Tatas to extend cheap housing to global market

Encouraged by the good response to its affordable housing project from Mumbai, the Tata Group has decided to extend the concept in the international market. The group will take the project to other Indian markets as well.

Tata Sons chairman Ratan Tata said the company is planning similar housing projects in other centres like Kolkata, Bangalore and Assam. Maldives has also shown interest in the project and has invited Tata to introduce the concept in the country.

Ratan Tata said he expected the consumption of steel in the developed markets like the US and Europe to reach the pre-recession levels in the next two years. But the good news is that the market has stabilized. “There is no sudden dip or cancellation of orders now” , he said.

Tata said that a team from Jaguar and Land Rover had visited the country to look at what components they can source from India. But no decision has been taken on this. Meanwhile, Tata Motors is planning to adopt Nano for the European market. But it will take at least two years for it to fulfill all regulatory requirements and be ready for launch.

He said the new high horse power truck that Tata had launched would be marketed globally. He identified South Africa, Indonesia, Malaysia, and Middle East countries as the markets where the new high-speed , high horse power truck could be introduced. Presently, it is being exported to South Korea.

Asked whether the group would cut the salaries of the top executives Mr Tata answered that Tatas has already introduced measures to cut costs and avoid wastage. The efforts in this direction had started even before the recession was felt by all economies, he added.

Hero group in real estate with township project

The Munjal family-controled Hero group, better known for its motorcycles, is entering the real estate business, with nearly Rs. 200 crore already invested.

The cash-rich Munjals are turning the current slump in real estate into an opportunity as they had no previous exposure in the business historically marked by aggressively priced land deals.

The Ludhiana-based group plans to launch over the next two weeks an integrated township in the pilgrim town of Haridwar.

The group plans more residential which are expected to be announced over the next couple of years, company officials said.

“The integrated township at Haridwar will be developed over an area of 50 acres and will have close to 2,000 residential units,” Sunil Kant Munjal, chairman, Hero Corporate Services Ltd told Hindustan Times.

“The company has invested close to a couple of hundred crore rupees for its real estate foray,” he said.

Hero Corporate Services also has interests in IT-enabled services and corporate training.

“The plan is to first consolidate our position in Uttarakhand before venturing out to other parts of the country,” Munjal said.

The Hero group expects real estate to be an important business vertical over the next few years. “The current downturn in the real estate sector has provided the company an opportune time to enter residential real estate development as valuations are just right,”

The company, however, does not wish to have an escrow account, which in effect means that the funds garnered from the pre-launch proceeds of a project is used only for the development of that particular project.

“The timely completion of Haridwar project with optimum standards will help us establish as a serious player in the sector. We are also banking upon our group’s credibility to showcase our prowess in real estate development,” Munjal explained.

The residential units in the integrated township at Haridwar would have apartments priced between Rs 18 and 20 lakh to Rs 70 lakh. The villas constructed in the project would be priced much higher.

The township will have hospitals, schools and shopping complexes, apart from residential apartments.

The company expects to start delivering the apartments within two years. “We would be targeting NRIs (non-resident Indians) and investors from north India who want to own a house at Haridwar, apart from local people,” said Munjal.

Source:hindustantimes

DLF to Build Rs 15 cr Flat in Delhi’s Posh Locality

Real estate major DLF is coming up with Rs 15 crore flats in the posh Greater Kailash area, courtesy Municipal Corporation of Delhi (MCD), alleges Congress. Leader of Opposition in the Municipal Corporation of Delhi Jai Kishen Sharma has alleged that the civic body has “illegally” allotted the land meant for park and community centre to the DLF. The Bharatiya Janata Party is in power at the Town Hall. Claiming that the civic agency is hand in glove with the ruling party, Sharma said: “In clear violation of the MCD rules, plots measuring 1.5 and 2.5 acres have been allotted for building apartment complex. The land was meant for civic facilities like parks and community centre. This was done to increase the ground coverage of the housing society and give undue benefits to DLF.”

The real estate major is building eight and nine storey apartment buildings in the E and W blocks of the Greater Kailash-II. The building plans were sanctioned in 2007. DLF has already started construction on the plots. Captain KS Singh, a MCD councilor from south Delhi, said: “When the plots were allotted the topography of the area was very different from what it is today. Now, the area is densely populated. So, there should be no construction here as civic infrastructure will crumble if these housing projects come up.”

However, MCD officials refute the charges, saying the resolution for allowing the construction was passed by the Standing Committee way back in 1989. Some residents had also moved the Supreme Court on the issue, but the court ruled in favour of the MCD. The layout plan was sanctioned around two years ago. “I have asked the Commissioner to look into the matter and submit a report within three days,” Standing Committee chairman R K Singhal said.

Source :indianrealtynews