Hyderabad Economy and Real Estate

[Ron7]

Here is the recent survey done by ASSOCHAM about Bangalore city & its infrastructure!!!

Bangalore to lose its IT status

According to a survey conducted by Associated Chambers of Commerce and Industry of India (ASSOCHAM), Bangalore might lose its status of being the IT capital of India. The survey states that the status would soon belong to the National Capital Region (NCR) of Noida and Gurgaon.The survey concluded that companies offering IT, IT-enabled services (ITes), business process outsourcing (BPO), and knowledge process outsourcing (KPO) in various domains like banking, financial services, insurance, pharma, auto, FMCG and manufacturing prefer to relocate operations.

The survey also finds out that Bangalore is losing its sheen due to crumbling infrastructure, compelling many companies to head towards more convenient and industrial-friendly centres. Leading IT and ITeS vendors prefer to shift their focus from Bangalore to other satellite cities like Noida and Gurgaon for more revenues.

Officials at ASSOCHAM state that the growth explosion in Bangalore has pushed the city towards serious civic crisis. Civic issues like roads choked with vehicles, frequent power outages, erratic water supply and poor sanitation is making Bangalore lose its luster to Gurgaon and Noida.

ASSOCHAM interacted with 800 directors, CEOs, CFOs, chairmen and managing directors of Indian and multinational companies in various verticals. Five cities were chosen to relocate businesses to garner more revenues. 30 per cent top-ranked officials of IT companies said they preferred Gurgaon, 25 percent wanted to relocate operations to Noida, about 20 per cent preferred Chandigarh, 15 per cent of respondents said that they prefer Pune and 10 percent wanted to relocate their business to Hyderabad.

[rags123]

This could be true, may not affect existing investments but will surely effect the future investments and truly the infrastructure in the NCR area has got better they have done a lot of good work and I have seen a difference during my recent visit and also had chat with a consultant who claimed that operating cost remained lower, looks like the last decade was dominated by southern part of India but as projected Northern Part of India will our perform over their peers!!!

[anidel]

Yeah it dosen't mean that Bangalore is going to close down it means whole of India is developing.

As for Bangalore its becoming a aerospace and biotech hub.

[Prodigist]

Originally Posted by anidel

As for Bangalore its becoming a aerospace and biotech hub.

It is but as far as those fields are concerned, Hyderabad and Bangalore are not very far from each other.. Hyderabad is a traditional defence hub(DRDO being head quartered here)

[rags123]

B'lore no longer tops the list in Biotech exports, Maharashtra has higher exports and this means B'lore cannot be termed BT capital

For more infor please click below

http://www.ukibc.com/news_and_media/...bai_first.aspx

These figures are stale but when you will see latest figures Mumbai, Maharashtra would still lead!

[Prodigist]

Originally Posted by rags123

B'lore no longer tops the list in Biotech exports, Maharashtra has higher exports and this means B'lore cannot be termed BT capital

For more infor please click below

http://www.ukibc.com/news_and_media/...bai_first.aspx

These figures are stale but when you will see latest figures Mumbai, Maharashtra would still lead!

I really dont know what that linked article was talking about.. cos it included clinical research , pharma manufacturing/pharma exports into 1 single thing called Biotech and ended up with that result...

And because there there is nothing like STPI for the biotech industry that paper took the entire revenues for a company from all over the country and added it only to the region where the company was headquartered.

If you look at pureplay biotech r&d mumbai is nowhere near the top .. Mumbai compensates it with biopharma manufacturing.

[Prodigist]

I really dont know how we missed this. Article dated May 25th.

GMR Group in JV talks with Apollo Hospitals & Mayo Clinic for $1 billion healthcare foray

Infrastructure conglomerate GMR Group is in talks with multiple potential partners including Prathap Reddy's Apollo Hospitals Group and US-based healthcare provider Mayo Clinic to set up a large hospital project in Hyderabad where it plans to invest close to $1 billion, two people said on condition of anonymity because the talks are private.

One of the people quoted above said that GMR plans to use the surplus land it owns around the Hyderabad airport to build what could be one of the largest hospitals in Asia and wants to rope in partners of international repute for the same.

The discussions between GMR, Apollo Hospitals and Mayo Clinic are at a preliminary stage and may not result in a deal, according to the person quoted above.The three parties are in talks to form a joint venture company to execute the project.

A spokersperson for GMR said in response to queries from ET Now, "There is nothing definitive as yet. Yes, we are talking to at least a couple of leading hospitals for a possible tie-up for our Health Port in Hyderabad but no details are currently available for confirmation to you".

Suneeta Reddy, Executive Director, Finance, at Apollo Hospitals Enterprises Limited said in an emailed response to queries regarding the potential transaction, "At this time there are no facts to validate this information".

Mayo clinic did not respond to emailed queries.
Mayo Clinic is a not for profit organization that runs a number of clinics, hospitals and medical research facilities and schools in different parts of the USA. The group reported revenues of over $7.5 billion for the year 2009. Mayo Clinic reinvests all the profits it makes into the various medical facilities that it operates.

Large hospital chains such as Apollo Hospitals and Fortis Healthcare are looking at ways to tap the market for medical tourism in India, where world-class healthcare facilities and doctors are available at lower costs.

"GMR will also benefit from a project of this nature as it will complement its airports business if the hospital is able to attract a large number of overseas patients", one person familiar with the company's plans said.

These are only preliminary talks but the AEROTROPOLIS is finally taking a concrete shape

[rags123]

Well these projects are revenue generating and is the only solution to the loss making GMR Airport and they are exploring best possible ways to increase non aviation related revenue as the Air Traffic may not even reach 12 Million in next 4-5 years so the air port has an over capacity!

These things will save us paying high UDF !!

[Prodigist]

^ Well incase you are not regularly following updates

GMR Hyderabad International Airport (GHIAL), a subsidiary of GMR Infrastructure that operates the international airport in Hyderabad, has finally achieved breakeven during the fiscal to March.

http://www.mydigitalfc.com/news/gmr%...reaks-even-219

[anidel]

Originally Posted by Prodigist

It is but as far as those fields are concerned, Hyderabad and Bangalore are not very far from each other.. Hyderabad is a traditional defence hub(DRDO being head quartered here)

DRDO's headquater = DRDO Bhavan, New Delhi not in Hyderabad.

[Prodigist]

Originally Posted by anidel

DRDO's headquater = DRDO Bhavan, New Delhi not in Hyderabad.

Sorry, I dint exactly mean head quarters but i meant its the hub of missile development and manufacturing & chemical engineering..

[Prodigist]

Creating an eye-capturing business

4G Identity Solutions a pioneer in iris biometric tech

K Rajani Kanth / Hyderabad June 3, 2011, 0:32 IST

By deploying the first proof of concept for the UID project, 4G Identity Solutions became the first company to introduce the iris biometric technology in India

It took 39-year-old Sreeni Tripuraneni, a well-trained vascular surgeon in the UK, just over two years to completely study the efficacy of the iris technology (the iris is the coloured part of the eye surrounding the pupil), the algorithms for which were patented by John Daugman, professor at the University of Cambridge, back in 1994.

Though Tripuraneni embraced the iris biometric technology for patient recognition in the UK a decade ago (in 2001), he now takes pride in the fact that his company – 4G Identity Solutions – is the first to have introduced it closer home by deploying the first proof of concept for the unique identification (UID) project in March 2010.

“Post the completion of my medical informatics course at the University of Bath, I started working on electronic patient records and how to use biometrics to identify a patient brought to an emergency room in a state of shock. My task was Herculean – getting to know the patient, his past medical history and blood group, and start quick treatment in the Golden Hour (the first hour of treatment, in medical terminology). In 2001 I found that iris was one of the most unique biometrics technologies, and since then I have been working on it,” recalls Tripuraneni.

Full of ideas and a fire in his belly, Tripuraneni came back to India in 2003 and started interacting with politicians and bureaucrats on home turf to understand government systems here. He found that governments were having problems in extending distribution of welfare schemes and those below the poverty line (BPL) had no access to state welfare programmes.

Keen to grab a piece of this niche demand, Tripuraneni made his boldest gamble: He set up 4G Identity Solutions (whose tagline says it all – ‘Authentic People, Unique IDs’), and became an exclusive licensee to US-based Iridian Technologies (to whom John Daugman sold his patent) for the Indian market.

“When I decided to come back to India, I thought of bringing the best technology to a country like this, where we have a huge population of BPL people, and where governments spend billions of rupees to eradicate poverty but none of this reaches the target audience. So, I thought the iris technology would help governments streamline their systems,” the chairman and chief executive of 4G says matter-of-factly.

Walking down memory lane, the doctor-turned-entrepreneur says his company made its first deployment to the Andhra Pradesh civil supplies department in 2005, cleaning up 5.6 crore people's irises and a demographic data base of 8.2 crore people, eliminating duplication from the data base.

“The technology helped the AP civil supplies department save more than Rs 1,000 crore per annum through this Rs 30 crore contract awarded to us. This is clearly evident in their budget reduction from 2009 until now. While the budget of the department was Rs 3,500 crore in 2009, it was reduced to Rs 3,000 crore in 2010 and Rs 2,400 crore this year,” Tripuraneni adds.

Flush with the success of the maiden deployment, 4G Identity integrated the iris technology with other programmes of the Andhra Pradesh government, including one to identify the real beneficiaries of Rajiv Gruhakalpa, a housing scheme for the low-income urban population. Then followed a similar project using multiple-biometrics (both iris and fingerprinting) for a UN-funded World Food Programme scheme in Odisha’s Rayagada district.

“Having tasted success with these projects, we had implemented the technology for several states, including the AP Police and the Delhi Home Guards for recruitment. Corporates too have a big problem in identifying prospective employees while recruiting, as some use fake identities for getting employment. Reliance Industries Limited and ADP (in Hyderabad and Pune) are two such stories,” Tripuraneni says, adding that the company has begun a dialogue with other state governments for replicating the implementation of iris technology in their public distribution systems (PDS).

“PDS is important to any state government and officials from Gujarat and Chhattisgarh have already visited our Hyderabad office and looked at our solutions. We are shortly going to close an order in Sikkim for their PDS which covers 600,000 people, the execution period of which is six months. We are also working with the ministry of home affairs for border management.”

For 4G Identity Solutions, the icing on the cake, however, came in the form of the UID in March 2010. The project had begun shaping up and they wanted to see how the biometrics (iris and fingerprints) worked on the ground. 4G was the first company to give a proof-of-concept to UID officials for enrollment and later ran it in the Medak and Krishna districts of Andhra Pradesh.

But why did the UID Authority choose the iris technology? The answer: “The iris is the only internal organ which we can see from outside, but we cannot touch it as it is behind the transparent cornea. Its growth in the mother's womb stabilises by the age of 12 weeks and it will not change after that throughout a human's life time. It is also very rich in features, having 256 different reference points (unique points to take samples), compared with finger prints that have 35 reference points. It is a fool-proof technology, much faster to deploy and can be used for real time identification.”

For enrollments to the UID or for other state government-run initiatives, 4G uses an iris recognition system complete with video camera to capture the sample and store it in a data base, which can be scanned through millions of samples to get an accurate identity.

As an empanelled agency for the UID project, 4G Identity is now working in six states for the Department of Posts, three states for State Bank of India, six circles for the Union Bank of India and for the government of Sikkim. Tripuraneni says the Central government has a target of enrolling 60 crore people by 2014 and the remainder in three years from then. “Internally, we, as an empanelled agency, have set a target of completing four crore enrollments this year,” he adds.

4G Identity Solutions is a big beneficiary of various state government initiatives and the Centre's UID project. The company clocked Rs 55 crore in revenues in the last financial year, 95 per cent of which came from the government sector. "We currently have an order book of Rs 200 crore, to be executed by the end of March 2012. So, we will be a Rs 250-crore company by the end of this fiscal," says a beaming Tripuraneni.

However, things will change when the UID project is completed and wound up, he says. Once the unique IDs are issued to all citizens, corporates too will get a piece of the action. The country will see more corporate applications of iris technology, especially in the banking, insurance and healthcare sectors for checking address proofs, identifying policy holders and the right nominees. “We will be tapping that sector. This business (iris technology) will grow to some thousands of crores of rupees in the next 10 years or so,” he predicts.

Tripuraneni thinks that state governments are more proactive in terms of embracing the iris technology, for the simple reason that it is they who are in touch with citizens, and not the Central government.

“States are answerable to citizens and so they have more responsibility to deliver welfare schemes in time. So, wherever there is a strong political leadership, they are thinking beyond. Many chief ministers in the country are proactive in adopting such technologies to deliver and monitor schemes,” he adds.

4G Identity is also planning to take wing and expand its business to the US and the UK this year, to start with. "Now that we have created success stories here, we will be opening offices in the US and UK and explore opportunities there. We have already got an order from one of the African countries -- Republic of Chad -- for military identification, which will take six months from now to complete. Also, inquiries are coming in from south Asian countries like Sri Lanka, Bangladesh and Nepal, and from African countries. We are currently in discussions with them," he says.

“Iridian Technologies was acquired by US-based L1 Identity Solutions Inc, which was later bought by French conglomerate Safran Group's Sagem. Professor Daugman's patent will expire in July 2011, post which it will be an open-market technology. Hence, it will not be a hindrance for us to enter the US or the UK market,” he adds.

[rizwan3]

http://www.hindu.com/2011/06/03/stor...0360690400.htm

Demand for commercial space up

Observers attribute the demand to expansion of retail industry

Wal-Mart, Aditya Birla, Spencers, and Metro planning expansion

Office space rentals too have come down to a more agreeable level

HYDERABAD: The real estate sector while worried over the lack of recovery on residential space front has some thing to feel good about the commercial and office spaces.

Slowly yet steadily, these two segments have not only managed to come back in demand and according to the industry, look poised to keep growing this year. The main impetus has been provided by the retail industry which has come to spread its activities widely across the city and also the suburbs.

“A lot of super markets and retail outlets have opened up in the last year while some are in pipeline and more are scouting for adequate space in proper locations to open their outlets. This has really given a positive thrust to the commercial real estate,” says a developer.

The requirement for retail sector too had changed with the stress being on bigger and spacious ones. Since the rentals and lease prices happens to be more realistic compared to few years back, spaces to the tune of 60,000 sft and with preference for 15,000 sft floor plates were being sought.

From Wal-Mart to Aditya Birla, Spencers and Metro are all looking at expansion across the city and also the suburbs, says K.Sreedhar Reddy, director, Megasri Constructions and an office bearer of A.P. Real Estate Developers Association (APREDA). “Coming months are going to witness a major growth as different revenue sharing models are also in the pipeline on the retail side,” he says.

The office space rentals too have come down to a more agreeable level, says those in the real estate industry. The bare shell office space is now available at around Rs.30 per sft while the plug and play comes at around Rs.55 per sft. “During the boom time, the bare shell came at Rs.60 to Rs.65 per sft and the plug and play demanded more than Rs.80 per sft,” says Mr. Reddy.

Even the food industry is keen on expansion here and some of the leading brands are said to be scouting for appropriate spaces to launch drive-ins, a concept which could well catch up in the city.

[ygvjs2000]

Yes, Hyderabad is a defense technology hub. DRDL and Bharat Dynamics is based out of hyderabad and even DRDO has a major presence. here.

Originally Posted by Prodigist

Sorry, I dint exactly mean head quarters but i meant its the hub if missile development and manufacturing & chemical engineering..

[ygvjs2000]

source: http://www.indiaprwire.com/pressrele...1060688530.htm
The Prestige Group takes the realty world by storm; secures a record number of International Awards .
Asia-Pacific International Property Awards

Best Development (Multiple units) for Prestige Royal Woods (Hyderabad)
Best Apartment for Prestige White Meadows
Best Development Marketing for Prestige White Meadows
Best Residential Property Interiors for Prestige White Meadows
Best Mixed Use Architecture for Prestige Shantiniketan
Mixed Use Development for Prestige Shantiniketan
Best Retail Architecture for Forum Value Mall
Best Retail Development for Forum Value Mall
Best Office Architecture for Cessna Business Park
Best Golf Development for Prestige Golfshire
Best Golf Course for Prestige Golfshire

[Prodigist]

SOMA HYDERABAD CITY CENTER(MALL CUM BUS TERMINAL), RTC 'X' ROADS


The mall, with a gross leasable area of 4.9 lakh sq.ft, is expected to become operational in Q3 2013. Built at a cost of 589 crores, it is expected to be readt by Q2 2013.

Retailers who have confirmed their arrival at the mall include Westside, Globus and Cinepolis, among others.

From The Hindu June 6,2008
The APSRTC in a bid to commercially exploit its vacant lands, identified its old head office premises in Musheerabad to construct a multiplex cum RTC Bus Terminal.

Based on the project report submitted by M/s Urban Mass Transit Company Ltd., it invited open tenders for the project to come up in 9.14 acres of prime land in Musheerabad. APSRTC awarded the project to M/s Soma Enterprises Ltd.

The multiplex cum modern multi-platform city bus terminal with all amenities will be under BOT scheme for 33 years.
The developer on Thursday presented the cheque of Rs.6 crore to the APSRTC Vice-Chairman and Managing Director V.Dinesh Reddy towards project development.

[World8115]

[avinash2060]

Leading infrastructure development company Phoenix Group has announced plans to invest Rs 2,000 crore in various upscale residential projects, including Rs 350 crore in Golf Edge, a mixed use project launched in Hyderabad, which will have a five-star hotel and high-end residential apartments. Further, Phoenix Group is looking to launch similar projects in tier I, II and III cities in Andhra Pradesh, Tamil Nadu and Karnataka over the next five years, the company said in a statement.

“Given our confidence in its long-term economic development Phoenix is continuing to invest in the southern Indian region. With projects close to Rs 10,000 crore in the pipeline, the Phoenix has seen consistent business growth in the past nine years having developed more than 2.5 million sq ft area of upscale real estate properties. We hope to continue our growth by introducing iconic infra properties in the South Indian market to cater to the growing needs of the value for money Indian consumers,” Suresh Chukkapalli, chairman, Phoenix Group, said.

Gopikrishna Patibanda, managing director of Phoenix Group, added. “We are bullish about residential property development market in Hyderabad as we see the potential for outperformance in the real estate market. This is well illustrated in the Group successful investments in the past. In 2005, Phoenix sold its premium luxury apartments at the highest cost per SFT in the history of Hyderabad city’s apartments of Rs 10,000 per sq ft.”

“We’ve always had strong interest from clients around the world to invest in Phoenix projects and already 25 per cent of Golf Edge property has been sold in less than 7 months,” said Patibanda. “The key to our success is to find a model that connects with consumer’s desire and to integrate them. Golf Edge concept offers great growth opportunity for us because this format allow us to tap new set of highly demanding and value for money buyers who do not find premium, integrated, affordable home backed with comfort features to invest. They also look to associate with a developer who promises partnership with owners forever.”

Speaking about the market sentiments and the challenges faced by uncertainty in the marketplace due to political issues in Hyderabad Chukkapalli said, we are not a speculative player we are creating what is required for the market and we are not looking for an exit option. “We are a long term player and we believe in long term customer relationships which is our pillar of success.”

Golf Edge will have 497 apartments of two-bed room, 3-bedroom, duplex ranging from 1,055 sq ft to 3,595 sq ft in high-rise twin towers priced at Rs 60 lakh-Rs 2 crore, working out to Rs 6,000 a sq ft of built-up space. All the apartments come fully furnished and the customers would be provided services support at Rs 4 per sq ft. The hospitality partner will take care of maintenance aspect too, the statement added.

http://www.indianrealtynews.com/real...-projects.html

[Gudavalli]

Despite banks and private equity funds putting pressure on developers to reduce home prices, the National Housing Bank's residential housing index, Residex shows an increase in prices in the April-June 2011 quarter across twelve of the fifteen cities it tracks.

The cities which have shown the maximum increase are Bhopal (33.73%) and Faridabad (33.38%) followed by Kochi (24.30%), Surat (16.60%), Delhi (16.29%), Chennai (13.39%), Hyderabad (9.93%), Bengaluru (5.07%), Mumbai (3.33%), Ahmedabad (2.45%), Lucknow (2.16%), Pune (1.10%).

There has been a rapid increase in the price of land in some of the smaller cities in the country, said RV Verma, chairman, NHB.

A big factor in this increase in prices is the fear that the land acquisition bill, when passed, is expected to increase land prices as it will make acquiring land more difficult.

"So a lot of buyers are not investing in properties outside cities thereby increasing rates within these cities," he adds.

In addition to this, the cost of construction materials has had an impact on the supply side. Prices of homes have gone up even as margins of developers have been squeezed in many cities.

Cities like Faridabad have seen tremendous growth in home prices in the last quarter buoyed by infrastructure growth.

source:et

[cactus_54]

[QUOTE=Gudavalli;83576240]Despite banks and private equity funds putting pressure on developers to reduce home prices, the National Housing Bank's residential housing index, Residex shows an increase in prices in the April-June 2011 quarter across twelve of the fifteen cities it tracks.

The cities which have shown the maximum increase are Bhopal (33.73%) and Faridabad (33.38%) followed by Kochi (24.30%), Surat (16.60%), Delhi (16.29%), Chennai (13.39%), Hyderabad (9.93%), Bengaluru (5.07%), Mumbai (3.33%), Ahmedabad (2.45%), Lucknow (2.16%), Pune (1.10%).

There has been a rapid increase in the price of land in some of the smaller cities in the country, said RV Verma, chairman, NHB.
According to realestate promoters and brokers in Hyderabad realestate prices have fallen by 20% in hyderabad owing to political uncertainity.In 2007 i could rent out a two bed room flat in Himayatnagar for Rs12000/- per month now in 2011 when i came back to the same area i rented a similar flat for Rs10,000/-I reckon even cost of apartments have come down by more than 20%