Banks get a go ahead to take over Kingfisher Villa

The Villa, valued at Rs 90 crore, used to be Mallya's base in Goa and also the venue of many of the famous parties hosted by him during the 'good times'

MUMBAI/PANJIM: In a major setback to liquor baron Vijay Mallya, revenue officials in Goa allowed the lenders to Kingfisher Airlines to take physical possession of 'Kingfisher Villa' in Candolim.


"The North Goa collector has given an order in favour of banks to take physical possession of the Kingfisher Villa," banking sources said late this evening.

The Villa, valued at Rs 90 crore, used to be Mallya's base in Goa and also the venue of many of the famous parties hosted by him during the 'good times'.


Advocate Parag Rao, who appeared on behalf of United Spirits, told PTI that the company had withdrawn its claim before the collector yesterday. "We told the collector that we will not press for the objection," he said.


Representing the bankers' consortium, SBICAPS had sought physical possession of the property under Section 14 of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act in late 2014.


However, three of Mallya's companies - United Spirits Limited (USL), Kingfisher Airlines and United Breweries - had objected to the move.


Last week, media reports had said that Mallya put up a "villa manager" as a caretaker to thwart the bank's attempt to take it over.


The villa was mortgaged to the lenders while obtaining loans for the now defunct airliner, but the caretaker, who claimed to be an employee of United Breweries, and the subsequent establishment of tenancy rights would have made it difficult for the banks to take over the property.


According to reports, bankers' attempts to take possession of the villa were repeatedly stalled by USL, which claims the first right to buy the property as it is a tenant. USL had also approached a local court, citing provisions in the Portuguese Civil Code to block auction of the property in the past.

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

Mhada wants to tag Bharat Ngr near BKC a slum, raises brows

BAI: In a controversial move, state housing authority Mhada wants to declare its prime 44-acre Bharat Nagar sprawl, comprising chawls, tenements and transit camps adjoining Bandra-Kurla Complex (BKC), a slum.

This will effectively deprive Mhada of all benefits during redevelopment, including receiving a few thousand new flats that it could have sold at affordable rates. The authority took this stance after Omkar Realtors, one of Mumbai's biggest slum redevelopers, wrote to Mhada last year stating that 50,000 sq m land covering 12 proposed societies be redeveloped under the slum rehab scheme.

Sources said if redevelopment is allowed under the Slum Rehabilitation Authority (SRA), private builders will walk away with the entire development rights worth thousands of crores instead of Mhada.

Under development control rule 33 (5), which governs redevelopment of Mhada properties, a builder has to hand over to the housing authority a portion of apartments free of cost for public housing. These flats are then sold by Mhada at affordable rates mainly to economically weaker sections and low and middle-income families. Insiders said redevelopment of the entire Bharat Nagar layout under 33 (5) could have fetched Mhada at least 5,000 tenements for sale.

Recently, eyebrows were raised when Mhada revoked permission granted to its tenants occupying plot 11 in Bharat Nagar to undertake self-redevelopment on their one acre plot. In 2014, the housing authority had even issued a draft lease agreement to the Bharat Nagar Paradise Co-operative Housing Society. "Suddenly, last week we received a letter, stating that the draft lease issued to our society is cancelled," said local corporator Ilyas Shaikh.

Mhada informed residents they have been declared as "slum dwellers" and their redevelopment would be under the slum scheme. The housing authority justified cancelling the draft lease, referring to a Bombay High Court order.

In the late 1990s, four of the 26 Bharat Nagar plots were redeveloped under the SRA. The court had allowed these four plots (numbers 7, 8, 9 and 12) to be redeveloped under SRA because they were declared as a "censused slum", while dismissing a petition filed by some residents. The 2010 order said only four of the 1,000-odd people had moved court.

However, Ebrahim Gani, chairman of Bharat Nagar Paradise Society (plot 11) said Mhada was using a high court judgment which does not apply to them and the remaining plots in the entire layout. "We wanted to redevelop our tenements along with Mhada and do not want a builder to enter here," he said.

"The high court order referred in the matter pertains to different pieces of land with different backgrounds of development. This is not applicable to lands on which we have been staying. Mhada's decision to enter into a lease agreement with us was taken three years after the high court order," he added.

Last June, Omkar Realtors wrote to Mhada CEO S S Zende, stating its intention to take up an integrated slum redevelopment scheme here. The developer said all open spaces, pathways, building spaces and amenity plots have been encroached upon over the years. "The area has virtually become a slum with unsafe structures, narrow lanes, poor sanitation, overcrowding, leading to conditions unsuitable for human habitation. Occupants also possess photo passes of slum dwellers," it said.

But corporator Shaikh said under the slum scheme, each family will receive only a 269 sq ft tenement. "If the redevelopment is done under the Mhada 33 (5) scheme, a family will get 437.5 sq ft house," he said.

Shaikh, a resident of plot 11, said a majority of the 160 tenants here voted for self-redevelopment. "Now, how do we tell them that a builder will take over the project," he added.

Of the 44 acres in Bharat Nagar, nine acres comprise Mhada chawls, six acres contain Mhada transit camps and a 4.5-acre plot called Tata Colony has been vacated by a builder to redevelop it under section 33 (5).

Credit : http://timesofindia.indiatimes.com/

Mumbai may see more high-rise buildings as BMC proposes new norms

The Municipal Corporation of Greater Mumbai has suggested that the minimum height for a building to fall under the high-rise category be increased to 32 metres from 24 metres earlier

MUMBAI: The skyline of India's commercial capital may change if two proposed amendments are approved, leading to the addition of more high-rise buildings. The Municipal Corporation of Greater Mumbai has suggested that the minimum height for a building to fall under the high-rise category be increased to 32 metres from 24 metres earlier.


Apart from this, an expert committee appointed by the state government has recommended that the civic chief be made the sanctioning authority for buildings up to a height of 120 metres, or about 40 floors.


Urban planning experts said these moves will help simplify and expedite approvals for real estate developments across the city.


"The decision will improve the redevelopment potential of several dilapidated buildings across Mumbai. This will also help in making much-needed open spaces available and reduce corruption as it will reduce one layer of approvals," said Shirish Sukhatme, former president of the Practising Engineers, Architects & Town Planners Association.

Currently, permissions for buildings up to 70 metres or 21 floors are sanctioned by the municipal commissioner, while developers are expected to seek app rovals from the high-rise committee for any structure above this height. According to architects, approvals used to be delayed because the committee meets every three months and sometimes even after a gap of several months.


"The proposed changes are good for overall development, including redevelopment and improving infrastructure in already highly dense Mumbai city," said Gaurav Gupta, director, Omkar Realtors & Developers. "Earlier norms set in 1990s are not in sync with the advancement in technologies in the last two decades." According to Gupta, the developer delivered the 247-metre Omkar Alta Monte tower in Mumbai's Malad suburb in less than the scheduled three years due to the deployment of advanced technologies.


Vertical growth is also expected to get a boost with the Municipal Corporation of Greater Mumbai's proposal to increase the base floor space index (FSI) of 2 for the entire city and allow the transfer of development rights to be used anywhere.


Several high-rises are coming up in the northern part of Mumbai along the Western Express Highway due to the wider availability of land compared with the southern part of the city. The shifting of the Central Business District from Nariman Point to Bandra-Kurla Complex and the emergence of prospective office centres in Andheri, Goregaon and Malad belts are leading to increasing demand for residential and commercial properties around these areas.


According to property consultants, more than 25 tall towers will be developed along the Western Express Highway in north Mumbai from Andheri to Borivali and Dahisar over the threefour next years.


As per the current norms, any building over 24 metres high is expected to provide six metres of open space from the road.This stipulation is holding back the redevelopment of several old and dilapidated buildings across the city. The revised height definition for high-rise buildings will pave the way for the redevelopment of these buildings in high-density localities, experts added.

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Bombay HC asks Vijaypat Singhania to vacate Juhu bungalow, hand it over to Kolkata group

The court directed the Kolkata group to pay Rs 46 crore to the Kanpur and Bombay group of the Singhania family in six weeks after which Dr Singhania has eight weeks to vacate the bungalow

MUMBAI: Over eight years after an arbitrator divided their considerable family properties three-ways, the Bombay high court has directed Dr Vijaypat Singhania, Raymond Group chairman emeritus, to honour the arbitral award and hand over vacant possession of Kamla Cottage, a bungalow in Juhu to Kolkata branch of the family. The bungalow, a prime property is a veritable museum and is full of highly valuable art, artefacts and furniture worth crores. The order to vacate the bungalow comes as a set back to Dr Singhania.


The court directed the Kolkata group to pay Rs 46 crore to the Kanpur and Bombay group of the Singhania family in six weeks after which Dr Singhania has eight weeks to vacate the bungalow. The court thus rejected a plea by Dr Singhania's lawyer for a stay of the order.


The family divided into three groups--Calcutta Group, the Bombay Group and the Kanpur Group were all members of the Singhania family that was carrying on business under the name of "M/s. J.K. Bankers" (Juggilal Kamlapat Bankers), a partnership firm. In 1987, by way of a family settlement, the partnership firm was dissolved. The groups agreed to distribute the immovable properties. But disputes arose over the manner of distribution.


In 2006 the Supreme Court appointed an arbitrator. In 2008 the arbitrator while splitting the property passed an award directing that the Kolkata Group receive the Juhu property, vacant and free from encumbrance. It also laid down which group would get other properties in other parts of India.


The Singhania family has thus been mired in a family dispute for decades. The order by the HC passed on Friday was in response to a plea by the family of Vijaypat's late brother from the Kolkata group for execution of the Arbitral award and to ensure that Singhnia vacates the Juhu bungalow. The high court had earlier upheld the award in 2009 and then again, in appeal, in 2013. The challenge to the award was by both the Kanpur and Bombay group led by Vijaypat Singhania. Vijaypath Singhania resides at Bhulabhai Desai road.


The HC held that Singhania cannot refuse to hand over the Juhu bungalow on the ground that he hasn't received properties due to him from the Kanpur group.


The HC held both Kanpur and Bombay groups' conduct of dragging the litigation for 30 years despite entering into a family settlement in 1987 ''smacks of utter dishonesty and of being self--centred. "Using their money power, the Kanpur Group and Bombay Group (all are leading industrialists) have for their selfish motives and greed only dragged on the litigation and consumed precious judicial time of this court and also of the Apex Court,'' said Justice K R Shriram in his order.


The HC said submissions by the Kanpur group that the "six month period has not commenced for the handing over the possession as per the Arbitral Award'' was "preposterous''.


"The dispute between the parties has now been going on for almost thirty years. To raise an issue that the 6 month period has not begun is a desperate attempt to clutch at straws...The 6 months period is long over. The Kanpur group has not even complied with the written confirmation as required under Paragraph 29 of the Award. In absence of such a written confirmation that they are willing to vacate the properties, they are in breach and have made themselves liable to execution proceedings.''


Justice Shriram in the order passed on Friday said, "it is true that family disputes have a different concept and equity'' and added, "The parties are members of a family descending from a common ancestor and they must sink their


disputes and differences, settle and resolve their conflicting claims once and for all in order to buy peace of mind and bring about complete harmony and goodwill in the family. The Bombay Group and Kanpur Group should strive to enforce a family arrangement and the award (decree) honestly.''


The HC deferred a plea made by Vijaypat Singhania's estranged son Madhupati who sought protection of his share of about Rs 3 crore from the money due to the Bombay group. The court deferred it until the share out of the Rs.23.40 crores payable to



Bombay Group is determined independently.


Madhupati meanwhile is also embroiled with his father in a separate legal battle, initiated by his four children over rights claimed by them to ancestral and family property.


The HC ordered that "The Calcutta Group within six weeks to deposit the amounts payable to the Bombay Group and the Kanpur Group with the Prothonotary and Senior Master, High Court, Bombay. The Prothonotary to invest these amounts in fixed deposit with a nationalised bank for a minimum period of one year at a time. Within eight weeks of the Calcutta Group depositing these amounts, the Bombay Group to vacate the Juhu property. If the Bombay Group fails to vacate, on the expiry of eight weeks period, the Court Receiver to take actual physical possession of the Juhu property and hand over the same to the Calcutta Group. He may, should the need arise, even take police assistance to comply with these directions.''

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Big cheer for home buyers as Real Estate Bill becomes an Act now

The act seeks to protect the rights of home buyers, mandates registration of projects, including those that have not got completion or occupancy certificates.

NEW DELHI: The Real Estate (Regulation and Development) Bill, 2016, became an Act on May 1, kick-starting the process of making rules as well as putting in place institutional infrastructure to protect the interests of home buyers in India.


While acknowledging that the act is a positive development, property experts said the new rules should address problems faced by builders in getting sanctions and approvals in a timely manner. "Government authorities should also be made accountable for timebound approvals through the rules that will be made," said Anshuman Magazine, managing director of property advisory firm CBRE South Asia.


He said that if this happens, it will be one of the major steps towards the recovery of the Indian real estate market and will improve the confidence of both consumers and institutional investors - domestic or foreign. "Of course, it should not become another hurdle for development, which will then raise property prices in the long term," said Magazine.

The Ministry of Housing & Urban Poverty Alleviation notified 69 of the act's 92 sections that come into force from May 1. Rules for implementing the provisions of the act have to be formulated by the central and state governments within six months - by October 31 - the maximum period stipulated in Section 84 of the act.


The housing ministry will make the rules for Union Territories while the Ministry of Urban Development will do so for Delhi.


The key to providing succour to home buyers will be the setting up of Real Estate Regulatory Authorities, which will require all projects to be registered, and the formation of Appellate Tribunals to adjudicate disputes.


According to Section 20 of the act, state governments have to establish the regulatory authorities within one year of the law coming into force. These authorities will decide on the complaints of buyers and developers in 60 days.


The act seeks to protect the rights of home buyers, mandates registration of projects, including those that have not got completion or occupancy certificates.


Registration will require builders to set aside 70% of the funds collected from buyers and pay interest in case of delays. Any officer, preferably the secretary of the department dealing with housing, can be appointed as the interim regulatory authority.


Once the regulators are set up, they will get three months to formulate regulations concerning their functioning. Real Estate Appellate Tribunals need to be formed within a year - by April 30, 2017. These fast-track tribunals will decide on disputes over orders of the regulators within 60 days.


A committee chaired by the secretary of the housing ministry has started work on formulation of model rules so that states and UTs can frame their rules quickly, besides ensuring uniformity across the country. The ministry will also will come out with model regulations for the regulatory authorities.


The remaining sections of the act that have to be notified relate to aspects such as the functions and duties of promoters, rights and duties of allottees, prior registration of real estate projects with the regulatory authorities, recovery of interest on penalties, enforcement of orders, offences, penalties and adjudication.


Considering that there 12 months left for the regulatory authorities to be set up by the states, builders are expected to speed up work to avoid the stringent provisions of the new real estate regulatory act.

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

Builders back out of Dharavi revamp again, date extended to May 20

The Dharavi redevelopment project once again drew a blank as developers did not submit any bids. The date for submission has now been extended to May 20

MUMBAI: The Dharavi redevelopment project once again drew a blank as developers did not submit any bids. The date for submission has now been extended to May 20.


Builders have contested the Dharavi Redevelopment Authority's (DRA) claim that the entire floor space index (FSI) of 4 can be consumed on the slum land itself. They have pointed out that it is not so and have sought transfer of development rights (TDR) to enable them to use the unutilized FSI elsewhere.


However, the government cannot allow TDR as there is a Bombay high court order against it for Dharavi redevelopment. "We have clearly mentioned in the Development Control Regulations for Dharavi that there will be no TDR. And this is on account of the high court order," said Nirmal Kumar Deshmukh, CEO of DRA. Some of the prospective developers have also been asking for more FSI. In return for a 25 sq m tenement, the DRA is offering an additional 17 sq m, which the developer can utilize for the sale component. However, the demand is for an additional 28 sq m, said sources.


DRA is offering 25 sq m carpet for the tenement on which it has added an additional 5 sq m (30 sq m built-up area) and another 10 sq m for amenities such as society office, health centre and aanganwadi for every 100 tenements.


"This adds up to 40 sq m but we are giving an extra 2 sq m, which takes the total FSI per tenement to 42 sq m. But developers want 53 sq m. It would be difficult even to consume 40 sq m given the space constraint and height restrictions," said sources.

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

Think your house is too small to be sold in the market immediately? Here's how you can make your house more appealing to prospective buyers.

Do you think your house is too small for it to appeal to buyers? It happens to the best of us. The things we own gradually end up colonizing a lot of our free space, and the house which felt “just right” a few years ago can suddenly feel as tiny as a shoe closet.

Fortunately, there are some simple tricks you can try to supersize your small space. Most of these tricks are a matter of changing perspective rather than opening up more square footage. Before you try them, consider a real effort to declutter first. If your declutter campaign falls short, though, these tactics may come to your rescue:

Lighten up the walls. Color can make the difference between breezy, cozy, and claustrophobic. Dark colors on walls make them seem smaller and denser, while lighter ones broaden your view and reflect more light. While white can be a bit harsh, there are other cheerful tones such as lemon, mint, and cornflower which can transform a space.

Aim high. Many times, our gaze tends to lock onto the things in the way of our feet. If you have zones of heavy storage occupying square footage, look for ways to get those items off the ground. Corner shelves, hidden cabinets, and even hanging racks can do wonders for widening up narrow spaces. Hanging pictures higher up on walls can make rooms feel taller, too.

Widen up the windows. Big curtain rods which extend beyond the border of the window can make a window seem larger, and making the move to keep them open (perhaps with sheer drapes for privacy) can let in crucial light. If you have a little renovation money, consider adding windows to rooms where less-than-ideal lighting conditions exist.

Cast mirror magic. Amplifying light is a big theme here, so position large mirrors across from windows to create “windows” where no window can exist. Even if you don’t have a window handy, a large mirror can double up the tiniest room.

Demand double duty furniture. Hidden storage in large furniture can be a boon for making the most diminutive room more manageable. Take, for example, raised bed platforms with drawers built in the frame. Look for any opportunity to hide storage in existing objects.

Hopefully these five tips will make your small house more spacious. I’m happy to help you assess you with hunting down the most suitable happy buyers for your house. Drop me a line if you’re ready for the big time!