Weekly Real Estate News Tracker- 1 January 2023

January 2, 2023

A lot of activity happened in the Real estate sector this week and you wouldn’t want to miss out on any of it! Here’s this week’s news, Simplease Edition :

MUMBAI UPDATES

1. Property registrations rise in Mumbai city, highest in 10 yrs

Registration of properties in Mumbai city rose 9 per cent year-on-year during 2022 calendar year to nearly 1.22 lakh units — highest in the last one decade — on better demand, according to Knight Frank India.

Read more at: https://tinyurl.com/2p8druen

2. Maharashtra’s delayed real estate projects post-MahaRERA: 38% launched after creation.

More than 38% of the total 4,555 lapsed real estate projects in Maharashtra, also termed delayed, were launched and registered as “new projects” after the Maharashtra Real Estate Regulatory Authority (MahaRERA) was set up in May 2017, according to data accessed by Moneycontrol under the Right to Information (RTI) Act, 2005.

Read more at: https://tinyurl.com/7f4s3v3x

3. MahaRERA permits developers to extend construction period without buyer majority consent.

To ensure that delayed real estate projects are completed, the Maharashtra Real Estate Authority (MahaRERA) has allowed developers to apply for extension of property registration without the need for consent of 51 percent of homebuyers.

Read more at: https://tinyurl.com/yfy8dcx7

4. Maharashtra revenue minister agrees to reduce freehold charges to 2% of ready reckoner.

Revenue minister Radhakrishna Vikhe-Patil on Tuesday held a meeting on the request of MLC Pravin Datke and agreed to reduce nazul lands freehold charges from existing 5% of ready reckoner (RR) value to 2%. The minister directed officials to prepare policies regarding freehold charges and other decisions taken in the meeting.

Read more at: https://tinyurl.com/mvetyw86

5. Housing affordability declines in 2022, but within range to support home buying

Home buying affordability levels in Indian property markets have declined in the year 2022 compared to 2021 owing to the 225-basis-point cumulative increase in repo rate since May and the consequent increase in home loan rates, along with increase in residential prices.

Read more at: https://tinyurl.com/bdemwtku

6. Mahindra Logistics leases 6.53 sq ft warehouse near Mumbai for 5 years

Mahindra Logistics, a third-party logistics and integrated supply chain company, has leased more than 6,53,000 sq ft of warehousing space at Shakti Logistics Park in Bhiwandi near Mumbai for five years, according to an Economic Times report. The company will pay a rent of ₹11.28 crore in the first year. The agreement has a clause to increase the rent by 4.5% every 12 months, the report added.

7. Thane station to get deck over platforms, museum, bus terminal

In a major makeover, the Thane railway station will get a deck over the platforms, an architectural museum and a bus terminus in the coming days. The Thane Municipal Corporation (TMC) and Central Railway (CR) have come up with a detailed plan for the redevelopment of the station area.

8. Supply for new Residential Properties rose 51% Last Year

The supply for new residential properties rose 51 percent last year to 3,57,635 units across seven major cities as builders launched more projects to tap rising demand, according to Anarock. Housing brokerage in its annual report for 2022 said new housing launches increased to 3,57,635 units last year from 2,36,693 units in 2021 across seven major cities. The new launches of housing units were up in five cities, Mumbai Metropolitan Region (MMR), Kolkata, Bengaluru, Hyderabad, and Pune, but fresh supply fell in Delhi-NCR and Chennai.

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GURUGRAM UPDATES

1. Godrej Properties buys 9-acre land in Gurugram, sees revenue of Rs 2,500 cr

The project in Golf Course Road Extension will offer 1.6 million square feet of premium residential development, said the real estate firm in a statement without mentioning the deal’s price value and seller’s name.

2. Over 98,000 unsold homes in Delhi-NCR at 2022-end

The Delhi-NCR market has 98,290 unsold housing units at the end of 2022 calendar year and it will take around five years for builders to sell these stocks at current sales velocity,. In its latest report, housing brokerage firm PropTiger has mentioned that unsold inventory rose 17 per cent in 2022 to 8,49,510 units across eight major cities.

Read more at: https://tinyurl.com/y7ayyu4n

3. Homebuyers fear more delays following ban on construction in NCR

The Commission for Air Quality Management invokes Stage III of the Graded Response Action Plan, including a ban on non-essential construction and demolition in the National Capital Region

4. Gurugram emerges as top real estate destination in NCR

Gurugram has topped in both housing supply and absorption rate (used to determine how many homes are sold in a market at a particular time) in 2022 among all cities in the National Capital Region (NCR), according to a report released by Anarock, a real estate consultancy.

5. No environmental nod, Malibu Towne served closure notice

The closure notice will not affect the 2,500 families living in the society. However, plans to invest in a flat there will have to be deferred until the developer complies with the order and seeks an environmental nod from the pollution board.

Read more at: https://tinyurl.com/5n69ekwn

6. Smart World lines up nearly Rs 3,000 crore for 3 Gurugram housing projects

Smart World Developers will invest nearly Rs 3,000 crore in developing about 8 million sq ft of residential space across three projects in Gurgaon, said its CEO Vivek Singhal.

Read more at: https://tinyurl.com/5jmzecpw

7. Gurugram-based Real Estate Company JMS Group Receives the RERA Number for its Plotted Development Project, The Pride, in New Gurgaon

Gurugram-based realty firm JMS Group received the RERA registration number from Haryana Real Estate Regulatory Authority (HRERA) for its plotted development project, The Pride, in New Gurgaon’s Sector 95 A, located in proximity to NH-8 and KMP/Western Peripheral Expressway.

Read more at: https://tinyurl.com/yc5mw8cv

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GLOBAL UPDATES

1. Dubai: Dh550-million twin tower project sold out on day of launch

The Dubai-based private developer Danube Properties said its latest Dh550 million project Elitz has been sold out at the launch, reflecting demand for the affordable segment remains strong in the emirate. Set to be developed at 36,930 square feet plot of land at Jumeirah Village Circle, the project will have a built-up area of 695,000 square feet.

2. The 10 largest co-working operators of 2022

Co-working companies have an opportunity as office leasing sags amid the rise of remote and hybrid working due to the pandemic, companies looking for a more flexible workspaces. Which co-working companies are most primed to meet the moment? Companies have more than 5,700 locations in the United States, but one is head and shoulders above the competition for most spaces.

Read more at: https://tinyurl.com/4p6zazv9

3. Singapore withstands a global property downturn

The city-state boasts a home ownership rate of nearly 90% as of 2021, thanks to the government’s public housing policies. With average annual real wages growing almost 20% since 2017 and total employment expanding, many households are now looking to upgrade to private residences.

4) Canada bans foreigners from buying property after surge in property prices

The Canadian government passed this law as home prices surged after the start of the pandemic and some politicians also believed that buyers were responsible for snapping up the supply of homes as investments.

Read more at: https://tinyurl.com/2wncmnua

5) Home sales’ November decline was largest in 10 years

Home sales dropped 35.1 percent year-over-year in November, according to Redfin — the largest drop recorded by the brokerage since it began tracking sales in 2012. There were other signs of a cooling housing market in Redfin’s report. The median home sale price increased by only 2.6 percent from a year earlier, the smallest gain since May 2020, when several pandemic-related factors set the market ablaze.

Read more at: https://tinyurl.com/22pn88tm