Sanjeev Jaiswal, vice president and Chief Executive Officer of MHADA, on Thursday said that by direct sell, auction and renting out these flats, MHADA can get money which can be utilised to fund other stuck and ongoing projects.
All divisional boards of MHADA including Mumbai have been now asked to prepare an action plan with regards to unsold inventories and plots, said Jaiswal in an official statement.
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The Maharashtra Housing and Area Development Authority (MHADA) will offer unsold lottery houses of last 10 years on rent, direct sale and auction. There are 11,184 tenements in various divisional boards of the authority which have not been sold. The authority is spending crores of rupees for the maintenance of these vacant tenements, on taxes, water and electricity bills, maintenance etc.
Sanjeev Jaiswal, vice president and Chief Executive Officer of MHADA, on Thursday said that by direct sell, auction and renting out these flats, MHADA can get money which can be utilised to fund other stuck and ongoing projects.
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All divisional boards of MHADA including Mumbai have been now asked to prepare an action plan with regards to unsold inventories and plots, said Jaiswal in an official statement.
Under the new decision now MHADA can sell unsold inventories to individuals, organisation, semi government and government employees who wish to buy at least 100 tenements. A MHADA official informed that these houses will be given at discounted price against the original price of the house by MHADA for easy sale.
Additionally, MHADA will also explore the option of renting or leasing out these unsold houses to corporate companies, banks, charitable institutions, hospitals, educational institutions, employees of contractors implementing large projects of the government, and unsold flats/slums can be distributed to the divisional boards on rent basis as per their demand. In this option, instructions have been given that tenements should not be given individually on rent basis. The period of renting tenements will be initially for three years, which can be extended for another three years. A comprehensive agreement has to be made while giving tenements on lease, as per MHADA.
And the other option is selling vacant tenements by auction method. After reviewing the vacant tenements valuation by the official valuer or government town planner, the flats can be sold by auction by inviting tenders in ‘as is condition’. It has been decided to adopt the same method for sale of plots.
Housing prices in India have grown annually at the rate of 9.3 per cent from 1991 to 2021, according to a study released by Centre for Social and Economic Progress (CSEP) in October.
The study titled ‘House Prices in India: How high and for how long?’ suggests that during the same period, real Gross Domestic Product (GDP) grew by 5.8 per cent annually – around four percentage points slower than property prices, implying that property prices far outgrew the incomes of the population.
While per capita incomes during this time grew by around five times, property prices increased by around 15 times, outgrowing income growth by a factor of three.
The study pointed out that housing in India was twice as expensive as it ought to be. “At a price-to-income ratio (PTI) of 11, housing in India is more than twice as expensive as its affordability benchmark of 5,” the study noted.
This figure, it stated, was far higher than developed nations like the USA, Australia and Germany but was comparable to developing nations like Bangladesh. In fact, India’s PTI was significantly lower compared to Sri Lanka (26.3 PTI) and China (29.1 PTI).
According to the study, while housing in India is more expensive than it should be, the rise in property pricing was not abnormal and was comparable to gold at 9.2 per cent and lower than the Sensex at 13.5 per cent over 30 years.
The study further pointed out that the real estate industry’s degree of transparency, including structural elements such as regulatory and legal architecture, was a major determinant in determining housing prices. Countries with transparent real estate industries had lower PTI as opposed to those countries with a more opaque real estate sector, the study pointed out.
It also noted that India was the “best improver” in the Asia Pacific (APAC) region over the past couple of years as a result of reforms like the digitisation of land records through the Digital India Land Record Modernization Programme, and the implementation of the Real Estate (Regulation and Development) Act.
The study further blamed the lack of credible and rigorous land use planning and implementation which limited land supply for boosting housing prices. It pointed out that just 28 per cent of Indian cities had approved master plans – this absence of planning makes financing difficult, which eventually makes it uncertain if the city will actually develop in the given timeline or not.
An opaque real estate sector further makes the entry of new real estate players difficult, giving rise to low competition. This, in turn, enables developers to boost prices owing to low supply.
The study pointed out that real estate in India had a significant number of firms making ‘supernormal profits’ (of more than 20 per cent) in the long run due to the demand-supply mismatch in housing.
Authors of the study, Shishir Gupta, Nandini Agnihotri and Annie George, recommend the implementation of policy reforms which focus on “releasing land supply in a transparent manner through credible and rigorous land use and implementation”.
According to them, this will encourage the entry of new real estate developers into the market and enable competition, resulting in a lowering of prices. In addition to lowering property prices, the following would also boost GDP growth and create non-farm employment.
The study used ‘anonymised transaction-level mortgage data’ from the Housing Development Finance Corporation Limited (HDFC), one of India’s largest housing finance companies. It used only those listed as flats or apartments because of the availability of price per sq ft measurements.
The Census of 2011 also points to the demand-supply mismatch in India’s housing market. According to 2011 figures, the number of vacant houses in India was 2.47 crores, or 90 per cent of the number of rented houses in the country. The Census data suggests that the proportionate increase in vacant houses between 2001 and 2011 was far greater than the increase in occupied houses.
Mumbai: “With the luxury home sector booming there is a growing demand from Bollywood A-Listers, wealthy industrialists and loaded celebrities for prime bespoke properties to invest their moolah in”, Consultant Sanjay Sippy of Sippy Housing who specialises in these deals told the FPJ. He had sold Film Director Subhash Ghai’s 4500 sq ft area Penthouse in Nav Sonarbala Annex Building to Manoj Jain, Owner of Shanti Jewellers. Incidentally Karishma Kapoor was the brand Ambassador for Shanti Jewellers.
According to a report released by leading real estate consultancy firm Knight Frank on Wednesday, Mumbai now ranks 4th globally after Manila, Dubai and Shanghai in the price rise of Luxury homes and residential properties.
“Because of a growing demand and sales gaining momentum, the prices of luxury homes are also on the upswing’’, Shishir Baijal, chairman and managing director of Knight Frank said.
Trend among A-listers
The trend among A-listers now is for huge sprawling luxurious homes with a beautiful sea-touching view complete with terrace and balcony, says Vijay Kandhari, Owner Kandhari Properties, a big ticket consultant who deals in prime real estate.
“The four most sought after addresses in Mumbai are Bandra Bandstand, Carter Road, Pali Hill and Mount Mary. And In Worli the demand is primarily for ‘Oberoi 360’ Towers where a lot of industrialists and now film star Shahid Kapoor have purchased homes. This property offers amenities like swimming pool, gardens, play areas, huge parking spaces, gyms and banquet halls which is not possible in Bandra-Juhu-Pali Hill zone because of paucity of space”, Kandhari pointed out.
According to Sippy, film stars want big ‘Bare Shell’ raw properties minus columns, beams and pillars because they want to design and customise their homes as per their taste and requirement. “Plus they want ‘high ceiling rooms’ complete with high tech security and privacy and ample car park space to house 8 to 10 cars!”.
Recently actress Jacqueline Fernandes had almost finalised a penthouse worth ₹25 crore in ‘Amazing Apts’, Madhu Park, Khar but eventually decided against it because it was not a ‘bare shell’ property that would have enabled her to design her home interiors as per her whims and fancies, Sippy who was cracking the deal told FPJ.
Desire for rented homes
Another trend visible now is of spacious rented homes. A lot of properties are going into redevelopment and film stars are getting comfortable with the idea of living in rented spaces.
“Also sometimes these celebs like a property very much and don’t mind renting it out for themselves. For instance, Actor Aamir Khan was living in a rented home for some years because he was very comfortable with that space,” Kandhari said.
Cricketer Virat Kohli and Anushka Sharma too have rented a 8000 sq ft sea-touching home in Raj Mahal Apartments on Juhu Tara Road and are paying a rent of nearly ₹10 lakh per month, a consultant on condition of anonymity revealed.
Actress Kriti Sanon who was recently in the news for a ‘so-called’ property purchase has actually rented out and not purchased the said apartment in Sandhu Palace.
“She has recently moved in and is paying a rent of ₹10 lakh monthly”, the consultant said. Incidentally actor Sunil Shetty has bought a home in the same building and his daughter Athiya and her cricketer husband KL Rahul are reportedly staying here. Also several big pharma company owners are showing interest in rented premises.
Demand for bungalows going down
On the other hand, the demand for bungalows has gone down primarily because there are not many plots and bungalows available in the market. “That trend is over now” Kandhari maintained.
Details of Bollywood actors and actress’ recent purchased properties
Bollywood Star Hritik Roshan recently purchased a ₹100+ crore sprawling 18,000 sq ft Penthouse in Vartaman Apartments on Juhu Versova Road. He had initially finalised a fully furnished 14,000 sq ft ’Mansion in the Air’ property worth ₹140 crore in Juhu Circle before opting for the penthouse.
A-Lister couple Ranveer Singh and Deepika Padukone purchased a ₹100+ crore sea touching penthouse complete with 3 to 4 floors in Sagar Resham Building on Bandra Band Stand recently.
Film Star Alia Bhatt bought a ₹35 crore property in the same building Vastu where she is currently residing. Her Husband Ranbir Kapoor’s Family Home- Krishna Raj Bungalow is under construction and the entire family including Neetu Singh will move in once it’s completed. The bungalow is being converted into a high rise building.
Model-actress Urvashi Rautela bought a ₹100 crore Bungalow in Juhu.
Producer Dinesh Vijan of Maddock Films too purchased a ₹100+ crore bespoke property in Rustomjee Parishram Apartments on Pali Hill. Actress Preity Zinta is reported to have invested in a property in the same building recently.
Actress Sonakshi Sinha moved in to her 4000 sq ft area sea view home in ’81 Aurette’ Apartment in Bandra Reclamation.
Mumbai: The state urban development department has planned to make it mandatory for all new commercial, educational, mercantile, assembly, public, semi-public, and institutional buildings to have a ‘Hirkani Kaksh’, a room for lactating mothers and mothers having children up to six years.
Hirkani Kaksh is named after ‘Hirkani’ a milkmaid from Raigad in the 17th century. The first of its kind was set up in the Maharashtra assembly, when NCP MLA Saroj Ahire, with her child, came to attend the winter session in Nagpur. Upon seeing her, there was a great demand to set up a Hirkani room in the assembly.
Saroj Ahire said, “Hirkani Kaksh is necessary. Apart from basic facilities, equipment which is necessary for the creche is needed and there must be provision for lady attendants too. I am happy that the government kept me as a role model and provided facilities in other places too.’’
The feeding room will be 269 sq feet and will not be counted in the FSI. The room shall be accessible from the staircase and passage. The state urban development department will have to make amendments to Rules 31 and 37 of the Development Control and Promotional Regulations 2034 DCPR, the notice said.
Women and child welfare minister Aditi Tatkare said, “This is a good step and we have also pushed it. It is compulsory to have a Hirkani room in every government organisation. In private offices, they try to avoid having it, but they can easily do it. They must plan from now and it is an essentiality.’’
While activist Flavia Agnes said that women having small children can work comfortably, the amendment proposed also says that the ownership of this room will be with the housing society or association of owners and the developers will have to provide all necessary infrastructure for the room.
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Sumitomo Corporation had won the bid for the two neighbouring plots in 2019 but the deal has been finalised now.
Goisu Realty Private Limited, a subsidiary of Sumitomo Realty and Development Company Limited of Japan, has leased two adjoining plots of almost 3 acres in total in Mumbai’s prime business district Bandra-Kurla Complex (BKC) from the Mumbai Metropolitan Region Development Authority (MMRDA) for 80 years for over Rs 2,067 crore. This deal along with other transactions entered into by Goisu Realty in Mumbai strengthens the financial capital’s position as the country’s hub for global financial/banking services and private equity firms, said real estate consultants.
“This is an affirmation of Sumitomo’s commitment to India and the financial capital Mumbai. Sumitomo has clearly identified Mumbai as one of the prime destinations within their global office portfolio. Given the prominence of BKC, India’s top financial district, the Japanese firm sees Mumbai as a strategic investment. Overall, there are four commercial investments that the Japanese conglomerate has made in Mumbai—three plots in BKC from MMRDA and one in Worli (in a deal with Wadia Group flagship Bombay Dyeing). The BKC deal cumulatively will be around 2 million sq ft of Grade A office development across two towers (once the structures are complete) and the Worli site has the potential of over 6 million sq ft of commercial footprint,” Karan Singh Sodi, senior managing director at property consulting firm JLL India, told Moneycontrol.
These deals further strengthen Mumbai’s position as the financial capital and with planned infrastructure upgrades, attracting talent from other cities will be easier. Moreover, this deal will encourage other Japanese firms to take up commercial space in these locations, he added.
An email has been sent to Sumitomo Realty & Development.
The company paid Rs 111 crore as stamp duty for registering the deal that was sealed on September 3, documents accessed by CRE Matrix showed.
Sumitomo Corporation had won the bid for the two neighbouring plots in 2019 but the deal has been finalised now. It will be permitted to construct an area of 65,000 square metres on the 12,486-sq m plot (a little over 3 acres) at BKC.
Bombay Dyeing had on September 13 announced that its board of directors had approved a proposal to sell a land parcel of about 22 acres (along with the associated floor space Index, or FSI, which is the proportion of the land area to the permissible area of the building on it) in the Worli area of Mumbai to Goisu in two phases, for a total consideration of about Rs 5,200 crore.
In a statement, Bombay Dyeing had said the transaction is subject to the approval of its shareholders. “Upon approval of shareholders, BDMC (Bombay Dyeing and Manufacturing Company) will receive about Rs 4,675 crore from the buyer for Phase-I. The balance amount of about Rs 525 crore will be received upon completion of certain conditions by BDMC and execution & consummation of the definitive agreements thereto for Phase- II,” the company said in a statement.
“I am happy to inform that BDMC is entering into agreements with the Sumitomo Group for the sale of about 22 acres of land (along with the associated FSI) in Worli, Mumbai, for a total consideration of about Rs 5,200 crore,” Nusli Wadia, chairman of BDMC had said.
Last year, a report published in Nikkei had said that Japan’s Sumitomo Realty & Development will invest 500 billion yen ($3.58 billion) in office building projects in India, expanding in what is projected to become the world’s most populous nation mere months from now.
The real estate arm of Sumitomo Corporation, which had earlier acquired another BKC site, plans to construct two buildings with a total floor area of about 130,000 sq m each on the two sites. Completion is expected between fiscal 2025 and 2027, the report had said.
Sumitomo Corporation was established in 1919 and is spread across Asia, Europe, America and Africa. It deals in infrastructure, realty, media, metal products, transportation and construction systems, minerals, energy and chemicals.
A report by JLL India has said that real estate developers had acquired a record 2,181 acres of land between January 2022 and May 2023. This has an estimated development potential of around 209 million square feet. Valued at over Rs 26,000 crore, the acquisition comprised 104 separate land deals. About 84 percent of the 2,181 acres or around 1,822 acres was for proposed residential developments.
It emphasized the importance of homebuyers seeking assistance only from registered agents to prevent fraud or misleading information during property transactions post November 1 this year.
The certification of agents aims to enhance transparency in property transactions by ensuring that agents are well-versed in RERA rules and regulations and provide truthful information about various aspects of the property, including carpet area, project details, Occupancy Certificate, agreement for sale, allotment letter, and defect liability period.
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The Maharashtra Real Estate Regulatory Authority (MahaRERA) has made it compulsory for real estate agents to obtain certification, which is essential for providing accurate information and ensuring transparency in property transactions.
Previously, new agents and those who want to renew their registration were expected to get themselves certified in May and September respectively. Now the MahaRERA has given them the deadline up to November 1 of this year.
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It emphasized the importance of homebuyers seeking assistance only from registered agents to prevent fraud or misleading information during property transactions post November 1 this year.
The real estate agents starting from January this year are required to obtain certification from RERA to become registered agents. They have to first take a 20-hour training programme. The next step is to go for an online examination. Various institutions have been identified for the training programme, said the MahaRERA official.
In fact, two exams were already conducted and the first result was 96% and second was 92%. Third exam will be held soon. Moreover, the online examination process will remain continuous as those who wish to make their career in the real estate sector will have an opportunity, added the official.
This certification ensures that agents are knowledgeable about RERA rules and regulations and can provide accurate and truthful information to buyers.
Apart from new agents, those who were already registered with MahaRERA without certification, as well as staff members working with property developers engaged in the same role as agents, have until January 1, 2024, to provide their certificates of trained professionals.
Meanwhile, the MahaRERA has directed all property developers not to involve agents who are not certified.
The certification of agents aims to enhance transparency in property transactions by ensuring that agents are well-versed in RERA rules and regulations and provide truthful information about various aspects of the property, including carpet area, project details, Occupancy Certificate, agreement for sale, allotment letter, and defect liability period.
New Delhi, India – Business Wire India • Bangalore, New Delhi and Mumbai collectively account for 53% of the total entries submitted so far • Over 42% entries submitted in Fintech category, ESG & Made for India garnered 20% share each CBRE South Asia Pvt. Ltd., the leading real estate consulting firm in India, announced the deadline extension for the second edition of India’s biggest proptech challenge, ‘DISRUPTECH 2.0’, organized in partnership with NASSCOM. Given the overwhelming response to DISRUPTECH 2.0, the deadline for submission has been extended to 18th September 2023. DISRUPTECH 2.0 is witnessing an outstanding response, with participation from nearly 400 proptech startups so far. Startups from over 45 cities in India have submitted nominations so far, with Bangalore, New Delhi, and Mumbai collectively accounting for 53% of the total entries.
These diverse submissions encompass a wide spectrum of innovative solutions spanning various industries, truly reflecting the essence of disruptive innovation. Over 42% entries have been submitted so far are in the Fintech category, followed by ESG and Made for India, garnering a 20% share each. Construction tech had nearly 18% of the share in overall submissions. The majority of the fintech startups participation cumulatively have been from Maharashtra & Bangalore, with a 40% share in this category.
The entries for the challenge are divided into categories focused on ESG, Fintech, construction technology and indigenous tech for the local market. This challenge represents a significant opportunity for startups and innovators as they compete for the chance to revolutionize and drive innovation within their respective industries. Winners under these categories will be selected at the end of this initiative and will be recognized and mentored by CBRE experts.
The distinguished panel of jurors has been expanded to include renowned industry veterans and experts from across domains. • Rajesh Mani, SVP, Head of Asia Pacific Tech Hubs, Mastercard • Rajneesh Malviya, Senior Vice President, Global Head of Delivery – Financial Services and Head Infosys Pune Development Centre • Sandeep Dave, Chief Digital & Tech Officer, CBRE • Apratim Mitra, VP, Head Of D&T India, CBRE • Anshuman Magazine, Chairman & CEO, India, Southeast Asia, Middle East & Africa, CBRE • Neelkant Rawal, Head of Strategy, Digital and Innovation, India & Philippines, Wells Fargo • Ramkumar Narayanan, VP Technology & Managing Director, VMware • Anu Acharya, Founder and CEO, Mapmygenome • Kayzad Hiramanek, Chief Operating Officer, Edelweiss Tokio Life Insurance Co. Ltd.
• Umesh Uttamchandani, Co-Founder & Chief Growth Officer, Dev Accelerator Private Limited • Ram Chandani, Managing Director, Advisory & Transaction, CBRE India • Rajesh Pandit, Managing Director, GWS, India & Property Management, Southeast Asia, Middle East, North Africa, CBRE • Gurjot Bhatia, Managing Director, Project Management, India, Southeast Asia, Middle East & Africa, CBRE To culminate the challenge and announce winners, the grand finale will be held in October 2023 in Mumbai. DISRUPTECH 2.0 winners are in for a comprehensive array of rewards and recognition, including access to real estate angel funding, participation in the CBRE Global Start-up program, opportunities for proof of concept (POC) collaborations with CBRE clients, access to the NASSCOM start-up Ecosystem, mentorship with experienced investors, and valuable marketing support from CBRE Advisory.
Speaking on the occasion, Anshuman Magazine, Chairman and CEO, India, South East Asia, Middle East and Africa, CBRE, said, “India is emerging as a hub for proptech startups, and we are thrilled to witness extensive participation from 42 cities across the country, including unexpected cities such as Madurai, Kozhikode and Malappuram, among others. Our partnership with Nasscom for the second edition of DISRUPTECH 2.0, India’s largest proptech challenge, is aimed at enabling startups to revolutionize the industry with their innovative solutions. CBRE is proud to be a part of this transformative journey while they unleash their innate potential by offering our support, resources, and mentorship to these trailblazers, ultimately contributing to the evolution across industries. The remarkable interest in this challenge can be attributed to the pressing need for disruptive solutions in critical sectors like Fintech, ESG and Construction Technology. Startups recognize the value of the platform we’ve created, which not only offers recognition but also tangible support, access to funding, and mentorship opportunities.” The last edition of DISRUPTECH 2019 saw three winner who have scaled to new heights. The 2019 winners were, PropVR, QuickSpec and WEGoT. This prestigious event was graced by esteemed jurors, representatives from academia, influential figures from various industries, and members of the CBRE team.
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE: CBRE), a Fortune 500 and S&P 500 company headquartered in Dallas, is the world’s largest commercial real estate services and investment firm (based on 2022 revenue). The company has approximately 115,000 employees (excluding Turner & Townsend employees) serving clients in more than 100 countries. CBRE serves a diverse range of clients with an integrated suite of services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services.
CBRE was the first International Property Consultancy to set up an office in India in 1994. Since then, the operations have grown to include more than 10,000 professionals across 15 offices with a presence in over 80 cities in India. As a leading international property consultancy, CBRE provides clients with a wide range of real estate solutions, including Strategic Consulting, Valuations/Appraisals, Capital Markets, Agency Services, and Project Management. The guiding principle at CBRE is to provide strategic solutions that make real estate holdings more productive and economically efficient for its clients across all service lines. Please visit our website at https://www.cbre.co.in/ About NASSCOM Nasscom is the premier trade body and chamber of commerce of the Tech industry in India and comprises over 3000-member companies. Our membership spans across the entire spectrum of the industry from startups to multinationals and from products to services, Global Capability Centers to Engineering firms. Guided by India’s vision to become a leading digital economy globally, nasscom focuses on accelerating the pace of transformation of the industry to emerge as the preferred enabler for global digital transformation. Our strategic imperatives are to reskill and upskill India’s IT workforce to ensure that talent is future-ready in terms of new-age skills, strengthen the innovation quotient across industry verticals, create new market opportunities – both international and domestic, drive policy advocacy to advance innovation and ease of doing business, and build the industry narrative with focus on Talent, Trust, and Innovation. And, in everything we do, we will continue to champion the need for diversity and equal opportunity. For more information, please visit https://nasscom.in/ Follow us on social media: CBRE Corporate: LinkedIn Twitter Anshuman Magazine: LinkedIn Twitter
(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)
The Board also gives in-principle nod to develop unutilised land parcels with potential to create about 3.5 msq of residential and commercial property and generate revenue of about Rs 15,000 crore in the next few years
The Bombay Dyeing and Manufacturing Company Limited (BDMC), on September 13, announced that its board of directors has approved a proposal to sell a land parcel of about 22 acres (along with the associated Floor Space Index, or FSI) in the Worli area of Mumbai to Goisu Realty Private Limited, a subsidiary of Sumitomo Realty & Development Company Limited of Japan, in two phases, for a total consideration of about Rs 5,200 crore.
In a statement, Bombay Dyeing said the transaction is subject to the approval of its shareholders.
“Upon approval of shareholders, BDMC will receive about Rs 4,675 crore from the buyer for Phase-I. The balance amount of about Rs 525 crore will be received upon completion of certain conditions by BDMC and execution & consummation of the definitive agreements thereto for Phase- II,” the company said in a statement.
“I am happy to inform that BDMC is entering into agreements with Sumitomo Group for sale of about 22 acres of land (along with the associated FSI) in Worli, Mumbai, for a total consideration of about Rs 5,200 crore,” said Nusli Wadia, Chairman of BDMC.
“On completion of the proposed transaction, the company will be able to record a pre-tax profit in excess of Rs 4,300 crore on account of this transaction, report a strong positive net worth, extinguish all its borrowings, thereby saving on interest costs, and release the charge on encumbered assets,” Wadia added.
The company said in the statement that the Board of Directors of BDMC had charted out a strategy in March 2022 to change the company’s trajectory by focusing on the realty business for future growth and profitability, accelerating the sale of flats in Island City Centre (ICC), Dadar, monetising land banks, etc.
The statement further said that the board has also given in-principle approval for the development of unutilised land parcels available with the company having the potential to create about 3.5 million square feet (msq) of residential and commercial property and generate a revenue of about Rs 15,000 crore over the next few years.
Less than 10 percent of real estate agents in Maharashtra have appeared for the MahaRERA competency exams at the expiry of the deadline. Homebuyers must look for agents who comply with the rules of MahaRERA.
The Maharashtra Real Estate Regulatory Authority (MahaRERA) became the first real estate regulatory authority in the country to mandate an online examination for over 44,000 registered real estate agents in the state to obtain a MahaRERA Real Estate Agent Certificate of Competency before September 1, 2023.
However, less than 10 percent or around 3,400 of the real estate agents in Maharashtra have given this examination so far and cleared. Owing to this, the MahaRERA is working towards extending the deadline.
The competency exam clearance by MahaRERA means that the particular real estate agent is certified real estate agent where they are asked several questions in the written examination about consumer rights, RERA Act, and other knowledge of the real estate sector.
Meanwhile, homebuyers looking to invest in real estate in the festive season that will begin with Ganesh Chaturthi, should keep in mind the following things while choosing a real estate agent.
1) Check MahaRERA registration:
The MahaRERA has made it mandatory for all real estate agents to register with the regulatory authority since May 2017. The MahaRERA has also mandated that real estate agents must display their RERA registration number and QR code on all promotional activities being carried out by them.
2) Check if the agent has appeared for competency examination:
The MahaRERA had in January 2023, mandated that all registered real estate agents should appear for a competency examination by September 01, 2023. As mentioned earlier, only around 10 percent of the agents have appeared for and cleared the same.
Hence, homebuyers should check if the real estate agent they are dealing with has cleared the competency examination or not.
The MahaRERA will issue a certificate to every real estate agent that clears the exam, and homebuyers can ask the agents to furnish this certificate.
3) Check if agent has progress reports on projects
The MahaRERA in February 2023, directed real estate agents to make half-yearly progress reports public from financial years 2023-24. In the progress report, MahaRERA had mandated that real estate agents will have to furnish information on developer projects they are representing, and other details, including transactions made in a particular real estate project, excluding the individual financial gains.
The real estate agents were asked to upload all these details on their respective web pages. Hence, homebuyers should check if the real estate agents they are dealing with are complying with the above regulations of MahaRERA.
4) Check if the developer has uploaded details of the registered real estate agent
Homebuyers should keep in mind that all real estate develoopers are mandated to deal only with real estate agents that are registered and compliant with MahaRERA regulations.
The developers are also expected to upload details of real estate agents they intend to deal with in particular projects on the MahaRERA web-page. Hence, homebuyers can find the names and details of real estate agents that are MahaRERA compliant, on these web-pages.
Homebuyers should cross verify all the details given by real estate agents about a particular project with the MahaRERA web-page and the developers before investing in a particular project. Several details such as the carpet area, project completion date, amenities, litigation if any, permission status should be available on the MahaRERA portal along with details of the developer.
Mehul R Thakkar is Special Correspondent, Moneycontrol, India’s leading financial news platform, based in Mumbai where he is focussed on covering the real estate sector.
Motilal Oswal Financial Services (MOFSL) has acquired an entire standalone commercial tower with 12 upper floors spread over nearly 1,10,000 sq ft in the financial hub of Ahmedabad from Claris Life Sciences to support its growth and expansion plan.
The property spread over 0.56 acres will house Motilal Oswal Tower, which is the company’s third such property after its independent commercial towers in Mumbai and Bengaluru.
The company has acquired the brownfield project on Ahmedabad’s Sindhu Bhavan Road in bare shell condition. The financial services major will now take the construction ahead and expects to complete the project latest by September 2024.
“We have our offices spread over various locations in Gujarat,” Motilal Oswal, group MD & CEO, Motilal Oswal Financial Services, told ET. “With Motilal Oswal Tower 3, we will have a large corporate office in the developing financial hub, Ahmedabad. This tower will host all our businesses under one roof and help business synergies…We are committed to invest in the brains, brand and buildings.”
According to him, the group has an aggressive expansion plan for the region and the new office will work coherently with other offices spread across cities in Gujarat to serve its customers.
MOFSL had acquired two of its existing towers also as brownfield projects including the Mumbai head office tower in 2011 and the Bengaluru tower earlier in 2023.
Currently, the Mumbai office tower accommodates over 2,300 employees across the company’s various verticals and 400 employees operate out of the Bengaluru office. The new Ahmedabad tower will accommodate 650 employees.
The new tower with a total 12 floors and two basements will consolidate various key offices of the company that are currently in different locations of Ahmedabad and will also provide space for expansion.
Published On Sep 11, 2023 at 09:03 AM IST
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