Wednesday, September 14, 2011

Cidco Plan Board has approved construction of affordable homes in Navi Mumbai, to be made available through lottery.

In a move that will bring relief to home buyers in Navi Mumbai, the city and industrial Development Corporation is planing to build 8,684 affordable houses in the area.

The houses will be made available to the public in the next 30 months, through a lottery system.

"The board has recently approved the construction of 7,566 tenements for Economically Weaker Sections (EWS) and Lower Income Groups (LIG). We will also construct 1,118 tenements for middle and higher income groups," Pramod Hindurao, chairman, cidco, said.

The tenements for EWS and LIG will measure 285 and 360sq ft respectively. Construction is expected to being by year end. These homes will be built at Ghansoli, Vashi, Kharghar and Taloja- Panchand.

The cost of construction has been pegged at Rs 9,51.65 crore. Similarly, at Kharghar, Cidco will construct homes for middle and higher income groups. 710 flats, measuring 611sq ft, will be built for middle income Groups (MIG). For Higher Income Groups (HIG), 408 houses will be built of 1,702 ft for HIG.
The project cost is pegged at Rs 426 crore.

Hindurao said that construction of these houses would commence in the next two months.

The lottery date, however not fixed."We are also working on the pricing of these flats. We assure buyers that these houses would be a lot less costly than those offered by builders, and will be of high quality", he said. The Cidco board has also give the agency clearance to build an additional 3,500 houses, which it plans to do in the next phase of the project.

In addition, Officials claim that they plan to build most of the houses within a 500-metre radius of the Upcoming CBD Belapur- Pendhar Metro line that Cidco is constructing. The Metro line is expected to be completed by May 2014.

The agency had launchad its last housing scheme in March 2009. the lottery for which was held in April this year. Nearly one lakh people had expressed interest in the scheme.

Monday, April 11, 2011

'Taxes, delays are hurdles in affordable housing'

Reduction in taxes and flexibility in approval process will provide affordable homes to the masses. If these two elements are addressed by the government, selling price of the homes will be reduced by at least 33%," said Lalitkumar Jain, President of the Confederation of Real Estate Developers Associations of India, (Credai) and Chairman of Kumar Builders.
The Credai has prepared a comprehensive checklist of requirements of each department, like environment, traffic, garden and water and this list will be submitted to the Union minister of Urban Development, Kamal Nath, later this month. "If this list is approved by the government, a builder will get the approval within three weeks. Thus, we can control 25% cost of delay, thereby reducing flat prices. We have no control over the cost of land, material and labour, so at least lets control the cost of delay," added Jain. 

The members unanimously elected Satish Magar as the president of Credai, Maharashtra and Pune in the meeting. A decision to merge Credai, PCMC and Credai, Pune was made in the meeting. Thus, Credai, Pune has been renamed Credai, Pune Metropolitan Region (Credai, PMR). 

Thursday, April 7, 2011

Builders' Proposal To Cut House Prices

The Conferderation of Real Estate Developers' Association of India (CREDAI) has come up with a proposal to reduce the cost of houses/apartments.  The cost can be brought down by atleast 10-20 per cent if the government expedites processing of appllications for real estate projects and gice permissions in three-four weeks, CREDAI national president Lalit Kumar Jain has said.

Lalit Kumar Jain
He wants the Central government to prepare a comprehensive checklist on building permissions to expedite construction activity and delivery of homes on schedule.  According to him, every developer has to obtain certain mandatory permissions, including building plans and environmental clearances from 40-odd departments.

"Due to lack of transparency and uniform guidelines, there is inordinate delay in getting clearances.  The gap between land purchase and commencement of construction stretches up to one-and-a-half years.  As our finances get stuck in a single project during the long processing period, our interest burden rises which in turn pushes up the cost, " said Lalit Kumar Jain.

At its national conference to be held in singapore on April 28, the CREDAI will submit a draft of the comprehensive checklist to Union minister for urban development Kamal Nath on single window clearance for provals throughtout the country, rationalisation of tax and moderation of stamp duty which vary from state to state.

CREDAI member developers feel that the single window clearances can be a boost to the real estate industry and also bring down the total cost.

According to CREDAI-AP chapter president C Sekhar Reddy, approvals for small and medium real estate projects were provided within six months in AP but it would take about a year for large-scale projects, "Thank-fully the Greater Hyderabad Municipal Corporation (GHMC) created a green channel which proved beneficial in the case of small and medium scale projects.  But if there is a single window Authority, the applications for large-scale projects can also be processed within three-four weeks, "he said.

Thursday, March 31, 2011

Kumar Builders Eyes $300m PE Funding in domestic and overseas market.

Kumar Builders has postponed plans for initial public offering and know Kumar Builders are in talk with private equity firms to raise around $300 million over 2011-12. The Pune-based real estate firm is creating special purpose vehicles (SPVs) for each of its projects, and plans to sell 26 per cent to PE firms in each SPV.

Kumar Builders will hive off 26 per cent stake of each project to private equity players for raising the fund.

We hope to complete the process before next fiscal-end,” Lalit Kumar Jain, chairman of Kumar Builders, told Financial Chronicle.

The company is in talks with several PE players both in the domestic market and overseas market for raising funds, according to him.

Jain said the company has postponed plans for IPO for the time being as market sentiment is not that bullish. Kumar Builders, had filed an application for IPO in 2009 to raise around Rs 450 crore in 2009 but later deferred the plans due to adverse market conditions.

The company will launch one residential project in Kalina, one in Vile Parle (East) and another in Ghatkopar, each project counting 100 flats. It will also launch one special economic zone in Hinjawadi, in Pune. The total investment for the projects will be around Rs 1,050 crore, according to Jain.

In February, the company raised $55 million from Dutch equity firm FMO.

"The $55 million which we raised recently will also be utilized for the new residential and SEZ projects that we are launching in the next quarter," Jain said.

There is liquidity crunch in the market and raising funds has become difficult for real estate
companies as banks turned extremely cautious. "These projects are expected to be completed in next seven years," Jain seven years," Jain said.

Friday, March 18, 2011

Kumar Shantiniketan Residential Project in Pune by Kumar Builders

Kumar Shantiniketan

Kumar Shantiniketan is miles away from the polluted modern world, yet snuggling close to comfort and  convenience on Baner - Pashan Link road, stands SHANTINIKETAN. The only mega township in the neighborhood housing 375 luxury flats, Shantiniketan is built on the ethos of Rabindranath Tagore's  world renowned Shantiniketan. A veritable  green  paradise  with  an  abundance  of  water  bodies,  this  modern
edifice enjoys the best comforts of the current century and of nature as well.

Kumar Builders Shantiniketan Project Details



Baner, Pune

Number of Flat

140 Flat
Area of Flats
Min 940 sq.ft.
Max 1420 sq.ft


2 and 3 BRHKD Flat

Cost per sq.ft

Rs. 2700
Appox Total Cost
Rs. 25.38 Lacs to Rs. 38.50 Lacs
Launch Date
Completion Date
Property rates
around the project
area (per sq.ft.)

Rs. 2000- Rs.3000 per sq.ft.
Rental rate around
the project area
(per sq.ft.)

Rs. 15

Fully Fitted Kitchen, A/c
Rooms, Pool, Squash Court,
Club, Covered Parking, High
Precision Security Systems

Sunday, March 13, 2011

Kumar Builders Chairman Mr. Lalit Kumar Jain becomes the new president of CREDAI(Confederation of Real Estate Developers' Associations of India)

One of the well known name in Indian Real Estate Mr. Lalit Kumar Jain has been elected as a new president of CREDAI on March 10th 2011. Mr.Jain is also the chairman and managing director of KUL formerly known as Kumar Builders.  He is also the president of Promoters Builders Association of Poona(PBAP).

Earlier Mr.Jain was the vice president of CREDAI.  He is been associated with CREDAI right from its inception.

With His company KUL(kumar builders urban development limited) Motto-"We Build Trust"-  he practices what he preaches. His company Kumar Builders quickly became synonymous with quality real estate of pune.  In 1999, Mr. Lalit Kumar jain started with development of 35,000 sq ft and within five years he delivered 1.4 million sq ft.

Kumar Builders has recently been rechristened as Kumar Urban development limited to give it new identity to change with the changing times.  Kumar Builders has so far developed 70 million sq ft with 9 million sq ft of city centre projects, with focus on pune and mumbai.

To know more visit their website KUMAR BUIlDERS....