Bangalore Real Estate Award 2013- Winners Announced

Today’s real estate market is driven by Quality, Design, Architecture, Environment Balancing, Amenities and Technology that the builders are using. Builders and developers are creating a differential mark through proper project management and quality construction.

SiliconIndia in association with Axis Bank & Quadra Software Solutions presents to you Bangalore Real Estate Awards 2013, which is an initiative to identify and recognize the leading real estate industry professionals, who have played a vital role in the growth of real estate sector in Bangalore.

Alexander (Sandy) Moore, CEO of L J Hooker (India), Australia’s largest real estate company, spoke about Bangalore’s current Real Estate scenario while giving the inaugural keynote and felicitated the winners.

These awards are instituted under 12 categories that are intended to encourage infrastructure development, foreign investments in the local bodies and real estate growth and companies especially in terms of innovation, quality, reliability, technology and continuous improvement.

The jury comprised of Siva Kyasa, Regional Director, RE/MAX, Bangalore; Christo Jacob, Managing Editor, SiliconIndia; Dr B. C. Udayashankar, Head of Civil Engineering, R.V.College of Engineering and Harsha Babu KV, the Principal Architect, M/S Harsha Design Associates.

The Real Estate Year Book 2013’ was also launched during the ceremony. Jairam Sridharan, President of Consumer Lending & Payments businesses at Axis Bank did the honour of launching the Year Book. It is a yearly publication and will act as a buyers’ guide and will help them get all the information on the current Real estate industry.

Source: siliconindia Real Estate

Improved infrastructure to development in Bangalore West

Bangalore west is a market that is coming of age. One of the early residential areas with industrial growth, this region has now opened out to witness stand-alone commercial and integrated developments. Connectivity has led to a significant boost in the development of this region – the Tumkur Road highway, improvements to Mysore Road and Magadi Road with connectivity enhanced through the Outer Ring Road (ORR). With the Metro line soon to be inaugurated between Peenya and Sampige Road, commercial property development will receive another boost.

Ram Chandnani, Deputy Managing Director – South India, CBRE South Asia, elaborates, “Localities in Bangalore west lie within an 8-10 km radius from the Central Business District (CBD), along with the required social infrastructure growth. Over the years, it has primarily developed into a residential hub with Rajajinagar, Basaveshwaranagar, Malleswaram, Yeshwanthpur, Mathikere, Mahalakshmi Layout, Nandhini Layout and Chandra Layout being some of the prominent localities. Although currently not seeing much commercial development with the exception of a prominent mixed development project, this is expected to change with Metro connectivity and quality residential developments coming in.”

“Commercial development in Bangalore west is still at a very nascent stage with handful of Grade A developments. Office space in this micromarket is typically characterised by Grade C standalone buildings having average size of 10,000 sqft,” says Naveen Nandwani, Director – South India, Cushman & Wakefield.

Factors pushing commercial growth

According to Ram, factors pushing growth in this micromarket are future Metro connectivity, rise in Grade A residential developments, enhancement in social infrastructure, proximity to the airport, improvement of infrastructure through the NICE corridor, State Highway development projects connecting to Mysore, and industrial development in Kumbalgodu, Kengeri and Bidadi.

He adds, “Owing to these, Rajajinagar, Magadi Road, Jalahalli and Mysore Road have emerged as commercial hotbeds. Some emerging trends in the region are mixed use developments promoting the ‘walk-to-work’ concept, small to mid-sized stand-alone commercial buildings which are more suitable for corporates looking for smaller office spaces, and tech parks due to proximity to Mysore, residential catchments of west Bangalore and the NICE corridor.”

Naveen explains, “Considering the commercial space market, the west still remains largely unexplored. Office space developments in this quadrant are still to witness growth on the lines of commercial development in Electronics City, Whitefield and now along the ORR belt (Sarjapur Road to Hebbal). Further, areas such as Mysore Road with sizeable land parcels are yet to see significant growth in terms of residential catchments and support infrastructure. However, Mysore Road was the first to witness quality supply in 2001 followed by Malleswaram in 2010.”

With connectivity augmented through various civic infrastructure projects such as the upgraded NH-4 and the upcoming Metro line, this region is opening up to further residential, industrial, commercial and retail growth. “The rise in the popularity of this micro-market can be attributed to three key reasons – the availability of land parcels that provides room for future development of healthcare, entertainment and other aspects of social infrastructure development; large and steadily growing industrial hubs as economic activity is directly correlated to residential growth; and improved connectivity through the NICE Ring Road that provides easy access to Hosur,” Ram states.

Bangalore west — scenario

Research by Cushman & Wakefield indicates that Grade A office space in the west comprises SEZs and other commercial spaces. SEZ space accounts for close to 48 percent of the total stock in the west. Operational Grade A commercial office stock measures around 3.3 million sqft with no under-development stock currently.

Other office space buildings primarily belong to the Grade C category. The organised office space development in the region stands at three percent of the total stock.

Naveen explains, “Companies already present in this micro-market and looking to expand in quality commercial spaces are moving towards locations such as the ORR. This is due to competitive rentals, proximity to residential catchments, and good connectivity to central and suburban locations of the ORR belt.”

Areas with potential

Naveen says, “In the long run, Mysore Road can be anticipated to emerge as a commercial destination due to availability of land, upcoming Metro and connectivity through NICE Ring Road.”

“Areas with potential as future commercial hotspots in the west are Mysore Road, Magadi Road, Rajajinagar, Tumkur Road and Jalahalli,” Ram adds.


Latest Property News on ‘Bangalore’

The high court on Tuesday ordered notice to the government, KIADB and Bangalore Urban DC on a petition filed over two acres of grant land in BKPalya, near Devanahalli.

A high court judge’s son is said to have received Rs 1.24 crore in compensation from KIADB in lieu of the land.
Justice AN Venugopala Gowda also requested advocate-general Prof Ravivarma Kumar and senior counsel PS Rajagopal to assist the court as amicus curiae on the issue, before adjourning the hearing to Wednesday. The judge requested them to enlighten whether the court can proceed against the DC, who is also a quasi-judicial authority.

The court also held that a copy of the petition was deemed to have been served on Phaniraj Kashyap, one of the respondents and son of sitting HC judge K Sreedhar Rao, since it was sent by registered post on August 5. Phaniraj, who filed a caveat, did not appear on Tuesday, which the court took note of.

The petitioners, who claimed to be legal heirs of the original allottee of the land, said it cannot be alienated within a stipulated time. Yet the land changed several hands before reaching Phaniraj during the non-alienation period. When they challenged it, their petition was rejected by the assistant commissioner, following which they moved the deputy commissioner.
The DC initially stayed the assistant commissioner’s order. “Phaniraj approached the DC personally and with influence from his father, succeeded in getting the stay order altered,” they alleged.The land was acquired for an IT park by the KIADB, which awarded Rs 1.24 crore in compensation to Phaniraj, ignoring the petitioners’ objections, they said. PS Rajagopal said the high court has jurisdiction to look into orders passed by DCs under Article 227 of the Constitution, and that the case can be referred to a magisterial inquiry.

Justice L Narayana Swamy on Tuesday disposed of a petition filed by M Raghu, BBMP junior engineer (South), asking the civic body to pass a fresh order in his case.
This was after the court noticed that as against the BBMP commissioner’s directive to suspend him on August 7, the additional commissioner had issued a suspension order on August 6 itself, over 22.88 tonnes of missing iron rods obtained during the demolition of Puttanna Kanagal Chitramandira, as there was no auction or records about storing the same.


Here’s an update on Bangalore’s real estate market

The proposed Mumbai-Bangalore Industrial Corridor is expected to connect Bangalore City in the north-western side of the city along Tumkur Road. Since the last 7-8 years (since 2005/2006), Tumkur Road and its surroundings are witnessing significant augmentation and improvement in terms of infrastructure in general and connectivity in particular.

Some of the key infrastructure projects rendered operational in the area in the recent past include the Elevated Expressway, Bangalore-Mysore Infrastructure Corridor (BMIC) and Bangalore International Exhibition Center (BIEC).

Other on-going and proposed infrastructure initiatives are Metro Rail Phase 1 & 2 and Peripheral Ring Road. These infrastructure projects, along with the proposed Mumbai-Bangalore Industrial Corridor, are expected to significantly improve the physical characteristics of the area.

The result will be the development of large integrated projects, as there are large industrial land parcels waiting to be unlocked for quality real estate development with the growth of economic drivers in the area.

Until the recent past, the population of this micro-market had a low socio-economic profile – it was dominated by blue-collar workers as the area was a hub for small scale industries manufacturing ancillary parts for PSUs, automobile industries, garment industries, etc.

Over a period of time, the area saw the arrival of large Indian and multinational industrial entities such as Kennametal, Widia, ITC , Volvo, BOC , Reliance Packing Industries, etc.

Since last 4-5 years, the area is being viewed as one of the fast developing micro-markets in the city, as is evidenced by the launch of some large real estate projects complemented by key infrastructure initiatives.

This has vastly improved the characteristics of the area, which now has good availability of large land parcels due to the unlocking by sick industrial units at competitive prices, and a visibly changing socio-economic profile of the resident population.

Some of the large developments envisaged then (now completed) are Brigade Gateway Project on 40 acres land parcel, BIEC, Taj Vivanta – Tumkur Road, etc., to mention a few.

Till date, about 17 residential apartment projects launched and an there is expected to supply about 5,099 units in the micro-market on a cumulative basis.

Some of the graded developers like Brigade, Prestige and Sobha have also ventured into this market and are targeting the upper-middle income, middle and upper-lower income segments.

Social infrastructure facilities like hospitals and schools are already in place and are acting as catalysis for residential development in the area.

Most of these social infrastructure developments are adequately catering to the existing residing population. With the proposed Mumbai-Bangalore Industrial Corridor, this micro-market is expected to benefit from an increase in much-needed economic driver, which will significantly increase demand for all core real estate asset classes like residential, commercial / office, retail, hotel, industrial infrastructure, etc.

Some of the commercial / office and retail developments envisioned during 2005/2006 within this micro-market and its surroundings are operational now. These include the Brigade Gateway Project – an integrated development comprising residential apartments, commercial / office, retail and hospitality which is currently known as ‘Brigade World Trade Center’.

Commercial Grade A developments in the area account for about 260,000 sq. ft., which includes Brigade Rubix at HMT Township (about 180,000 sq. ft. of office space) and 80,000 sq. ft. of office space by IBC Developers within the residential development of Platinum City.

Tumkur Road is also fast emerging as an attractive destination for stand-alone developments and graded shopping complexes. This is evident from newly launched Brand Factory at 8th Mile, McDonalds, etc. along with ‘vanilla ‘ stores having brands like United Color of Benetton, Wrangler, Levis, Lee and Woodlands.

The proposed Mumbai-Bangalore Industrial Corridor is likely to leverage the residential, commercial and industrial infrastructure along with existing, ongoing and proposed infrastructure initiatives in terms of transforming this micro-market into a major growth node for the city.

We see the emergence of an important economic hub catering to the city in general and the micro-market in particular. The area within a 4-5 km radius along both sides of Tumkur Road is likely to develop into an influence zone for the proposed Mumbai-Bangalore Industrial Corridor in terms of residential belts like Magadi Road, Hesaraghatta, Jalahalli, etc. up to Yeshwanthpur.

Metro Rail Extensions To Spawn New Residential Locations

The Bangalore Metro Rail Project is envisaged as a major game-changer for Bangalore City in terms of inter-connecting different parts of the city and reducing traffic congestion on city roads, and significantly cutting down the commuting time.

Phase 1 of the Metro Rail Project largely covers the city centre, running a total length of 42.3 km through two corridors – the East-West Corridor (about 18.10 km linking Baiyappanahalli and Puttenahalli along Kanakapura Road) and the North-South Corridor (about 24.20 km liking Mysore Road with Tumkur Road till Hesaraghatta Cross). Phase 1 is likely to be commissioned by 2014.

Details of the proposed Phase 2 of the Metro Rail Project, consisting of four extension lines and two new lines with a total length of 72.095 km and 61 stations are given below:

The four proposed extension lines under Phase 2 are expected to provide much-needed ‘last mile’ connectivity to commuters and also optimize the utilization of Phase 1. The two new lines traverse through some of the densest and traffic-congested areas of the city, and will offer faster connectivity to the Information Technology Industry. The Phase 2 is planned to be completed within 5 years from the date of approval by the Government of India.

With Phase 2 covering a large part of the city, especially fast-growing locations like Whitefield, Mysore Road, Tumkur Road and Bannerghatta Road, these areas are likely witness further development in terms of all core real estate asset classes for the following reasons:

* Metro Rail Projects are being developed across the world’s high-density corridors because they provide vastly improved connectivity. This phenomenon is likely to be seen all along the alignment in Bangalore as well, resulting in substantial development

* There is a proposal to permit a maximum FAR of 4.00 (against the current average FAR of 2.50) all along the Metro Rail alignment within 500 meters on both sides of the Influence Zone. This additional built potential of the properties along the influence zone will be able to make use of this additional FAR, as land values along these corridors are very high

* Improved connectivity and reduced travel time may encourage the city population to prefer suburban locations for residential purposes (to avoid residing in high-traffic areas), which would further catalyse the development of social infrastructure like schools, healthcare, retail developments, leisure and entertainment facilities, etc. in the suburban locations due to the further development of residential catchments.

Considering the combined coverage of both Phase 1 and Phase 2 of Metro Rail Projects, all localities up to the BMIC Corridor alignment within Bangalore City are likely to witness significant growth over next 5-7 years.


Real estate related cases highest at consumer court

GURGAON: In a city which boasts of highest number of consumer grievances in the state, cases of insurance default and real estate invariably occupy the top slot.

The Times of India get a large number of cases related to real estate. The number of consumers approaching us for non-delivery of flats in times has been increasing. We have a number of cases of cheating by the builders. This includes even the top builders in the city. We have several cases of builders who are repeat offenders. We have issued arrest warrants against them as well,” said an official of the Gurgaon district consumer disputes redressal forum.

The official said consumers also approached the forum with complaints against HUDA relating to disputes of plots.

“In Gurgaon, consumers are more educated about their rights. Of late, we have solved several cases relating their real estate,” said Raghvinder Singh Bahmani, president, district consumer disputes redressal forum, Gurgaon.

Consumer disputes relating to airlines and travel tourism, especially holiday clubs and resorts, is also higher in Gurgaon compared to cities in the state.

“The reason is that large number of technocrats, CEOs and top MNC officials keep visiting different countries. Case relating to airfare, baggage and deficiencies of the services of the resorts are much higher in Gurgaon. We have 19 cases relating to airlines and several cases against top resorts in the country,” said an official from the forum.

Cases relating to mobile phones, automobile, Bank ATM and Postal Delivery are also higher in Gurgaon compared to cities in the state.

Source: The Times of India