Page 22 - BANKING FINANCE JANUARY 2016 ONLINE
P. 22
HOUSING
Realty firm Vipul raises Rs 150 crore from DMI Finance Housing prices down 15-
Realty firm Vipul Ltd has raised Rs 150 "We have launched this project 20%, no scope for further
crore from DMI Finance Ltd to develop 'Aarohan' at a competitive price of Rs
a luxury housing project in Gurgaon. 15,500 per sq ft, with an inaugural dis- cut: CREDAI
The company plans to develop 382 count of Rs 1,000 per sq ft," she said.
units in the project, which is spread The starting price of the apartments is Housing prices have fallen by an av-
over 20 acres on the Golf Course Road Rs 3 crore plus. erage 15-20 per cent across the
in Gurgaon. country in the last 18 months and
The real estate sector has been facing there is no scope for further reduc-
"We have raised Rs 150 crore from a demand slowdown for the last 2-3 tion, realtors' apex body CREDAI
DMI Finance so far for this project. years due to higher property prices as said.
The NBFC (non-banking financial com- well as interest cost, resulting in huge
pany) has sanctioned a total of Rs 450 delays in completion of projects and Housing sales have improved by 15
crore," Vipul Ltd CEO Guninder Singh piling up of unsold inventories. per cent during
said. the festive season
Vipul has delivered about 10 million sq helped by fall in
The remaining Rs 300 crore would be ft so far. The company's shares ended price and lower
when the company would start con- at Rs 58.55 apiece, down by 0.59 per interest rate on
struction activities in March after get- cent on Friday on BSE. Its market cap home loans, still
ting environment clearances. stood at Rs 702.51 crore. about 25-30 per
Hyderabad most affordable metro for homes cent of the total units launched are
unsold, CREDAI President Getamber
Hyderabad remains the most afford- highest score for prospective buyers Anand said.
able metro for home buyers, followed earning Rs 8 lakh a year. Property
by Ahmedabad and Kolkata. prices have fallen 10.5% in the past In order to boost the growth of the
four years, while rents are up margin- sluggish real estate sector, the asso-
The 2016 edition of the 'Buy Vs Rent ally by 1%. ciation sought that the central and
Report' of financial advisory firm state governments rationalise tax
ArthaYantra shows that In Ahmedabad, ranking structure on the property sector and
buying a house will be second, property prices adopt single-window approval for
better option than rent- have dropped 20% in the projects.
ing in the Telangana capi- past four years and rents
tal. by 4%. This makes buying "We are seeing improvement in the
a compelling option in demand. Prices have come down by
The study factors in rent- the city. 15-20 per cent in last one and half
als and real estate prices across eight years and there is no further scope
major cities and then examines how For Mumbai, high prices and high rent- for reduction," Anand said, adding
affordable a 1,000 sq ft house is for als have led to the lowest score across that sales in this year's festival sea-
different income levels. all income groups. This shows that son increased by 15 per cent.
though rentals are high, the astro-
It also assumes that the buyer will bor- nomical property prices rule out the CREDAI has tied up with rating
row 80% of the price of the property buying option. The Delhi-NCR region is agency CRISIL for providing regular
Hyderabad tops the chart with the also equally unaffordable. data on real estate sector including
new launches, sales and unsold in-
ventories.
Listing out industry's demand on tax-
structure, CREDAI said the contrac-
tors should be held responsible for
non-payments of PF/ESI to labourers
instead of developers as the princi-
pal employers.
22 | 2016 | JANUARY | BANKING FINANCE
Copyright@ The Insurance Times. 09883398055 / 09883380339
