Deep Impressions

  Real Estate : The Past, The Present and The Future The  opening   up of Indian economy since July 1991 has brought about some interesting and exciting trends in the Indian Real Estate. To continue this, further opening is required which is more challenging. Are we prepared of it ?      ------ ------  ------ ------  ------ ------  ------ ------  ------ ------  ------ ------  ------      “History never repeats itself, but it does often rhyme”     -         Mark Twain First week of July, 1991    :  in just three days Indians experience a shocking devaluation of rupee by 20%.    This historic week, marked the beginning of a new liberalised and open economy where the private sector had a much larger role to play. And over the years, the government continued to work in that direction. A decco of few interesting trends in Real Estate over 32 years has some great stories behind them.     Real Estate becomes bank friendly   The devaluation and liberalised laws for NRI investment brought about

      Real Estate : A New Approach to Legislation     While Developers should definitely be made responsible for defaults but at the same time, one should also introspect why so many Developers are defaulting. Is there a systemic flaw ? - - - - - - - - - - - - - - - -  - - - - - - - -  - - - - - - - -     - - - - - - - -  - - - - - - - - - - - - - - - -  - - - - - - - -   A typical story of delayed real estate project comprises :   ·        Developer running away    from authorities ·        Banks filing insolvency proceedings in NCLT ·        Customers pressurising the Developer for possession.     But this is a unusual story of a developer in NCR who did exactly the opposite :   The Developer himself  ·        went to the authorities ·        filed NCLT proceedings ·        offered the possession   If you are sensing Developer’s honesty, you are 100% wrong. The Developer was actually using a loophole in Companies Act that would relinquish him from all his responsibilities /liabilitie

  2023 : A path breaking year for Redevelopment  Since its inception in the late 90s,  it has  been the incentives to Developers that drove the redevelopment story. Incentives have now reached their natural limit. Where does it go next in Mumbai? And will the redevelopment story move to other cities in India ?        -------  -------  -------  -------  -------  -------  -------    -------  -------  -------  -------  -------  -------  ------- In most industries, a year becomes path-breaking due to the activities that begin in that particular year. Real Estate is an industry with a lag and therefore a year would be path-breaking due to the activities that happened in the previous one or two years. Now, before you think that this blog on redevelopment is only about Mumbai, hold on.    2021 & 2022 saw big fillip being given to redevelopment in Mumbai through reduction/deferment of FSI premium etc. In 2023, these incentives will result in spate of redevelopment projects across Mumbai to