Chandigarh real estate prices flare up to touch sky

The scarcity of land coupled with the spurt in demand for retail space has jacked up price of commercial properties by over 40 per cent in the last six-months in Chandigarh. The hike has come as a windfall for the upcoming multiplex projects and a string of industrial and traditional movie theatres are lined up to turn into commercial complexes.

The city has come shoulder to shoulder with metros in terms of going rentals as that rentals are brimming Rs 600 per square feet at the prime locations. The realtors are seeing the place as the retail goldmine as the city leads in terms of per head earning and spending in the country. And most brands are ready to pay hefty rentals as the price of commercial properties is expected to remain firm in future as well.

The hike is attributed to aggressive retail expansion by majors like Reliance Retail, Subhiksha and the 'sought after brands' that are jostling to acquire additional retail space here. While most retailers are looking to lease the space, Reliance Retail is believed to be on hunt for outright purchase of space to avoid the high rentals. Some renowned hospitality groups are also believed to be on prowl to buy few properties here to launch hospitality projects here.

Sources in the UT Administration informed that the around 30 industrial units have already applied under the conversion policy and are altering into commercial businesses. Sources claimed that a number of industrial and commercial units in industrial area in Chandigarh are likely to benefit under the change of land use policy introduced by UT Administration due to warm response to on going projects.

Sources said that the tremendous response of denizens to the first multiplex in the city , Fun Republic, have interested many private developers who are more than ready to take up such projects in the city.

Sources informed that leasing price of the premier locations in the multiplex varies from Rs 550 per square feet to Rs 150 per square feet.

Apart from the two malls-cum-multiplexes are likely to come up an integrated housing cum commercial project being undertaken by Parsvnath, most of the traditional movie theatre owners are set to change to multiplexes, sources in UT Administration revealed.

Meanwhile experts in the real estate business feel that UT Administration needs to release more land for commercial activities as the commercial sectors (17 and 34 sectors) are already facing congestion.

Administration needs to relax the bylaws under the apartment policy for commercial activities as in case of multiplexes to tackle the problem of scarcity of land," JD Gupta, President Chandigarh property dealers Association said.
Source:punjabnewsline

Emaar MGF likely to invest 12 bln dlr in India

Emaar MGF, a joint venture between Dubai-based Emaar Properties and India's MGF Developments, is likely to invest about $ 12 billion in India in the next five years for setting up nine special economic zones and 50 hospitals.

Emaar MGF also plans to add 25,000 hotel rooms throughout the country in ten years, besides establishing schools and universities, residential townships and shopping malls.

"It is our vision to change the way modern India lives and toward this goal we have brought into the country the largest ever foreign direct investment (FDI) in the Indian real estate sector," Emaar MGF Executive Vice Chairman and Managing Director Shravan Gupta told Gulf News.

The company started the expansion programme by laying foundation stone for a township project at Mohali Hills, a satellite town of real estate Chandigarh.

The project will have a capital of Rs 16,000 crore and will include residential plots, town houses, villas and shopping malls, in addition to facilities such as hospitals and IT parks.

Meanwhile, Emaar MGF has received approval for nine SEZs, proposed to be located in states including Haryana, Hyderabad, Tamil Nadu, Andhra Pradesh and Karnataka.

In the hospitality sector, the company plans to build 10 luxury hotels and 45-50 business hotels in 10 years. It's joint venture with Accor will result in 100 budget hotels. In all, it will add 25,000 hotel rooms across India in 10 years.

Source://indiatimes.com

DLF to set up two townships in Chandigarh region

Leading real estate developer DLF Ltd, which is aiming to raise up to Rs 9,625 crore through its initial public offer, plans to set up three townships in Chandigarh and its suburbs and Shimla.

The township projects in the Union Territory and its periphery would be built on an area of 200 acres and 150 acres respectively, while the Shimla project would come up on a 102 acre plot, company sources said here today.

"The company is yet to finalise the investment on these three projects, as the land has been acquired only recently," a source said.

DLF also plans to start a residential project in 25 acres of land in Haryana's Sonepat, bordering the national capital while ten acres of land has been kept for setting up two shopping malls in Panipat.

In Punjab, the company plans to set up retail projects in Ludhiana, Jalandhar and Amritsar, which will comprise of shopping malls and house offices among other things.

The DLF City Centre spread over 1.9 lakh square feet of area at Information Technology Park here with retail, food courts and DT cinema would be inaugurated soon, the sources said.

Meanwhile, addressing a press conference here today, Chief Financial Officer, DLF Retail, Joy Saxena said the company would enter the capital market on June 11 with a public issue of 17.5 crore equity shares of Rs 2 each through 100 per cent book building process.

"Out of the net proceeds of the issue, DLF Ltd proposes to utilise Rs 3,500 crore for acquisition of land and development rights, Rs 3,493.4 crore for development and construction costs for existing projects and the remaining amount for prepayment of loans of the company," he said.

The company has fixed a price band of Rs 500-550 per share for the IPO.

Source://indiatimes.com

Emaar MGF likely to invest 12 bln dlr in India

Emaar MGF, a joint venture between Dubai-based Emaar Properties and India's MGF Developments, is likely to invest about $ 12 billion in India in the next five years for setting up nine special economic zones and 50 hospitals.

Emaar MGF also plans to add 25,000 hotel rooms throughout the country in ten years, besides establishing schools and universities, residential townships and shopping malls.

"It is our vision to change the way modern India lives and toward this goal we have brought into the country the largest ever foreign direct investment (FDI) in the Indian real estate sector," Emaar MGF Executive Vice Chairman and Managing Director Shravan Gupta told Gulf News.

The company started the expansion programme by laying foundation stone for a township project at Mohali Hills, a satellite town of real estate Chandigarh.

The project will have a capital of Rs 16,000 crore and will include residential plots, town houses, villas and shopping malls, in addition to facilities such as hospitals and IT parks.

Resource://indiatimes.com