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adProperty News For December 2010

The boom will take a while-bangalore
Source : The Hindu Property Plus Published On : 2010-12-11 City : Banglore

North Bangalore has been hailed for quite some years now as the most- sought-after destination for both commercial as well as residential developments. The rosy picture painted is such that it gives the impression of land being grabbed no sooner than offered, with developers and corporate houses vying to launch projects at the earliest possible time.

The Bangalore International Airport, once operational, was to hasten this process further, resulting in the whole region booming with business and residential activity within a short time. But a reality check on the same gives a totally different picture with merely 300-odd projects cleared since 2004. Projects so far announced are invariably in the proposal stage rather than implementation stage.

So, what went wrong? Even when developers cry themselves hoarse about the high marketability of this region, why would this hot area still remain largely empty, sans the promised growth? Is it the acute water shortage of this region deterring greater residential activity? Is it lack of clearances in allocation of government land? Or is it the global recession slowing down commercial growth, in turn impacting the take-off of this region?...

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Dealing with bad loans
Source : The Hindu Property Plus Published On : 2010-12-11 City : Banglore

Play it safe: A careful scrutiny of all documents is required before buying a property

Even a few instances of irregularities in the sanctioning of housing loans are regrettable. But they may only pave the way for strengthening the quality of assets as the regulatory mechanism is expected to tighten the systems and procedures. First, let us see the causes and effects and then talk of the controls.

Loan sanctioning mechanism in financial institutions....

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Getting in natural air fresheners
Source : The Hindu Property Plus Published On : 2010-12-11 City : Banglore

Ask any high school student how to keep the toilet fresh. The next second he will say: “We need a ventilator.” Request a builder to ensure an airy kitchen; he will simply say “Don't worry, madam.” Yet, in most houses, when we walk from the natural environs of outside to the enclosed inside, we can feel the indoor air being stuffy and full of odors. Why?

Getting trapped

Let us observe these homes. Most toilet ventilators are placed below 7' level, leaving the air at upper parts unventilated. Additionally, the ventilator itself may have a shutter left either open or shut, for no one bothers to keep operating windows in toilets. Of course, we feel the foul air, so we install an electric exhaust fan, at extra cost. The kids do not switch it on, so we fix an automatic switch linked to the opening of the door. Series of problems observed and solutions provided. Convincing?...

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Towards curbing building deviations
Source : The Hindu Property Plus Published On : 2010-12-11 City : Hydrabad

The government has so far held firm about the mortgage clause for constructions on plots between 100 sq.m and 300 sq.m notwithstanding the general clamour for diluting it. Along with the clause, senior municipal officials are seeking a self-regulating mechanism be put in place to prevent deviations from the sanctioned plan.

Instead of putting the entire onus on the local body to check for unauthorised constructions, they feel it will be effective if other departments like Water Board, Central Power Distribution Company Ltd (CPDCL) and Registration Department are brought into the loop to make it mandatory for obtaining an Occupancy Certificate (OC) before giving respective connections.

OCs is issued by the local municipal body, like GHMC in the capital, only if the constructed building has not deviated from the sanctioned plan or if the deviation is up to 10 per cent. To give some teeth to it, a provision to pay security deposit based on the built up space was introduced in 1998 but builders preferred not to take the deposits and thereby OCs to deviate. In GHMC, thousands of buildings were permitted after common building rules came into force (G0 86) three years ago and this year of the 329 buildings which applied for OCs, 112 were issued, 118 rejected and 24 are under process from among 187 buildings inspected....

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Oversupply of property in dubai
Source : Hindu - Property plus Published On : 2010-12-11 City : Kochi

Dubai's real estate regulatory body has accused the Gulf emirate's State-backed master developers of damaging its ailing property market by continuing to build despite a rampant oversupply.

“The master developers should understand, believe, that they are damaging the sector by introducing more supply,” Marwan bin Ghalaita, chief executive officer of RERA, said in an interview published by Arabian Business online magazine.

He named troubled Nakheel, the giant property arm of debt-laden Dubai World, as well as troubled Dubai Holding, which is owned by Dubai's ruler, and Emaar, developer of the world's tallest tower, Burj Khalifa....

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