New projects, a relatively stable political environment, and a successful CII Partnership Summit portend growth in the sector.
January 14, 2012:
The year 2012 has begun on a promising note with new projects being announced, a relatively stable political environment without much sign of a stir for the separate Statehood of Telangana, and a successful CII Partnership Summit, which was witness to the assurance of huge investment proposals. Builders hope these would create good vibes for the sector.
The Hyderabad real estate market continues to consolidate after entering the new year, with prices still at three-year lows. Builders across segments, luxury housing, middle-income and affordable housing, believe that the market sentiment shows that it is still a buyer's market.

Robust Growth

The General Manager of Ramky Estates, Mr Patnaik D. R., told Business Line that demand has shot up in most major cities of the State, barring Hyderabad. Visakhapatnam, for instance, has shown a robust growth and prices too have firmed up there. The situation continues to be stable in Hyderabad.
Several developers have announced new projects in the past few weeks, showing a good sentiment spilling onto 2012. PEBL, a venture that is developing a large project with L&T as construction partner, has announced a project close to the IT hub; Mahindra Lifespaces, one of the top real estate developers, announced a new project, and a few others are close to firming up new ventures.Many of the developers are also looking at the affordable housing segment, where there is relative demand-supply mismatch.
Mr P. V. Ravindra Kumar, Chief Executive Officer of Vasathi Housing Ltd, said that the company is looking at not only expanding their new venture Vasathi Housing project, but also setting up projects in Bangalore and Chennai. There is good business environment in real estate lately. “Any project that is strategically positioned, with right price offering, will be successful,” he said.
The Managing Director and CEO of Mahindra Lifespace Developers Ltd, Ms Anita Arjundas, earlier during the month, announced their entry into Hyderabad, with a one million square-foot, Rs 250-crore housing project. She said “for a corporate entity focussing on the real estate market in several States of the country, we continue to invest in new projects unmindful of the slowdown, factoring the business cycle of ups and downs.”
“In fact, we continue to study the market keenly and are close to finalising plans for affordable housing ventures, where there is demand. This is a promising area, and the company hopes to enter this by next year, beginning with a focus on markets such as Maharashtra,” she said.

Buoyant Market

During a meet hosted by the Confederation of Real Estate Developers Association of India (CREDAI) here recently, Mr G. Yoganand, Managing Director of Manjeera Constructions, said the real estate market in Hyderabad is on course again, particularly in the core city areas. The shortage of housing units in the core city areas is resulting in increasing demand in peripheral areas, which are well-connected.
Mr Yoganand, who is the President of CREDAI, AP, quoted consulting firms Jones Lang Lasalle and Knight Frank and their reports to suggest that the real estate prices will go up during the year.
Mr Prem Kumar, President of Andhra Pradesh Real Estate Developers Association (APREDA), said the realty market continues to look buoyant from November last. The agitation-related issues have settled down, the Partnership Summit ended on a very good note and the number of enquiries is going up.
The prices are also likely to firm up as input costs have gone up. The GO No 45 continues to be a matter of concern, as it has stalled some of the large projects. The GO seeks to provide for housing for weaker sections, as mandated by the Government, through the order. In the current form, builders are opposed to this move, the builders association felt.
The real estate developers have appealed to the State Government, requesting it to rework the order and make it more practical. Any delay in resolving this would hold back some of the projects on the verge of being launched, Mr Prem Kumar said.
Mr Patnaik felt that several projects are close to being announced by not only Ramky Estates, but also some other developers in Hyderabad and other major cities of the state including Visakhapatnam, which has seen good momentum lately, due to the announcement of infrastructure projects coming up.
Mr Prem Kumar, quoting recent property shows and the growing number of enquiries for new projects, says that the end-user is hunting for property once again and this will translate into good numbers.

Attractive houses.. peaceful environment… luxury facilities… kids park..secure dwelling.. and a home of sweet memories.. it all comes true in Vasathi Anandi. It’s a place where every moment will be filled with joyous tidings, said CEO, Vasathi Housing & Infra Pvt Ltd., Mr. P V Ravindra Kumar.
While talking to Sakshi realty, Mr. Kumar spoke primarily about their project launched at Bandlaguda. Vasathi Anandi is targeted at the middle income group people, making it within their reach.The project is the being developed in Bandlaguda providing all modern facilities within the gated community. The project is located on the way from Mehdnipattnam Langar House to Appa Junction and is close to Aramaisama Temple. The community is being developed on 5 acres of land and construction is happening at an unmatchable pace. Its strategic location makes commutation simple from Gachibowli and Samshabad and has hospitals and schools & colleges in close proximity.
Flats for 6.5 lacs !
Anandi provides 477 apartments in 7 blocks with 7 floors with an investment of 72 crores. It Offers a wide range of apartments from Studio of 262 sft to 3 BHK of 1355 sft at an attractive price range of 6.5lakhs to 32lakhs. Even though it is low priced affordable housing, it has not comprised with the quality of materials or the amenities to provide a comfortable dwelling. The product offering varies from 510 sft for 13.5 lacs, to 862 sft of 2 bhk for 21.7 lacs, 933 sft for 23.5 lacs, 2+ study for 25.6 lacs and 1355 sft 3 bhk for 33 lacs. (excluding registration and stamp duty.)
Modern Facilities
The project provides all modern amenities like Clubhouse, Restaurant, Clinic, ATM, Pre‐School,Gym, Swimming Pool, Jogging Track, Tennis & Badminton Courts and Super market etc. It also boasts of beautiful landscaping and theme gardens. Vasathi Anandi has been designed with spacious areas so as to facilitate free flow air and light. The project will be ready for occupation in 18 months.
Third Party Investigation
For assurance of quality, third party construction quality control has been involved at site on random basis by Bureau Veritas India Pvt. Ltd.
Wonderful Response
Vasathi Anandi has proved that modern amenities and quality material will always drive a homebuyers’ decision with 50 bookings already done within 2 weeks of the launch of the project and rest of the apartments are expected to be booked by next Jan.

Company CEO Mr. Ravindra Kumar launched of Vasathi Anandi at Bandlaguda.Speaking on the occasion he said Anandi is providing 477 apartments in 7 blocks with 7 floors within a price range of 6.5 lakhs to 32 lakhs. The construction for the project has already started and is due to be completed by 2012. The project is backed by a capital of 700 crores.

There has been a scarcity of affordable housing for people in Hyderabad and the figures touch 2 lakhs. But Vasathi Anandi is aimed to fill this gap and reach out to common man.

The total cost of the project is 72 crores for a 5 acres of gated community with 477 apartments. The project provides various options to fit every pocket from 262sft 1 bedroom studio apartments at Rs.7,62,000 to 862sft at 21,29,000. The market price of a 933sft apartment comes to around 25 lacs whereas at Vasathi Anandi it is available at 22,88,00 at an all inclusive price.
Studio apartments have been the major attraction of this project which is selling like hot cakes.

“Now people living in metro cities can see their dreams come true in Vasathi Anandi at the most reasonable, affordable prices.” said Mr. Ravindra Kumar, CEO, Vasathi Housings.

This property by Vasathi Housings near Bandlaguda is a self-contained gated community spread over 5 acres of land containing 477 apartments. Vasathi has tied up top national banks to finance this project. This project will be completed by 2012. It has received a good response with 10% of booking already done.

The event was attended by Mr. Subrata Sharma, Head, Sales and Marketing and Mr. J V Ramnamurthy, Head, Finance and Accounts, along with the staff of Vasathi Housing.

Vasathi Housing gave a kick start to its aim of providing affordable houses to the middle class segment with its project Vasathi Anandi at Bandlaguda in Hyderabad. The company CEO Mr. P V Ravindra Kumar, who was present at the inauguration of the launch of the project said, “Vasathi Anandi is designed for people with annual income falling in the range of 3-10 lacs. Surveys have indicated this ever growing need of homes for people in this socio-economic segment. Hence, with a vision to provide 40K houses till 2015 we started Vasathi in Hyderabad, Bangalore and Chennai.”

With a wide range of options Vasathi Anandi provides studio apartments with 262sft to 3bhk with 1365sft, between the price range of 6.5 – 32 lakhs. With all amenities available in this gated community like Restaurant, Clinic, ATM, Pre School,Gym, Swimming Pool, Jogging Track, Tennis & Badminton Courts and Super market etc., 75 % of its apartments fall within 23 lakhs.

A press meet was organized at the project site announce the launch of Vasathi Anandi.

The project provides all modern amenities like Clubhouse, Restaurant, Clinic, ATM, Pre‐School,Gym, Swimming Pool, Jogging Track, Tennis & Badminton Courts and Super‐market etc. Subrata Sharma , Head Sales and Marketing also participated in the launch event.

Vasathi envisions providing economic and affordable housing solution with quality construction and convenient locations.

The project has IGBC Green Building Certification and Construction Quality Control at site on random basis by Bureau Veritas India Pvt. Ltd. The total investment in the project is Rs.72 crores.

Hyderabad-based Vasathi Housing and Infrastructure is developing two residential properties in the city. The company commenced operations last year with the launch of these two gated-community projects under the name, Vasathi Navya and Vasathi Anandi. The construction is slated to begin in August.

Vasathi Navya is a 200-apartment project spread over 3 acres. The ground plus five floors residential project is coming up near Chintal in Balanagar. Possession will be given in 18 to 30 months. The project will offer 2 BHK apartments of sizes between 900 and 1,100 sq ft. The starting price will be about Rs 18 lakh (excluding stamp duty and registration). Vasathi Navya will have amenities such as power back up, supermarket, gymnasium, shuttle court, table tennis room, library and reading room besides offering space for a pharmacy.

Vasathi Housing has earmarked an investment of Rs 30 crore for the Navya project. This will be funded through internal accruals, debt and equity besides pre-sales proceeds. Similarly, Vasathi Anandi will see an investment of about Rs 75 crore.

Vasathi housing and infra has sewn up plans to invest about Rs 150 Crore in setting up integrated affordable housing ventures in the city and is planning to enter Bangalore and Chennai next year with similar Projects.

The Hyderabad based company has recently secured funding worth about $ 5 million through a group of foreign investors led by Vasathi ventures based in US., and expects another round of funding of about $ 30 million with couple of months to undertake several affordable housing ventures.

The chairman and CEO of the company Mr. P.Ravindra Kumar, said “Our survey of the real estate market shows that there is huge untapped potential for affordable housing segment in major cities and metros including Hyderabad, Bangalore and Chennai. The company is aiming to address this gap.”