Real estate prices in India requires to drop by 30% to spur demand, said Goldman Sachs in a report. However, the report further maintained that the sharp decline in the prices will have a negative impact on the economy.

Goldman Sachs said: "Our India Real Estate Team believes that prices need to fall by up to 30% in some geography for affordability to catch up." The report pointed out that prices in areas like suburbs of Mumbai and Bangalore need to decline by up to 30% to boost demand. "Although prices over the past three years have gone up in line with other economies globally, they have not corrected substantially, unlike its global peers," the report said.

It further said due to ongoing economic crisis, demand for property would also fall. "Demand for real estate is largely driven by income growth, demographics, interest rates, and inflation, but also people's expectations of future prices. As the economy continues to slow down due to the knock-on effect of the global financial crisis, income growth will suffer, thereby reducing demand for housing," it said.

Demand for commercial real estate would also be adversely affected due to the slowdown in the IT and Business Process Outsourcing sectors. "From the demand side, a property downturn, we think, will have negative effects on consumption and investment," it said.

It maintained realty downturn in India would not be protracted due to favourable mitigating factors. "Mitigating factors, such as India's favourable demographics, low mortgage penetration, falling interest rates and ongoing infrastructure demand will keep the property downturn from being protracted," it said, adding that a sharp downturn, however, was imminent. "Although the sector directly accounts for 7.3% of GDP, its backward linkages in terms of the sector's usage of iron, steel, cement etc, and forward linkages to other sectors, have an impact of 14% on GDP.

Courtesy:- TOI dtd:- 25th Nov. 2008

Ansal API's 2,500-acre township Megapolis in Dadri,Greater Noida, might see another round of stake dilution in the very first month of the project's launch. According to sources, State General Reserve Fund (SGRF) of Oman is planning to pick a 24.5% stake in the upcoming township, which pages the total value of the project at Rs 26,500 crore. The totle investment in the project was reported at Rs 13,000 crore of which 8.5% was picked up by HDFC AMC for Rs 1,105 crore recently. Another 15% is reportedly being eyed by PE firm Warburg Pincus, and Citigroup.

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    & nbsp;   &n bsp;   &nb sp;   Cour tesy: ET Realty Nov 21,08

Gurgaon real estate, Gurgaon is a good and best area in Real estate. All types of projects are available in Gurgaon. Residential and commercial office space is also available in Gurgaon. Lots of commercial complex are also available in gurgaon. Lots of 2 bhk flats in gurgaon, ¾ bhk flats are also available in Gurgaon. Gurgaon is a big hub in real estate market. Lots of builder’s projects are also available in gurgaon. DLF, UNITECH, Parsvnathnath developers lots of projects in gurgaon. Residential space are available in gurgaon, commercial space are also available in gurgaon.

Morgan Stanley has appointed Naresh Naik as an executive director and head of asset management for its Indian real estate unit.

Naik, an architect who was earlier head of asset management for Lehman Brothers in India, starts in his new role later this month and will be based in Mumbai, Morgan Stanley said in a statement issued late on Monday.

Morgan Stanley, which also has investment banking, wealth management and mutual fund operations in India, has invested more than $750 million in Indian real estate, a sector which is cooling due to higher interest rates and tighter funding.

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    & nbsp;   &n bsp;   &nb sp;   &nbs p;     ;         & nbsp;   &n bsp;   &nb sp;   &nbs p;     ;         & nbsp;   &n bsp; Courtesy: 18-11- 2008 Indian Realty News

The Sun Group, a private firm that raises funds and Qatar’s Barwa Real Estate has established a 50-50 joint venture company targeting Indian real estate.

The Sun-Barwa Land Partnership will buy and develop land banks in high growth corridors in India, it said.

The parties said they had sought approval from India’s Foreign Investment Board in order to “aggregate, acquire, hold and develop” Indian land banks.

Sun is an Indian private equity firm principally owned by the Khemka family, who has been active in emerging markets including Russia.

“Barwa brings significant expertise in infrastructure and real estate development and an established network of investment capital from Qatar,” said Nand Khemka, chairman of Sun, in a statement.

The collaboration with listed Qatari real estate company Barwa comes two years after Sun raised $630 million (€497 million) for the Sun-Apollo India Real Estate Fund to invest in the country. That fund was raised in a joint venture with Apollo Real Estate Advisors.

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The land-slide victory of Democratic Barack Hussein Obama over Republican McCain in the US presidential elections has created enthralling waves not in America but throughout the world. Mr.Barack Obama will assume the office of President of the most powerful democracy in the world under turmoiling environment when the US economy is braving great recession owing to their sub-prime lending which has cuased failure of more than a dozen banks there. The Lehman Brothers bankcruptcy has compelled the US govt. to inject $700 billions to save their crumbling economy. In spite of such a whopping package they have not come out of the recession. This has created a teasing slow down in their economy resulting in retrenchment in many sectors including real estate sector. The sub-prime lending has landed the American economy in such a dilapidated condition.

Opening the Indian economy to globalization liberally has also affected us adversely in the recent times. Indian govt. has allowed the FIIs to invest in our country without much control over them. To garner foreign currency in US Dollars, we have given so many facilities to the FIIs in form of freedom in P-Notes, etc. Now being in financial problems back in their country in the USA, the FIIs have started de-investing in our markets and have started withdrawing the money from our markets. This has given jerks to our economy. For the time being the key authorities at the helm of affairs of our economy have controlled the ill-effects of the recession of US economy. If we succeed in keeping our economy impuned from ill-effects of the global recession it will be a great achievement of our govt. The difficult phase has not yet over. The govt. authorities are to be more vigilant. Let us hope that we will succeed in our venture.

The government is taking the various steps to augment the economy. They have decreased the CRR Ratio, SLR Ratio and Repo Rate. This has increased the liquidity in the financial markets to fight the imminent recession in the market. To lure the FIIs the government has now extended more liberal attitude for P-Notes, etc.

Though Mr Barack Obama has pronounced in his election speeches that outsourcing will be reviewed considering the employment environment in his country in US. There is a fear that if Obama restricts outsourcing it will affect our IT sector adversely. Because our IT Wizards have started diverting their activities in other parts of Europe, it is hoped that we will come over the problems, if any, of outsourcing.  We hope tenets of globalization will prevail upon Mr. Obama and he will continue with the outsourcing though with some checks not blocking  others’ economies.

The slow down in our real estate sector is not because of ill-effects of sub-prime lending of the US but because of excess trading / constuction activities of leading builders and developers in our country. The govt. has imposed some checks over these builders and developers which we hope will give results in due course. The builders and developers have started approaching the govt. authorities to start extending them the loan facilities and also to allow them to raise funds through external borrowings. The release of funds to the builders and developers with government controls over the utilization of these funds will help to improve the slackness in the real estate sector.

Our website viz www.zameen-zaidad.com  is of the opinion that to overcome the imminent recession and job losses, our government should initiate the following immediate steps:-        & nbsp; 

·    & nbsp;   &n bsp;   &nb sp;   &nbs p;   To mobilize deposits in the form of Infrastructure Bonds through public sector banks with interest accruals free from tax to attract more and more investors. The Infrastructure Bonds should have maturity for five years and be extendable for another period of five years.

·    & nbsp;   &n bsp;   &nb sp;   &nbs p;   To invest the so-mobilsed funds in giving loans to big business and industrial houses for road construction, electricity generation, railway, airport & metro-networks in such a way that more and more new jobs are created to fight the job losses, if happened on a/c of imminent  economic crisis.

·    & nbsp;   &n bsp;   &nb sp;   &nbs p;   Every effort needs to be made by business & industrial houses to cut costs and raise productivity. Retrenchment of existing staff should not be done with a view to boost profits. Employees on the rolls must be retained.

·    & nbsp;   &n bsp;   &nb sp;   &nbs p;   Our country has one billion consumers. Consumption-led stimulus is the need of the hour.

·    & nbsp;   &n bsp;   &nb sp;   &nbs p;   Excise duty be reduced and income tax be reduced to stimulate demand in the market.  

·    & nbsp;   &n bsp;   &nb sp;   &nbs p;   The FIIs should not be given free hand to off-load their investments in our markets to create panic among other investors.

The above measures will definitely create new jobs, increase liquidity in the market, make use the idle funds lying with the public and earn income in utilizing the funds by extending loans for infrastructural activities. In this way the govt. will be in a good position to control the recession and job-losses to a great extent.      & nbsp;   &n bsp;   &nb sp;   &nbs p;     ;         & nbsp;   &n bsp;   &nb sp;   &nbs p;     ;         & nbsp;   &n bsp;   &nb sp;   &nbs p;     ;         & nbsp;   

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Wherever a specific approval of the RBI is not required, the sale proceeds of the property as well as the rental income may be remitted outside India through normal banking channels, after obtaining an appropriate certificate from a chartered accountant, certifying that applicable taxes have been paid or provided for.

DLF vice chairman Rajiv Singh says the company would try and fill the gap in its portfolio by acquiring suitable assets which come up for distress sale in a depressed real estate market. "We will be prepared to look at opportunities but won't pick up something just because it's cheap. However, there are some gaps in our portfolio, which we would like to fill. If there are some significant assets which are hard to replace in a market like NCR or Mumbai, we will certainly look at it, "said Mr. Singh. He said a challenging external environment had forced his company not to move "at a pace we would have like to" and asked the government to bring down interest rate for home buyer as well as developers.

International hotel chains hotel chains have tied up with real estate developers like DLF, Emaar MGF, Unitech and Parsvanath to set up five-star hotels. However, fund-starved developers, who are trying to raise money for their core activities like residential and commercial property projects, are understood to have put the hotel ventures on the back burner. A drop in occupancy and room rates, inflow of business travellers and tourists to India have also raised concerns on the viability of these projects, industry sources say.

“Out of a total of 1.14 lakh proposed room supply, only 58% or about 66,000 rooms, will actually be developed over the next few years. So, we feel many announced projects may not take off as planned,” said Manav Thadani, MD, HVS International, a hospitality consulting firm.

“Now, debt raising is a difficult process,” says Homi Aibara of Aibara Consultants. Lemon Tree Hotels CMD Petu Keswani said: “Only developer-led hotel projects will face a problem as their priorities are different.” However, when contacted by ET, real estate developers insisted that projects were on track.

According to the latest HVS report, cities like Bangalore, Chennai, Delhi-NCR, Hyderabad, Mumbai and Pune, where massive new room capacities are planned with real estate operators, are seeing trouble. In Bangalore not more than 60% of the new capacity is likely to come up. The same goes with Chennai, Delhi, Hyderabad, Mumbai and Pune.

However, cities like Agra, Hyderabad, Jaipur and Mumbai saw a negative growth in room supply in 2007-08 as compared to 2006-07.

The last few months have seen a demand-supply mismatch in tier II cities like Bangalore, Pune, Hyderabad and Chennai. Room rates too have fallen steeply in these markets, making it unviable for real estate developers to go ahead with the planned hotel projects. This is happening at a time when there is a severe shortage of branded hotel rooms.

Unitech MD Sanjay Chandra said: “We have management tie-up with the Marriott Group for three projects, and one of them will be commissioned in January. Other two projects are very much on.” Recent media reports had suggested that DLF’s hotel JV with Hilton had hit a rough patch. However, DLF clarified to the stock exchanges that “DLF’s JV with Hilton is on a firm footing and all plans for the development of hotels stand as originally envisaged”. However, industry sources said DLF has put the hotel project on the back burner for at least a year.

An Emaar-MGF spokesperson said there were no change in the hotel plans of the real estate firm and its tie-up with Accor. Says Uttam Dave, president and CEO, Interglobe Hotels and head of development, Accor Hotels India (Accor has tied up with Emaar MGF to launch Formule 1, a budget hotel): “Most of our projects are on track, and so far at least none of our projects have been either cancelled or put on hold, and this includes both managed and investment projects. There have been some delays in the actual development and commissioning of projects, and this has been on account of obtaining development approvals from municipal authorities and not due to real estate values.”

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Courtesy: November 12, 2008 Indian Realty News

DLF has put on hold construction of one of the most high-profile mall projects, ‘Mall of India’, at Gurgaon, as retail rentals fall and cash becomes precious. The proposed venture scheduled to be launched by 2010-end. A DLF executive admitted the project may get pushed to the middle of 2011.

A DLF spokesperson said: “There is no truth in the statement that ‘Mall of India’ has been put off. Construction has not been stalled. Its planning and development is under full swing.” A visit to the site, however, gives a different picture. Till a few months ago, several workers could be seen at the project site and excavation work was in progress. Now, there is hardly any activity on the site, clearly indicating that company has slowed down the pace of the project.

While announcing the September quarter result recently, DLF V-C Rajiv Singh had said the company will “in the short term reduce capital intensity of the business model”. He had said the company will shift focus from capital-intensive projects such as malls to mid-income homes and offices, where revenue realisation is faster.

“There are several projects where developers have not begun construction, or have stopped construction after having done excavation work. In some cases, the proposed malls are being converted into office space, partly or completely,” says Cushman & Wakefield director (retail) Rajneesh Mahajan.

According to Cushman & Wakefield, retail rentals fell by up to 20% in several markets in July-September quarter, compared to the previous quarter. Gurgaon, which has many functional malls, saw rentals dip by 9% in three months. Karol Bagh, South Extension and GK in Delhi saw a decline of 5-18%. The rentals slid 20% in Mumbai’s Linking Road and Kemps Corner while it fell by over 10% in Ghatkopar and Vashi.

The rentals declined by 13-18% in almost all major locations in Bangalore. Mr Mahajan says retail rentals may fall further in the coming quarters.

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    & nbsp;   &n bsp;   Cou rtesy: November 12, 2008 Indian Realty News

International hotel chains hotel chains have tied up with real estate developers like DLF, Emaar MGF, Unitech and Parsvanath to set up five-star hotels. However, fund-starved developers, who are trying to raise money for their core activities like residential and commercial property projects, are understood to have put the hotel ventures on the back burner. A drop in occupancy and room rates, inflow of business travellers and tourists to India have also raised concerns on the viability of these projects, industry sources say.

“Out of a total of 1.14 lakh proposed room supply, only 58% or about 66,000 rooms, will actually be developed over the next few years. So, we feel many announced projects may not take off as planned,” said Manav Thadani, MD, HVS International, a hospitality consulting firm.

“Now, debt raising is a difficult process,” says Homi Aibara of Aibara Consultants. Lemon Tree Hotels CMD Petu Keswani said: “Only developer-led hotel projects will face a problem as their priorities are different.” However, when contacted by ET, real estate developers insisted that projects were on track.

According to the latest HVS report, cities like Bangalore, Chennai, Delhi-NCR, Hyderabad, Mumbai and Pune, where massive new room capacities are planned with real estate operators, are seeing trouble. In Bangalore not more than 60% of the new capacity is likely to come up. The same goes with Chennai, Delhi, Hyderabad, Mumbai and Pune.

However, cities like Agra, Hyderabad, Jaipur and Mumbai saw a negative growth in room supply in 2007-08 as compared to 2006-07.

The last few months have seen a demand-supply mismatch in tier II cities like Bangalore, Pune, Hyderabad and Chennai. Room rates too have fallen steeply in these markets, making it unviable for real estate developers to go ahead with the planned hotel projects. This is happening at a time when there is a severe shortage of branded hotel rooms.

Unitech MD Sanjay Chandra said: “We have management tie-up with the Marriott Group for three projects, and one of them will be commissioned in January. Other two projects are very much on.” Recent media reports had suggested that DLF’s hotel JV with Hilton had hit a rough patch. However, DLF clarified to the stock exchanges that “DLF’s JV with Hilton is on a firm footing and all plans for the development of hotels stand as originally envisaged”. However, industry sources said DLF has put the hotel project on the back burner for at least a year.

An Emaar-MGF spokesperson said there were no change in the hotel plans of the real estate firm and its tie-up with Accor. Says Uttam Dave, president and CEO, Interglobe Hotels and head of development, Accor Hotels India (Accor has tied up with Emaar MGF to launch Formule 1, a budget hotel): “Most of our projects are on track, and so far at least none of our projects have been either cancelled or put on hold, and this includes both managed and investment projects. There have been some delays in the actual development and commissioning of projects, and this has been on account of obtaining development approvals from municipal authorities and not due to real estate values.”

Courtesy:- TOI dtd:- 07th Nov 2008

Parsvnath Hotels Ltd, a subsidiary of Parsvnath Developers Limited (PDL), India's leading real estate and Infrastructure Company, has received 5-star category approval from the tourism ministry for its project at Patto Plaza in Panaji. The hotel is expected to be operational by 2010-end. The project is being developed on an area of approximately 3,150.20 square metres. The hotel, which is to offer 125 rooms and suites, would also have a coffee shop, multi-cuisine as well as specialty restaurants, a bar and a few shops coupled with all amenities. Strategically located in the hub of the business district in Goa, the proposed hotel complex is in close proximity of City Centre in Panaji and just 35 km from Dabolim Airport in south Goa.

India needs to see greater developer focus on balancing supply and demand to correct a current market slowdown, according to experts. Speaking on the matter, Kumar Gera, chairman of the Confederation of Real Estate Developers' Associations of India (Credai) said "We should focus on a balance between supply and demand. On the one hand, there is latent demand, and on the other, a negative sentiment is being created. "Moreover, a conducive environment should be created by the people who are in power." He also said he expects liquidity problems for Indian developers to ease over the next six months, following a series of measures introduced by the Reserve Bank of India. "We have approached the government. We have even submitted a paper on special residential zones. The government should take a proactive role and must fuel the real estate sector." India's real estate sector is still expected to grow thanks to an ongoing shortage of 21 million homes and an impending migration of workers from rural to urban centres.

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The need to have strong equity on their balance sheets in these trying times is pushing large institutions such as AIG, Morgan Stanley and Wachovia to liquidate a number of Indian real estate assets in which they had invested proprietary capital.

Investment banking sources and PE funds have confirmed that a number of such deals have surfaced in the market for the past few weeks. While there are few income-yielding and advance-stage assets, which would be easier to sell, a majority of the assets will be at an early stage which would find few takers or see a loss. “15-20 % of the deals in the market today are of this kind,” says an investment banker.

“Some of these institutions are highly leveraged and their mortgage-related assets in the US are getting marked down. There is a need to liquidate some of these assets they bought with their proprietary capital to get cash and strengthen their balance sheet,” says a source at an India-focussed real estate fund. In the last one week, the fund has already received a few calls for large-ticket deals where some of the institutions have invested from their proprietary books.

“The pressure to sell is also because many PE deals might have been sold down by these institutions as structured products and now those buyers want an exit given these buyers’ potential exposure to sub-prime assets,” says Infinite India Investment Management MD Jagdeep Pahwa. “We have reviewed a few structured deals with proprietary investments of large institutions in the past 3 weeks,” says South Asian Real Estate chief development and acquisition officer Sunil Agarwal.

A Mumbai-based investment banking firm confirmed they are working on a few deals that involve investments from the proprietary books, but declined to reveal any names. The firm is working on such deals with a large Indian institutional investor which is fairly active in the market. “With a rupee fund, an Indian institutional investor can structure the deal more effectively,” says the investment banker.

“At the moment, such deals will be looked at by the opportunistic and value funds. However I expect that in 6 months time, as valuations go down another 15-20 %, these deals will also be attractive to buyout funds who are keeping a keen eye on this space,” says real estate expert Anckur Srivasttava.

Most of these large institutions have been investing in real estate in India through both managed and proprietary capital. Wachovia does not have a fund and has been investing from its proprietary books for the last two years, though at the moment they are looking at investing selectively from their proprietary books in India, confirmed Sandeep Kundu, director, Real Estate Capital Markets at Wachovia. “We are long-term investors in India and that is why we are investing from our proprietary books. We don’t have an exit strategy as yet,” adds Mr Kundu. Market sources though confirm that there are a few of Wachovia’s real estate deals that are being looked at closely.

Interestingly, Merrill Lynch had merged its proprietary book with its third party fund early this year they safe that front after the recent events. DSP Merrill Lynch has made proprietary investments of $500 million in the real estate segment.

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The real estate sector in India is set to grow by 30% and be worth $16 billion by 2010 despite the global economic downturn, it is claimed.

Middle East property investors and developers are likely to be the saviours of the property industry which is currently facing financial problems due to high interest rates and tight lending conditions.

They recognise that the economic climate may be difficult but they also recognise that they can benfit from lower land prices, lower material and labour costs and a market where demand is unlikely to disappear.

‘The internal demand for commercial and residential real estate in India is undeniable. But providing finance is in place many developments are likely to be approaching completion after the downturn has bottomed out,’ said Graham Wood, exhibition director for next month’s Cityscape India.

His company’s latest research predicts a 30% growth rate for India. It is also estimated that India is currently facing a shortage of 21 million homes. Wood also points out that more and more Gulf developers are interested in India.

‘The demand for affordable housing is immense and potentially the long term returns for investors and developers are colossal,’ he added.

Dubai-based Limitless is confident about the long term prospects of India’s real estate sector and will be showcasing key Indian projects including a 4,000 hectare mixed use development near Bangalore with accommodation for 750,000.

Dubai Properties recently confirmed that the company hopes to expand its development projects into India. And Dubai-based real estate developer Majid Al Futtaim has also announced it is investigating India as a possible region for investment and development.

Younis Al Mulla, MAL business development officer, said that the company was looking to enter a joint venture with a local firm to help it build a mixture of residential and commercial real estate in the country.

The investment arm of Ras al-Khaimah also plans a $5 billion business centre at Hyderabad.

This year’s three day Cityscape India conference which starts at the Bombay Exhibition Centre on December 8 is expecting 7,000 participants from around the world.

‘Cityscape India will reach out to over 350,000 senior decision makers seeking to invest in one of the world’s fastest growing economies,’ added Wood.

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High cost of borrowing from alternative channels and soaring interest rates have had a major impact on the bottom lines if real estate firms.

The interest expense incurred by India’s leading property firms has shot up as high as 400% on year-on-year basis while their borrowings have gone up on an average by 100%. Data available with ET shows that the interest cost and borrowings of all listed real estate firms such as DLF, Unitech, Akrutiy City, Sobha Developers, Omax and HDIL have gone up considerably.

“As banks and financial institutions have cut their exposure to the real estate sector drastically, they have been forced to tap alternative fund-raising channels such as NBFCs to raise funds at a much higher rate. Even normal bank financing has become costlier since interest rates have moved northwards,” said DTZ director investments Amber Maheshwari.

The cost of money, which started going up over the last two years following RBI’s tightening interest rates to combat high inflation, has hit realty firms hard as they have seen a huge rise in their interest burden.

“As far as HDIL is concerned, I do not see it as a major issue. As we have been paying back our debt, our interest rate will also come down. Last quarter, we paid back around Rs 300 crore,” said HDIL managing director Sarang Wadhawan. HDIL had raised Rs1, 000 crore to relocate 80,000 slum families for the Mumbai airport modernisation project.

Monetary tightening by the Indian central bank has impacted the real estate firms to the extent that their top-lines as well as bottom lines have shown a much slower growth than their respective interest costs.

With the ongoing slowdown in real estate industry and correction in secondary markets, some of the country’s major cities have witnessed up to 5 per cent fall in capital values in residential properties, a Cushman & Wakefield (C&W) report said. According to the global realty consultant C&W, the high -end residential market of Pune has seen a decrease of 5 per cent in capital values during July-September period, while it fell by 1 per cent in the mid-range category. Other prominent markets, like Mumbai and Bangalore, witnessed a fall of 4 and 3 per cent respectively in the mid-range housing sector, it added.

However, few locations in Chennai witnessed appreciation in capital values up to 8 per cent. “Most markets are predicted to continue to have stable capital values with a softening bias in the last quarter of 2008, with the exception of Chennai which may see some further strengthening in key micro markets. A lacklustre festive season, along with sharp drop in the stock markets have further aggravated the situation for the developers, who are also battling conditions such as high rates of servicing debt and liquidity issues,” C&W India Director (Residential Services) Aditi Vijayakar said.

Such conditions have led many developers to re-align their strategies and several developers may be now looking at targeting the middle-income groups, where the demand is high and mostly driven by end-users, she said. “Correction in value in the secondary sales market has impacted the overall values of residential properties in certain micro-markets and is expected to further affect the capital values in the next quarter,” the report stated.

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TDI Infrastructure Limited has taken the first step in constructing its landmark hotel 'Fortune Select TDI Hotel' by performing the auspicious Bhoomi Pujan and ground breaking ceremony recently at the site. The hotel will be strategically located at the Sonepat district on NH I. 'Fortune Select TDI Hotel' will be operational by 2010 and will cater to the business and leisure travelers of the growing Kundli-Sonepat belt and Delhi NCR region. Fortune Select Hotel of approx 100 keys will be aesthetically designed to offer luxurious suites and rooms with exquisite interiors, tastefully designed banquet halls, meeting rooms, Wi-Fi system etc. The hotel will complement the hospitals, schools, clubs, malls, residential complexes, villas that are planned for TDI's mega integrated township 'TDI City Kundli'.

Price corrections may be there but there would not be a rundown. Hence customers feel they might as well talk to a builder and negotiate the rates. At the same time, they know that a good builder will deliver his promise, says Bijlani. 

Given the current turmoil in the market and subsequent impact on real estate, Hindustan Construction Company has decided to put on hold its planned townships in Pune, Nasik and Thane. Land acquisitions for these projects have been deferred for now given the high interest rates and low liquidity in the market. HCC will focus more on government projects in power and water sectors and will look to bid for PPP projects with caution.