Sulekha Property Show in Lucknow on 20th & 21st July 2013

Sulekha Property – India’s leading property portal from will be organizing a two-day Sulekha Sulekha Property Show in Lucknow on 20th & 21st July 2013property show in Lucknow on 20th& 21st July, 2013. Top real estate builders and developers from across Lucknow and Delhi NCR will showcase over 100 projects, in the two-day fair.

The property show will include residential apartments, plots & commercial spaces in the price range of Rs. 15 lakh to Rs. 2 crore. Properties from promising and upcoming locations like Lucknow, Kanpur, Jhansi, Noida, Greater Noida Expressway, Yamuna Expressway, Delhi, Gurgaon, Faizabad, Allahabad, Vrindavan, Haridwar, etc will be featured.

Commenting on this show, Mr. Param Parameswaran, Chairman of said, “Buying or selling a property is quite challenging for both buyers and sellers. Clutter of advertisements, lack of information or a flurry of it and the inability to reach across to the right audiences on a local scale, act adversely. In promising markets like Lucknow, where a large number of prospects are still not online, offline events like property shows are a convenient and cost-effective platform that augments the ability for buyers and sellers to meet, interact, have their questions answered directly and take informed decisions.”

The show will be held at the ‘Aiwan-E-Avadh Hall’, Clarks Avadh, 8, Mahatama Gandhi Marg, Lucknow. The timing of the show is 11 am to 6 pm, for both the days. Wave Infratech, a real estate developer from Noida is the key sponsor and the event is managed by Sky Events India.

Sulekha’s property show in Lucknow will be followed by property shows in other cities.

Source: APN NEWS

Real Estate Developments in Lucknow

As a Tier II city, Lucknow has a range of options for investors: group housing, bungalows, villas, condominiums, penthouses, high-end luxury apartments and townships. The new wave of property buyers in Lucknow is however showing a marked preference for apartments instead of the traditional independent cottages and bungalows.

Accordingly, real estate developers from the NCR have launched a large number of apartment projects which range from Rs 2, 000 per sq ft onwards, depending on the location and amenities offered.
Dominating construction activity in Lucknow are real estate majors Ansals, Omaxe, Parsvnath, Eldeco, Sahara and Unitech. Almost 100 local and outside developers are active in Lucknow and about 10,000 independent homes and 6 shopping malls are in progress, in addition to the 3 operational malls.

Local real estate developer Arif Industries’ Metro City is centrally located near Hazratganj on Ashok Marg and offers a host of conveniences. New projects are sprouting in developing growth centres like Gomti Nagar, Janakipuram and Mahanagar and along the highways to Kanpur, Rai Barielly, Sitapur and Faizabad

Notable projects include Omaxe Heights, a multi-storied luxury apartment complex, and Parsvnath Planet, an air-conditioned luxury condominium. Integrated township projects in Lucknow are also making inroads in Lucknow’s property market, like the Sushant Golf City.
The Lucknow Development Authority and UP Housing Development Board in turn, are promoting affordable homes for the low budget buyer. The UPHDB is promoting the Integrated Housing Scheme wherein private developers will be permitted to develop hi-tech townships on 25-100 acres of land.

Property trends in Lucknow have followed the nationwide trend of substantial price escalation over the last 3 years. While land rates in Lucknow appreciated between 100% to 300%, prices of ready-to-move-in apartments have grown by 100%, ranging between Rs.1100 to Rs.2000 per sq. ft. State sponsored housing schemes have seen moderate appreciation by about 80%.

Retail rental values have grown to a modest level of Rs.70 to Rs.180 per sq. ft while capital values could be anywhere between Rs.6000 to Rs.20, 000 per sq. ft. Commercial properties in Lucknow command rates of Rs.30 to Rs.35 per sq. ft.

Traditionally driven by end-users, Lucknow’s real estate market is more realistically priced than other Tier II cities. Realty experts have predicted residential property prices in Lucknow to go up steadily by 5.5% in the near future, while commercial property would fare better with 8 to 9% growth. Retail real estate in Lucknow however is expected to grow the fastest by 10 to 11.5%
NRI Real Estate Trends in Lucknow

For the range of living options that the city possesses, NRIs from Uttar Pradesh find investment in property in Lucknow a worthwhile option. Private local builders like Arif Industries who initiated group housing in 1984 have extended their portfolio to duplex and luxury apartments which are very affordable investments for NRIs.

Ansal Housing and Construction, Sahara and Omaxe have introduced contemporary villas, penthouses and apartments to Lucknow which have found favour with NRI investors. After the Sahara States Township, the Sahara group launched the exclusive Sahara Grace residential township in Jankipuram which has encouraged other builders like Parsvnath to put up luxury projects too. The Uppal Chaddha group has an ambitious Rs.500 crore project, Plumeria coming up in Vibhuti Khand, Gomti Nagar.
Eldeco through over 20 projects in Lucknow have a choice of independent floors, villas and plots in luxury residential complexes and townships. The fully developed township has found favour with NRIs and genuine buyers who prefer the secure environs of a gated township with a host of in-house conveniences. The M Tech group is also setting up a mega township in Gomti Nagar.

Source: NRI Realty News

Lucknow Real Estate Market Spreads Out

The real estate in Lucknow is reaching sky high, evident by the hectic construction activity undertaken in the city by almost every major property developer operating in North India.Supporting an array of small scale industries, from rich handlooms and handicrafts to sugar and leather, the Uttar Pradesh Government’s foray into the knowledge industry was made with the Software Technology Park and the Biotech Park in Lucknow. Known for the eminent institutes of learning in Lucknow and the rest of UP which have produced professionals of calibre, the city is well poised to become an IT Hub. Lucknow’s IT industry has made a beginning with exports of Rs.10 crores in high-tech areas of telecommunication and software development.

With a vision to replicate the success of Noida in Lucknow, the state government is supportive of private participation in infrastructure. New townships and colonies within Lucknow, its suburbs and along the highways to Sitapur, Faizabad, Sultanpur, Rae Barelli, Kanpur and Hardoi are quickly transforming the face of this old city

Real Estate Projects in Lucknow

Commercial Property: Commercial properties in Lucknow like the Shalimar Corporate Park and Pinnacle Towers are ready for IT companies to occupy. Gomti Nagar, Mahanagar, Janakipuram and Indiranagar are emerging as the new commercial enclaves. Hazratganj maintains centre stage garnering a large quantum of business in the city. The Kapurthala Commercial Complex in Mahanagar is also attracting new office establishments.

Hazratganj office spaces come at a price of Rs. 45 to Rs. 55 sq. ft. per month, though M.G.Road commands premium rates of Rs. 100 to Rs. 180 per sq. ft. Capital values range between Rs. 15,000 to Rs. 20,000 per sq. ft

From the traditional retail markets of Hazratganj, Aminabad and Kaiser Bagh, Lucknow also opened up to the Fun Republic Mall and the Eastern Mall in Gomti Nagar and the Sahara Ganj on Shah Najaf Road. 8 more malls are in the planning and construction stage. Rental values of Rs. 110 to Rs. 160 per sq. ft. prevail here.

In Alambagh, Aminabad and Kaiser Bagh, rented properties range between Rs. 70 to Rs. 100 per sq. ft per month, and capital values average between Rs. 6,000 to Rs. 8,000 per sq. ft. Rentals in Gol Market, Charbagh and Mahanagar are a notch lower at Rs. 30 to Rs. 50 per sq.ft per month.

Residential Property: The metamorphosis of Lucknow can be attributed to the wave of construction activity primarily in the residential sector. While Hazratganj, Civil Lines and Mall Avenue remain exclusive residential neighbourhoods, the congested colonies of Alambagh, Aminabad, Chowk and Kaiserbagh have left no scope for development. Indiranagar and Gomti Nagar are abuzz with construction projects of real estate developers of repute. Residential apartments in Lucknow have been introduced to the city by NCR based property developers Omaxe, Eldeco, Parsvnath, Uppals and Chadhas.

Janakipuram is host to Sahara State Homes and Sahara Grace, while Metro City by Arif Industries is coming up near New Haiderabad. On Hardoi Road, Sahara City Homes is spread over 200 acres. Sitapur Road has been selected by Eldeco for a 200 acre township. On the Rae Bareilly Road, Rohtas and Omaxe have established their presence with new-age projects. Stylish apartments and villas, clubs, malls, theme parks and hospitals mark these new townships. Ansals and Sahara townships on Sultanpur Road will usher in a world of luxury living to Lucknow.

Investors in Lucknow’s property market have reaped returns of 25 to 50% in the last 2 years, as per studies by Knight Frank. Per sq. foot rates for residential property developed by Parsvnath, Omaxe and Eldeco range between Rs. 1,800 to Rs.2,200, while Jankipuram and Indiranagar fetch rates of Rs. 1200 to Rs.1,200 per sq. ft. Properties on Hardoi Road and Sitapur Road are at a reasonable Rs.1,000 to Rs.1,200 per sq. ft. and the rates on Rae Bareilly Road prevail at Rs. 750 to Rs. 1,000 per sq. ft.

Concerned citizens have warned of “over-concretizing” the city, and civic services need to be reined in to pre-empt shrinkage of green areas of Lucknow. The Lucknow Development Authority on its part has pro-actively planned infrastructure projects to support the emerging colonies. At still affordable rates, investing in any of the deluxe projects in Lucknow is sure value for money.

Source: Indian Realty News

Pax Hotels launches Lucknow property

Pax Hotels, the full service Hospitality Management Company, has introduced its first hotel The Continental – PAX Hotels in the historic city of Lucknow. The property is a boutique hotel focused on style, comfort and customisation with 42 fully appointed spacious rooms thoughtfully designed with all modern amenities alongside unpretentious and authentic hospitality experience makes it most popular amongst its loyal customers. The hotel has premium rooms, executive and suites, banquet halls, board rooms, a multi – cuisine restaurant and a roof top restaurant managed by trained chefs who have created a wide range and imaginative menu to tempt the guests.

According to Anirudh Raithwan, Director, Operations & Planning, Pax Hotels, “We are extremely proud to introduce our first hotel in the beautiful city of Lucknow. Being in Lucknow, a city known for its rich culture and royal heritage, we commit to provide our guests an unforgettable stay by acquainting them with the lineage of the city and its vicinities. WE will organise a visit to the historical places, which are a testimony to the architectural significance and a treat to the eyes of the visitors, is surely going to be a highlight of your stay at Pax Hotels.”

Source: Travel Trends Today

Realty portals push many property brokers out of business

BANGALORE/NEW DELHI/MUMBAI: Falling home sales and rising competition from real estate portals has pushed many traditional property brokers out of business while forcing others to work on wafer-thin margins.

The market for property brokers, who had flourished during the real estate boom not so long ago, has shrunk with builders and individual sellers preferring direct sales or the services of real estate portals that are ready to facilitate deals for free. The shrinking market is also driving down the number of applications for real estate broking licences.

In Bangalore, it has fallen by 10% over the last two years, said Rahul Pai, governing body member of Bangalore Realtors Association-India (BRA-I). “At the BRA-I AGM in August, members talked at large about the competition from various sources like internet portals that are posing stiff competition to the traditional brokers,” said Pai.

“This, added to the unfavourable market conditions in real estate, has made it worse for brokers. In fact, several small-time brokers have actually gone out of business and are coming to us looking for jobs.” The gloom is evident in Delhi, Mumbai and Kolkata too.

In Mumbai, builders are approaching clients and investors directly through in-house marketing teams, which offer dedicated service to prospective investors and help save the 3% commission builders would have paid to property dealers. Developers are increasingly using direct marketing initiatives like e-mails, text messages and pre-launches to push their offerings.

The few builders that are still working with brokers have reduced brokerage charges to 3%-4% from 6%-8% earlier. Most developers have also withdrawn the preferential location charges that were earlier being promised to brokers.

“All large developers who are members of CREDAI (real estate apex body) have their own marketing team or are in the process of developing their own sales team for better customer service and building direct relationship with customers,” said Harsh Vardhan Patodia, president, CREDAI Bengal and vice-president CREDAI National.

Gaurav Gupta, joint secretary of Raj Nagar Extention Association, said: “With the slowdown happening in the market, most developers are now getting into direct sales and cutting down on the cost of the brokerage.” Referral clients, too, are posing a threat to the broking community.

“Builders are now luring new buyers through their present clientele, eliminating the role of agents and brokers,” said Jyoti Shroff, partner at Bangalore-based real estate consultancy Tirupati Associates. “A reference of a prospective client gets the buyer up to Rs 50,000 discount. This has led to fall in our business by about 50%, especially in the last six months.”

Akhil Kapur of real estate brokerage firm AJ Housing said his revenue is down by 20%-30%. “The number of transactions has not changed but the price band of transactions has come down, which indirectly affects my revenue,” Kapur said. Brokers in Delhi echo the same sentiment.

“Transactions are not happening and there is no movement in the market. Our business has come down by more than 50%,” said Sumit Joshi, director, Real Credit Consultancy, a mid-sized real estate broking firm in Noida. “Brokers who are unable to sustain are relocating from premier locations to smaller offices elsewhere and are also trying their hand at other businesses.”

Websites, too, are playing spoilsport for brokers. “Certain developers are at the moment more bullish on the online sites and social media to promote their properties among NRIs and strengthening their direct sales,” Gupta said.

Bangalore-based is sending out chauffer-driven BMWs and Mercedes to pick up premium clients for sight visits—facilities that a broker would never be able to match. “There is now a market trend of online customer enquiries, which are being serviced directly by the builders, and this is picking up to the extent of 15% to 20% of the total sales in the below Rs 50 lakh segment. In this category, the main lead generation takes place through the project publicity and promotion,” CREDAI’s Patodia said.

Unlike the markets of north and south, the role of brokers was elementary in the east. But, over the past few years, the trend of brokers marketing a project had picked up in West Bengal. Following the rough patch now, brokers across the east are in a fix as builders endorse orthodox ways of direct sale.

“Kolkata market is not only run by end users but also salaried speculators, who do not live in the city. The latter generally seek brokers’ help to locate and zero in on a property. As investments have gone down in real estate, the broking market too has invariably seen a crash,” said Sanjay Jain, MD, Siddha Group, which recently sold 70% of its property through direct sales.

Source: The Economic Times