MARINE DRIVE | Dewa Pier20 | 23 fl x 2 + 27 fl x 5 | Under Construction

[KMC]

Originally Posted by zuperman

.....and all of them will leave Mangalavanam in a mess

very true sadly mangalavanam will become thing of past soon...
If Hudco goes ahead with their plan to develop some 15 acres they have there then it will be death of mangalavan ...

[sval1503]

Any update on this project ??
Is the construction progressing? Is this only residential or is there a commercial block too?

[Malayaali]

The project is purely residential project.

See the progress here.

[Malayaali]

[sval1503]

Any idea of the price / sq ft ???

[Malayaali]

Rs 5,500/sqft was the launch price.

[vandana.ramanath]

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[Malayaali]

SPAM!

I do not know about the details of the project, but how can someone complete the foundation works without approval? I believe not even land leveling can be done.

[KMC]

while do agree the promoters had a negative rating from ICRA i guess .. but its now sorted out with QVC as partners in the project...

Current speed at which things are moving indicates positive status of project.Once completed this will surely be landmark along with Prestige and Tata.

[ttand3t]

Originally Posted by vandana.ramanath

Hi all,

I would like to inform few things i came to understand about Dewa Projects - Pier20, Kochi when i inquired about the project for buying an unit in Pier20, Marine Drive, Kochi.
Dewa Projects promoted by Mr. Venugopal Nair (based in trivandrum) launched this apartment project recently renamed as "Dewa Pier20"(they launched the same project 5 years back as Dewa Royal and withdrew the same).

I found the above post a bit dubious and as an attack on a competetor . This is an international forum to showcase the infrastructure projects of Kochi and hence please desist from using this for personal mileage. As a responsible forumer I feel its my duty to repel such slanderings which brings disrepute to our forum. Hence I verified the facts from Mr.Venugopal himself and my answers to the above forumers remarks are marked in red.

I would like to inform few things i came to understand about Dewa Projects - Pier20, Kochi when i inquired about the project for buying an unit in Pier20, Marine Drive, Kochi.
Dewa Projects promoted by Mr. Venugopal Nair (based in trivandrum) launched this apartment project recently renamed as "Dewa Pier20"(they launched the same project 5 years back as Dewa Royal and withdrew the same).
It is true that initially Project Dewa Royale was on the anvil targeting the upper segment of the population , a spacious luxury ridden apartment complex which was redesigned to suit middle class and above and renamed as Dewa Pier20. This is purely a commercial decision which every businessman devises as part of his development strategy.
The company is now selling apartment units at Marine Drive, Cochin at throw away price so as to attract investors. For developing Dewa Pier20 they have not yet grabbed necessary approvals for constructing building in Marine Drive, Kochi including clearance from Ministry of Environment.
The cost is 6200/sq ft and I don’t call it a throw away price. The construction can start only after Corporation approvals are received. One can see from a distance the tower on the farthest end rising to the tenth floor bearing testimony to the work in progress. Approvals for fire and safety / approvals from Navy etc have already been received. The environmental approval is ordinarily granted only after the structural work on all the towers have started. The necessary papers have been submitted to appropriate authorities

Even though the company assures the completion by 2015 and also convey that necessary fund is allotted for the development, i came to understand that the company owes about 150 crore's to consortium of banks. In additional to that company took finance of about 50 crores from IL&FS(private financial service firm) for starting constructions. The project land is also not belonging to Dewa Projects and registered in some other companies name so as to safe guard them self.
The 150 crore funding given by around 13 banks lead by union bank had declared the property as "Non Performing Asset" (similar to kingfisher airlines) and initiating legal actions to cease the property as the funds are diverted. The group of bank includes Federal Bank, SIDBI, Corporation Bank, Bank of Allahabad, Punjab Nationalised Bank etc.
It’s a 487 crores project sanctioned by a consortium of 13 banks and the construction is fast progressing to complete by 2015. The paid up capital is 215 crores and assets are above 1500 crores. They own 6.32 acres of prime land in Marine drive.The construction is fast progressing to complete by dec 2015.

I personally feel they will not be in a position to complete the project on time as they are facing serious financial crunch as they had sold only 15 units ever since they launched, the chances of loosing money for the investors is on a higher side. As many of you, I am also cautious to invest in properties of such builders as we had seen many scams in Kerala recently.

This is a 487 crore project which is designed to change the skyline of Kochi. My humble suggestion is do not malign such prestigious projects for vested interests. They are not doing an active marketing now,instead planning to sell the units after completion and if you can take time to see the website you will understand that this is no ordinary project but one that will sell itself with the strength of design and location and amenities

I will be thinking about the project only after completion (if completed) as i feel that is the best way to invest in this property, so as to avoid unnecessary risk for the investment(as its hard earned money) and also because lot of other properties (completed and nearing completion) in Marine Drive are available by well known developers.
Customer is the king, he can choose whichever project he wants but please do not mislead innocent customers.The ‘gentleman’ writer, who has thrown all scruples to the winds, finally says that a series of negative and false observations that he recorded are his personal feelings. And simultaneously he wants to promote sales of other flats in the vicinity by suggesting
Quote
lot of other properties (completed and nearing completion) in Marine Drive are available by well known developers
Cheers !

[The Adventurer]

6200 psqft is not very high....considering chithramalika in thevara sells at 10k psqft

[vandana.ramanath]

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[Malayaali]

Originally Posted by vandana.ramanath

Dear Mr/Ms. TT & 3T,

From the sentimental reply to my review, any one could make out its either the promoter itself or management representative of the company replied.

I am not sure whether tt&3t is a promoter of Dewa project. But he/she has been in this forum for quite sometime contributing to the threads, unlike you who just came out of the blue to prove that this project is a white elephant. So more reasons to trust him more than you. Thanks.

[Prasanth_KCV]

Originally Posted by vandana.ramanath

2) If your company have solid financial back up why it went for project funding? Out of sanctioned 437 Cr (as you mentioned) how much amount is dispersed by banks so far( i came to understand only portion for buying land is released so far) ? How much amount you had repaid (at-least as interest)? If its going on a smooth manner why banks declared Dewa Projects as NPA? Proof is available in one of your bankers website, check it out http://federalbank.co.in/Uploads/Tender Files/163.pdf . It states your company is not even in a position to clear dues of Rs. 90 lakhs. Is it similar case with other banks ?


3) If your company do not have financial crunch, why do you went for short term finance from IL &FS of about 50 cr?

What is the problem in taking loan from banks, it is called leveraging and there is no harm in it, rather a wise business man will definitly utilise this option. It can increase the shareholders' return on investment and often there are tax advantages associated with borrowing.

BTW the Federal Bank Link which you have provided is not working.

[ttand3t]

Originally Posted by vandana.ramanath

Dear Mr/Ms. TT & 3T,

From the sentimental reply to my review, any one could make out its either the promoter itself or management representative of the company replied. Its funny that its considered as a competitors review..lol

As you were keen to defend my review please extend your service to reply to the following queries which you ignored intentionally:-

1) Great that you agreed Dewa Pier20 project do not have approvals from Ministry of Environment. Its surprising that you replied, its required only after construction of structure. If so why certain prestigious projects including government of kerala's including vizingam port, Intl. Cricket Stadium, Hydro Power project near athirappally etc is on wait for clearance from Ministry of Environment?? Is the rules not applicable for your company?

2) If your company have solid financial back up why it went for project funding? Out of sanctioned 437 Cr (as you mentioned) how much amount is dispersed by banks so far( i came to understand only portion for buying land is released so far) ? How much amount you had repaid (at-least as interest)? If its going on a smooth manner why banks declared Dewa Projects as NPA? Proof is available in one of your bankers website, check it out http://federalbank.co.in/Uploads/Tender Files/163.pdf . It states your company is not even in a position to clear dues of Rs. 90 lakhs. Is it similar case with other banks ?

3) If your company do not have financial crunch, why do you went for short term finance from IL &FS of about 50 cr?

4) You were mentioning that about 600 units are kept to sell after completion of project. Did you launch the project after releasing heavy ad campaigns to sell only 3% of the apartment units? Its funny that you believe 600 units can be sold after completion in Kochi market. Dude dis is not middle east or you are constructing Burj Khalifa..lol
But i admit the fact that no wise investor gonna invest money in dis project without completing the project.

5) The land is acquired from GIDA by different company (not in the name of Dewa Projects). why?

6) You were asking me to check out your website to see your project is an extra ordinary one in Kochi itself. Any dick & harry can create a website by spending few pennies. Let us see whether you complete the project in same fashion, when you complete the project. Anyway for your knowledge, the finishing's (spec) mentioned is only similar to dat of a budget apartment).

Sorry to bother.

God Bless !

Dear Mr.Vandana Ramnath,
I have no stakes in Dewa Projects. I am a dental surgeon working in Kuwait and has been in this forum since 2008. My name is Thomas Thomas. Since Mr.Venugopal has business in Kuwait I have met him before, that's my only connection with Dewa. When I saw ur post, I understood that its a mail to malign a project. Hence I took pains to verify the facts and found out Mr.Venugopals mail I'd and mailed to him ur mail and asked for his replies. My answer to ur mail is based on the reply I received from him. Ansa Enterprises owns the land and Dewa owns 94 % of Ansa , this is one point I left out in my previous mail
Today only I saw ur post and I shall send it across to Dewa and verify facts about ur allegations. I do not have enough facts with me to answer to ur allegations but I shall definitely give an answer in the coming days.But your above post clearly proves that you have vested interest in tarnishing the image of Dewa projects. Why ??? Can u tear ur mask and openly tell in public who you are as I did .

Regards

Dr.Thomas Thomas

[ttand3t]

Reliable sources in the authority told The Hindu on Thursday that the SEAC had deferred its decision on four real estate projects in Ernakulam after it was found that the project proponents had not submitted all the documents required for approval.

These projects include residential project by Mfar Realtors at Tripunithura; Sahara Grace Residential Township in Kakkanad; Choice Paradise in Tripunithura and Puravankara Grand Bay in Marine Drive.

The above are excerpts from Malayalis post of today regarding environment clearance. I dont know the status of residential projects by Mfar realtors but Sahara Grace has started phase-2, Choice Paradise is completed and Purvas structure is completed long ago and still they havent recieved environmental clearance. I think that explains your first point and its good to verify facts before u shoot in SSC.
The same report also says the application for a waterfront apartment will be taken up on sat by SEAC and that could be DEWA though I am not sure and will be verified.

[ttand3t]

Originally Posted by Malayaali

I am not sure whether tt&3t is a promoter of Dewa project. But he/she has been in this forum for quite sometime contributing to the threads, unlike you who just came out of the blue to prove that this project is a white elephant. So more reasons to trust him more than you. Thanks.

[indiaismycountry]

i've been following this thread with some interest as I have been planning to invest in a flat in marine drive. so my comments are purely from the perspective of an investor. given that these flats represent substantial investment of a person's life savings, i'd want to be absolutely sure about the project and the builder. there is no scope for even the slightest of doubts. from just this perspective, i'd like to thank Vandana(or whatever your real name is) for your views. although i don't buy everything that was presented, for me this project has ticked enough negative boxes to be avoided in favour of one of the other projects in the vicinity. the most important being the point that Prasanth has raised below- leverage. The problem with the way flat sale agreements are worded(i'm assuming that the agreement would be standard across builders), any loan taken by a builder has a priority over the mortgage taken by a buyer. because of this reason, if the builder defaults, the lender to the builder can take posession of the property. in this situation, the buyer will have no property and might still have to pay the mortgage. this is a very real risk with an over leveraged developer with no prior track record and unproven cash reserves. the other point about leverage is that given the interest rates charged on real estate lending in India(15-24%) and inflation, a developer will need to sell enough flats fast and raise cash as soon as possible or rely on rapid appreciation in price if he wants to complete the project. If the sales have been slow as mentioned, it will definitely be a problem in the future unless the price of the flat shoots up. given these problems and with the neighbouring properties being launched at similar prices, I don't see any reason why the prices are going to shoot up in the near future.It would be useful if mr Thomas can address the above points as he seems to know much about the project and the developer. i'm completely against maligning a project, but this discussion has brought forward a few points which one needs to be concerned about. thanks to skyscrapercity forumers i can at least take an informed view before plunging..

Originally Posted by Prasanth_KCV

What is the problem in taking loan from banks, it is called leveraging and there is no harm in it, rather a wise business man will definitly utilise this option. It can increase the shareholders' return on investment and often there are tax advantages associated with borrowing.

BTW the Federal Bank Link which you have provided is not working.

[indiaismycountry]

i've been following this thread with some interest as I have been planning to invest in a flat in marine drive. so my comments are purely from the perspective of an investor. given that these flats represent substantial investment of a person's life savings, i'd want to be absolutely sure about the project and the builder. there is no scope for even the slightest of doubts. from just this perspective, i'd like to thank Vandana(or whatever your real name is) for your views. although i don't buy everything that was presented, for me this project has ticked enough negative boxes to be avoided in favour of one of the other projects in the vicinity. the most important being the point that Prasanth has raised below- leverage. The problem with the way flat sale agreements are worded(i'm assuming that the agreement would be standard across builders), any loan taken by a builder has a priority over the mortgage taken by a buyer. because of this reason, if the builder defaults, the lender to the banks can take posession of the property. in this situation, the buyer will have no property and might still have to pay the mortgage. this is a very real risk with an over leveraged developer with no prior track record and unproven cash reserves. the other point about leverage is that given the interest rates charged on real estate lending in India(15-24%) and inflation, a developer will need to sell enough flats fast and raise cash as soon as possible or rely on rapid appreciation in price if he wants to complete the project. If the sales have been slow as mentioned, it will definitely be a problem in the future unless the price of the flat shoots up. given these problems and with the neighbouring properties being launched at similar prices, I don't see any reason why the prices are going to shoot up in the near future.It would be useful if mr Thomas can address the above points as he seems to know much about the project and the developer. i'm completely against maligning a project, but this discussion has brought forward a few points which one needs to be concerned about. thanks to skyscrapercity forumers i can at least take an informed view before plunging..

Originally Posted by Prasanth_KCV

What is the problem in taking loan from banks, it is called leveraging and there is no harm in it, rather a wise business man will definitly utilise this option. It can increase the shareholders' return on investment and often there are tax advantages associated with borrowing.

BTW the Federal Bank Link which you have provided is not working.

[kadavans]

Originally Posted by Prasanth_KCV

BTW the Federal Bank Link which you have provided is not working.

The link is working. See Sl. no. 47.

However, the sudden appearance of vandana.ramanath in the forum appears fishy.