Publication : magicbricks.com Date : May 16, 2014
Publication : magicbricks.com Date : May 16, 2014
Publication : magicbricks.com Date : May 16, 2014 Link : http://content.magicbricks.com/industry-news/industry-buzz/industry-reacts- on-election-results/68630.html Industry reacts on election results Friday, 16 May 2014 10:00 Anshuman Magazine, chairman & MD, CBRE South Asia Pvt. Ltd - The formation of a stable government not dependent on coalition partners will hopefully mean faster decision making and economic reforms. If GDP growth picks up, one of the early beneficiaries would be the real estate industry. However the economic fundamentals have to be tackled, infrastructure projects implemented with a sense of urgency and housing mortgage interest rates have to decline before we would see any significant impact on the real estate market.
Overall the election results will certainly improve sentiment in the real estate market.
C Shekar Reddy, president, CREDAI – National - The real estate industry expects that the new government will give the sector its due priority and support the sector. We look forward that the new government will give its due credit and award the infrastructure status to the real estate sector in India. We are confident that under the able leadership of the new government a positive approach will lead the sector towards rapid growth. Rohit Raj Modi, officiating president, CREDAI NCR - CREDAI NCR welcomes a strong and decisive mandate for a stable government. We hope that with such a resounding mandate the NDA government will be well disposed to take firm and decisive policy decisions for removing various bottlenecks dragging the economy in general and real estate sector in particular to propel the growth.
As BJP’s manifesto has promised housing for all, we look forward to work with the government in achieving that goal. CREDAI NCR commits its full support to the next government’s proposed ideas for making India a strong nation and a better society.
R Nagaraj, president, CREDAI, Karnataka – After the results investments across industries would start pouring in. This is especially true for Karnataka, because the Government of Karnataka has attracted potential investments not just in the IT sector but also in automobile and engineering sectors. These investments will create a lot of jobs, which will result in increased demand in the real estate industry. Besides, any new government at the Centre would definitely focus on development, which should also augur well for the real estate market.
Rajesh Krishnan, MD & CEO, Brick Eagle – We wish for the government to streamline the lengthy approval process.
The construction process requires 50-70 approvals and delays developments by 2 years on average, a luxury that most social housing developments (defined as less than 25 lakhs/unit) cannot afford without the extra cost factoring into prices. Our hope is that the new government will institute a single-window clearance, in which one bureaucrat is responsible for our case, and can grant approval on behalf of all concerned parties. Furthermore, we expect FDI regulations to be lessened in the affordable housing sector. Presently, the minimum possible investment is $5 million, capital to which many developers in this sector do not have access.
Pradeep Jain, chairman, Parsvnath Developers Ltd. - We congratulate the new government. We are optimistic about the reform and changes this government will bring in to boost the economy. For the real estate in particular, we firmly believe that the sector will be given industry status this time which will ease all fund inflow. Also, we hope the government will take corrective measures to boost FDI into sector. We wish all the best to the new government. Aman Agarwal, director, KV Developers Pvt. Ltd. - We are hopeful that this government shall bring in positive changes and work towards stability of the country’s economic condition.
For the real estate sector, I firmly believe that the new government will reboot the regulatory framework surrounding real estate and put a mechanism for the fast-tracking of developing project, which will definitely play a positive role to boost up confidence of realty Industry. Interests of the stake-holders will be safe guarded and I hope that the new government will initiate support to the real estate sector, not only for quality but also for speeding up of the infrastructure.”
Abhay Kumar, CMD, Griha Pravesh Buildteck Ltd - We welcome the new government and would like to extend our good wishes. We are now expectant that the real estate policies that were kept on hold will materialise and decisions will be fast tracked to ensure that the sector revives at a quick pace. We are also hopeful that the new government will be stable and decisive. Stability will bring confidence back in the markets. Clear and favourable economic mandates are what India Inc will now want to see. Also we wish that the government will now look into giving the real estate sector an infrastructure status.” David Walker, executive director, SARE Homes - With a new government that is stable and decisive, we believe that confidence will return rapidly to the real estate market.
The real estate and construction sectors are very important sources of employment and engines for grow. Housing is desperately needed to meet the aspirations of all Indians. We hope that the new government, in addition to providing confidence will back this up by granting the real estate sector infrastructure status and also move to implement single window clearance on approvals which currently significantly delays development.
P Sahel, vice chairman, Lotus Greens Developers Pvt. Ltd – First we would like to congratulate the new government. Indian real estate industry awaits a robust government, which will make the market viable for sellers and buyers. The industry has been advocating for a single window clearance system, transparency in government proceedings and reduced cost of borrowing from banks for many years. The consumer is expecting reduction in home loans and rationalisation in real estate pricing. It is expected that implementation of proposed GST framework; tax benefits for buyers & real estate developers will percolate downwards benefiting the end buyer of affordable and mid-income projects.
So considering all these factors, we hope the new government will surely rolls out policies favouring realty sector.
Navin M Raheja, chairman, Real Estate Committee, Assocham and chairman, Naredco – The country and especially the Real estate sector is passing through a critical phase due to multiplicity of impractical and throttling regulations imposed by different government agencies working in contrary and different directions. We had been earnestly awaiting a strong leadership to bring back the lost hope and confidence of Indian industry especially real estate industry to give a fillip to the economy.
M R Jaishankar, chairman and managing director, Brigade Group – BJP /NDA’s Majority in the Parliament will be a defining moment for the Country in general & Narendra Modi in Particular.
For citizens, hope has been rekindled for a bright future for the country. Now the ball is in Modi’s court to deliver results and surpass people expectation. Let us hope & pray that BJP will act decisively & with maturity, keeping India first in mind.” Ravi Saund, COO, CHD Developers Ltd – Fraternity we would like to congratulate the new government on their success. Indian real estate is undergoing a marginal growth over a prolong period, we expect a renaissance in policy implication, a transparent system for the real estate sector and industry status which would baited breath for developers across India.
what will matter most to the real estate sector are a hard relook at FDI in housing, REIT legislations and the effective implementation of Real Estate (Regulation and Development) Bill. The role of RBI in easing interest rates or allowing flexibility to reintroduce subvention schemes will also be equally important to decide whether sales and investments see an upswing.
Neeraj Gulati, managing director, Assotech Realty Pvt Ltd – We would like to congratulate the new government and wish them luck for their future endeavour. We expect the new government would roll out sound policy which would be investor friendly and help in clearing the back logs. The key to the success for real estate sector would be; measures taken by the government to curtail inflation and emphasize on roll out of robust policy to sustain, initiate growth and investment in infrastructure to bolster the growth of development process. Nikhil Jain, CEO – Ramprastha Group - Our heartiest congratulation to the new government.
As part of the real estate industry, we too expect that the market sentiments will improve post elections and bring the buyers to the markets who are silent at the moment. It is expected that the new government will provide the long waited infrastructure status to the real estate industry and take action towards amplifying FDI limit in real estate. Ajay Aggarwal, managing director, Microtek Infrastructures – As one of the oldest and home grown conglomerate, we welcome people’s mandate for a stable and strong government. Since, government formation is now just a formality, both industry and people have high expectations from them and positive flow of stock markets have acted like a good indications of things to come.
As things stand today, we expect the new government to bring back the economy on growth track and remove the bottlenecks hampering the realty market. we look forward to work with new government to make our country economic powerhouse.
Chitty Babu, chairman & CEO, Akshaya Pvt. Ltd. - We would want the upcoming government to bring new amendments and investments that would support making the real estate industry more transparent, organized and customer-friendly. We expect the government to encourage technological innovations and to provide allocations for R&D and endorse the industry as it is one of the major sectors contributing towards GDP. Also having a control on rising raw material cost will be welcomed. Gaurav Gupta, general secretary, Raj Nagar Extension Association & director SG Estates - With clear mandate and a stable government, we now expect a fresh wave in real estate industry with all prospective buyers in wait and watch mode coming forward and finalising their purchase decision.
To make it an interesting proposition for buyers, investors and developers, the new government may look into low cost funding availability and better infrastructure. Streamlining the approval process will result in quicker land acquisition and faster approvals. Implementation of proposed Goods & Service Tax framework; tax benefits for buyers/real estate developers to induce activity in Real Estate industry which is suffering from liquidity crisis and inventory overhang will also bring a wave of enhancement. It is expected that the government will take immediate action on delays on approvals of Height and Environment as well.
Srinivasan Gopalan, CFO and COO, The Wadhwa Group- The new government promises to be determined in bringing out dynamic changes that will benefit the Indian real estate sector making it investment-friendly and attractive. The industry currently requires much needed amendments in its regulatory framework of single window clearance, fast- track approvals on projects; make green housing projects more viable for developers as well as buyers. Apart from this, the enactment of the Real Estate Regulatory Bill should be approved to make the Indian real estate sector more attractive for foreign investors.
Rohit Poddar, managing director, Poddar Developers – It is a fantastic, decisive and historic mandate by the People of India who have voted for development, education and jobs instead of non-performance, policy paralysis and a multitude of unsustainable sops. I hope that the NDA will deliver more than the peoples high expectations given their thumping majority.