Hyderabad Economy and Real Estate

[ygvjs2000]

Good news for Hyderabad real estate market.
http://economictimes.indiatimes.com/...w/15313671.cms
BANGALORE: Residential property launches across major cities fell by nearly 44% to 17,500 units in the second quarter of 2012, due to delay in approvals, significant inventory in certain locations as well as postponement of project to coincide new launches with the festival season, says Cushman & Wakefield (C&W), a global real estate consultancy, Cushman & Wakefield (C&W).

Of the 17,500 units launched 70% catered to the mid segment as it continues to see maximum demand from end users and investors. The financial capital of India saw the sharpest fall of 73% in new residential property launches, followed by Bangalore and Chennai at 67% and 47% respectively.

Other cities including Kolkata and NCR-New Delhi saw new residential property launches fall by 29% and 24%. However, Pune and Hyderabad saw increase in new launches in the second quarter.

"Going forward, we anticipate an improvement in the economic scenario will provide the much needed impetus to boost the demand. Values are expected to remain stable in the short term and the developers may also offer attractive options and incentives to attract buyers during the festive season," Shveta Jain, Director, Residential Services Cushman & Wakefield India said.

As per C&W, the residential sector witnessed steady demand across almost all the major cities with capital values in majority of the micro markets remaining stable across high end and mid end segment properties during the quarter.

Meanwhile, the luxury housing segment continued to witness demand with a few high value transactions being concluded in cities like Mumbai and NCR. Some of the prominent micro markets that recorded appreciation include Gurgaon - NCR, in which the luxury segment witnessed a rise of 10% in capital values.

Capital values of mid segment properties in areas like North and South-west Bangalore recorded an increase of 13% and 10% respectively; Powai in Mumbai saw an appreciation of 12% in 2Q 2012.

[sriece19]

GHMC gears up to clear pending BPS applications

Formulates a five-pronged strategy to avoid delay

GHMC has decided on a five-pronged strategy to clear the pending applications of the Building Penalisation Scheme (BPS) that was held up due to the delay in getting fire safety and urban land clearance.

The government has recently issued orders extending the last date for clearing such applications till the year end in all urban bodies throughout the State. However, it was also made clear that no new applications would be considered during this period.

The municipal corporation has about 27,860 BPS applications while other urban areas have nearly 14,000 such applications.

To begin with, the Assistant City Planners (ACP) and section officers concerned have been directed to verify each and every building scheduled for clearance. Following this, the Deputy Commissioners of the municipal circle will have to check at least 20 per cent of the buildings randomly, said Additional Commissioner (Planning) K. Dhananjaya Reddy.

The municipal officials have also been asked to see whether the building was on site in 2008 when the BPS was launched with the help of Google Earth maps. It will also be ascertained if the buildings under the scanner have taken power and water connections too.

The pending applications would be cleared only if all the above mentioned criteria are fulfilled. If the government and municipal authorities are being doubly careful, it is only because there have been similar instances in the Kukatpally circle where buildings which came up later were included in the BPS ambit illegally, leading to a vigilance probe.

Pending BPS applications are mostly located in the East Zone: Kapra, Uppal, L.B.Nagar (6,693), followed by North Zone: Qutbullapur, Alwal, Malkajgiri, Secunderabad (5,544) and Central Zone: Mehdipatnam, Tolichowki, Himayatnagar, Musheerabad, Domalguda, Khairatabad, Ameerpet, Jubilee Hills, etc. There are 3,886 applications in West Zone or Serlingampally, Gachibowli & Kukatpally and 3,679 applications in old city.

[sriece19]

Hyderabad News.Land Grabbing in Hyderabad. Land in Survey No.57 at Shamshiguda near Kukatpally Grabbed by Land Sharks

http://www.exclventures.com/News/Newslink-11370.asp

[sriece19]

ECIL housing society's layout to be revised after 35 years

HYDERABAD: In a rare case, 35 years after a layout was approved, the Hyderabad Metropolitan Development Authority (HMDA) has been directed to revise the layout.

Revision of the layout has been necessitated as the urban development authority had included over four acres land belonging to private parties included in the layout of ECIL Employees' Housing Cooperative Society Ltd (ECEC HCS Ltd).

The Vigilance and Enforcement (V&E) department, which inquired into the issue, has recently directed the principal secretary of municipal administration and urban development (MA&UD) department to instruct the HMDA to revise the layout and also take action against persons responsible for inclusion of the excess land.

Source

[Prodigist]

Land auction nets civic body Rs 125cr

Source: DC

Positive response to the auction of land by the Hyderabad Metropolitan Development Authority has brought some relief to the cash-starved planning body and has also boosted the real estate sector in the city which is going through a severe slump. HMDA got a whopping Rs 125 crore through its land auction, Rs 5 crore more than it expected.

For more than a year now, HMDA has been trying to dispose of the land, which includes a big plot at Nandagiri Hills. But due to the poor financial climate, there had been no buyers. The planning body tried to provide some incentives for buyers and it seems to have worked. Buyer-friendly transaction modes like giving more time to pay the entire amount, reducing the upset price and other measures have brought in the buyers.

When the bids for the 42 plots on auction were opened, almost all the plots, including the big Nandagiri Hills plot, were sold. Only six are unsold. The 4.7 acre plot at Nandagiri Hills alone fetched Rs 84.74 crore, at Rs 18.05 crore per acre, as against the upset reserve price of Rs 18 crore. There were two prospective buyers for the plot, and according to HMDA sources, the real estate company — Net Ventures — quoted the highest amount. The plots at Gopanpally were the most sought after.

[sohail_Modern_indian]

hi guys,

i would like to know the per sq.yd price around sun city and happy homes in Inner ring road

[sriece19]

‘Prime land under dispute in Koti being encroached’

HYDERABAD: Controversy has once again erupted over encroachment of a large tract of land located behind Government ENT Hospital in Koti with hospital authorities fuming at the sudden appearance of sheds for parking transport vehicles in a corner of the land last week.

Dispute over land measuring 3831 square yards on the south-west side of the hospital surfaced two decades ago, with some individuals claiming ownership. When the matter reached the city civil court in 1999, it was dismissed on two occasions on the grounds that the petitioners could not provide adequate evidence for their claims. The petitioners then moved the high court where the case is pending.

Meanwhile, the individuals applied for transfer of rights on the basis of GO 166 dated February 16, 2008 (regularization of government lands in possession of private properties). The government issued three government orders, 627,628 and 629 dated June 24 2009 after the district level committee approved the regularization applications. The issue of the orders was contested by hospital authorities and when media reported allegations of wrongful regularization, the government put the orders in abeyance.

In June 2010, the district collector of Hyderabad wrote to the revenue department requesting cancellation of the orders. In his communication, he stated that the land once belonged to Raja Pratap Gir whose deodhi later became the ENT hospital. Pratap Gir had mortgaged an area of around 8 acres in 1931 to then finance minister, Hyderabad State. But after defaulting on part of the payment he agreed to sell the house along with the land. However, he failed to execute the sale deed and litigation started. When the legal battle reached the Supreme Court, it was dismissed and the house along with land was surrendered to the government. The collector had also mentioned that the town survey records show the land as belonging to the hospital, and recommended cancellation of the government orders citing irregularities.

Hospital authorities say that they have been fighting off the claimants for more than two decades. They allege that the claimants got an injunction from the high court in 2010 through misrepresentation of facts, and based on the interim order, they are using the land for their benefit. "We have made several representations to the government and are also fighting a legal battle in the high court. This land belongs to the hospital and will come in use for future expansion. Now the land has been given out for parking purposes by the encroachers and money is being collected for the same. We will write to the district authorities to take notice of the latest development," said hospital superintendent Ramakrishina.

[invisiblex1]

Originally Posted by sohail_Modern_indian

hi guys,

i would like to know the per sq.yd price around sun city and happy homes in Inner ring road

12000 - 14000 if HMDA approved with LRS cleared.

[sohail_Modern_indian]

Originally Posted by invisiblex1

12000 - 14000 if HMDA approved with LRS cleared.

Thanks,

will it be near to the IRR or the radial road to ORR from artillery range?

[sriece19]

Manikonda case on weak wicket as two key lawyers 'sidelined'

HYDERABAD: Even as the hearing of the controversial Manikonda Jagir valued around Rs 32,000 crore or more is scheduled to come up before the Supreme Court next month, there are reports of increasing disquiet in the AP State Wakf Board.

The case in which the state government, Lanco Hills Private Limited and other corporate entities are pitted against the Wakf Board over Hazrath Hussain Shah Wali Dargah's wakf land was scheduled to be heard on August 14. But now the hearing has been shifted to September 17.

Following the Supreme Court granting stay on May 8 on the AP High Court order that had rejected the claim of AP Industrial Infrastructure Corporation (APIIC) and corporate bodies over about 1,600 acre land mostly located in Manikonda village, it was expected that the State Wakf Board would work vigorously to challenge the apex court's injunction. However, reports doing the rounds indicate that the board is not showing the kind of interest that the case clearly demands.

Now it transpires that two senior lawyers __ Shafeeq Rahman Mahajir and Masood Ali Khan __ who have worked on the case have requested the board to be relieved of their duties. While Khan complained that the board was not taking him into confidence on the progress of several key issues and would like to quit the case forthwith, Mahajir has made out a case over the "negative" attitude of the board. Masood Khan also wrote to the board chairman Afzal Biyabani recently complaining that he was not given some necessary files that he had sought for perusal.

According to sources in the board, Mahajir had written at least five letters to the chairman and the CEO seeking necessary documents related to the case for preparing a counter which were given in installments. The advocate-on-record appointed by the board for the case in Supreme Court reportedly asked him to prepare a para-wise counter and send it to him which irked Mahajir to no end. The final nail came from the board CEO who wanted him to prepare a "draft counter." Mahajir, the sources said, shot off a letter to the chairman stating that he was neither a "junior" lawyer nor an employee of the board and would not like to be dictated by the advocate-on-record and board officials.

When asked about the developments, Afzal Biyabani told TOI that the job of these lawyers was "only to give brief" to the counsels who would be appointed by the board. "It is the board that would decide whom to appoint and how to go about the case," he quipped.

Observers believe that it would be a grave mistake on the part of the board to sideline Mahajir and Khan. Mahajir had single-handedly won the case in the high court fighting against heavy odds. While it is necessary to have a different set of lawyers in the Supreme Court, it would be suicidal not to have Mahajir and Khan in that team. "Any slight dilution or deviation in the case could result in a loss of huge magnitude and nation-wide implications," cautioned one of them.

[Gudavalli]

Hiring across sectors may decline in second half

HYDERABAD, AUG. 16:
Hyderabad may face a dip in hiring across sectors in the second half of 2012, according a hiring outlook survey by online job site naukri.com.

The job site is the flagship brand of Info Edge

The survey revealed that about only 62 per cent recruiters anticipated new job creations in the second half of the year, compared to 72 per cent in the beginning of the year.

A sectoral analysis of the city showed sectors such as ITES and telecom registering a four per cent and eight per cent growth in hiring respectively in July as compared to the previous month. “The IT sector, which is the largest employer of skilled workforce in the city, has slowed down their hiring plans. The overall job index thus remained stable over the last few months,” the survey revealed.

DOMESTIC GROWTH

The beginning of 2012 had brought hope and optimism for Hyderabad’s overall job market, but the ongoing global uncertainty and shrinking capital inflows affected overall domestic growth.

“The overall recruitment market in the Hyderabad is very challenging and most recruiters are staffing smartly. However, unlike the last downturn, which came like a jolt, this time around companies are more prepared and cautious,” Managing Director and CEO of Info Edge India Hitesh Oberoi said.

SLOWDOWN

The report says that most industries have started feeling the brunt of a slowdown. The banking sector has seen the highest month on month dip with hiring activity going down by 16 per cent in July when compared to the previous month.

Similarly, the oil and gas and auto sector saw recruitment levels dip by 2 per cent and 4 per cent respectively over the same time period.

[Gudavalli]

July hiring numbers fall as economy slows: Naukri

The slipping economic growth rate has started showing in the recruitment numbers, according to the latest numbers released by India's biggest recruitment firm Naukri.com.

The July numbers showed a decline in hiring in sectors that depend on domestic demand, instead of catering to the foreign markets.

Sectors that showed a slowdown include banking, oil and gas and auto.

India has been witnessing slowing growth due to high inflation. Prices of essential commodities are up 10% year on year, forcing the central bank to raise interest rates. The high interest rates have made loans more costly and made it more difficult for businesses to expand, affecting recruitment.

Banking recruitment was down by about 16% in July compared to June, Naukri said.

"Although sectors like ITES (BPO), Telecom and Insurance have seen about 4% to 8% increase in their hiring levels in Jul-12 when compared to Jun-12, the overall hiring level for these sectors are still 12%, 18% and 35% lower than pre recession levels," Naukri said.

As a result, the Naukri Job Speak Index, which compares overall hiring activity to that in July 2008 (before the recession) fell in July compared to June.

The Job Speak Index slipped from 1210 in June to 1197 in July. A value of 1,000 indicates that hiring was at the same level as in July 2008.

The Index was in the 1,000-1,100 levels last year. This year, the Index has been hovering around 1,200 mark.

“The overall recruitment market in the economy is very challenging and most recruiters are staffing smartly and are not going overboard. However, unlike the last downturn which came like a jolt, this time companies are more prepared and cautious” said Hitesh Oberoi, Managing Director and CEO of Info Edge India, which owns Naukri.com.

Banking and Insurance professionals saw 16% dip in their demand during the same time period. Similarly, Project Management Marketing HR and IT-Software professionals saw dips within the range of 2% and 6% respectively during the same time period.

On the other hand, the demand for customer service, production and sales professionals witnessed increase in demand in Jul-12 when compared to Jun-12.

Pune and Hyderabad saw 4% and 3% increase in hiring levels in Jul-12 over Jun-12, while Kolkata and Mumbai witnessed stable hiring levels during the same time period. On the other hand, Bengaluru and Chennai saw 3% dips in hiring activity during the same time period.

According to an earlier-published Naukri Hiring Outlook Survey, only 62% recruiters anticipated new jobs to be created in the second half of 2012, as compared to 72% at the beginning of the year.

[sriece19]

GHMC’s housing scheme gets a boost

With the municipal corporation working towards widening nallahs in the City, several families are being displaced. In a bid to rehabilitate them, the civic body is now arranging for accomodation for them under various schemes like JNNURM.

More...

[Gudavalli]

Now, property tax at the click of a mouse

Property owners can calculate their property tax sitting in the comfort of their homes. Greater Hyderabad Municipal Corporation is coming out with a new software on its website, which will enable property owners to arrive at the amount of their property tax at the click of a mouse.
All that they have to do is to provide details of their property and its location in the city. The in-built system in the software will calculate the tax, based on the built-up area and locality status and give the figure, the total amount of tax payable by the owner.
The civic body will provide a “link” on its website for the owners.
Once the owners upload information, later the tax wing officials will visit the house or apartment and measure the built-up area on the ground and make corrections if the information given by the owner on website is more, or less, in terms of the plinth area.
This new hyper-link will soon be provided on the civic body’s website www.ghmc.gov.in, sparing the owners the ordeal of running around the municipal offices for assessment of property tax and inclusion of their properties in the tax data of the corporation.
GHMC commissioner M.T. Krishna Babu said the civic body officials should be the first to reach the property owners instead of waiting for them to approach the taxmen for assessment.
Once the owners upload the details, taxmen can visit the place and give their tax assessments after proper measurements of the house or flat. This facility will also allow the owners of existing properties to get the tax revised on their properties by uploading correct details of the plinth area.

[Gudavalli]

Residential property prices hit the roof even as demand cools

Despite a slowdown in the realty market, residential property prices have risen 33 per cent in Greater Noida, 30 per cent each in Noida, Gurgaon, and Mumbai and 35 per cent in Chennai over a period of one year ended June 2012, according to a report by brokerage firm Kim Eng Securities.

Indicating a slowdown in the demand space, the housing loan growth has declined from 17 per cent in June 2011 to 15.2 per cent in June 2012, according to the Reserve Bank of India.

However, developers argue since the cost of credit, input and labour has gone up significantly, they have no option but to pass it on to consumer.
Analysts point out it is more of a supply constraint leading to rise in property prices.

“In the primary market, the demand is still high, but developers are going slow on launches,” says Sanjay Sharma, managing director, Qubrex, a real estate research firm.

“Developers have cut supply to sustain current property prices” says the Kim Eng report.

In the second quarter of the calendar year, NCR saw a decline of approximately 24 per cent in new launches in the residential segment against the previous quarter, says international consultancy Cushman and Wakefield.

Mumbai saw the maximum drop of 73 per cent in the supply in the second quarter of calendar year, compared to Q1.

Only 1,200 units were launched in Mumbai during Q2, down from 4,460 in the first quarter.

Only nine projects were launched in the city during Q2 of the calendar year, the report said.

Samarjit Singh, director, IndiaHomes, says the demand remains strong in the mid segment of Rs 25 lakh to Rs 75 lakh category, but in the high end segment there is a drop in demand.

“There is a latent demand in the mid-segment category, where prices have gone up 5-10 per cent in the last two quarters this year, and are expected to go up another 5-10 per cent in the next two quarters”, he points out.

Blaming the input cost inflation, Navin Raheja, CMD, Raheja Developers, says, “the land cost has gone up 50-100 per cent in NCR, excluding Delhi.”

The cement prices have gone up from Rs 195 per bag last year to Rs 280-300 per bag this year. Retention of labour at higher wages and increase in steel cost are other reasons that developers are citing to raise the property prices.

Although the primary market sales volumes remain steady for the mid-income segment, the secondary market volumes are down 30-40 per cent, according to Sharma of Qubrex. “There is a demand constraint in the secondary market and supply constraint in the primary market.”

At the same time, the end user's market like Bangalore and Hyderabad have seen nearly a four per cent increase in prices over the past one year, while Kolkata has seen a contraction of nine per cent, the Kim Eng report points out.

“Hyderabad is a slow market, while in Bangalore the demand remains robust and sales volumes as reported by us are 50 per cent up”, points out Singh of IndiaHomes, a superbrokerage firm.

According to Bangalore–based Sobha Developers, that reported a 73 per cent rise in net profit in the first quarter ended June 2012, the salary levels have risen 12 to 13 per cent, but their average realisation has increased only about seven per cent, from Rs 4,966 per sq ft last year to Rs 5,356 per sq ft this year.

J C Sharma, managing director, Sobha Developers, says the steel prices have increased from Rs 36,000-37,000 per tonne last year to Rs 50,000 per tonne today. “We are much behind inflation”, he points out, adding in Bangalore, the land price is much cheaper than in NCR or in Mumbai.

A Hyderabad based developer, C Shekhar Reddy, CMD, CSR Estates, says the central pockets of Hyderabad have seen price escalation of up to 10 per cent, but the prices in other areas have remained quite stable.

[Gudavalli]

Urban residential property prices up

NEW DELHI, AUG 19:
The price movement of residential properties has shown an increasing trend in 16 cities, ranging from 1.1 per cent in Kochi to 10.5 per cent in Pune.

According to the National Housing Board Residex, the prices have shown a marginal decline in three cities while one city has shown stable prices in April-June 2012 quarter.

The index for the current quarter witnessed marginal increase/decrease in property prices in most cities over the previous quarter, except in Pune, Patna and Bangalore which have witnessed significant increases.

Hyderabad, Jaipur and Indore witnessed corrections in property prices compared to last quarter.

Faridabad has remained stagnant in this quarter. NHB Residex has been tracking the movement in prices of residential properties on a quarterly basis since 2007. The index now covers 20 cities.

[ygvjs2000]

http://www.rediff.com/business/slide...f/20120821.htm
Despite a slowdown in the realty market, residential property prices have risen 33 per cent in Greater Noida, 30 per cent each in Noida, Gurgaon, and Mumbai and 35 per cent in Chennai over a period of one year ended June 2012, according to a report by brokerage firm Kim Eng Securities.

Indicating a slowdown in the demand space, the housing loan growth has declined from 17 per cent in June 2011 to 15.2 per cent in June 2012, according to the Reserve Bank of India.

At the same time, the end user's market like Bangalore and Hyderabad have seen nearly a four per cent increase in prices over the past one year, while Kolkata has seen a contraction of nine per cent, the Kim Eng report points out.

A Hyderabad based developer, C Shekhar Reddy, CMD, CSR Estates, says the central pockets of Hyderabad have seen price escalation of up to 10 per cent, but the prices in other areas have remained quite stable.

[dino_srk]

Andhra Pradesh Chief Minister Kiran Kumar Reddy is prescribing a desperate dose to tide over an unprecedented shortfall of almost 50 million units per day. The deficit has forced the government to impose a five-hour power cut in major cities including capital Hyderabad.

Even as the state government blames deficit rains and decline in gas-based power generation, farmers are bearing the brunt of the shortfall. One of the farmers, Venkat reddy said, "There is hardly any power to run our bore-wells here. How do we water our crop? This has to improve else we will lose everything."

While on one hand the government cannot go back on its promise of free seven-hour power supply to the agricultural sector, on the other hand, it cannot afford to impose any further cuts than the current three-day power holiday on the industrial sector. With little power to share, prioritising sectors is the Chief Minister's biggest challenge.

Many small and medium scale industries have retrenched their workforce in order to survive the incurring losses. Reddy said, "We have decided to waive off electricity duty for industries who want to buy power directly or want to do captive power generation."

Apart from seeking additional 500 MW from central power stations, Govt officials are looking at the rain gods to tide over the immediate darkness.

[p.raghavendra6]

Looks like they are going to conduct CoP summit in candle light.

[aniketh87]

Mr Cheif minister if there is not enough gas supplied how and what makes u think that Power plants can generate sufficient power..i dont know what Jaipal reddy is thinking betraying his own state ppl....and making them suffer....