Retail realty investment share in tier II & III cities surpass metros

Apart from Mumbai, investment largely took place in cities such as Pune, Bangalore, Amritsar, Indore, Ahmedabad and Chandigarh, the firm said.

KOLKATA: Investments into retail real estate has gained momentum in tier II and tier III cities and accounts more than metros, according to property consultant firm JLL India.

"With retail assets becoming more lucrative, thanks to the impending launch of real estate investment trusts(REITs), the period between 2015 and Q3 2017 saw an astonishing 54 per cent of over USD 1.57 billion investments in retail real estate happening in tier II and III cities, well exceeding those in the metros," JLL India MD, retail services, Pankaj Renjhen said in a statement.

This includes entity-level deals, platform deals and acquisition of stakes in malls.

Some of the global private equity funds have been investing in the retail real estate sector to diversify their investment portfolios in India, Renjhen said.

Apart from Mumbai, investment largely took place in cities such as Pune, Bangalore, Amritsar, Indore, Ahmedabad and Chandigarh, the firm said.

Investment by PE funds in retail real estate assets will also bring a structured approach to leasing, leading to a more regular performance evaluation of brands within malls, it said.

As retail assets can become a part of the REIT portfolio, options for exits open up, which enhances the liquidity of such retail assets, JLL said.

Credit : https://realty.economictimes.indiatimes.com/

CREDAI seeks government intervention to set up RERA tribunals

CREDAI further highlighted the necessity for the setting up of the tribunal to decrease the need and participation of the higher courts to facilitate matters between different parties

MUMBAI: Realty developers’ body Confederation of Real Estate Developers' Associations of India (CREDAI), through a letter to Hardeep Singh Puri, Minister for Housing and Urban Affairs, has sought the government’s intervention for setting up tribunals in all states across the country.

In the letter, CREDAI has underlined the disparity between states with regards to the implementation of the act with regions such as Maharashtra, albeit still lacking a tribunal, setting the benchmark while many states namely West Bengal still struggling with the process, CREDAI said in a release.

“We at CREDAI have extended our complete support in the implementation of the Real Estate Regulation and Development Act (RERA). However, to be able to further fulfil the purpose of the act, it is imperative that appropriate guidelines be established for the concerned authorities to set up the Real Estate Appellate Tribunal at the earliest,” said Jaxay Shah, President, CREDAI National.

CREDAI further highlighted the necessity for the setting up of the tribunal to decrease the need and participation of the higher courts to facilitate matters between different parties. Over 235 judgements have been delivered by the MahaRERA authority till date. Many of these cases are expected to reach the high court for a resolution which only goes to show the dire need of the mechanism of a RERA tribunal, the release said.

Credit : https://realty.economictimes.indiatimes.com

Maharashtra govt officials to speed up realty projects

According to a circular, officials concerned will issue orders for commencement of building in less than 30 days, plinth certificates in seven days, occupation certificates in eight days, tree-felling permission in 45 days.

PUNE: State government officials will be held accountable for not clearing approvals of construction projects within the stipulated time frame.

The state urban development department (UDD), in a circular issued last week under the Right to Services Act for ease of doing business in the state, has the made government officials accountable for issuing approvals for construction projects as per the timeline set by the department in August circular.

According to the circular, officials concerned will issue orders for commencement of building in less than 30 days, plinth certificates in seven days, occupation certificates in eight days, tree-felling permission in 45 days. Permission for tree felling is issued under section 8 (4) of Maharashtra (urban areas) Protection and Preservation of Trees Act. Earlier, there was no deadline for issuing permission.

The UDD is one of the last remaining departments to set deadlines and designate officers responsible for meeting them under the Maharashtra Right to Public Services Act, 2015. Similar directives were issued under the Central government’s ease of doing business initiative, but state government officers were not held guilty for missing deadlines.

With the UDD issuing new rules to hasten approvals for construction, the realty sector is all set to benefit as earlier there was no time line for approvals. "It is a good initiative. But there is also a fear that officials might find small faults and delay the process,” stated Maharashtra CREDAI president Shantilal Kataria.

Consumer forums have been up in arms against developers for not meeting deadlines. Recently, a Pune-based consumer forum had even pointed out that while consumers had raised the issue with the Maharashtra Real Estate Regulatory Authority, it was issuing fresh deadlines.

However, CREDAI president Kataria said that the existing projects, which were stuck at various levels, will gain momentum due to these rules .

Credit : https://realty.economictimes.indiatimes.com/

Five Powerful Tips for Realtors to plan their Digital Strategy for 2018

Dear Realtors, 2018 is knocking at our doors and while most us are making plans for exciting New Year parties and shopping sprees, it wouldn’t be a bad idea to give shape to the upcoming year’s business plan too.

How about reviewing last year’s strategy and evaluating what worked for you and what didn’t?

Is there any business challenge that you could have managed in a better way?

Eliminate the fluff and trim some excess weight your business has put on and welcome the New Year in a brand new avatar. The real estate industry is turning over a new leaf and your buyers and sellers are getting increasingly dependent on digital information and seamless transactions. That’s why it should be your priority to enhance your presence in the digital world and implement processes accordingly.

The following tips are worthy of a look and will assure you of a robust digital strategy in 2018:

1.    Focus on Personal branding this year: It is time to use the entire goodwill that your business has created over the past year and utilize it to create a personal brand. Pushing the value of your organization in the digital world will ensure that your business receives more eyeballs than ever before. Connect to a professional digital marketing firm and focus on improving public relations that will give your business the necessary impetus right at the beginning of the year.

2.     Revitalise your website: Modern day clients are known to visit a business website first and then call to discuss details. Since digital is the way to go, ensure that your first impression is as impressive and impactful as possible. Check your website now and infuse it with some new energy by altering its design and content so that your clients can relate to it easily. Check if navigation is simple and provides all the necessary information without much fuss. Most clients access information on their mobile phones and tablets to make sure the website is mobile-friendly too.

3.    Create a blog: There is no better way than creating a niche blog to get people talking about you and noticing your business in the digital world. People are on constant lookout for quality information and if it is relevant to their needs and updated, you are assured of a continuous flow of visitors (read potential customers). Push your blog and its content on social media and build a loyal following that will grow steadily as time goes by. As a Realtor, your blog can be very effective you in branding you as the Local Specialist and the go to guy.... think about it. 

4. Communication is the key: If you want to share your story and ideas with the right type of audience, there is no better way than the digital way. Build a sense of anticipation around your story and personalize it as much as possible to suit your audience’s needs. Use CRM platforms or email marketing campaigns to ensure consistent communication with your potential customers. Draw up a budget and arrive at the most cost-effective ways of reaching out using multiple delivery points. Facebook, Twitter, Blogs and emails can form a great mix of communication with existing and potential customers.

5. It’s the time for Video: The visual medium has proved to be more effective than the written or spoken word and your business too could benefit if it is used in the right manner. Promote your business and attract a larger volume of clients by creating a short bio about yourself from a professional agency. It would also help if you could get a few of your clients to talk about you and your work. Share your latest success in the form of a video and create a dramatic impact on your viewers.

Explore the above tips with an open mind and bring in some dramatic changes to the way the world looks at your real estate business. The real estate industry is going through a metamorphosis and it’s definitely time your digital strategy is geared up to handle this change.

Create your BluePrint for Success in 2018 by using the digital medium and increase your market share by leaps and bounds. And don't forget to invest the requisite capital to do this...... Wishing you a bountiful 2018.

Credit : Ramprasad Padhi