The proposed 18-hole golf course in Navi Mumbai is set to be delayed as the Bombay High Court has directed City Industrial Development Corporation (CIDCO) to invite fresh bids for developing it and a country club on the 35.55-hectare land.

While cancelling the contract awarded to Mistry Constructions on the grounds that there was no transparency in the deal, a division bench of Justices B H Marlapalle and R Y Ganoo directed CIDCO to fix the reserved bid amount in four weeks.

The court was hearing a petition filed last year by Makhija Developers seeking to either reconsider the proposal submitted by them or to invite fresh bids and award the contract after assessing them. The court observed that “the decision awarding the tender must be bona fide and in public interest—and not arbitrary or illegal”. “When a public property or the property of a public undertaking is being transferred or alienated, it must receive the best market price/lease amount,” the judges observed.

The court, meanwhile, has granted liberty to Mistry Constructions, BSEL Infrastructure and Makhija Developers to respond to the proposed bids. As many as18 parties had submitted their proposals earlier. Though CIDCO had initially labelled Mistry Constructions as a “non-responsive bidder” as it did not furnish a bank guarantee of Rs 20 crore, it later awarded the contract to the latter.

BSEL had challenged the contract earlier, but the parties settled the dispute. CIDCO then issued a letter of intent in favour of Mistry Constructions, which was challenged by Makhija Developers. Stating that the lack of bona fides is writ large, the judges concluded that “CIDCO failed to come up to the expectations as a public body to maintain transparency”.

http://www.indianexpress.com/news/HC-cancels-contract-for-golf-course/570999

Marathaman

February 9th, 2010, 12:15 PM

How can the municipal body of Bombay be cash-strapped. Its unbelievable.

IchimaruGin1

February 9th, 2010, 12:16 PM

How can the municipal body of Bombay be cash-strapped. Its unbelievable.

people dodge a lot of tax....

plus any renovation works cost much more than anywhere else in the country.

so in terms of purchase parity they are severely crippled.

IchimaruGin1

February 9th, 2010, 12:18 PM

Fake notes flood wholesale market in and around Mumbai

Mumbai: Intelligence inputs have revealed that fake currency notes are being pumped into the wholesale markets in and around Mumbai.
To check the circulation of fake notes, the Anti-Terrorism Squad (ATS) has stepped up vigil around these market hubs in many areas including Byculla, Andheri and the APMC market in Navi Mumbai.

A senior ATS officer said: “We are educating traders and
wholesalers to help them identify fake notes. These market places have become an easy target, as they are crowded and a large number of notes are exchanged.”

With the fake notes appearing almost real with an impeccable watermark and high-quality paper, the police are also suggesting that the traders buy machinery which helps in differentiating fake notes from the original ones.

ATS officers came to know about the focus on wholesale market from 10 accused arrested by the squad for allegedly possessing and circulating fake currency notes.

The ATS arrested four people from Bengal in connection with the fake currency notes. They are Ibrahim Shaikh, 19; Barkat Shaikh, 19; Javed Shaikh, 36; and Mohammed Hashimuddin, 30.

The police arrested them in Mankhurd and seized fake currency worth Rs50,000 from them. They told the ATS officers that they were given the task of circulating the notes in APMC market.
Similarly, in another case, one Ainul Shaikh, 25, who was arrested in the last week of January for allegedly possessing fake notes worth Rs4.25lakh told investigators that he was in charge of circulating fake notes in Andheri and western suburbs.

Senior ATS officials said that before wholesale markets became the new target points, in 2008, the fake currency mafia had targeted fish markets in Mumbai, Navi Mumbai and Thane districts.

http://www.dnaindia.com/mumbai/report_fake-notes-flood-wholesale-market-in-and-around-mumbai_1343920

IchimaruGin1

February 10th, 2010, 05:15 PM

Mumbai's new-age builders want a room at the top

Tucked away deep inside Bandra-Kurla Complex (BKC), Mumbai’s newest business district, and overlooking the dirty waters of Mithi River, doesn’t really sound like a posh address. But that has not stopped the Maximum CitySignature Island’s well-heeled from shelling out Rs 25 crore or more for an apartment double the size of a basketball court.
Further down the vehicle-deluged Western Express Highway, an 80-acre plot in the filmi neighbourhood of Goregaon will soon host three residential towers packed with amenities that even the richest in Mumbai couldn’t have dreamt of a few years ago. A skating rink in this sweaty, hot city is par for the course.

At first glance, these properties defy logic. Homes this expansive are more the exception than the norm in this space-starved city where owning a 600 sq. ft. house makes you feel like a king. Location is held at a premium, not the living space. A tiny shack in the city’s south could command several crores of rupees. Even after the property market expanded to the suburbs over the last five years — when builders like Hiranandani and Raheja sold hundreds of middle-class homes — the average size of a Mumbai flat hasn’t crossed 1,000 sq. ft. So, apartments seven or ten times the size, away from the traditional uptown are a new phenomenon.

http://www.moneycontrol.com/news/current-affairs/mumbais-new-age-builders-wantroom-attop_441059.html

IchimaruGin1

February 10th, 2010, 05:35 PM

Lupin's Gupta may sell land at Goregaon

Mumbai: With the realty market picking up, the Guptas, promoters of pharmaceutical company Lupin Ltd, are in talks with builders to sell 5 acres (approximately 2.5 lakh square feet) of land at Goregaon. The Lodha group is believed to be the frontrunner for the deal with an offer of Rs180 crore.

The area, next to The Hub and Raheja Sherwood, a residential colony, off the Western Express Highway, is being used as a car park.

A Lupin spokesperson said the land is not owned by the company. “It is owned by private companies owned by Dr DB Gupta,” the spokesperson said. “We would not like to comment on a private matter.”

Abhishek Lodha, director of the Lodha Group, said no deal has been struck. “We haven’t spoken for the past five months,’’ he said. The Lodhas are currently preparing for an IPO.

Lupin, headquartered in Mumbai, is a pharma firm with a strong
research focus. It has a R&D centre in Pune and is a leading global player in anti-TB drugs, cephalosporins (anti-infectives), and cardiovascular drugs.

Recently, the Khorakiwalas, promoters of pharma company Wockhardt, sold 18 acres of land at Mulund for over Rs350 crore to the Runwal Group and a real estate fund. The land was once owned by Merind, the vitamin B12 maker, which the Khorakiwalas bought from the Tatas in 1998.

http://www.dnaindia.com/mumbai/report_lupin-s-gupta-may-sell-land-at-goregaon_1345761

IchimaruGin1

February 10th, 2010, 05:39 PM

Maharashtra govt gets tough with mill owners

Mumbai: Fed up with private owners of Mumbai’s defunct mills trying to cheat the city of land for housing, the government has decided to enforce the law.
The state has set up a four-member committee under urban development secretary TC Benjamin, which has housing secretary, labour secretary and textile secretary as members, who will compel owners to hand over one-third of the land each to Mhada and BMC as stipulated under the recently amended development control rule 58 (1). Under the amendment, owners will have to submit their layout plans within six months of the closure of the mill.

State housing minister Sachin Ahir said, “There are around five mills like Century, Bombay Dyeing and Ruby who, for reasons best known to them, are not handing over the land. The city should be getting roughly 40,000 sq m of land just for housing.’’

Records show that many take years to hand over the land. Some still manipulate the law and hand over land in scattered pieces.
Several mills even received stop-work notices over the issue from the state-appointed mill monitoring committee. The committee served notices to five mills, including Apollo, Mumbai Textile, Kohinoor, Elphinstone and Jupiter, last year.

http://www.dnaindia.com/mumbai/report_maharashtra-govt-gets-tough-with-mill-owners_1345762

IchimaruGin1

February 13th, 2010, 12:22 PM

http://business.asiaone.com/a1media/business/02Feb10/images/table.jpg

mumbai seems to too costly.

IchimaruGin1

February 14th, 2010, 12:48 PM

HSRIL launches county’s largest home-making store

Home Solutions Retail (India) Ltd., (HSRIL) a part of the Future Group, has launched ‘HomeTown’, India’s most comprehensive home making and home improvement store, at LBS Marg, Vikhroli. Spread over an area of about 2 lakh sq.ft. HomeTown, Vikhroli offers consumers the largest choice and a variety of products in every budget, under one roof.

This is Future Group’s 10th HomeTown, with the other 9 located in Ahmedabad, Bangalore(2), Hyderabad, Indore, Kolkata, Lucknow, Noida & Pune.

The HomeTown store is divided into three sections – exhibitions, markets and services.

Exhibition section: HomeTown will have live displays in the exhibitions section consisting of - living room settings, bedroom settings, dining room settings, kids’ room settings, kitchen settings and bath room settings. This will help the customers to imagine how coordinated their room would look if they purchased from HomeTown.

Markets section: will feature products like sofa sets, dining tables, beds, kids furniture, kitchen fittings, bathroom fittings, furnishings, mattresses, paints, tiles, electrical fittings, decor lighting, plywood, and consumer durables and electronics (through eZone shop-in-shop).

Services section: will offer service options such as - Mr. Carpenter, Mr. Plumber, Mr. Electrician, Mr. Painter, Tilewala, Design & Build, door delivery and installation.

Design & Build - This is a unique end-to-end solution that will help customers bring their dream home to life. From home Designing & Interior works for a new home to renovating existing homes, HomeTown Design & Build services will help customers all the way. Most importantly, this service is flexible, transparent and easy-on-the-pocket. Design & Build is supported with all home related services like Interior Designing, Carpentry, Bathrooms Fittings, Masonry work, Painting solutions & Electrical fittings.

Other Highlights of the store: The store houses Ezone, for wide range of electronics, spread across 10,000 sq.ft, Food Bazaar, spread across 10,000 sq.ft & HomeTown Select, this will showcase premium products for lifestyle buyers, spread across 11,000 sq.ft. The store will also house a café & a fine dine restaurant soon.

HomeTown offers customers a unique, personalized shopping experience. Every customer walking into the store is escorted around the store by smartly dressed hosts and hostesses, who guide them about their requirements. The look and feel of the store is casual and strikes a delicate balance between aesthetics and functionality.

HomeTown will display products from all major manufacturers from India and abroad. Customers will be given price, service and product guarantees. If customers find any products that they have purchased, cheaper elsewhere, they will be given a gift voucher of double the difference, provided they bring an original receipt within two days of purchase of the product. HomeTown will also guarantee workmanship of the jobs that it undertakes, for one year from the time the job is completed. Every product or service provided is backed by reliable manufacturers and service providers. In case of any manufacturing defect, consumers will get the option to exchange or refund the product.

HomeTown will also facilitate fast and easy consumer loans through ‘Future Money’, for purchases at HomeTown.

Future Group
http://www.fibre2fashion.com/news/company-news/pantaloon-retail-india/newsdetails.aspx?news_id=82098

IchimaruGin1

February 14th, 2010, 12:50 PM

BPCL's Mumbai refinery starts producing cleaner petrol, diesel

Mumbai: State-run Bharat Petroleum Corp (BPCL) today said its Mumbai refinery has commenced production of cleaner petrol and diesel.

The refinery, which processes 12 million tonnes of crude annually, would produce Euro IV diesel and petrol that contain lesser amount of pollutants.

"Most of the demand from Mumbai and Delhi for Euro IV quality diesel and petrol will be met by the BPCL Mumbai Refinery," the company said in a press release. In order to meet the Euro IV specification, BPCL revamped certain units in its refinery through the Refinery Modernisation Project (RMP) at a cost of Rs1,635 crore.

It also upgraded existing units of Diesel Hydro-desulphurisation, Hydrocracker and also set up a new FCC Gasoline Splitter at a cost of about Rs440 crore.

The Auto Fuel Policy of 2003 requires Indian Oil Corp, Bharat Petroleum Corp and Hindustan Petroleum Corp to sell petrol and diesel meeting the stringent Euro-IV specifications in 13 major cities and Euro III specifications across India from April 1.

Euro IV fuels go a long way in ensuring a much cleaner environment as the sulphur content in diesel comes down from 350 parts per million (ppm) to 50 ppm and in petrol from 150 ppm to 50 ppm. This reduction ensures lower emissions of green house gases.

http://www.dnaindia.com/money/report_bpcl-s-mumbai-refinery-starts-producing-cleaner-petrol-diesel_1347500

IchimaruGin1

February 14th, 2010, 12:51 PM

HPCL mulls moving Mumbai refinery

State-controlled Hindustan Petroleum Corporation Ltd (HPCL) has proposed a Rs. 25,000-crore investment plan to relocate its 6.5 million tones per annum refinery in Mumbai with a grass root refinery at Ratnagiri in coastal Maharashtra that would be three times its size.
Government sources said the proposal to build an 18 to 20 mtpa refinery involves sale of land HPCL had acquired in Mumbai, which turned out to be insufficient for its ambitious expansion.
“We are evaluating the proposal,” HPCL’s chairman and managing director Arun Balakrishnan told the Hindustan Times, but refused to give further details.
A senior Petroleum Ministry official also confirmed the proposal, saying. “It looks feasible, considering the difficulties listed by the company.”
“However, we have asked HPCL to do a detailed techno-economical examination of the proposal. A final decision will be taken by the HPCL’s board,” the official added.
The new refinery will be funded partly through internal resources generation of about Rs 11,000 crore, while Rs 10000 crore will be raised from the sale of land of the existing Mumbai Refinery. Loans and external commercial borrowings (ECBs) will make up the rest.
HPCL currently has two refineries at Mumbai and Visakhapatnam with a combined refining capacity of 16 mtpa (million tonnes per annum) as against its sales volumes of around 25 mtpa. It is also setting up another nine mtpa refinery at Bathinda in Punjab with the L.N. Mittal group.
Company sources said it was vital to expand in order to meet rising demand.
HPCL officials said options including a careful expansion of Mumbai facilities were evaluated, but a plan relocate the Mumbai refinery was found to be the most feasible.
Another reason to relocate is the high incidence of octroi at 3 per cent on the crude inputs at the Mumbai refinery that runs up an annual bill of Rs. 630 crore.
The hefty bill has made HPCL wonder about the cost of its Mumbai operations

http://www.hindustantimes.com/HPCL-mulls-moving-Mumbai-refinery/H1-Article1-506749.aspx
.

Gotcha

February 14th, 2010, 06:53 PM

bharatiya

February 14th, 2010, 08:36 PM

also... COUNTY'S largest home-making store?

IchimaruGin1

February 20th, 2010, 11:32 AM

^
its country, must be a typo

Mumbai calling as rail advisers set up office to grab deals

A DERBY rail consultancy has branched out into India in an effort to win new business created by the country's developing economy.

Interfleet Technology, at Pride Park, has opened its first office in Mumbai.

Despite the global downturn, India is considered by many economists to be an emerging economy and, as the country grows, its transport links need to be improved.

Interfleet provides expertise on almost all aspects of rail, including advising firms on which rolling stock to buy, working out train timetables and staff rotas and the positioning of signals.

The new office, which will provide the company with a base to service existing clients and woo new customers, is being headed by Interfleet's regional manager for India, Amit Ramteke, who used to work in Derby.

He will be joined next month by another full-time member of staff and is in the process of recruiting more.

He said: "Over the past seven years we have delivered a number of assignments for clients in India and we have gained valuable experience of the rail sector in the country.

"The industry is well supported by the Indian government and there are a number of projects being implemented.

"Several metro schemes are at different stages of development and a monorail market is also emerging.

"With a growing economy, and substantial planned investment in transport, the country presents a significant business opportunity for Interfleet."

Interfleet is currently helping to oversee the manufacture of vehicles for the Mumbai Metro project.

Interfleet's consultants are also acting as the independent certifier for new rolling stock for the Delhi Airport Metro.

The Indian office is the latest development in Interfleet's global expansion.

The firm, which began in 1996 as a result of the privatisation of British Rail, has already established offices in Australia, New Zealand, Scandinavia, Canada and America. In total, Interfleet has 24 offices in 10 countries.

When the company began it employed 99 people – today it employs more than 550 across the globe.

About 300 of those are based in the UK, with most of its workforce at Pride Park.

As well as India, Interfleet is also gaining a foothold in South America.

Managing director David Rollin said: "Our brand is increasingly well known in world rail markets. As a result, we are continuing to extend our global footprint with this new office in India."

http://www.thisisderbyshire.co.uk/news/Mumbai-calling-rail-advisers-set-office-grab-deals/article-1841798-detail/article.html

IchimaruGin1

February 20th, 2010, 11:34 AM

Once again, BKC plot attracts realty giants

Coming after a period of two years, the latest chunk of plot to be put on the block at the Bandra Kurla Complex (BKC) has evinced interest from various developers.

Developers like HDIL, Godrej Properties, Bharti Realty, Vinita Group and Oberoi Constructions were among the few realty players present at a recent pre-bid meeting held by the Mumbai Metropolitan Region Development Authority (MMRDA). The bids will be submitted as well as opened two weeks later on March 3. The 3,162 sq mt commercial plot has a reserve price of Rs 435 crore. Priced at Rs 3 lakh per sq mt, the plot has been ambitiously priced on par with rates prevailing at the beginning of 2008 before the slump left its dent.

In March 2008, the MMRDA had found no takers for two of its five plots that were priced at Rs 3 lakh a sq mt. As for the remaining three plots, the MMRDA is yet to recover close to Rs 1,000 crore from the two bidders. Two residential plots were picked up by Starlight Systems and the remaining one commercial plot had a sole bidder in Jet Airways.

http://www.indianexpress.com/news/Once-again--BKC-plot-attracts-realty-giants/581482

IchimaruGin1

March 2nd, 2010, 12:20 PM

MUMBAI: Reflecting the buoyancy of the economic turnaround and the gradual restoration of job opportunities , new hotels have opened in Mumbai in

recent months. The Trident unveiled a suburban five-star in the Bandra-Kurla Complex, while Juhu has seen at least two new hotels added to its charm.

In addition, the Marriott is scheduled to unveil the Courtyard near the international airport in March 2010 and the Palace wing of the Taj Mahal Palace & Tower will reopen in May. The Taj Group also plans to open eight hotels under the Vivanta by Taj brand and two under The Gateway Hotel brand, all within India.

Zaid Farooqi, director, marketing, of the Taj Group, said, “In the medium and long term, with growth in the economy and city, we believe that there will continue to be a demand for starred hotels in Mumbai.’’

Devendra Bharma, executive VP, Oberoi Mumbai, was cautiously optimistic. “Many of these hotels that have just opened were projects the owners were already committed to and have been completed now. In fact, they weren’t finished at top speed, as they would have been in a stable year,’’ he said. But other industry experts see the glass half full. “One must remember that the hospitality industry works on long-term goals,’’ said Manish Tolani, director, sales and marketing, JW Marriott, Mumbai. “Given that this is India’s economic capital, there is still room for more hotels.’’

Tolani added, “We have seen a positive turnaround after October 15 last year. Campus recruitments are resuming , and businesses and individuals are psychologically walking out of the financial meltdown.’’

While the new Trident and Marriott are five-stars , the hoteliers’ association (AHAR) also sees a growth in the two- and three-star segment , particularly in the suburbs. “Would a resident of Andheri or Goregaon drive all the way to a five-star hotel in south Mumbai for a cup of coffee, even a meal, with so many brands nearer home? The arduous commute hardly makes it worth the while, more so when all kinds of options are available in Andheri or Bandra,’’ said Sony Sachdev, AHAR advisor.

The Taj Group also plans to open Taj Falaknuma, Hyderabad and Taj Cape Town in South Africa.

Experts said that though some hotel chains may see a dip in visitors, it may be related to the number of brands people can choose from.

http://economictimes.indiatimes.com/news/news-by-industry/services/hotels-/-restaurants/Upbeat-in-Mumbai-New-hotels-open/articleshow/5631695.cms

IchimaruGin1

March 2nd, 2010, 12:22 PM

Jet may sell Mumbai land to Godrej Properties for Rs 450cr

Jet Airways seems to have found a solution to its land transaction in Mumbai’s Bandra Kurla Complex that happened almost two years ago. The company had made a whopping Rs 826 crore for two land plots then. It may now be in advanced negotiations to sell one of the plots, reports CNBC-TV18’s Priyanka Ghosh quoting sources.
It is learnt that the front runners for the plot are Godrej Properties, Bharti Realty and Oberoi Constructions. Sources however also added that Jet is in advanced negotiations with Godrej Properties. The deal is likely to close in the next eight to ten days, sources said.
Godrej Properties is looking to pay around Rs 450 crore for the plot. Jet Airways had taken a loan from HDFC to fund the land purchase back in 2008. The liability here then moves from Jet to Godrej.
Of the 1.2 million square feet that Jet Airways is looking to sell to Godrej Properties and others, Jet will retain 2.5 lakh square feet for itself. It will also have certain profit sharing arrangements for the remaining portion.
Sources also indicate that Jet is having parallel negotiations with MMRDA to sanction nine FSI for the plot. Currently, it has 2.5 FSI. FSI, or Floor Space Index, determines the developable area on a plot of land.
This would be a win-win situation for Jet Airways. If Godrej Properties bags this land, it would be a very aggressive move for Godrej given its scale.

http://www.moneycontrol.com/news/cnbc-tv18-comments/jet-may-sell-mumbai-land-to-godrej-properties-for-rs-450cr_442303.html

IchimaruGin1

March 2nd, 2010, 02:58 PM

Nariman Point rises again
RAGHAVENDRA KAMATH / Mumbai February 24, 2010, 0:40 IST
After years of playing second fiddle to newer areas such as Bandra Kurla Complex (BKC) and Andheri in Mumbai, Nariman Point, once the most coveted address in Mumbai and the country’s first central business district (CBD), is bouncing back with a vengeance.

According to estimates made by property consultant Jones Lang LaSalle Meghraj (JLLM), at least seven lease deals for 45,000 sq ft (BKC saw deals for 50,000 sq ft in the same period) have been struck in buildings such as Hoechst House, Nirmal, Nariman Bhawan and Express Towers in the last six months. That’s 50 per cent more than the previous six months.

Several other deals are in various stages of negotiations. Of this, Express Towers, which has a total built-up area of 400,000 sq ft, has seen four lease renewals by high-profile tenants such as Bank of America and Temasek. Others like Hoechst, One Forbes House and so on report similar renewal rates.

The business district saw few property deals in 2008 owing to the economic meltdown and companies and financial institutions shifting to Mumbai suburbs such as BKC, Andheri and others.

All that is history. With fast moving consumer goods (FMCG) giant Hindustan Unilever (HUL) refurbishing its iconic Backbay Reclamation office with a space of 150,000 sq ft and deciding to rent it out, prospective tenants have already queued up. The company is expected to earn Rs 60 crore to Rs 70 crore annually from leasing the space.

Large legal firms and private equity investors have also started looking at south Mumbai to set up their offices. For those who are looking at investing in India, it is the first preference,'' says Raja Seetharaman, national head, agency leasing, JLLM.

One of the major problems Nariman Point faced earlier was sky-high rentals and the poor quality of buildings – there was an acute shortage of Grade A properties that companies want. That problem is being rectified with several iconic buildings being refurbished and attracting tenants like never before. The supply of A Grade office space has increased to 2.5 million sq ft against 1.75 million at BKC.

The main lobby of Hoechst House easily gives the impression of the headquarters of the kind of large multinational one sees in Hollywood films with designer marble flooring and clocks showing the time from around the world. The building houses tenants such as Caylon Bank, Commonwealth Bank of Australia among others.

Other buildings have put up large LCD televisions, heritage mural designs with a blend of contemporary designs and metallic-finish elevators. Some of the buildings have also put up digital video recorder/network video recorder-based CCTV systems and automatic boundaries on vehicular entries. All the floors have also been given a makeover.

Those who have leased space at Nariman Point vouch for south Mumbai's charm. “It is closer to both CST and Churchgate train stations which makes it convenient for our employees to travel. Even our sponsors (Axis Bank) is nearby,'' says Rajiv Anand, managing director and chief executive of Axis Mutual Fund, whose firm has leased 10,000 square feet of space in Nariman Bhavan in Nariman Point.

Though rents have softened in south Mumbai, as they have in other parts of the city, the refurbished buildings today command 20 to 30 per cent higher rentals than before, consultants say. For instance, Commonwealth Bank of Australia leased 7,444 sq ft of space at Hoechst House a couple of months ago at Rs 330 a sq ft per month compared to Rs 275 a sq ft in early 2009.

Most of the A-Grade buildings in the area now command a rent of Rs 225 to Rs 350 a sq ft depending on the address you choose. Seetharaman of JLLM says property owners are targeting global companies that have different offices in various parts of the city and are planning to consolidate in one building.

Though nobody can afford Nariman Point for their back offices, it is becoming the preferred choice for the front office, he says. Firms such as HSBC, Royal Bank of Scotland, Deutsche Bank have set up their back offices in various parts of Mumbai.

Ambar Maheshwari, director of investments at international property consultant DTZ, says single- or dual-ownership structures like Express Towers, part owned by ICICI Venture and Indian Express group, is making all the difference in south Mumbai.

Most of the buildings in the area are strata-owned, where different people own parts of a single building.

But some say Nariman Point can’t be immune to the general oversupply of commercial space in Mumbai. If some Grade A buildings are commanding higher rents, there are others that still have empty floors today on account of lower demand, says the chief executive of investment bank who has an office in south Mumbai.

According to DTZ estimates, Mumbai is likely to add 15.3 million sq ft of office space by the fourth quarter of 2010 against the projected absorption of 5.5 million sq ft.

All the same, vacancy levels at Nariman Point have dropped to 9 to 10 per cent; comparable figure at BKC is 25 to 30 per cent.

http://www.business-standard.com/india/news/nariman-point-rises-again/386664/

IchimaruGin1

March 2nd, 2010, 03:00 PM

Nariman Point world's fifth most expensive office location

Mumbai's Nariman Point area is the fifth most expensive office location in the world with an average annual rental of $107 per sq ft, according to realty services firm Cushman & Wakefield.
Mumbai's central business district edged past the Russian capital Moscow to gain the one point and is preceded by Tokyo, London West End, Hong Kong and Dubai in the survey conducted in 123 key locations in 63 countries across the world.
Cushman & Wakefield, however, said the rental rates in the heart of India's financial capital has dipped by around 20 per cent in 2009 compared with the year-ago period.
Tokyo CBD is the most expensive office location in the world with an average annual rental rate of USD 190 per sq ft.
In the Asia Pacific region, India retained its last year's position in the top ten capturing three slots - Mumbai CBD, Mumbai Worli and New Delhi CBD at third, fourth and fifth position respectively.
"Rental corrections experienced across India in 2009 have made the office market more attractive for end-users. With corporates reconsidering expansion plans and anticipating rationalising of rental values, we expect the demand in 2010 to be buoyant," Cushman & Wakefield Executive Director Occupier Service Arvind Nandan said.
The focus is likely to be the key markets of NCR, Mumbai and Bangalore in the early part of the year, he said, adding that the IT/ITeS sector would bring in demand in the later part of 2010.

http://www.hindustantimes.com/Nariman-Point-world-s-fifth-most-expensive-office-location/H1-Article1-512143.aspx

IchimaruGin1

March 4th, 2010, 06:06 AM

Renaissance Mumbai Hotel and Convention Center wins recognition from BMC
Thursday, March 04, 2010, 12:00 Hrs [IST]
By HBI Staff | Mumbai
Renaissance Mumbai Hotel and Convention Center has received the second prize for ‘Best practice of converting garden waste into vermicompost’ – in Commercial buildings category by the Tree Authority and BMC.

Oliver Kahf, General Manager, Renaissance Mumbai Hotel and Convention Center, said, “This recognition by the Tree Authority and Municipal Corporation of Greater Mumbai is a vindication of the efforts put in by our team for taking effective measures for green initiatives. It is our continuous and constant endeavour to find out ways and means to protect and improve our environment in every possible way. This recognition spurs us on to introduce greater ‘greener’ initiatives to contribute to the environment that we live and work in.”

Vermicompost is a process wherein all the garden waste in the property is collected on a daily basis and filled in a pit where liquid cow dung is added to convert it into semi-decomposed matter. This semi-decomposed matter is then transferred to another pit which has soil and earthworms. After 21 days, the vermicompost is ready. This is then sieved and collected in bags and used as manure for gardening purposes. Vermicompost has more plant nutrients then simple compost or farmyard manure.

http://www.hospitalitybizindia.com/detailNews.aspx?aid=7590&sid=1

IchimaruGin1

March 4th, 2010, 06:13 AM

BOMBARDIER TO OPEN NEW REGIONAL SUPPORT OFFICE IN MUMBAI

Bombardier Aerospace today announced that it will open a new Regional Support Office (RSO), in Mumbai, India – further strengthening its support for customers in this country. This will be the company’s fifth new support office to open in the past three years worldwide and is expected to begin operation in the second quarter of fiscal year 2010/11.
The new RSO in Mumbai will align Bombardier Aerospace’s existing business aircraft and commercial aircraft support services in the region situated in New Delhi, Bangalore and Mumbai at the same location. The new RSO will be located in Andheri East near the Chhatrapati Shivaji International Airport. The office will staff up to 12 employees consisting of Customer Support Account Managers, Field Service Representatives and Regional Support Managers by year’s end. This dedicated team will complement Bombardier’s regional Field Service Representatives located throughout India and its surrounding regions.

“The Asia-Pacific region is a key market for Bombardier, and we recognize how important this RSO is for both our business and commercial aircraft customers in the region,” said James Hoblyn, President, Customer Services and Specialized & Amphibious Aircraft, Bombardier Aerospace. “Strengthening our presence in India is among a number of recent changes we have introduced to improve overall response times and build stronger relationships with our customers around the world.”

Since embarking on its worldwide customer support expansion strategy in 2007, Bombardier has opened new RSOs for its commercial aircraft customers in Tokyo, Japan; Sydney, Australia; Shanghai, China and Munich, Germany and has added dedicated service and support representatives in these regions. In addition, the company’s business aircraft division inaugurated its first Line Maintenance Facility for its Challenger and Global business jet customers in India through Air Works.

Bombardier’s plan to establish strategically located RSOs is designed to provide a comprehensive support package encompassing aircraft technical expertise, flight operations support and customer account management functions. As a result of the proximity to its operators’ bases, Bombardier can provide quicker service to customers in their language and time zone.

About Bombardier

A world-leading manufacturer of innovative transportation solutions, from commercial aircraft and business jets to rail transportation equipment, systems and services, Bombardier Inc. is a global corporation headquartered in Canada. Its revenues for the fiscal year ended Jan. 31, 2009, were $19.7 billion US, and its shares are traded on the Toronto Stock Exchange (BBD). Bombardier is listed as an index component to the Dow Jones Sustainability World and North America indexes. News and information are available at www.bombardier.com.

http://weather.aviation.ca/content/view/8488/117/

IchimaruGin1

March 4th, 2010, 06:16 AM

Standard Chartered to be listed in Mumbai

Standard Chartered will become the first international company to gain a primary stock market listing in India, offering up to $750 million of new shares to Indians, including private investors.

The bank, reporting a 3 per cent rise in underlying profits per share yesterday, revealed its plans for the sub-continent after reaping a profit of more than $1 billion there for the first time.

Richard Meddings, finance director, said: “We were founded in India 150 years ago. A primary listing will strengthen our brand there.”

The Mumbai listing is planned for the first half of this year. Standard Chartered already has primary listings in London and Hong Kong and, with HSBC, is pushing for a listing in Shanghai.

Shares in the bank rose 5 per cent to £16.83, within striking distance of their record high. Analysts said that the results were a little better than expected. Pre-tax profit was up by 13 per cent to $5.15 billion, boosted in part by a £1.8 billion rights issue in late 2008.

In India, where the bank employs 17,000 people, operating profits rose 19 per cent to $1.06 billion, just behind the bank’s biggest market of Hong Kong, which made profits of $1.062 billion.

Peter Sands, chief executive, underlined warnings that too sharp a regulatory crackdown on banks could starve the real economy of credit just as confidence was returning. “It is crucial the policymakers strike the right balance,” he said.

Standard Chartered staff will share bonuses of about $1.1 billion, with an average payout of £10,700. Mr Sands confirmed that he would give his $3.2 million payout to charity. A final dividend of 44.8 cents makes a 66.03 cent total for the year — up 7 per cent.

http://business.timesonline.co.uk/tol/business/industry_sectors/banking_and_finance/article7048735.ece

this is huge development for the city of mumbai HUGE

IchimaruGin1

March 4th, 2010, 07:01 AM

Wadia sells Mumbai building to Axis for Rs 640 crore

MUMBAI: A new four-storey commercial building at Worli is being sold for Rs 640 crore, pitching it as one of the costliest in the country. The

Nusli Wadia-led Wadia Group has finalised the mega deal with Axis Bank, which is planning to shift its headquarters to the building.

The deal generated a lot of interest in Mumbai's property market and some sources in real estate circles had pegged the price at Rs 900 crore. But this was discounted by a senior representative of a leading financial institution who was said to be aware of the nitty-gritties of the transaction.

The Wadias were unavailable for comment. A spokesperson for Axis Bank said: "At this point of time we do not have any comments to offer."

The building, Wadia Tower A, located in the Bombay Dyeing Mill compound on Pandurang Budhakar Road, has a saleable area of over 4 lakh square feet. It works out to Rs 16,000 a square foot.

The representative of a global property consultancy firm said: "A deal of this magnitude for a ready building is unheard of. This is by far the largest of its kind."

Axis Bank, one of the three largest lenders in the country, plans to move out of its existing offices in Maker Towers in Cuffe Parade and set up its headquarters in Wadia Tower A. Several financial sector companies have already relocated to new business centres like the Bandra-Kurla Complex and Kalina.

The Wadias, considered to be one of Mumbai's biggest land owners, control 64 acres in prime central Mumbai where they are also developing 1 million square feet of residential space.

http://economictimes.indiatimes.com/markets/real-estate/realty-trends/Wadia-sells-Mumbai-building-to-Axis-for-Rs-640-crore/articleshow/5613947.cms

IchimaruGin1

March 4th, 2010, 07:10 AM

India - Marks and Spencer expanding stores 01 Mar 2010
One week post his announcement to step down as chief executive, Sir Stuart Rose visited Mumbai for a meeting with India’s richest man and M&S partner, the chairman of the Indian conglomerate Reliance Industries, Mukesh Ambani.
“Mark Bolland, our new chief executive, is very keen to grow the overseas market, and India is just top of the list,” said Sir Stuart. “In fact, I have been discussing with Mr Ambani about the need to get aggressive and both of us are looking to have several more stores.”
M&S declares it will open six to eight new shops in 2010 in India, to add to their 50 stores there by 2014.
M&S joins a long list of European companies that are currently investing in India. Within the next month, businesses such as London-based toyshop Hamleys, Spanish fashion giant Inditex’s Zara chain, and Arcadia Group’s Top Shop will all launch in India. France’s Carrefour is expected to reel-in an Indian partnership in the coming months, the last of four big international supermarket chains to launch in India with fellow chains Wal-Mart, Tesco, and Metro.
Nangia Saloni, the vice president of the Indian management consultancy Technopak stated, “International retailers would have bottomed out in their own countries, they would be looking at investing in their new markets, and India and China would figure very strongly.”
“India is not a panacea or an easy win. It takes time, and you have to understand that,” says chief executive of the Reliance Industries joint venture with UK-based supermarket chain Planet Retail, Mark Ashman. Since taking over, Ashman has cut prices by 30% by increasing the share of goods made in India from 18% in 2008 to approximately 55% today. Ashman plans to bring the share to 70% by 2014.
Many have failed in their attempts at entering the Indian market, which is why Ashman has moved to adapt M&S to Indian tastes, by changing the color scheme of their clothing products, for example. They now provide 16 different colors of polo shirts in India, whereas in their home in the UK, there are but 5 different colors. The men’s polo’s now have breast pockets, a preferred style by Indian men.
“What’s become clear to us is that many things that M&S does around the world are applicable to India, but there are also other things that the Indian market requires international retailers to do differently,” says Ashman.
“I can’t think of a straightforward retail brand coming into India and being a success story,” says David Blair, the south Asia managing director of UK design consultancy Fitch, that redesigned M&S stores for India.
“There was this view that it was all about first-mover advantage, that it was an inconceivably huge market with limited property available, so there was this land grab,” he says.
The US clothing company Levi Strauss’s Dockers brand, Italy’s GAS, France’s Etam, alongside the UK’sArgos, have all closed down their India operations

IchimaruGin1

March 4th, 2010, 01:10 PM

Little & Co partner joins Majmudar as firm moves to Bandra

Majmudar & Co will follow its clients and move from South Mumbai to a larger office in the Bandra Kurla Complex (BKC) in North-Central Mumbai, as the firm has hired Little & Co corporate partner Shreyas Patel with one associate.

Majmudar has taken a five-year lease on 7,500 square feet of the Naman Centre's sixth floor in BKC's G Block in Bandra East.

Little & Co partner Patel has joined Majmudar in the corporate practice focusing on foreign direct investment (FDI).

Patel said: "We are in the growing mode: We are shifting to Bandra Kurla Complex and the plan is to grow. It's an up-and-coming firm with young individuals with the same mindset."

Patel had been with FoxMandal's Mumbai office since 1999, which then merged into Little & Co's office in 2006 after FoxMandal and Little & Co entered into an arrangement to create the FoxMandal Little brand.

Little & Co managing partner Ajay Kathwala confirmed Patel's departure.

Patel and 33 other Majmudar fee-earners are due to move to Bandra on the weekend of 20 March out of Nariman Point's Free Press House.

Five lawyers in Majmudar's litigation practice will be moving to the firm's existing Flora Fountain office, which is near to the Bombay High Court.

Majmudar managing partner Akil Hirani said: "Basically, I guess we are going where the business is going. Most of our banking clients are all slowly but surely heading to the BKC zone and a lot of our corporate clients are there or beyond."

"From what we understand and having spoken to a number of real estate consultants and businesses alike, everyone is recommending BKC," he added.

Hirani explained that the BKC area was actually effectively more expensive than office space in Nariman point. "When you do all the mathematics, Nariman Point gives you better carpet to built-up ratio and rents per square foot are more or less the same."

"If you look at Rupee to Rupee value it may appear that BKC is cheaper, but when you do the mathematics the efficiency [of floor use] in Nariman Point works out higher."

The usable 'carpet' area in Majmudar's new BKC office is around 6,000 square feet, which Hirani said would be enough to grow to 50 lawyers.

"Primarily we are on a pretty high growth path and [Patel] will hopefully be one of many more senior level lateral hires," he noted. "The business tide has clearly turned in the last six to eight months. We are trying to beef up and go to the next level."

Several Mumbai firms have moved North of Nariman Point in the past year or procured additional space in South Mumbai.

http://www.legallyindia.com/20100303544/Law-firms/little-a-co-partner-joins-majmudar-as-firm-moves-to-bandra

IchimaruGin1

March 4th, 2010, 01:13 PM

National carrier Air India and GE Aviation will together invest $90 million to set up a maintenance, repair and overhaul (MRO) facility to cater to the latter's GEnx-1B engines.
"The investment in this facility at Mumbai [ Images ] will be around $90 million," GE Aviation's Country Director Nalin Jain said here on Thursday.

The US-based jet engines provider will invest $20 million while the balance will be pumped in by the Indian government-run airline. The foreign company's investment will be spread over 7-8 years.

"Our (GE Aviation) investment will be over a period of 7-8 years," Jain said.

The two companies on Thursday inked an agreement here, under which Air India will be licensed to perform MRO work on the GEnx-1B engine, which powers Boeing 787 aircraft.

The national carrier has ordered 27 GEnx-1B powered 787 planes.

"Air India envisages a state-of-the-art facility catering to GE 90 and GEnx engines, including a new engine testing facility. Our strong collaboration with GE will enhance the visibility of the facility across the globe and result in India becoming one of the major engine MRO players," Air India Chairman and Managing Director Arvind Jadhav said.

As part of the agreement, GE Aviation will provide technical support to Air India. Currently, GE had an order backlog of 250 engines from India, Jain said.

"We expect fresh orders (from India) next year," he added.

http://business.rediff.com/report/2010/mar/04/air-ai-ge-aviation-to-invest-dollar-90-mn-in-mro-facility.htm

IchimaruGin1

March 4th, 2010, 01:22 PM

Mumbai’s Failed Land Sale May Lead Some Property Prices Lower

March 4 (Bloomberg) -- Mumbai’s failure to lure any bidders in the first government land sale in at least 1 1/2 years may cause rates in that area to fall as India’s financial hub seeks to develop the reclaimed marshland into a key business district.
“It’s a once-in-10 years kind of situation,” Vivek Dahiya, chief executive officer of New Delhi-based GenReal Property Advisors, said by phone from New Delhi. “The Mumbai real estate market is going through a rare situation, where several micro- markets are going to witness over-supply because lots of projects coming up in some areas and demand drying up in some.”
The five likely bidders who attended a preliminary meeting last month for the sale of the site in the city’s Bandra-Kurla Complex didn’t submit offers yesterday, said Dilip Kawathkar, joint project director and spokesman for the Mumbai Metropolitan Region Development Authority. The land was valued at a minimum 4.35 billion rupees ($95 million) by the agency.
The failed auction may force Mumbai, whose commercial space makes it among the world’s five most expensive cities, to cancel or defer sales of land. The government offered the property at 2008 rates even after rents fell by more than a third in Bandra- Kurla, where London-based Standard Chartered Plc and Reliance Industries Ltd., India’s most valuable company, plan to shift their offices.
“The land price seemed to be on the higher side,” Pujit Aggarwal, chief executive officer and managing director of developer Orbit Corp., said by telephone yesterday. Orbit was one of the companies that had attended the pre-bid meeting last month. “It would have been tough to make money.”
Rents Plunge
Rents in the Bandra-Kurla area had dropped 36 percent by December from a June 2008 high, according to data from CB Richard Ellis.
The 3,162.5 square meters (34,040 square feet) of land that was to be sold yesterday in the north-central region of the city can be used to build as much as 14,500 square meters of office space, according to the government agency. The reserve price of 300,000 rupees a square meter set by the agency was unchanged from similar sales two years ago.
“The failed land sale could impact sentiment and could lead to softening of rates in the Bandra-Kurla Complex,” GenReal Property’s Dahiya said.
Mumbai is home to the nation’s central bank, two main stock exchanges, and the main trading centers for diamonds, bullion, commodities, bonds and currency, as well as the world’s most prolific movie industry. Overseas firms including Citigroup Inc. and Goldman Sachs Group Inc. have located their India headquarters in Mumbai.
The government had in March 2008 failed to sell all the available plots for the first time since 1995 as slumping global markets deterred buyers.
‘New Model’
About 20,000 square meters of land is still available for sale at the Bandra-Kurla Complex area, MMRDA’s Kawathkar said.
“The authority will decide on a new model and one of the options is to construct buildings and lease out offices,” Kawathkar said yesterday. “The price is not high.”
Mumbai-based Housing Development & Infrastructure Ltd., Vineeta Wadhwa, and Oberoi Builders were among those that had indicated their interest at a preliminary meeting on Feb. 11, Kawathkar said.

http://www.businessweek.com/news/2010-03-04/mumbai-s-failed-land-sale-may-lead-some-property-prices-lower.html

IchimaruGin1

March 4th, 2010, 01:23 PM

Australia's ANZ To Re-enter India
3/4/2010 2:54 AM ET

(RTTNews) - Australia and New Zealand Banking Group (ANZ) has received an in-principal approval from the Reserve Bank of India to establish a bank branch in Mumbai as well as offer a range of retail and wholesale banking operations.

Subject to regulatory approval, the Australian lender, which is re-entering the Indian market after more than a decade, plans to open its Mumbai branch within 12 months. ANZ sold its assets in India to Standard Chartered in 2000.

by RTT Staff Writer

http://www.rttnews.com/ArticleView.aspx?Id=1229756&SMap=1

IchimaruGin1

March 4th, 2010, 02:08 PM

Celio on an expansion spree

Celio, the hi-fashion French men’s apparel brand has launched the addition of two more stores in Mumbai at Colaba & Vashi (Inorbit Mall). Spread over 600 & 1400 sq.ft. respectively, both the stores will showcase a wide array of apparels & accessories. The Vashi, Inorbit Mall store will display the coolest Spring Summer Collection, 2010 under its casual & sportswear categories and the Colaba store will emphasise on a complete range of sportswear collections for men. The Celio collection has been designed for the fashion conscious customers, who follow their individual sense of style.

“Celio will continue to offer its customers a refined, stylish, relaxed and natural fashion that allows men to express and enhance their personality. The collection will also comprise a range of accessories including hats, belts, inner wears etc.Celio is already present in Mumbai at the R City Mall and Palladium.Its South presence includes the recent store in Chennai in Ampa Mall and Brigade Road in Bangalore, said Rajat Luthra, CEO, Celio Future Fashion Limited.

“We plan to keep up with the expansion spree and look forward to opening more stores in Hyderabad, Chennai and Bangalore. We will also escalate our growth in the North through stores in Chandigarh and Ludhiana. We are excited with the momentum and we look forward to Celio becoming the key destination for all the fashion lovers.”

Celio Spring Summer Collection will showcase contemporary classic, traveller, sporty street and glam rock collection. This collection is designed keeping in mind the necessities of the customers, be it sportswear or Denims.

We will have special focus on Denims. Denim has always been a must have attire in the men’s wardrobe. Celio will introduce the entire range of classic & smart Celio Denim wear from the month of March at their stores across the country.

http://www.fibre2fashion.com/news/apparel-news/newsdetails.aspx?news_id=82994

IchimaruGin1

March 8th, 2010, 10:16 AM

Post the budget, commercial property rents in Mumbai to rise by 10%

Mumbai: Here’s a piece of bad news for all tenants of commercial properties in the city. The rentals for commercial properties are expected to rise by 10% following the Union budget proposing to bring all lease agreements of shopping complexes, warehouses, cold storage facilities, malls and vacant lands under the ambit of service tax.

Owners and landlords of commercial properties believe that the proposal will add to their cost and will lead to inflationary pressure. Thus, the raise in rentals will be the most obvious step for them to take.

Finance minister Pranab Mukherjee had announced in the Union budget that all commercial agreements or contracts between a lessor and lessee for rent and lease would come under the service tax net with retrospective effect from June 2007. The move to recover service tax with retrospective effect means revoking the benefits of the stay that Delhi high court has placed on service tax collections with regard to renting of commercial premises.

Sanjay Dutt, chief executive officer (business), Jones Lan LaSalle Meghraj, said the move is certainly a step towards introducing greater transparency into the transactions involved in renting commercial properties. He added that the immediate downside is quite evident.

“Tenants calculate effective rent per month per square feet on carpet area. Landlords calculate their net earnings after paying all taxes and other payables. Any additional layer of cost, such as service tax, will have an impact,” Dutt said. “In a buyer’s market, which the commercial real estate is, landlords will end up taking the hit - in a seller’s market, it is the tenant who is impacted. Either way, it becomes one of the items of negotiation of rent. In short, this is definitely going to increase cost for owners as well as tenants.”

According to realty experts, the government’s decision is not good for the industry as very unpredictable items of cost such as property tax continue to rise, and any increase of further cost will affect owners’ net earnings.

http://www.dnaindia.com/mumbai/report_post-the-budget-commercial-property-rents-in-mumbai-to-rise-by-10pct_1354534

zenith_suv

March 9th, 2010, 07:58 AM

Mumbai's Nariman Point bounces back! (http://business.rediff.com/slide-show/2010/mar/09/slide-show-1-mumbais-nariman-point-bounces-back.htm)

IchimaruGin1

March 9th, 2010, 10:32 AM

Goregaon-Borivli to house 30,000 new homes by 2012

According to data collated by suburban brokers, around three-crore square feet of residential property could be up for grabs between Goregaon and Borivli over the next three years.

Going by the average apartment area of 1,000 sq ft, some 30,000 houses could be ready for possession in the next two to three years. That’s almost three times the average supply of homes seen in this belt. The current real estate rate in this region is between Rs 7,000 and 9,000 per sq ft.

“Many developers were sitting on land banks for the past two years. Holding on to land also involves its own costs and post-downturn, it’s prudent to capitalise on it. So you’ve seen a slew of launches.

Even as of today in the said belt, there is an unsold ready stock of one crore square feet,” says Pankaj Kapoor of Liases Foras, a realty research firm, indicating that there will be a glut in the market in the next two years, bringing prices down by 25-30 per cent.

Another real estate expert Ajay Chaturvedi concurs, “Builders are not really seeing the kind of demand that is being projected. Prices are bound to drop in the range of 15-25 per cent,” he says.

Picture for representational purposes

In fact a survey done by Liases Foras suggests that there will be nine crore sq ft of homes by 2011-2012.

This translates roughly to 90,000 homes, around 30 per cent of which will be in the extended suburbs from Dahisar to Virar, Thane and Navi Mumbai.

Developers claim there is enough demand to absorb the supply. Niranjan Hiranandani, MD, Hiranandani Group which has launched a seven lakh sq ft project in Malad says, “I strongly disagree that there will be an over-supply situation. What we have today in fact is gross under-supply. Although it is difficult to speculate on prices.”

Vijay Wadhwa of Wadhwa Group which has launched eight lakh sq ft of residential construction in Borivli and 10 lakh sq ft in Goregaon feels the sudden surge in supply will shake the smaller players. “Lot of projects have been launched recently, but only few are that good. There is enough demand in the city, but only the ones will a steady track record will sustain. Over-priced products will suffer,” says Wadhwa.

Property consultants however sound a word of caution. Says Pranay Wakil, Chairman, Knightfrank, “It will depend on what segment these houses cater to.

If 30,000 houses in one region are in one particular segment, say over Rs 75 lakh, there could be an over-supply. There needs to be a healthy mix of affordable and premium housing.”

Local brokers, however feel prices will fall. “Twenty-25 per cent toh market tootega,” says a Malad-based broker, continuing, “Many local developers are trying to sell flats at the rate of Rs 4-5,000 per sq ft to investors first and then selling only part of the stock in phases to the buyers for a higher rate. That’s how they are holding on to high prices.”

http://www.mumbaimirror.com/article/2/2010022020100220020538871ee25c59/GoregaonBorivli-to-house-30000-new-homes-by-2012.html

IchimaruGin1

March 9th, 2010, 10:35 AM

Nariman’s lowest point

By Alka Shukla
Posted On Tuesday, March 09, 2010 at 04:17:35 AM
For years, Nariman Point has housed India’s most exclusive office property, with impossible rental rates and a listing on all the major international surveys. But Mumbai’s central business district’s good old buildings are now starting to lose out to newer, swankier constructions in other parts of the city.

With companies such as JP Morgan, Goldman Sachs and UBS shifting to buildings with better facilities northwards, a 2,000-sq-ft office space in the three-decade-old Arcadia Building is now being leased out for only Rs 1,60,000 per month, or in property terms, at Rs 80 per sq ft.

“It is difficult to find takers even at such low rates. People are not fascinated by Nariman Point the way they used to be. Just over a year ago, a similar space in Arcadia was priced at Rs 220 per sq ft,” Naren Sukhwani, a broker for the property, told Mumbai Mirror.

The Arcadia rate is not an aberration. A 550-sq-ft commercial space in Dalamal Towers has been put up for rent at an asking price of Rs 82,000 a month, which translates to Rs 149 per sq ft. Harakh Nagda of Harakh Estates, who’s trying to get leasees for that property, said there had been no enquiries so far.

“These buildings are old, and not state-of-the-art. Most of them were constructed decades ago. Many don’t have proper parking spaces. Lower Parel is coming up rapidly as a commercial hub. Look at Indiabulls and Peninsula, for example.

They are all glass buildings, they're better planned and they're not too far away. That is tough competition,” Nagda said.

The rental rates in several other buildings at Nariman Point, which hovered in the Rs 350-400 per sq ft region, have now fallen sharply. A 775-sq-ft space in Raheja Chambers is available for Rs 193 per sq ft, while office spaces in other premium buildings - Mittal Court, Nariman Bhavan, Maker Chambers and Arcadia B - are being leased out at around Rs 250.

The current rental rate in Worli is around Rs 250 per sq ft, Lower Parel between Rs 200-225 and BKC between Rs 250-275 per sq ft.

“Not only rents, even sale prices are coming down in Nariman Point. About three months ago, the price for some offices here fell to Rs 27-30,000 per sq ft,” said Dattakumar Pawar, the manager of Dalamal Towers. “One issue impacting the area is property tax, which has been hiked almost 10 times. A stay has been obtained from the High Court, but if this tax increase happens, it'll be disastrous for property prices,” he added.

Analysts said that the only buildings that had managed to stay in the Rs 300-range were those with fewer occupants and larger spaces.

Some of these were Free Press Building, Maker Chambers 6, Hoechst House and Mafatlal Centre. “But even these buildings were in the range of Rs 400-450 just two years ago,” said Kaustuv Roy, Executive Director (India) for international property consultants Cushman & Wakefield. “With most other buildings, a big problem is small floor plates.

The average size is around 4,000-5,000 sq ft and so only smaller funds are now opting for Nariman Point, while the larger players are moving to more up-to-date buildings northwards.”

Realising the need to keep pace with time, some buildings in the area have already started upgrading their facilities. “Bakhtawar Tower, Nirmal Bhavan, even Express Towers are changing little things - air-conditioned lobbies, for example, are a norm in Bandra-Kurla Complex,” said another real-estate expert.

http://www.mumbaimirror.com/article/15/201003092010030904173587643857465/Nariman%E2%80%99s-lowest-point.html

IchimaruGin1

March 9th, 2010, 10:42 AM

Cost-cutting: ICICI sells Prabhadevi property

MUMBAI: India’s second largest bank ICICI has sold a 13-storey residential building at Prabhadevi in Central Mumbai occupied by the bank’s top

brass as part of a cost-cutting exercise. While the sale price is not known yet, the deal is expected to run into several crores.

The entire top floor of the high-end residential building was occupied by the CEO. The sale has been effected through multiple deals and will reflect in the company’s balance sheet. According to property listings, a 1,200 square foot two-bedroom apartment in the locality sells for around Rs 3.7 crore.

The erstwhile residents included the who’s who of the industry: ex-chairman KV Kamath, executive director and CFO NS Kannan, and former investment bankers like Ananda Mukherjee and Renuka Ramnath.

A bank spokesperson told ET: “We continuously explore opportunities for cost rationalisation, productivity improvement and divestment of non-core assets. This includes rationalisation of immovable property. We do not comment on specific transactions or disclose sale proceeds or valuations other than what is/will be disclosed in our financial statements.

As far as our HR policies with respect to accommodation for employees are concerned, these have not changed. In any case, a very small proportion of our employees lives in properties owned by us.”

According to sources, the bank had made an offer to some of the senior employees to buy the apartments, a few of whom took it up. Some of the apartments have been sold through block deals.

ICICI Bank has been liquidating real estate assets this year as a part of its effort to cut costs and unlock value.

In September this year, ET had reported that India Cements has acquired the ICICI Bank-owned commercial space in the upmarket Santhome High Road in Chennai. Although ICL had struck the deal for Rs 63 crore, it subsequently had to shell out another Rs 7 crore to conclude the deal.

ICICI Bank, as part of consolidation of its office space in the city and suburbs, had put up for sale 9-ground (21,665 sq ft) prime property with a built up space of 83, 772 sq ft on the Santhome High Road. Recently, the bank moved the operations in the building to Ambattur in North Chennai.

http://economictimes.indiatimes.com/news/news-by-industry/banking/finance/banking/Cost-cutting-ICICI-sells-Prabhadevi-property/articleshow/5661134.cms

sumant

March 9th, 2010, 12:25 PM

Mumbai's Nariman Point bounces back! (http://business.rediff.com/slide-show/2010/mar/09/slide-show-1-mumbais-nariman-point-bounces-back.htm)
In mumbai mirror today they have said that nariman point is losing out to andheri, bkc,parel,malad
Andheri(w)can seriously develop into good small commercial /entertainment suburb.The lakshmi industrial estate/fun republic area houses some of the big entertainment/animation offices.only problem is the road is really pathethic and there are lot of encroachments leading to this offices

IchimaruGin1

March 9th, 2010, 12:31 PM

In mumbai mirror today they have said that nariman point is losing out to andheri, bkc,parel,Malad .
Here is thearticlehttp://www.mumbaimirror.com/article/15/201003092010030904173587643857465/Nariman%E2%80%99s-lowest-point.html
Andheri(w)can seriously develop into good small commercial /entertainment suburb.The lakshmi industrial estate/fun republic area houses some of the big entertainment/animation offices.only problem is the road is really pathethic and there are lot of encroachments leading to this offices

dude i just posted that a few posts ago...

anyways the total area of nariman point is quite small.

in 10 years bkc will be the new primary business district of mumbai

If the sensex moves from dalal street then it will only hasten the process

sumant

March 9th, 2010, 12:38 PM

^^ oops!sorry didnt notice it.removed the link

Indiadreams

March 9th, 2010, 06:19 PM

In mumbai mirror today they have said that nariman point is losing out to andheri, bkc,parel,malad
Andheri(w)can seriously develop into good small commercial /entertainment suburb.The lakshmi industrial estate/fun republic area houses some of the big entertainment/animation offices.only problem is the road is really pathethic and there are lot of encroachments leading to this offices

It is already an entertainment hub.
Andheri W is looked as a residential /retail hub. I dont know if it can attract high end services (bpo /kpo is ruled out because of high land cost in the area). May be marketing and small consuling firms can look at it. All depends on opening up of land in lakshmi industrial estate.Roads can always be improved as it is pretty wide. BMC neglects Bandra-Andheri to the core. The whole area is developed by private players - I mean the social infrastructure.

IchimaruGin1

March 11th, 2010, 11:54 AM

Tourism Authority of Thailand inaugurates Mumbai office
Western and Southern India, Sri Lanka and Maldives under the purview of Mumbai office
By TBM Staff | Mumbai
Tourism Authority of Thailand (TAT) inaugurated its Mumbai office this morning. The Mumbai office will tap and service Western and Southern India, Sri Lanka and Maldives. The office in Mumbai with staff strength of five including a director, assistant director, marketing manager, executive assistant and support staff, is the second for TAT in India. While TAT has set up its office in Mumbai it will continue its association with Charson Advisory Services Pvt. Ltd., for Public Relations and marketing consultants.

Commenting on the reasons for starting an office in Mumbai and its role, Sethapan Buddhani, Director, TAT Mumbai said, “India is a vast and an important market for us. A single office in Delhi was insufficient to promote our country aggressively and cover the Indian market comprehensively. Apart from servicing the travel trade, the role of Mumbai office will be to market and promote the destination in the assigned regions, as well as interact with the media. The major focus segments for the Mumbai office are Weddings and honeymoon, corporate, Bollywood and high-end luxury market especially FITs.”

According to Buddhani, the luxury market holds huge potential as for many travel companies the margins are less for leisure group tours compared to high-end FIT segment.

Buddhani also informed that TAT is looking at giving a thrust to expose other destinations beyond Bangkok and Pattaya in the Indian market. “We have a variety of destinations and products. We want to increase visibility of destinations in Northern, Eastern coast and parts of Southern Thailand like Kanchanbhuri province, Ayutthaya, Chiang Mai, Chiang Rai, Sukhothai, Krabi and Hua Hin. We are also working on promoting Wellness and Medical Tourism in India. Hua Hin which is two and half hours from Bangkok has wonderful spas and is an excellent destination for Wellness Tourism. We are also working with hospitals, airlines and entertainment service providers like theme parks etc. to create composite packages for Medical Tourism.”

Speaking about the synergies with TAT, Sonali Vaz, Managing Director, Charson Advisory Services Pvt. Ltd. said, “We will continue to be the PR and marketing arm of TAT in an advisory role. We have been associated with TAT for three years as their representatives and have been providing support with our expertise and in-depth information of the Indian market.” In her opinion Thailand is now ready to graduate to the next level in the Indian market to attract repeat and experienced travellers. “The focus is on extending duration of stay from two to three nights to five to six nights and getting Indian travellers to explore different regions and facets of Thailand. We have already conducted a FAM trip for Bollywood location scouts, one for corporate sector for golf and also took four agents from the regions under Mumbai office to Issan in North Eastern Thailand,” informed Vaz.

http://www.travelbizmonitor.com/tourism-authority-of-thailand-inaugurates-mumbai-office-9747

IchimaruGin1

March 11th, 2010, 12:04 PM

It is already an entertainment hub.
Andheri W is looked as a residential /retail hub. I dont know if it can attract high end services (bpo /kpo is ruled out because of high land cost in the area). May be marketing and small consuling firms can look at it. All depends on opening up of land in lakshmi industrial estate.Roads can always be improved as it is pretty wide. BMC neglects Bandra-Andheri to the core. The whole area is developed by private players - I mean the social infrastructure.

the way things are going its going to be

BKC (including kurla)
Worli
Andheri
Nariman Point
Fort/Ballad Estate
Belapur

are going to be the centres of jobs.

sumant

March 11th, 2010, 12:36 PM

^^i think you can add malad to the above list well.It has developed as bpo hub and there are some big offices still to come up there .One of them being related to diamond /jewellery making industry.Virar and vasai i think is being developed as small scale industrial hub. HDIL is planning a major sez project at virar.

IchimaruGin1

March 11th, 2010, 12:38 PM

sumant

March 11th, 2010, 01:03 PM

well thats true but the mindspace area has come up pretty well with rythmn n hues, sony, maya and well known bpos backooffice setting up offices there
my list would be same as yours except i would have malad and probably parel maybe (??)because indiabulls is coming up with huge commercial complex over there as well and vasai virar area as small industry centre.I have no idea abt eastern/central suburbs.

BKC (including kurla)
Worli
Andheri
Nariman Point
Fort/Ballad Estate
Belapur
Parel
Malad
Vasai virar(small industry centres)

IchimaruGin1

March 11th, 2010, 01:05 PM

btw an interesting bit of news.

Chart of the day
If someone were to tell you that Mumbai figured among the list of 132 most expensive cities in the world in 2009, you would not be surprised, would you? After all, buying your dream home in the city has become an expensive proposition, prices on an average have risen and the city certainly seems expensive when compared to other metros in India. But that is not the case if you go in for a global comparison. As today's chart of the day shows, Mumbai is not as expensive as some of its global peers. Infact, according to the list of 132 most expensive cities in the world compiled by the Economist Intelligence Unit, Mumbai is ranked 131. This means that the cost of living in Mumbai (in terms of housing, food, clothing, transport and utility bills and the like) is lower than in Moscow, Shanghai or even Rio de Janeiro.

http://www.equitymaster.com/5minwrapup/images/2010/031110-Mumbai-is-among-worlds-expensive-cities-equitymaster.gif

http://www.equitymaster.com/5MinWrapup/detail.asp?date=3/11/2010&story=1

IchimaruGin1

March 11th, 2010, 01:07 PM

Indiadreams

March 11th, 2010, 01:22 PM

Powai, Vikhroli in central suburbs.

Btw, Anything beyond Andheri will be mainly for BPO/KPO and other mid to low end services to remain competitive among other cities like NCR, Blore, Chennai, Hyd, Kol etc.

Even then Malad- W or Powai costs 50% more than CBD of Blore or Chennai or even Gurgaon.

KuwarOnline

March 12th, 2010, 02:00 PM

Hello!!! guys.....just wondering if you guys have so much knowledge....to share...why cant you guys update the wikipedia.org articles......as whatever we discuss here....kept here only....but wikipedia.org has more audience.........just a thought.....:)

does any body knows how many % of Income Tax and Corporate Tax Mumbai/Maharashtra...contributes to Indian Tax collection????

as wikipedia article shows

25% of industrial output, 33% of income tax collections, 60% of customs duty collections, 20% of central excise tax collections, 40% of India's foreign trade and Rs. 40 billion (US$ 880 million) in corporate taxes

just wanted to validate????
http://en.wikipedia.org/wiki/Mumbai

IchimaruGin1

March 12th, 2010, 02:19 PM

Abhishek901

March 12th, 2010, 09:31 PM

Hello!!! guys.....just wondering if you guys have so much knowledge....to share...why cant you guys update the wikipedia.org articles......as whatever we discuss here....kept here only....but wikipedia.org has more audience.........just a thought.....:)

Yes. Very few people actually visit SSC compared to Wiki. Also if you want to know about a project, you will have to scroll through dozens of pages here, while in Wiki people can get condensed info in 1 page. We should contribute to Wiki.

BTW, Ichi you asked permission for starting economy threads for other cities. What happened ?

IchimaruGin1

March 12th, 2010, 11:51 PM

Yes. Very few people actually visit SSC compared to Wiki. Also if you want to know about a project, you will have to scroll through dozens of pages here, while in Wiki people can get condensed info in 1 page. We should contribute to Wiki.

BTW, Ichi you asked permission for starting economy threads for other cities. What happened ?

let me get the bangalore one running up fully first.

I will move on from Bangalore to Delhi tomorrow

and then Kolkotta maybe in a few weeks before finishing at hyderabad.

IchimaruGin1

March 14th, 2010, 12:57 AM

Former British Council Library premises at Nariman Point sold

MUMBAI: The premises which once housed the landmark British Council Library at Nariman Point has been finally sold by its owner, the British deputy high commission. The buyer of the sprawling office space in the Mittal Tower building is industrialist Anand Jain, a close associate of Reliance chairman Mukesh Ambani.

When contacted, Jain confirmed that he had bought the property, but refused to reveal the amount. “I have signed a confidentiality clause with them which prevents me from saying anything.’’ However, reliable sources said Jain could have paid anywhere between Rs 45 crore to Rs 50 crore for the 23,145 sq ft space located on the first floor of the building.

Jain told TOI that the transaction had actually taken place four years ago, but was only being concluded now. “The deputy high commission had to send the proposal to UK for approval. Besides, they themselves were relocating from Nariman Point and looking out for an alternate space,’’ he said. The British Council Library was located in Mittal Tower A wing and C wing and was a mecca for hundreds of thousands of book enthusiasts for several decades.

Last December, the BCL, as the library is popularly called, permanently moved out of Mittal Tower and opened its virtual portal called MyLibrary early January. In the 1980s, the library had a membership of 28,000, but has dropped to barely 4,600. The British council offices have now relocated to One IndiaBulls building at Lower Parel. Compared to the sprawling Nariman Point premises, the new office at Lower Parel is just 12,000 sq ft in size.

The British deputy high commission, too, has shifted out of Nariman Point and relocated to the Bandra-Kurla Complex. In 2007, the commission inked a Rs 147-crore deal to purchase outright three floors in the ten-storey Naman Centre, behind the National Stock Exchange building, in the BKC.

http://timesofindia.indiatimes.com/city/mumbai/Former-British-Council-Library-premises-at-Nariman-Point-sold/articleshow/5678196.cms

IchimaruGin1

March 15th, 2010, 04:08 PM

Orbit, HDIL high on Mumbai realty revival

Riding on the revival in Mumbai's property market, one of the most expensive in the world, stocks of two city-focused developers, Orbit Corporation and Housing Development & Infrastructure Ltd (HDIL), were the highest performers in the realty pack over the past year.

While the stock of Orbit Corporation, the country's 10th largest realty company by market value, rose five times, that of HDIL, the country's third largest, went up by over three times in the past year. Both stocks hugely outperformed the broader indices, BSE Sensex and BSE Realty Index, by similar margins in the past year.

The stock of DLF, the country's largest and over 30 times bigger than Orbit in terms of market value, rose 126 per cent, shows the data on realty stocks.

"Investors are bullish about Mumbai realty. The property demand in Mumbai has picked up faster than other cities and price rise is also higher,'' says Suman Memani, associate vice president of Religare Capital Markets. Property prices in the prime areas of Mumbai had risen up to 30 per cent since June 2009 on the back of increased demand from home buyers. During 2008-09, home prices had gone down by 30 per cent from their peak, as home sales had almost come to a standstill, reflecting worldwide economic slowing.

Analysts say Mumbai developers can make margins of 80 per cent, depending on when the land was bought and whether it was acquired under redevelopment projects. Normally, a real estate project has margins of 35-40 per cent. "In the National Capital Region, for Rs 5,000 a sq ft you can buy a decent property but in Mumbai (for that price), you have to travel out of the suburbs," Memani adds.

Analysts feel since these stocks were beaten down significantly, their recovery was faster. For instance, the stocks of Orbit and HDIL went down 93 per cent and 84 per cent, respectively, during calendar year 2008.

But Ramashraya Yadav, head of finance at Orbit, says: "If that had been the case, why have others not risen as much as we did?"

Lesser debt woes
Realty analysts say since the liquidity concerns of both companies had reduced, their stocks bounced back. HDIL raised Rs 1,150 crore by issuing non-convertible debentures to retire its high-cost debt. Now, it has debt of Rs 3,200 crore and a debt to equity ratio of 0.45.

Hari Prakash Pande, vice president, finance, says HDIL's average cost of funds is 12 per cent and does not have any repayment due for the next two years. it raised Rs 1,688 crore in July 2009 through a qualified institutional placement (QIP) and has planned another one soon.

Orbit's debt went up to Rs 600 crore in the current financial year. But, finance head Yadav says the debt to equity is only around 0.85 (any ratio below one is considered healthy in this sector) and it does not have any repayment scheduled soon. Orbit raised Rs 310 crore through both a QIP and from investors in a recent project.

Change in tack
Both companies changed strategy to cash in on the improved demand for residential apartments. Orbit, which did not launch a single project in calendar year 2008, launched four projects in the prime South Mumbai region, where prices ranged between Rs 22,000-Rs 25,000 a sq ft. The company made around Rs 800 crore from sale of apartments in 2009 versus Rs 300 crore in 2008.

"We are shortening our recovery cycle from the time we acquire land and sell apartments. We have focused on prime South Mumbai projects,'' says Pujit Aggarwal, managing director of Orbit. Of the 170,000 sq ft of homes Orbit sold in the third quarter of 2009-10, nearly 70,000 sq ft was in South Mumbai.

HDIL is converting itself into an integrated realty player from its TDR (transferable development rights)-focused model. It launched 7.8 million sq ft in FY 2010, in Mumbai suburbs such as Andheri, Kurla, Nahur and so on, after having launched none at all in the earlier year. It has planned to launch six million sq ft yearly for the near future.

Says HDIL's Pande: "We launched our projects 10 per cent below market prices and sold 90 per cent of our apartments. Since our land cost is low, we can price our products aggressively.''

Analysts also say the increase in TDR prices, which have risen from Rs 900 to Rs 2,500 a sq ft, will add to its prospects. While 80 per cent of their 2009-10 revenue came from sale of TDRs, the aim is to reduce this to 60 per cent in the coming year.

"With healthy cash flows and a stronger balance sheet, post the fund raising and debt refinancing, we see HDIL well placed to capitalise on the improving demand scenario," SSKI IDFC analysts said in a recent report.

However, analysts have a word of caution for investors. "If markets (both stock and properties) continue to do well, these stocks may still go up; otherwise, there is an inherent risk involved in buying them,'' says a Mumbai-based analyst who did not want to be named.

http://www.business-standard.com/india/news/orbit-hdil-highmumbai-realty-revival/388642/

IchimaruGin1

March 16th, 2010, 10:25 PM

CRISIL moves to green headquarters in Mumbai

Ratings, research and policy advisory company, CRISIL, on Tuesday moved to its new headquarters, CRISIL House at Powai in Mumbai.

CRISIL House is a state-of-the-art green building, designed to optimise consumption of scarce water and energy resources, a press release issued here said. The building’s features are expected to reduce CRISIL’s energy consumption by 40 per cent and water consumption by 30 per cent, the release said.

“Our green building initiative is aimed at protecting the environment by helping conserve energy and natural resources,” CRISIL’s Managing Director and Chief Executive Officer, Roopa Kudva, said.

http://beta.thehindu.com/business/Economy/article248074.ece

KuwarOnline

March 17th, 2010, 10:19 AM

hope other developer should follow this...

IchimaruGin1

March 17th, 2010, 01:21 PM

MoF slams relief to Navi Mumbai SEZ

New Delhi: The finance ministry has opposed the board of approvals’ (BoA) decision to extend the customs duty exemption meant for SEZ developers to prospective developers, who import goods and equipment for establishing contiguity of land.

The potential beneficiaries of BoA’s February 11 decision include the Rs 5,000-crore Navi Mumbai SEZ promoted by Mukesh Ambani-aide Anand Jain, the City and Industrial Development Corporation of Maharashtra Ltd, and the Rs 2,400-crore Iffco Kisan SEZ Ltd coming up in AP.

BoA is the national-level governing body of special economic zones.

Contiguity of land is a prerequisite for notifying a piece of land as an SEZ. Establishing contiguity means building under-passes to connect two pieces of land bisected by a national highway or building a bridge over a water body, for which duty-free imports were not allowed so far.

The revenue department hasopposed the board’s decision to extend duty-free imports even before SEZs are notified, saying it was not consulted while taking a decision that would lead to major revenue loss.

“Besides, if the developer later decides to exit from the project saying it is unviable, there is no way of recovering the duty benefits availed of by him as all his legal obligations would commence only after the SEZ is formally notified,” said a ministry official.

The Central Board of Excise and Customs has formally taken up the issue with the commerce department and the board.

BoA is chaired by the commerce secretary and it comprises representatives of other ministries, besides the CBEC and the Central Board of Direct Taxes. The finance ministry official said the board decided to give the duty relaxation despite the revenue department objecting to it at the February 11 meeting.The commerce ministry’s view is that the infrastructure that connects pieces of land subsequently becomes a part of the SEZ and therefore, duty-free import should be extended to establishing contiguity. The revenue department does not accept this argument, saying that such decisions have to be taken in consensus with the revenue department as the SEZ Act mandates. The law says BoA members have to go by consensus, not by majority and if no consensus is arrived, the matter should go to the ministerial panel.

In the meantime, BoA has asked the chief commissioner of customs, the highest customs official on the field, to study the Navi Mumbai SEZ’s request for easing the contiguity requirement and give a report in two weeks. The government...

http://www.financialexpress.com/news/MoF-slams-relief-to-Navi-Mumbai-SEZ/591817/

IchimaruGin1

March 17th, 2010, 01:24 PM

Parsvnath to sell Mumbai land for Rs 307cr: Sources

India’s leading real estate company Parsvnath Developers is in talks to sell its Mumbai land for Rs 307 crore, reports Priyanaka Ghosh of CNBC-TV18 quoting sources. The transaction would yield a net gain of Rs 180 crore for the company. It is said the management of the realty company is in advanced stage of negotiations with an unlisted company to sell off the 30,820 square metre land in Kurla.
The concerned plot of land was awarded to Parsvnath in 2008 by BEST via a tender process. The prupose was to plan, design, construct and re-model a fully equipped bus depot, staff housing and construct building for commercial utilization.
Parsvnath had inked an agreement with two Saffron Group managed funds (Yatra Capital Limited and Saffron India Real Estate Fund I) for the development of BEST bus depot. Sources said the step to sell-off the land was taken after the 15% stake dilution deal on this project fell through.

The value of this project in 2008 was Rs 620 crore. The current stake of Parsvnath is at 100%. However, Parsvnath Developers will need BEST to vet the plan.
If Parsvnath's plans fructify, then this will be the third fund raising activity by the company in this financial year. At present, the company's debts stand at Rs 1500 crore.

http://www.moneycontrol.com/news/business/parsvnath-to-sell-mumbai-land-for-rs-307cr-sources_447215.html

IchimaruGin1

March 17th, 2010, 01:25 PM

Unitech to develop 5 msf/yr in Mumbai

New Delhi: Unitech Ltd, the second-largest real estate developer in the country, along with its joint venture partners in Mumbai, is looking to develop 4-5 million square feet (msf) of properties in the city from the next fiscal, according to a source familiar with the development.

The developer, once heavily relying on luxury projects in the National Capital Region, has shifted focus on developing Mumbai’s slum rehabilitation projects to push up its operating margins.

The company is expecting about 20-25% of its total sales to come from Mumbai by the fiscal 2012. Unitech spokesperson declined to comment on the developments.

The New Delhi-based developer has already invested Rs 850 crore in two joint ventures, Shivalik Ventures and Unitech-Omkar, and would further invest Rs 150-200 crore as the development progresses. Going forward, the JVs are expected to be self funded.

Unitech has obtained Letters of Intent (LoI) for 8 msf in Mumbai, up from the last year’s 5 msf.

Its slum rehabilitation project in the city covers more than 60,000 families.

Construction is currently on for nine projects and Unitech is looking to sell at least 6 msf next fiscal. It would pump in Rs 1,000 crore towards construction costs during the period.

In a bid to get a large quantum of cash upfront for construction activities, the developer is looking to pre-launch project at hefty discounts to attract demand and save up on higher borrowing costs.

Recently, Unitech pre-launched and sold around 2 million sq ft from one of its projects in Worli at a massive 36% discount on the prevailing market rates.

Unitech’s local partners in Mumbai will help it in acquiring, clearing and rehabilitating slums, while Unitech will aid the financing, project management and marketing part of the business.

Unitech’s current land bank in Mumbai is over 320 acres with overall development potential of 35-40 msf. It is expecting to maintain margins in the housing segment at a healthy range of 40-45%.

The company is expecting gross margins of 67% from the Worli project compared with 51% and 57% from Noida and Gurgaon, respectively.

http://www.dnaindia.com/money/report_unitech-to-develop-5-msf-yr-in-mumbai_1359912

IchimaruGin1

March 17th, 2010, 01:26 PM

Gurgaon, Mumbai top locations for housing

Chennai: Gurgaon and Mumbai have emerged as the top destinations for residential investment in the country. Both have seen a massive infusion of commercial and retail space owing to residential demand, which in turn was spurred by a growth in employment opportunities, according to the fourth quarter Asia Pacific Property Digest by global real estate consultant Jones Lang LaSelle. The residential market in both the regions witnessed a price correction of 25-30% from their peak values which presented opportunities to end-users and investors alike.

Despite being hit hard by the recent turmoil, the residential sector of the crisis-torn Indian real estate industry has emerged as the sole bright spot for individual investors, the digest ranked Noida, Pune, Bangalore, Chennai, Hyderabad and Kolkata behind Gurgaon and Mumbai. The six cities, which are witnessing an influx of IT/ ITeS employees, also provide residential units at affordable prices. However, infrastructure continues to remain a concern across most of these cities as it is unable to keep pace with the growth in population. With the exception of Bangalore, oversupply will be a concern in the short term due to large number of projects launched over the past 3-4 quarters.

Analysing the contours of the top destinations, the digest said the downturn has led to new opportunities at affordable prices in Gurgaon. The presence of Tier-I developers and quality development, together with the Metro, is expected to improve connectivity.

The commercial city of Mumbai has witnessed high income demographies and high investment acitivity levels across various price bands. The relative affordability in suburban markets like the eastern suburbs, Thane and Navi Mumbai, has been attracting investors in a big way.

In Noida, the reasonable price range has led to an increased absorption momentum. The excellent connectivity through the existing road infrastructure and the Metro has triggered investors' attention

http://www.financialexpress.com/news/Gurgaon--Mumbai-top-locations-for-housing/591701/

IchimaruGin1

March 17th, 2010, 09:56 PM

Reliance Jewels Third Time Lucky in Mumbai

Mumbai: Indian Retail conglomerate, Reliance Retail Limited has launched its first Reliance Jewels outlet in Thane at Korum Mall. This is the seventeenth successful store launch of Reliance Jewels across India and the third in Mumbai. Reliance Jewels is offering a promotional offer of up to 50 percent OFF on gold jewellery making charges and up to 100 percent OFF on diamond jewellery making charges at the Thane store.

Commenting on the launch of the Thane Reliance Jewels, Mr. Bijou Kurien, President and Chief Executive – Reliance Retail said, "It has always been the endeavour of Reliance to provide consumers with a wide range of high quality products at competitive prices. Reliance Jewels is another step in that direction- we offer consumers an unparalleled range of jewellery, backed by the assurance of hallmarked gold and certified diamonds, in an unmatched shopping ambience. We are delighted to bring the Reliance Jewels experience to people residing in Thane. We have received very positive response from our Ghatkopar and Hughes Road customers and are confident that the Reliance Jewels experience will be appreciated by our Thane store customers too."

Reliance Retail is leaving no stone unturned in tapping the lucrative jewellery retail industry in India. The total business ratio says that after food and apparel, jewellery is the next biggest industry and has got a very large scope and the competition is much lower compared to the other two which is why Reliance Jewels is all set for a major expansion.

The gold jewellery range encompasses Kolkata Filigree, Rajkot minakari jewellery, Kundan from Jaipur, Temple jewellery from Kerala, Jadau from Amritsar and much more. In Diamond jewellery, Reliance Jewels offers the finest quality of diamonds and the widest range of designs, ranging from daily wear to party wear, from diamonds for weddings as well as to celebrate every special occasion in a woman’s life.

http://www.mynews.in/News/Reliance_Jewels_Third_Time_Lucky_in_Mumbai_N40860.html

IchimaruGin1

March 17th, 2010, 09:58 PM

Battle lines drawn, Birla to fight Wadia on Worli land makeover

Mumbai/Kolkata: B K Birla’s company had decided to spend Rs 625 crore on the first phase of Century Mill’s redevelopment plan in Mumbai.

Basant Kumar Birla, the 89-year-old patriarch of the Birla family, is ready to fight with Wadia Group chief Nusli Wadia for 10 acres of land in Mumbai's Worli suburb.

Over a century ago, Nowrosjee Wadia, great-grandfather of Nusli Wadia, gave 10 acres of his Worli land to the Birla-owned Century Textile Mill. The mill land was given on a 999-year lease for a monthly rent of Rs 375. Now, Nusli Wadia who inherited the vast property in 1996, wants it back.

The land leased by Wadia adjoins a large chunk of freehold land owned by the Birlas. The Century Textile Mill was set up on the premises formed by the combined land. The mill operated till about 2005, when the state granted permission to close the defunct mill.

"We want to do real estate development on the land. We have 40 acres, of which Wadias are contesting 10 acres. They have moved court, so we will fight it legally," said Basant Kumar Birla.

The Wadia Group could not be reached. Wadia, as the sole executor of his father's will and the administrator of the property, has stated in his suit before the small causes court that the Birlas had breached the lease deed conditions and must be evicted.

The B K Birla Group, on the other hand, has filed an originating summons in the Bombay High Court, asking the court to interpret the lease deed and its conditions. It wants to know if it can redevelop the land for commercial purposes.

B K Birla's company had decided to spend Rs 625 crore on the first phase of Century Mill's land development in Mumbai. This would include development of a commercial complex and rehabilitation of around 850 workers. Currently, the company is in the process of demolishing the old buildings and was expected to start construction work on the mill land soon.

It plans to build a hotel and a commercial complex for information technology (IT) and IT-enabled service companies. It was to be developed in three phases, the first one comprising a commercial complex and rehabilitation of around 850 workers.

According to the succession plan of B K Birla, Century Textiles is expected to come into the fold of Kumar Mangalam Birla, chairman of the Aditya Birla Group.

The stock of Century Textiles & Industries was up by two per cent, to Rs 519 a share on the Bombay Stock Exchange of Tuesday. The Sensex, the benchmark index of the exchange was up by 1.3 per cent to 17,383.

Source: Business Standard

http://news.in.msn.com/business/article.aspx?cp-documentid=3697813

IchimaruGin1

March 18th, 2010, 12:08 AM

Mumbai Office Rents May Fall Lower on Weak Demand, Crisil Says

By Sumit Sharma
March 17 (Bloomberg) -- Office rents in India’s 10 biggest cities including the financial capital of Mumbai may fall this year because of weak demand and oversupply, according to Crisil Research, a unit of Standard & Poor’s.
Rents in Mumbai may decline 1.3 percent in 2010, following a 2.1 percent slide in 2009, Crisil said today in a report. Rents in the nation’s 10 largest cities may drop an average 3.1 percent this year, compared with 6.5 percent in 2009, it said.
Still, rental office space in Mumbai’s main business district is the fifth-most expensive in the world at as much as 809 euros ($1,114) per square meter a year, higher than 786 euros in midtown New York, Cushman & Wakefield said on Feb. 23.
Declines in office rents may prompt developers such as DLF Ltd. to build residential projects instead of offices, the Economic Times said on March 13. DLF spokesman Sanjey Roy declined to comment today.
Office rents in the National Capital Region of New Delhi may decline 2.1 percent, and in Bangalore by 3.8 percent, in 2010, Crisil said.

http://www.businessweek.com/news/2010-03-17/mumbai-office-rents-may-fall-lower-on-weak-demand-crisil-says.html

IchimaruGin1

March 18th, 2010, 11:24 AM

Parsvnath may sell BEST land to Kanakia

Mumbai: Parsvnath Developers, the New Delhi-based realtor, is close to signing a deal with a local developer for its BEST land at Kurla for Rs 307 crore, sources involved with the deal said.

Parsvnath had received development rights in 2007 for the land, which included constructing of a fully-equipped bus depot, staff housing and buildings for commercial utilisation.

Sources said that Mumbai based Kanakia Spaces is a close contender for the tract of land in Kurla and the final closure of the deal would happen by March-end.

Property consultants Jones Lang LaSalle are advisors to the deal. Vishal Doshi, the spokesperson of Kanakia Spaces, did not deny the development.

A source involved with the deal told DNA, “Parsvnath is now assigning the new entrant the development rights, but not the entire part for the BEST bus depot. Parsvnath had received a component of free-sale floor space index for the development which will go to the new player.”

Parsvnath spokesperson did not deny the development and said they would not like to comment on it. It had plans to raise Rs 242 crore by the end of the quarter through the private equity route which hasn’t happened yet.

Parsvnath had signed a deal with private equity fund Yatra Capital and Saffron India Real Estate Fund I to invest in the BEST project on April 21, 2008.

Repeated attempts to reach Saffron Asset advisors remained unsuccessful. Yatra Capital’s non-executive director, David Hunter, had told DNA last year, “I have read that Parsvnath has difficulty but that’s not our problem. We are reviewing the project so that we can look at correct timing of participation. It’s under review by Saffron. A minimal amount has gone for the project.”

Parsvnath was awarded the development rights for the land under a tender process for the 30,820 square metres in Kurla.

Parsvnath’s subsidiary, Jarul Promoters and Developers, was undertaking the project. Parsvnath and Jarul had entered into agreements with Yatra Capital Ltd and SIREF I whereby the funds were to each hold a 15% equity stake in Jarul, on a fully diluted basis.

For the purpose of acquiring this stake, the funds were to make an investment of Rs 186 crore, thereby valuing the BEST project at Rs 620 crore.

In August 2007 Parsvnath had bagged redevelopment project from BEST for Mahim bus terminus, with a developable area of 40,000 sq ft.

The company has submitted a letter for surrender and expects to receive Rs 75 crore from it.

An analyst said Parsvnath does not have money to develop these projects and the deal value for the BEST project is coming at Rs 11,000 per square feet.

http://www.dnaindia.com/money/report_parsvnath-may-sell-best-land-to-kanakia_1360267

zenith_suv

March 19th, 2010, 07:57 AM

Mumbai will be among world's productive cities: UN (http://ibnlive.in.com/news/mumbai-will-be-among-worlds-productive-cities-un/111700-3.html?from=tn)

IchimaruGin1

March 19th, 2010, 11:38 AM

^cheer for the link zenith

Mumbai: Report from the United Nations says Mumbai along with Shanghai, Beijing and Istanbul will be among the world's 30 most productive cities within two years.

Almost all top cities at present are in America, Europe or Japan.

For the first time, the top 30 will not all come from America, Europe and Japan. The report says sixty million people have moved out of slums in Indian cities over the past ten years, spreading wealth.

"The best practice we see from this huge city is also the empowerment and the involvement of the people, the slum dwellers themselves, " says Tibaijuka.

India's number 2 position on the improved life of slum dwellers comes after China where 65 million people moved out of slum conditions over the last ten years.

IchimaruGin1

March 19th, 2010, 11:57 AM

Three in race for developing Bandra prime property

Three Maharashtra-based developers — DB Realty, Ackruti City and Pune-based Kakade group — are ahead in the race for one of the biggest

redevelopment projects in the state, which will release 10 million sq ft residential space in Bandra east, a popular Mumbai suburb.

The area currently houses a government employees colony spread across 96 acres. After redevelopment, around 30 acres would be used to relocate the existing occupants and the balance 60 acres would be available for various other purposes, including commercial. For DB Realty, the project would add around 5-6 million sq ft of saleable land and between Rs 4,500 crore and Rs 5,000 crore to its topline.

The state cabinet sub-committee on infrastructure projects, headed by chief minister Ashok Chavan, gave a nod to the project a few weeks ago. But with the state legislature currently in session, the government officials declined to comment on the subsequent decision on selection of the developer.

The proximity of the project to Bandra-Kurla Complex, the most sought-after central business district, will enhance the project’s value in the residential segment. Currently, Bandra (east) commands Rs 20,000-25,000 per sq ft for luxury apartments while residential rates hover around Rs 14,000 per sq ft. The rates for office space at Bandra-Kurla Complex are around Rs 225- Rs 275 per sq ft.

Anuj Puri, country head of the property broking firm Jones Lang LaSalle Meghraj, said: “Though there is demand in that part of the city, if such a huge supply comes up at one go, it could have some downward impact on prices. However, it is still too early to say anything, as the project would take time to come up.”

However, a noteworthy point is the way the whole process has taken place. It was only recently that the state government had decided to opt for redevelopment of the project. How the entire bidding process was completed within a short span of time is difficult to comprehend.

Thanks to the handling of the bidding process, there’s a perception that the state government has not been offering a level-playing field to all builders. “The practice of keeping matters ambiguous reminds one of the bidding process for Mantralaya redevelopment,” said an industry source.

http://economictimes.indiatimes.com/news/news-by-industry/services/property-/-cstruction/Three-in-race-for-developing-Bandra-prime-property/articleshow/5699648.cms

IchimaruGin1

March 20th, 2010, 04:02 PM

NTC to begin sale of 3 properties in April

NTC has raised Rs4,034.6 crore from the sale of mill assets, according to the latest report by the committee on public undertakings, a parliamentary panel

New Delhi: Mill owner National Textile Corp. Ltd (NTC) plans to auction prime property spread over 150 acres of land in Mumbai, Kanpur and Indore, with the exercise kicking off next month.

“As the Indian realty market is reviving from the slump, there is need for more land to create housing,” state-run NTC’s chairman and managing director K. Ramachandran Pillai said at a seminar in the Capital on Wednesday.

“We plan to begin the process in April by placing notices in major national dailies,” Pillai said.

NTC, which has 25 mills in Mumbai alone, has raised Rs4,034.6 crore from the sale of mill assets, according to the latest report by the committee on public undertakings (Copu), a parliamentary panel. It sold five plots for Rs2,200 crore at the height of the property boom in 2005-06.

No minimum price has been set for the land that it plans to auction, Pillai said. “This depends on location and the market demand. But we would soon take a decision on this.”

Pillai hadn’t responded to queries for further details sent by email till the time of going to presss.

The committee’s report also said NTC got 180-350% higher than the base price from the sale of the five properties in Mumbai, primarily because of location and demand.

The next round of auctions in Mumbai may not provide as high a return, said Ashutosh Limaye, associate director, strategic consulting, Jones Lang LaSalle Meghraj, a property consultant.

“The developers are in no hurry to enter the Mumbai market this time, as it was seen in the previous auction,” he said. “Moreover, NTC mills are not the only ones available in the market for auction. There are other property owners who are willing to offload. Third, cash-starved developers will not be able to pay a higher price for the land.”

The land in the smaller towns may generate more demand.

“If the land in Kanpur and Indore are located in prime areas, developers will readily give better price,” he said. “Smaller cities are the next destination in terms of housing.”

NTC was incorporated in April 1968 with the main objective of managing the affairs of sick textile undertakings, eventually coming to control 119 mills through nine subsidiaries.

All the subsidiaries were declared sick by the end of year 2005 under the Sick Industrial Companies Act, 1985. The NTC board subsequently approved industrial and financial reconstruction programmes that included the closure of unviable mills.

According to these schemes, 77 mills were to be closed, 40 to be revived and two to be transferred to the Tamil Nadu government.

An assets sale committee was constituted for each subsidiary to take decisions regarding the sale of surplus assets. All the nine subsidiaries were merged with the holding company, thus making NTC a single company.

devesh@livemint.com

http://www.livemint.com/2010/03/19213957/NTC-to-begin-sale-of-3-propert.html

March 22nd, 2010, 10:33 PM

Mumbai: Report from the United Nations says Mumbai along with Shanghai, Beijing and Istanbul will be among the world's 30 most productive cities within two years.

Can someone post a link to the original report? I couldn't find anything through Google.

Typical of the Indian press to not even post the title of the original report they are basing the article on.

KuwarOnline

March 23rd, 2010, 07:11 AM

Can someone post a link to the original report? I couldn't find anything through Google.

Typical of the Indian press to not even post the title of the original report they are basing the article on.

http://ibnlive.in.com/news/mumbai-will-be-among-worlds-productive-cities-un/111700-3.html?from=tn

March 23rd, 2010, 01:36 PM

I meant a link to the original UN report. The IBNLive article has been posted already. It starts with "UN report says..." without even listing the name of the UN report.

IchimaruGin1

March 23rd, 2010, 02:12 PM

I meant a link to the original UN report. The IBNLive article has been posted already. It starts with "UN report says..." without even listing the name of the UN report.

lol this is all i can find

nulE5oirZLg

AV the original report

http://www.unhabitat.org/content.asp?cid=8051&catid=7&typeid=46&subMenuId=0

State of the World's Cities 2010/2011 - Cities for All: Bridging the Urban Divide

IchimaruGin1

March 23rd, 2010, 02:16 PM

http://www.unhabitat.org/documents/SOWC10/R2.pdf

interesting read.

India has lifted 59.7 million people out of slum conditions since 2000. Slum prevalence fell from 41.5% in 1990
to 28.1% in 2010. This is a relative decrease of 32%.
Lessening poverty and improving conditions in slums are part of India’s urban development policy. It has achieved
this, first, by building the skills of the urban poor in their chosen businesses, and by providing them micro-credit;
second, by providing basic services and development within slum settlements, thus improving living conditions;
third, by providing security of tenure to poor families living in unauthorized settlements, improving their access
to serviced low-cost housing and subsidized housing finance; and fourth, by encouraging the poor to take part
in decision-making and community development efforts.

http://www.unhabitat.org/documents/SOWC10/R8.pdf

India, that make various subsidies available to low-income groups tend to
feature lower consumption inequality, as they enable people to access basic goods for free or at reduced

Marathaman

March 23rd, 2010, 02:36 PM

^Ichi, do you agree with me now regarding slums? :)

IchimaruGin1

March 23rd, 2010, 03:20 PM

^Ichi, do you agree with me now regarding slums? :)

point noted mm

however i would like to see mumbai related stats on slums as they have been IMO on the increase in the city and on the decrease in the further metropolitan area.

But in general yes point noted and you were right

March 23rd, 2010, 05:54 PM

Thanks IchimaruGin1. The report is poorly laid out with separate pdfs for each chapter, but I was able to understand the original germ of information from which the "most productive city" wording is derived. As usual, the Indian press have taken a valid fact and twisted it into meaningless drivel.

Mumbai will be in the top 30 cities by aggregate GDP in 2010. This is not the same as being the most productive. Productivity is typically defined as output per hour of work, and it would be an incredible achievement if the average Indian worker in Mumbai were able to produce a comparable amount of output per hour to an average worker in New York.

Being in the top 30 cities by GDP itself is an achievement of which anyone in India should be proud. It needn't be cheapened by calling it something it's not.

Marathaman

March 23rd, 2010, 05:58 PM

Being in the "top 30" is shameful. Nothing to be proud of. If it had said "top 3" then maybe you can do some flag-waving.

IchimaruGin1

March 23rd, 2010, 06:20 PM

Being in the "top 30" is shameful. Nothing to be proud of. If it had said "top 3" then maybe you can do some flag-waving.

its by nominal gdp and not ppp

this reflects on currency fluctuations.

we already are there in terms of real purchase power parity (2006)

http://en.wikipedia.org/wiki/Richest_cities_in_the_world

AV

yes our press need to calm down.

March 23rd, 2010, 09:51 PM

Being in the "top 30" is shameful. Nothing to be proud of. If it had said "top 3" then maybe you can do some flag-waving.

The way to the top 3 passes through the top 30... :)

It's good because a couple of decades ago it would have been unthinkable.

IchimaruGin1

March 26th, 2010, 03:53 PM

One-bedroom flats making a comeback in Mumbai

When aspiring actress Maarishaa S Kumar first set out to fulfil her dream of buying a house in Mumbai, what she had in mind wasn’t a 500-sq-ft

(builtup area) apartment with a tiny bedroom, a small hall, and a barely functional kitchen.

Even with a budget of Rs 45-50 lakh, finding anything else — in fact, anything at all for almost two years — in the area of her choice was proving impossible. Finally, after several weeks of deep deliberation , she closed the deal on the long-forgotten quintessential Mumbai phenomenon — the One-BHK .

Maarishaa, a prototype of the middle-class buyer who had been pushed outside the city limits over the last four years due to luxury apartments available at exorbitant prices, is now a home owner in the posh Andheri-Lokhandwala area.
“With my budget, I would’ve had to go to Bhayender or Thane for a two-BHK . I thought I don’t really need the space since I’m a single woman, and this area is much more convenient since the television industry is around here. After two years of hunting, I settled for a one-BHK ,” Maarishaa said.

For house-hunters like Maarishaa, who wanted to live in Mumbai city but had been priced out of the market, the one-bedroom seems to be making a comeback.

NEW PROJECTS

Andheri (West) will soon have two 21-storey towers near the Lokhandwala complex with only one-BHK apartments. The towers will have 250 flats of around 500-sq-ft (built-up area) at a price of Rs 37.5 lakh.

“There is little competition in this segment since very few developers are making onebedroom apartments. Also, our location is suitable for TV actors and young professionals who are living on rent in the area and are keen to buy,” said builder Raju Manwani of the Ravi Group.

Not surprisingly, Manwani says almost half the building has already been booked. The company is now considering similar projects in Goregaon and Malad, where Super Constructions is already building a 15-storey tower. This tower will have 70 one-BHK flats of 600-sq-ft (built up) at around Rs 36 lakh.

Further North, in Kandivali, one BHKs of 448 sq ft (carpet area) are coming up in Hiranandani’s Pristina complex. “Smaller houses give you lesser margins, but that gets compensated because of the volume of flats you sell,” says Niranjan Hiranandani, chairman of the group. “We’ve had a great response for our smaller houses in Kandivali. I believe 50 per cent of the total housing product in the country in the next five years will be in the affordable range.”

For those who’re fine with venturing further away, Casa Essenza close to Dahisar highway is offering 190 new 1-BHKs . Their 585-sq-ft (built-up ) flats cost Rs 30 lakh, and their 603-sq-ft apartments come for Rs 33 lakh, with an attached ‘sun-deck’ !

SIZING VS PRICING

“The success of any developer lies in sizing and pricing. Pricing has gone up by 25-30 per cent in last six months. To the keep the product within the reach of your target buyer, the only thing the developer can play with is sizing, said Pranay Vakil, the chairman of international property consultants Knightfrank. “So, it’s back to the 1-BHKs !”
That this is a new trend is clear from a survey conducted by property consultants Liases Foras in December , 2009. Out of the close to 90,000 flats at various stages of construction in the Mumbai Metropolitan Region (MMR) at that time, only 13,600 were 1-BHKs (mostly beyond Mira Road and Thane).

Pankaj Kapoor, managing director of Liases Foras, was still sceptical about the sudden surge of 1-BHKs . “There is a huge segment that wants to buy flats in the Rs 50 lakh range, sure, but that kind of budget immediately pushes you to the outskirts because builders stopped constructing 1-BHKs after 2006,” he said.

“The new trend may be a trial run in the market. If your budget is Rs 50-60 lakh, your income is around a lakh. With that kind of money, do you want to live in a pigeonhole?”

But the varied considerations of buyers are not always easy to second-guess . For example, Madan Talreja, who had been living on rent in Andheri for almost a decade with his wife and kids, has also recently booked a one-BHK in his neighbourhood. “We were paying Rs 20,000 per month as rent, and my family didn’t want to leave Andheri,” Talreja said. “I wanted a two-BHK because I have two grown-up children but I couldn’t find anything in my budget. Now, at least I’ve managed to buy something.

http://economictimes.indiatimes.com/markets/real-estate/realty-trends/One-bedroom-flats-making-a-comeback-in-Mumbai/articleshow/5726519.cms

khargharboi

March 27th, 2010, 12:54 PM

IchimaruGin1

March 27th, 2010, 01:11 PM

I hope i am posting in the right thread.

As i am an IT professional, i was wondering why the major IT MNCs are missing here in the city of Mumbai? When compared to Bangalore, Pune , Hydrabad, Noida and even Chennai? I am talking about bigies like HP, IBM, Honeywell, Infosys,Wipro, Huawei, Cisco, Oracle etc ( some of these are present here, but AFAIK most of them have there BPO centres here.) Is it the talent availibilty or the high cost of setting up a Buisness here acting as a dampner? I am sure the high skilled talent can always migrate here. Is the GOVT providings any SOPs for IT cos like the states of Karnataka, Tamilnadu, AP etc? Navi Mumbai can really be promoted as an IT destination given the good infrastructure and connectivity. Is the state GOVT doing anything to push the IT industry here and attract investment? I know that there are some companies like Patni, TCS and Hexaware operating out of Mumbai, but still lot of big players are missing here. What do you guys think? What should the GOVT do? Hope to see some replies.

i dont have the data on the MNC's in Mumbai. Most of whom you mentioned do have offices in Mumbai. But dont employ the levels of employees that the other cities do.

The IT centre in the mumbai metropolitan area is Navi Mumbai. (as you said yourself) Especially the millennium business park. There are a lot of companies setting up base there.

Maharashtra state does have a comprehensive IT policy on similar lines to Karnataka (tax breaks etc) . However Maharashtra as a state still very much relies a lot more on industry than services compared to other states. So major push has been to build more sez's for big industrial projects

khargharboi

March 27th, 2010, 01:40 PM

i dont have the data on the MNC's in Mumbai. Most of whom you mentioned do have offices in Mumbai. But dont employ the levels of employees that the other cities do.

The IT centre in the mumbai metropolitan area is Navi Mumbai. (as you said yourself) Especially the millennium business park. There are a lot of companies setting up base there.

Maharashtra state does have a comprehensive IT policy on similar lines to Karnataka (tax breaks etc) . However Maharashtra as a state still very much relies a lot more on industry than services compared to other states. So major push has been to build more sez's for big industrial projects

As IT does not pollute the enviourment as much other industries, IMO it should be promoted at the same level as other industries, if not more. I have lived in a couple of cities and worked for one of the IT blue chip and i have seen and intracted with lot of people from Mumbai/Navi Mumbai living and working in these cities like Bangalore, Pune, Hyderabad as the top paying IT jobs are there. Lot of these guys would want to come back to live in Mumbai if there are enough top paying IT jobs and companies here.

sumant

March 27th, 2010, 01:42 PM

I think there is an it hub coming up in the mega city project announced.So maybe that will help resolve some issues

IchimaruGin1

March 27th, 2010, 01:56 PM

As IT does not pollute the enviourment as much other industries, IMO it should be promoted at the same level as other industries, if not more. I have lived in a couple of cities and worked for one of the IT blue chip and i have seen and intracted with lot of people from Mumbai/Navi Mumbai living and working in these cities like Bangalore, Pune, Hyderabad as the top paying IT jobs are there. Lot of these guys would want to come back to live in Mumbai if there are enough top paying IT jobs and companies here.

Mumbai has plenty of IT jobs as things stand in navi mumbai. But not enough to absorb all the talent of a 20 mill plus metropolis.

and a record number of IT parks are undercontruction by private builders in Thane and Navi Mumbai and all along the Mumbai pune expressway even. so lets wait to see what the picture is in 5-6 years.

pollution aside the services do not employ the under educated masses which heavy industry can do so.Granted its not a pollution producing profession(not much anyways) but its a case of no chances for the poor to uplift themselves. no doubt the gov does promote IT, the vast majority end up setting base in Pune or Nagpur in Maharashtra.

The wage costs in Mumbai are also high. So it also makes some amount of economic sense to move to smaller cities.

khargharboi

March 27th, 2010, 04:19 PM

Mumbai has plenty of IT jobs as things stand in navi mumbai. But not enough to absorb all the talent of a 20 mill plus metropolis.

and a record number of IT parks are undercontruction by private builders in Thane and Navi Mumbai and all along the Mumbai pune expressway even. so lets wait to see what the picture is in 5-6 years.

pollution aside the services do not employ the under educated masses which heavy industry can do so.Granted its not a pollution producing profession(not much anyways) but its a case of no chances for the poor to uplift themselves. no doubt the gov does promote IT, the vast majority end up setting base in Pune or Nagpur in Maharashtra.

The wage costs in Mumbai are also high. So it also makes some amount of economic sense to move to smaller cities.

There are not many development and R&D jobs here in Mumbai. The major MNCs are absent, they do have offices here but most of them are sales offices or support jobs. Well i can go on..IT guys in Mumbai get paid lesser than their Bangalore or Hyderabad counterparts, a small check on a popular job site will tell you, plus i have first hand experience i moved from Bangalore to Mumbai sometime back as i love this city.

I agree that there are lot of IT parks coming up in Navi Mumbai and Thane and office space availibility should be high in the coming years. We need the companies to fill up these spaces. IT does employee lot of under educated as well, you need people for the administration jobs, security, drivers etc however i agree that it wouldnt employ the number of people like a factory would do for instance. Indirectly it would definetly create jobs for the under educated as well. The engineering colleges in and around the city will also benifit from the job creation. It will also be an incentive for people to get educated.

IchimaruGin1

March 27th, 2010, 04:26 PM

I agree that there are lot of IT parks coming up in Navi Mumbai and Thane and office space availibility should be high in the coming years. We need the companies to fill up these spaces. IT does employee lot of under educated as well, you need people for the administration jobs, security, drivers etc however i agree that it wouldnt employ the number of people like a factory would do for instance. Indirectly it would definetly create jobs for the under educated as well. The engineering colleges in and around the city will also benifit from the job creation. It will also be an incentive for people to get educated.

all the colleges in mumbai are full. Infact they are so full mumbaikars have to goto Pune many times to get admitted.

As i said lets wait and see what happens. Obviously I think many people have companies in mind when they built IT space.

the ithink techno campus is being built in kanjurmarg and thane that itself is a huge development.

not to mention the $10 billion GFH economic development zone

http://www.skyscrapercity.com/showthread.php?t=210234&page=9

khargharboi

March 27th, 2010, 04:30 PM

all the colleges in mumbai are full. Infact they are so full mumbaikars have to goto Pune many times to get admitted.

As i said lets wait and see what happens. Obviously I think many people have companies in mind when they built IT space.

the ithink techno campus is being built in kanjurmarg and thane that itself is a huge development.

not to mention the $10 billion GFH economic development zone

http://www.skyscrapercity.com/showthread.php?t=210234&page=9

thanks for the link, i think i messed up posting the same thing twice.

IchimaruGin1

March 27th, 2010, 04:39 PM

thanks for the link, i think i messed up posting the same thing twice.

the point being there are projects on the way

Obviously the city proper does not have the space for the big campuses IT cos need.

So Navi mumbai and Thane city will have to take advantage and fill in the void.

Abhishek901

March 27th, 2010, 08:42 PM

the point being there are projects on the way

Obviously the city proper does not have the space for the big campuses IT cos need.

So Navi mumbai and Thane city will have to take advantage and fill in the void.

That would be the reason. That's why most of the IT offices are outside the main cities (like Gurgaon and Noida in case of Delhi, Electronic city in case of Bangalore).

Indiadreams

March 27th, 2010, 09:06 PM

There is no chance that IT is going to get into Mumbai city till Andheri. Even Thane and Navi Mumbai costs as much as the CBD of Bangalore/Chennai/Hyd/Pune/Noida. And the IT campuses in these cities will be in the suburban areas which will cost even lesser. Cost reduction is the main agenda of IT services companies. Even Microsoft, Google etc will find Mumbai very expensive.

This phenomenon is not new and prevalent across all financial cities of the world. Mumbai is likely to hold only a small fraction of IT services to satisfy the non-relocatable human resources.Even in the talent pool, Mumbai has more of ITES talent, rather than IT. IT talent is more in South India

Indiadreams

March 27th, 2010, 09:30 PM

There are not many development and R&D jobs here in Mumbai. The major MNCs are absent, they do have offices here but most of them are sales offices or support jobs. Well i can go on..IT guys in Mumbai get paid lesser than their Bangalore or Hyderabad counterparts, a small check on a popular job site will tell you, plus i have first hand experience i moved from Bangalore to Mumbai sometime back as i love this city.

I agree that there are lot of IT parks coming up in Navi Mumbai and Thane and office space availibility should be high in the coming years. We need the companies to fill up these spaces.

You are one of the non-relocatable resources and hence the companies expect you to compromise on pay. Thane and Navi Mumbai have many IT parks coming up, but then, it is the same case in all IT hubs. At the end, the fraction of IT workforce will remain the same in Mumbai.

Mumbai has to host high end services predominantly because of its high cost.In case of ITES/BPO, the talent pool is pretty huge that it is difficult to relocate all. In spite of it Mumbai has lost a significant portion of it.

IchimaruGin1

March 28th, 2010, 01:29 AM

^
its not as bad as you make it out to be. Mumbai does have a significant chunk of Indian IT exports.

All Indian cities are also in the top BPO destinations including Mumbai (ranked third after Bangalore and Delhi)

http://business.rediff.com/slide-show/2009/oct/22/slide-show-1-tech-six-indian-cities-among-global-bpo-hotspots.htm#contentTop

Obviously Pune gets more action of the IT sector than Mumbai. Many firms are actually setting up in Mumbai after having their primary campus somewhere else in the country

@abhi

yes your right.

Bombay Boy

March 28th, 2010, 03:32 AM

like its said above large IT campuses in bombay city itself are not possible due to higher costs. bombay should be more interested in making sure it captures the high-end work. IT can be encouraged along the bombay-pune corridor

khargharboi

March 28th, 2010, 08:06 AM

You are one of the non-relocatable resources and hence the companies expect you to compromise on pay. Thane and Navi Mumbai have many IT parks coming up, but then, it is the same case in all IT hubs. At the end, the fraction of IT workforce will remain the same in Mumbai.

Mumbai has to host high end services predominantly because of its high cost.In case of ITES/BPO, the talent pool is pretty huge that it is difficult to relocate all. In spite of it Mumbai has lost a significant portion of it.

Me being a non-relocatable resourse is definetly not the reasons. The key reason is that here the companies do not have to compete with the big players to hire/retain their talent.

^
its not as bad as you make it out to be. Mumbai does have a significant chunk of Indian IT exports.

All Indian cities are also in the top BPO destinations including Mumbai (ranked third after Bangalore and Delhi)

http://business.rediff.com/slide-show/2009/oct/22/slide-show-1-tech-six-indian-cities-among-global-bpo-hotspots.htm#contentTop

Thanks for the link!

like its said above large IT campuses in bombay city itself are not possible due to higher costs. bombay should be more interested in making sure it captures the high-end work. IT can be encouraged along the bombay-pune corridor

"IT" does have high end jobs which needs to be captured. I hope aleast now Navi Mumbai and Thane is Hard-selled and showcased to attract more of the high end IT jobs instead of the BPOs etc. It can help create/retain the talent pool here which is now slowly relocating to other places.

Indiadreams

March 28th, 2010, 08:42 AM

That rediff article is a opinion survey.

As per STPI statistics, this is the ranking of the cities for total IT/ITES exports - 1) Bangalore 2) Chennai 3) NCR 4) Hyd 5) Pune 6) Mumbai. Will post links when I get it.

Mumbai would have large chunk of ITES, there is no statistics that gives IT exports alone. My guess is 1) Banglore, 2) CHennai, 3) Hyd 4)Pune 5) NOida, 6) Mumbai /Kolkata.

There is nothing to worry here. Even Delhi does not have many IT companies for the same reason. IT companies are usually located in semi urban and rural areas in western countries - as they dont need casual client visits, field visits etc. If connectivity (data connectivity) and social infrastructure are available, IT can be located in small towns of India too.

Khargarboi, what you are saying is correct. The root cause is what I said. That is the reason, Mumbai's IT workforce get less in spite of high cost of life.

Abhishek901

March 28th, 2010, 09:30 PM

Mumbai would have large chunk of ITES, there is no statistics that gives IT exports alone. My guess is 1) Banglore, 2) CHennai, 3) Hyd 4)Pune 5) NOida, 6) Mumbai /Kolkata.

Gurgaon definitely has much higher export numbers than Noida (and maybe Pune and Hyd)

KuwarOnline

March 29th, 2010, 08:49 AM

Maharashtra is second largest exporter in India for Softwares

reference
http://www.pppinindia.com/business-opportunities-maharashtra.asp

http://en.wikipedia.org/wiki/Maharashtra

Indiadreams

March 29th, 2010, 09:15 AM

KuwarOnline

March 29th, 2010, 09:39 AM

Yes, Maharashtra is the second largest exporter. It has 2 IT hubs, Mumbai and Pune, unlike other states, which have just 1 city.

Abhishek, I am talking about IT. I believe Noida has more of IT. But if it is IT/ITES - It should be Gurgaon. Let me get that link when I find time.

Yes Noida has more IT than GGN,,,its my personal thought.....well I am in Gurgaon,,,,frequently travel to Noida(same company office)...I see Noida has lots MNC too....yes for BPO ggn has more....

IchimaruGin1

March 31st, 2010, 02:10 PM

Realty sector in Mumbai: High prices hit demand

Realty sales in Mumbai Metropolitan Region (MMR) have fallen. The total area (m sq ft) sold in MMR in December 2009 as compared to September 2009

quarter, has come down. Prices have risen or remained flat in some cases. This shows that homebuyers are holding on to their demand and exercising restrain. Demand for big-ticket houses has been the worst hit.

As per the data compiled by Liases Foras, a real estate research agency, flats costing Rs 1 crore to 2 crore have seen a sharp fall in demand which is contrary to what many developers in the region have been saying. Homes costing over Rs 2 crore are also witnessing the same trend. This is in contrast to cities like Bangalore, Hyderabad and NCR, where sales have risen, thus proving again that Mumbai property market defies rules applicable to other markets. The main reason for the same being that prices have fallen in the above-mentioned cities whereas Mumbai based developers have been increasing their prices.

MMR’s business turnover index (BTI) registered a 32% decline in the last quarter of FY09. BTI is the measure of movement in the sector, which takes into consideration the price, and area of the total number of units sold across projects across regions. Nonetheless, what is noteworthy is that despite a 20% growth in sales in NCR, the overall increase in its BTI is very small. This is due to the fact that there has been a more than proportionate increase in sales of low-ticket units.

Mumbai developers have scarce land resources to build upon when compared to NCR builders, the reason why they make the most of what’s available. The efficiency index in MMR has also come down, the highest decline seen in the Rs 1 crore to Rs 2 crore category. The market efficiency is the ratio between the average sale movement per building and the rate per sq ft. It suggests demand elasticity.

So, if the average sale per building is increasing with the increase in rate, the market is efficient. Conversely, reduced sales means the market has become relatively inefficient to that extent. Developers must realise that if they increase price irrationally, they will be left with unsold inventory and thus lead to the vicious cycle of debt trap as was the case in 2008.

They must realise that ‘Customer continues to be the king’, at least for the time being.

http://economictimes.indiatimes.com/markets/real-estate/news-/Realty-sector-in-Mumbai-High-prices-hit-demand/articleshow/5744881.cms

IchimaruGin1

March 31st, 2010, 02:33 PM

PharmARC Opens Office in Mumbai to Provide Consulting and Analytic Solutions Specifically in the Asia Pacific Region

Read more: http://www.earthtimes.org/articles/show/pharmarc-opens-office-in-mumbai,1227770.shtml#ixzz0jkkScXnz

PharmARC to enable efficiencies in pharma commercialization for customers in the Asia Pacific region with a special focus on emerging markets such as India.

Mumbai (PRWEB) March 31, 2010 -- PharmARC, a leading provider of consulting and analytic solutions to the pharmaceutical industry today announced the opening of its new office in Mumbai. In a clear demonstration of its growing focus in the Asia Pacific region, the company stated that the new office will cater to customers exclusively in the Asia Pacific region, especially India.

“Pharmaceutical companies in the Asia Pacific region face unique challenges of diverse local markets, lack of health care data, pricing and threats from generics. We have a tremendous opportunity to enable efficiencies in pharma commercialization for customers in this region,” said Amit Sadana, President and CEO. “The Mumbai office will lead all our Asia Pacific initiatives with a special focus on emerging markets such as India.”

Rohit Kumar, who is spearheading the India initiative and practice operations for Asia Pacific, said, “We are confident that with this expansion, we can now build a stronger footprint in the Asia Pacific region. We will continue to expand our team of regional experts who will provide insightful and actionable analytics.”

About PharmARC PharmARC is trusted by customers, including 15 of the Top 20 pharmaceutical companies in the world, to enable efficiencies in pharma commercialization. We are 100 percent focused on life sciences and have a unique engagement model to enable customers to benefit from efficient commercialization, making it the new source of competitive advantage.

Our engagement model is led by a consulting approach to understand the real issues faced by customers. We then work backwards to develop a solution that is enabled with the right data, analytics and technology.

IchimaruGin1

March 31st, 2010, 02:36 PM

DHR Internatonal Moves in Mumbai, India Office

MUMBAI, India, March 31 /PRNewswire-Asia/ -- Global executive search firm DHR International is pleased to announce moving into its own office at Bandra-Kurla Complex, Mumbai, an up market business and financial district that is rapidly attracting major local companies and multinational corporations.

Christine Greybe, President, DHR International, said, "This move clearly underlines DHR's long term commitment to the vast India market, and reinforces the firm's confidence in Mumbai and in the overall Indian economy."

Since starting its first office in Mumbai in 2008, DHR has grown and set up additional offices in New Delhi and Bangalore. The firm and its team of senior and experienced consultants specialize in C-level searches that cover a large number of industries and sectors.

For over 20 years DHR International has been a leading, privately held provider of executive search solutions with more than 40 wholly-owned offices spanning the globe. DHR's renowned consultants specialize in all industries and functions in order to provide unparalleled senior-level executive search, management assessment and succession planning services tailored to the unique qualities and specifications of our select client base. For more information on DHR International, a "Top 5" executive search firm, visit http://www.dhrinternational.com

http://www.webnewswire.com/node/519774

IchimaruGin1

March 31st, 2010, 02:38 PM

Credit Suisse gets nod to set up bank branch

Credit Suisse on Monday said that it has received an in-principle approval to establish a bank branch in Mumbai, enabling it to substantially expand the range of services it offers in the Indian market.

Once established, the Mumbai bank branch will be able to accept deposits and use its balance-sheet to provide financing to clients, complementing the capabilities of Credit Suisse's non-bank financial company in India, it said in a statement.

http://beta.profit.ndtv.com/news/show/credit-suisse-gets-nod-to-set-up-bank-branch-32619

IchimaruGin1

April 5th, 2010, 06:38 PM

Hindustan Petroleum May Shut Mumbai Refinery by Next Week

April 5 (Bloomberg) -- Hindustan Petroleum Corp., India’s third-largest state refiner, may shut a crude distillation unit at its refinery in Mumbai by next week as part of a plan to expand capacity.
The refiner plans to shut the crude unit at the 6.5 million metric ton-a-year Mumbai plant for 35 days “starting this weekend or early next week,” refineries director K. Murali said by telephone today. After the Mumbai refinery restarts, the company will close a fluid catalytic conversion unit at the 7.5 million ton-a-year Visakhapatnam plant, its biggest, for about 60 days, he said.
“We have planned the shutdowns one after the other to meet our fuel requirements,” Murali said.
The Mumbai refinery’s annual capacity will increase by as much as 1 million metric tons, he said. The unit to be upgraded at Visakhapatnam will have its capacity boosted to 1 million tons from 700,000 tons, Murali said.
Hindustan Petroleum plans to partially shut its refineries in April, Murali said in an interview Feb. 11 without specifying dates.

http://www.businessweek.com/news/2010-04-05/hindustan-petroleum-may-shut-mumbai-refinery-by-next-week.html

IchimaruGin1

April 5th, 2010, 06:39 PM

RBS sells Worli property for Rs 37.25cr: Sources

In what is Mumbai's most expensive real estate deal, CNBC-TV18's Priyanka Ghosh learns that RBS has sold an apartment in Worli for a breath taking Rs 37crore.
CNBC-TV18 learns that RBS has sold its apartment in Samudra Mahal for Rs 37.25 crore. The 3,300-3,600 sq ft apartment is located in Worli.
The apartment sale values the property at Rs 1,08,000 per sq ft. DTZ acted as the property consultant to the deal.
In 2008, Actor-politician Vinod Khanna had purchased a 2500 square feet apartment at Malabar Hill for Rs 31 crore and in 2007 an unidentified NRI had bought 3475 square feet in NCPA Apartments for Rs 34 crore.

http://www.moneycontrol.com/news/cnbc-tv18-comments/rbs-sells-worli-property-for-rs-3725cr-sources-_450073.html

IchimaruGin1

April 7th, 2010, 02:06 PM

Bharat Diamond Bourse gets final nod for takeoff

A big step has been taken to fulfil the nearly two-decade-old dream of shifting the diamond market from South Mumbai’s Panchratna to a new trading hub with single-window facilities. The Bharat Diamond Bourse (BDB) has got the final occupation certificate for the building, being built in Central Mumbai’s Bandra-Kurla Complex.

Anil Wankhede, deputy commissioner of the Mumbai Metropolitan Region Development Authority, confirmed that the way was now clear for BDB members to begin business at the new premises. The BDB plans to meet later this month to finalise the remaining formalities on allotment of share certificates to members, after which the latter will start shifting to the new premises.

Anoop Mehta, president of the bourse, believes commercial activity on the new premises will start within two months, while full occupation will happen in another four months.

The first major step would be to set up a dedicated Customs facility (for which 20,000 sq ft has been kept) in the complex to clear imported rough diamonds and exports. Banks are also expected to open branches in the premises. Mehta said he was confident the process would be over within six months.

The development is being described as an important step towards anchoring India’s leading role in global diamond trade. Currently, nine of every 10 rough diamonds processed in the world are routed through India. Therefore, successful implementation of the BDB plan would help attract more business to India, said Mehta.

The project was planned in 1992 as a new-age complex with all modern amenities and infrastructure. Around 30 banks were planned to be housed there, besides the Customs house and 25,000-odd safe deposit vaults, with security measures on a par with the world’s best.

The initial cost estimate was Rs 600 crore. But, disputes between the BDB committee, its architects and contractors, and payment defaults by members during the 1995-99 property slump put the project on hold in 1998. It was restarted in 2001. Informed sources said the 2,427 members of the bourse fought over various details even after allotments were decided. Therefore, many members did not release payment due to differences over costs, antagonising committee members.

Most of these issues have since been addressed, with 14 lakh sq ft of area out of the 18 lakh sq ft planned already allotted. Some area has been kept for common utilities, which is non-saleable and will house the trading floor, the Customs area and conference halls.

Satishchandra Shah, vice-president of the bourse, said, “Differences are over now. We are ready to come together for the betterment of the Indian diamond industry.”

http://www.business-standard.com/india/news/bharat-diamond-bourse-gets-final-nod-for-takeoff/391020/

sumant

April 7th, 2010, 02:33 PM

^^so what happens to the panchratna buiding? closed down or up for redevelopment ?

IchimaruGin1

April 7th, 2010, 02:44 PM

^^so what happens to the panchratna buiding? closed down or up for redevelopment ?

hmm probably sold off to a private bidder

Bombay Boy

April 7th, 2010, 08:51 PM

it will be kept. not everyone is keen to move to bkc

IchimaruGin1

April 7th, 2010, 09:35 PM

^
hmm will it also serve as a bourse?

Bombay Boy

April 8th, 2010, 06:38 AM

probably as offices for some of the smaller players. hard to say

that building ideally needs to be torn down. its a hazard thanks to all the illegal storage of acids and other corrosive chemicals which have eaten into the structure

IchimaruGin1

April 9th, 2010, 12:12 PM

Regus adds 1 lac sq ft at BKC

Mumbai, April 7 (IBNS) Regus Plc., the global leader in office-space solutions, which manages the plush Trade Centre facility at the Bandra Kurla Complex (BKC), has expanded its operations by acquiring an additional 100,000 square feet space at Platina building.

With this new addition, Regus now has two facilities at BKC.

The new centre has already met with excellent response and occupancy ratio is as high as 80 per cent, said Madhusudan Thakur, Country Head, Regus.

“Since four years of commencement of our operations in India, Regus has charted a growth trajectory growing to 24 business centres across the country,” said Thakur.

Regus has secured the lease of the new business centre at Platina from Wadhwa Group.

http://www.indiablooms.com/BusinessDetailsPage/businessDetails070410d.php

Indian Rockstars

April 12th, 2010, 06:06 PM

Maha Ranked 2nd

http://economictimes.indiatimes.com/...ow/5783980.cms

Delhi with its rich heritage sites, modern healthcare centres and swanky business hubs emerged as the favourite destination among foreign
tourists including business travellers in 2008, a study has revealed.

According to the latest data on state-wise tourist arrivals available with FICCI, a total of 23.4 lakh foreigners visited Delhi in 2008. The total foreign tourist arrivals (FTAs) in India during the period was 53.6 lakh.

At the second spot, Maharashtra was close with 20.6 lakh visitors, followed by Tamil Nadu, Uttar Pradesh and Rajasthan, the FICCI-Evalueserve study on India Inbound Tourism said.

Mumbai and Pune are the biggest attraction among foreigners in Maharashtra, which is the third largest state.

While Tamil Nadu is famous for its beaches, hill stations, heritage sites, temples and wildlife, Uttar Pradesh is a popular destination due to the presence of religious and historical sites including the world famous Taj Mahal.

The study said one-third of foreign tourist visiting India travel to Rajasthan, which is known for palaces, art and culture.

The North-east region -- Arunachal Pradesh, Assam, Manipur, Meghalaya, Mizoram, Nagaland and Tripura -- which offers numerous leisure and adventure is emerging as a significant FTA destination.

Meanwhile, another study by FICCI-Evalueserve said the medical tourism sector was not affected in 2009 even when the FTAs to India declined to 51.6 lakh from 53.6 lakh in 2008.

FTAs in 2009 declined primarily due to the global economic slowdown and Mumbai terror attacks, it said.

"The reasons are not far to seek. All medical procedures, including hospitalisation and recover costs are relatively low in India as compared to Europe and America," it said.

The number of medical tourists in India is expected to reach 10 lakh by 2012, with India's share in the global medical tourism industry reaching 2.4 per cent. The domestic market is likely to reach Rs 4,400 crore by 2012, the study said.

KuwarOnline

April 12th, 2010, 08:08 PM

^^ great news IR,, thanks :)

KuwarOnline

April 12th, 2010, 08:13 PM

deleted

KuwarOnline

April 12th, 2010, 08:13 PM

The Economic Survey of Maharashtra for 2009-10 has expressed serious concern over the closure of industries in the state. According to the report, there has been a 35 per cent rise in the number of small-scale industries that were closed during the year.
The report states that the reasons behind the closing down of small-, medium- and large-scale industries could be due to power shortage, the recent economic downturn and competition

However, new investments are coming in the state and it continues to be the favoured destination for investors

http://business.rediff.com/report/2010/apr/12/sena-takes-on-industries-moving-out-of-maharashtra.htm

IchimaruGin1

April 13th, 2010, 10:32 AM

http://www.livemint.com/images/8627F43E-3BBB-46A7-9B5B-03B69C1F7805ArtVPF.gif

Mumbai is the city most exposed to the global economy and its economy was severely affected. During the previous 12-month period, between September 2007 and September 2008, credit in the Greater Mumbai area grew by 25.1%.

In September 1999, the 10 biggest cities in terms of bank credit were—in order of size—Mumbai, Delhi, Chennai, Kolkata, Bangalore, Hyderabad, Ahmedabad, Chandigarh, Pune and Coimbatore. Ten years later, the order is Mumbai, Delhi, Chennai, Bangalore, Kolkata, Hyderabad, Ahmedabad, Pune, Jaipur and Chandigarh

And finally, here’s another statistic—the top five cities accounted for 49% of total credit in India in 1999; in 2009 they accounted for 52% of total credit. Mumbai’s position has become stronger, with its share in total credit rising to 26.5% from 21.3%

http://www.livemint.com/2010/03/09211743/How-Indian-cities-fared-in-the.html

Bombay Boy

April 13th, 2010, 10:41 AM

so Bombay's share is more than Delhi, Chennai, Bangalore, Kolkata combined. that also means the other 4 cities (combined) have seen a fall in their share in the last 10 years

IchimaruGin1

April 13th, 2010, 10:45 AM

so Bombay's share is more than Delhi, Chennai, Bangalore, Kolkata combined. that also means the other 4 cities (combined) have seen a fall in their share in the last 10 years

on top of which BB this stats dont take into account the recent rise in the stock market which no doubt will increase the credit growth in mumbai . As both are somewhat proportionally linked.

Bombay Boy

April 13th, 2010, 11:03 AM

IchimaruGin1

April 13th, 2010, 11:06 AM

this follows the trend of the overall market for financial services getting increasingly concentrated in bombay post 1991 rather than spreading out across india. this process is only likely to continue as global players enter the indian market and base their operations here. in 1995 the share of other regional stock exchanges was around 45%. now its less than 1%. almost 75% of cheque clearances, almost all mutual fund and FII activity happen in the city. for any other city to replicate this ecosystem will be almost impossible and hence a further concentration as new companies want to be where the action is

there is a rumour spreading through the markets that sensex will hit 50,000 by 2015. Though it think its nothing more than hype I do feel market will touch about 30,000 from 18,000 today by 2015. NSE probably will reach 15,000. I think NSE has more potential to grow.

IchimaruGin1

April 13th, 2010, 11:09 AM

Wockhardt looking to revive Mumbai project

The troubled pharma firm says the hospital project, shelved for want of funds, may take off early next year

Mumbai: The Mumbai-based Khorakiwala family that controls Wockhardt Ltd has revived a Rs400 crore hospital project in Mumbai even as the troubled drug maker remains under pressure from creditors to repay debts.

The 20-storey building of the hospital is already up on land that was leased from the Indian Red Cross Society in Mumbai central.

A family member and trustee of Wockhardt Foundation, which is managing the hospital business of the group, said the facility would be commissioned by early next year.

“It (the project) was stuck for some time now, but we have restarted the work and hoping to open this hospital by early next year,” said the person, who didn’t want to be named.

The Mumbai central hospital was an ambitious project of Wockhardt’s, which had plans to set up four new hospitals and develop six existing facilities across the country.
The company was forced to put off an initial public offering (IPO) in early 2008 because of a downturn in the stock markets. Wockhardt had planned the IPO to raise around Rs750-800 crore, mainly to fund the new projects.

The proposed hospital in Mumbai central, named Adams Wylie Hospital, was to be a 340-bed facility and was to be completed by March 2009 at a cost initially estimated at Rs150 crore.

But the projects ran into trouble because of escalating costs and a shortage of funds as Wockhardt battled a financial crisis resulting from debts and foreign exchange losses. Wockhardt Hospital Ltd had to divest 10 of its hospitals to New Delhi-based Fortis Healthcare Ltd for Rs909 crore in August.

The promoter group also divested some of the non-core assets of its listed entity, Wockhardt Ltd, to repay the debts. Wockhardt sold its German pharma business, Esparma GmbH, and two other divisions including the animal health and nutritional businesses.

As of December 2008, the listed company had a total debt of Rs3,400 crore, which included both foreign currency loans and other debts, as well as loans raised from local banks. A significant part of the debt has since been restructured under a corporate debt restructuring (CDR) facility extended by lenders in August last year.

The company remains under pressure from overseas lenders, including foreign banks and a group of investors who had subscribed to the company’s foreign currency convertible bonds (FCCBs).

“Wockhardt has not been able to complete the divestment of its Rs620 crore nutrition business... The company has under the CDR plan restructured its domestic loans to a longer tenure, though the FCCBs and majority of the overseas debts are yet to be resolved,” a person familiar with the CDR package of the company said on condition of anonymity.

Wockhardt sold its nutrition business to US drug and nutritional products maker Abbott Laboratories Inc.

http://www.livemint.com/2010/03/11224134/Wockhardt-looking-to-revive-Mu.html