www.arundevelopers.com

2013/01/28

'Pimpri-Chinchwad an attraction for hotel business'


http://m.economictimes.com/news/emerging-businesses/regional-hubs/west/pimpri-chinchwad-an-attraction-for-hotel-business/articleshow/18196331.cms

'Pimpri-Chinchwad an attraction for hotel business'
26 Jan, 2013, 1547 hrs IST, Vasumita S Adarsh, ET Bureau

With a long experience in the hospitality sector, Surinder Singh is now the president of Poona Hoteliers Association, and the general manager of Vivanta by Taj Blue Diamond in Pune.

With a long experience in the hospitality sector, Surinder Singh is now the president of Poona Hoteliers Association, and the general manager of Vivanta by Taj Blue Diamond in Pune. In an interview with ET, he talks about how the Pimpri-Chinchwad region is evolving as a hospitality business destination. Edited excerpts:

How was 2012 for the hospitality in Pune, and how does 2013 look like?

2012 was not entirely good for the sector in Pune. While some hotels managed to maintain the growth rate of 2010-11, some witnessed negative fallout of the economic slowdown. No extra inventories happened either.

This year, however, seems to be more buoyant, and Pune is expected grow faster than the country's GDP in hospitality. When the country's GDP was 9 to 10 per cent, Pune region's hospitality sector was growing at 16 to 18 per cent. Now that the GDP is at 5 to 7 per cent, the hospitality sector is expected to grow at 9 to 11 per cent.

From having just three major luxury hotels during the last 10 years, today the hotel segment in both luxury class as well as business class has increased five times or more. From 500 rooms altogether, we now have 2,500 rooms available in the luxury segment alone. There is an excess supply of rooms in the five star and business class segment hotels in the region today. And, in the next three years, this demand-supply scenario may stabilise.

How are tier II regions like Pimpri-Chinchwad coming up? Do you see more hotels coming up here?

The Pimpri-Chinchwad and Chakan region have been a major industrial belt with several foreign companies. A good number of clients work there and stay in hotels in Pune. This will in turn impact city hotels, as clients, who are there in Pune for a longer period of time, may prefer living in Chakan rather than endure the long travel. The city hotels will lose at least 40 to 50 rooms due to this.

On the flip side however, the Pimpri-Chinchwad region lacks any major entertainment centres for a client to unwind. Hence, clients coming in for just a few days may prefer to stay in main Pune. The areas such as Koregaon Park, Nagar Road, etc are the hot spots of the city. The Pimpri-Chinchwad region is yet to develop in terms of having more malls and other quality recreation, for senior employees and expatriates.

What factors will help hospitality sector in Pimpri-Chinchwad to grow?

Pune's western region and regions of Pimpri-Chinchwad, Chakan, Talegaon will see more hotels in the future, though this may happen in a span of the next four to five years.

The Pimpri-Chinchwad area is attracting many investments in the hospitality sector. Besides the Marriott project, there are many investors looking to launch projects in the region, though none have been announced officially yet. The residential area in the region is growing too - another reason for the region to attract investors. Increase in residential projects means an increasing work force settling here. The Eastern part of Pune has seen an oversupply of hotels, with many properties located close to each other.

Foreigners coming to Pune for short and long term work visits are among the leading clients for hotels. How do you see this trend evolving? Owing to expansion of existing companies, as well as new IT and engineering companies setting base in the region, there has been no decrease in the number of foreigners coming to Pune. International travellers are certainly a vital part of the hospitality service, besides domestic clientele.

Earlier the city had altogether three luxury hotels, which meant the hotels dictated the terms. Now with competition increasing and more choices available with a client, hotels have to be clued in to provide the best service at competitive rates.

The government too has to re-look its liquor policy, with the new work cultures emerging in the region. Not everyone works traditional timings anymore, and many clients are working US and UK hours to be in touch with their companies. But government allows liquor only till midnight.

This means we cannot serve liquor to such clients, who may be having a different sleep pattern, and may want to relax post 2 am or 3 am. Earlier such professionals were few, but with the IT culture booming, today the number of such professionals have gone up. The government needs to change its policies accordingly, so that domestic and international clients view Pune favourably.

What are the challenges hospitality sector has to face in the region?

Infrastructure upgradation is among the biggest issues. The current airport is not adequate to serve international travellers, who lose almost an entire day, alighting at Mumbai, and then travelling all the way to Pune. The proposed international airport is still in the planning stage. Similarly, projects that would elevate Pune's status such as the International Convention Centre in Moshi have not taken off either.

The other hurdle is the huge amount of taxes imposed, whether it is on serving imported liquor, taxes on in-house entertainment, or even playing recorded or live music in the hotels. The laws have to become more hotel-friendly. Clients, who come to the city are shocked when the city closes down post midnight, just as they are planning to unwind. Nightclubs and pubs are not necessarily suited to everyone. Providing this service becomes an expensive affair for hotels, because of the huge taxes.

As the city culture evolves, these policies should be revisited and amended. What is required is that the government and the industry in Maharashtra too sit down and discuss these current impediments. This has not yet happened from either side.
vasumita.adarsh@timesgroup.com Arun Gupta

Pirate architects of China copy a building that isn't even finished


Pirate architects of China copy a building that isn't even finished

By Ben Kersey 2 Hours Ago

China isn't afraid to brazenly mimic architecture, but copycats have now turned their attention to buildings that don’t even exist yet. A construction team in Southern China is copying the Wangjing Soho, an office and retail complex designed by London-based architect Zaha Hadid that’s due to be completed in 2014. The designers behind the original project believe that the copycat architects may have based their own version on renders of the original building, but that wouldn't allow them to build an exact replica. Despite the drawbacks of working from a rough 3D model, the Chinese workers are outpacing construction of the original building.

It’s a phenomenon that seems to be pervasive in China, with one Dutch architect dubbing the pirates "Photoshop designers." The would-be builders simply copy and paste buildings into place on PCs, roughly plotting out the future landscape of a city. It’s a crude way of doing things, but the flexibility — combined with China’s cheap labor costs — certainly helps rapid expansion.

http://m.spiegel.de/international/zeitgeist/a-874390.html#spRedirectedFrom=www

Year 2013 will bring a paradigm shift in the real estate sector


http://m.economictimes.com/markets/real-estate/realty-trends/year-2013-will-bring-a-paradigm-shift-in-the-real-estate-sector/articleshow/17897691.cms

Year 2013 will bring a paradigm shift in the real estate sector

5 Jan, 2013, 1110 hrs IST, Prabhakar Sinha, TNN
Passage of Real Estate Regulation Bill and Land Acquisition Bill, sometime in the next few quarters this year will boost the sentiment of all stakeholders.

The passage of two crucial bills, Real Estate Regulation Bill and Land Acquisition Bill, in particular, sometime in the next few quarters this year will boost the sentiment of all stakeholders and herald a new order in the country's Real Estate , Pranab Datta, chairman of Knight Frank India, says.

The recent approval of FDI in multi-brand retail by Parliament will attract foreign investment , which will not only benefit the retail industry but also boost the demand for commercial real estate. It also showcases the government's seriousness in introducing reforms in India — and this is just a preview of things to come, Datta says.

Additionally, the RBI can be expected to lower interest rates in the coming months which will benefit developers as well as consumers. The change in sentiment on account of the above measures will have a positive impact on all the segments of real estate — whether it is retail, office or residential and will certainly make 2013 a much better year in comparison to last year.

Against this, 2012 has been disappointing for real estate as falling sales and rising construction costs dampened the market sentiment. This is reflected in the financial performance of real estate companies, which have taken a hit in their revenues and profit during the year.

Jones Lang LaSalle (JLL) in its report also said that the outlook for the real estate sector in the New Year looks promising in the NCR. However, all the stakeholders like consultants and developers feel that those areas where the prices have not peaked and world-class infrastructure like roads, parks sports complexes are being developed by the authorities concerned and developers will see the maximum appreciation.

Om Ahuja, the CEO of Residential Services of JLL, says that the supply trends in real estate indicate that it is in a state of flux. The supply of products priced below Rs 3,000 per sq ft is reducing markedly. From 43% in the fourth quarter of 2009, supply in this segment will come down to 8% in the same period of 2013. At the same time, supply in the price range of Rs 5,000-10 ,000 per sq ft is expanding. He said aspirational and affordability levels are driving such trends.

However, smart residential property investors will identify the right products priced below Rs 4,000 per sq ft in key growth cities as best options. In cities like Bangalore, Hyderabad, Chennai, Pune, Noida and Gurgaon, one can still find good projects in this price range for long-term investments, which would yield good appreciation .

JLL in its report on the NCR region says that areas like Dwarka Expressway, New Gurgaon-Manesar , Noida Extension and Noida Expressway show huge potential for investors as well as end users. It says that Dwarka Expressway, because of its infrastructural advantages and locational benefits, enjoys huge upside.

The area has been able to successfully withstand the heat that many other areas and pockets of the NCR faced. The price sustainability and appreciation trends of the recent past, and also its relative affordability, will continue to maintain investor interest and confidence . Other important areas to watch out for in 2013 for residential realty, the report says, will be New Gurgaon and Manesar.

The increase in commercial developments, its developing infrastructure, continuing affordability and the proposed connectivity via Metro and the expressway will put this region on the radar in 2013.

Noida Extension and Noida Expressway will continue to generate interest as more and more IT-ITeS companies shift their offices to Noida Expressway for its rental affordability when weighed against the rentals in Gurgaon, the Cyber City.

Noida Expressway will further increase its appeal as a residential hub. The comparatively better infrastructure, easy accessibility and availability of affordable options will appeal to investors and end users, the report says. Supply in this region will not be an issue and good levels of absorption with appreciation in capital values are a high possibility in 2013.

Om Ahuja of JLL also says that most research reports highlight factors like oversupply and low absorption. Cities with a high level of job creation continue to see high volumes of real estate supply and absorption. Cities with few or no economic drivers to spur the growth of employment fall behind, no matter what other factors seem to work in their favour, he says. Earlier, Mumbai and Delhi attracted most of the talent from rural areas.

Today, cities like Bangalore, Hyderabad, Chennai, Pune and Gurgaon have taken pole positions and are all set to overtake Mumbai and Delhi.
IT-centric cities like Bangalore , Hyderabad, and Pune, and to an extent Chennai, are now emerging as a whole new real estate proposition. IT companies there are expanding their campuses dramatically. Recently, WIPRO announced the imminent launch of its new facility and headquarters of nearly 2.5 million square feet in Bangalore. This facility will augment its existing campus, which already employs over 31,000 people. Trends and data points suggest that dynamics in these cities will be very different in the next few years.

Time-related value of money and inflation are two key parameters that one needs to take into consideration. A careful study of factors like growing population will show that intelligent investments in residential real estate in India will definitely pay off over the mid-to-long term.

Other important areas to watch out for in 2013 for residential realty will be New Gurgaon and Manesar. The increase in commercial developments, developing infrastructure, continuing affordability and the proposed connectivity via Metro and the expressway will put this region on the radar in 2013.

Besides, in order to arrest the slowdown in the economy, it is expected that the RBI will cut interest rates in 2013. This will also bring cheer to the real estate sector. The RBI has also instructed scheduled banks to not allow a rollover of loans given to real estate developers into the next financial year. This means that developers will see urgency in disposing of their unsold inventory in order to be able to raise funds to pay back their loans. This holds the potential for a major correction in residential prices in the NCR region.

Quick Bites Additionally , the rbi can be expected to lower interest rates in the coming months which will benefit developers as well as consumers Arun Gupta

2013/01/08

Pirate architects of China copy a building that isn't even finished


Pirate architects of China copy a building that isn't even finished

By Ben Kersey : 2 Hours Ago


China isn't afraid to brazenly mimic architecture, but copycats have now turned their attention to buildings that don’t even exist yet. A construction team in Southern China is copying the Wangjing Soho, an office and retail complex designed by London-based architect Zaha Hadid that’s due to be completed in 2014. The designers behind the original project believe that the copycat architects may have based their own version on renders of the original building, but that wouldn't allow them to build an exact replica. Despite the drawbacks of working from a rough 3D model, the Chinese workers are outpacing construction of the original building.


It’s a phenomenon that seems to be pervasive in China, with one Dutch architect dubbing the pirates "Photoshop designers." The would-be builders simply copy and paste buildings into place on PCs, roughly plotting out the future landscape of a city. It’s a crude way of doing things, but the flexibility — combined with China’s cheap labor costs — certainly helps rapid expansion.


http://m.spiegel.de/international/zeitgeist/a-874390.html#spRedirectedFrom=www

Year 2013 will bring a paradigm shift in the real estate sector


http://m.economictimes.com/markets/real-estate/realty-trends/year-2013-will-bring-a-paradigm-shift-in-the-real-estate-sector/articleshow/17897691.cms

Year 2013 will bring a paradigm shift in the real estate sector
5 Jan, 2013, 1110 hrs IST, Prabhakar Sinha, TNN

Passage of Real Estate Regulation Bill and Land Acquisition Bill, sometime in the next few quarters this year will boost the sentiment of all stakeholders.

The passage of two crucial bills, Real Estate Regulation Bill and Land Acquisition Bill, in particular, sometime in the next few quarters this year will boost the sentiment of all stakeholders and herald a new order in the country's Real Estate , Pranab Datta, chairman of Knight Frank India, says.

The recent approval of FDI in multi-brand retail by Parliament will attract foreign investment , which will not only benefit the retail industry but also boost the demand for commercial real estate. It also showcases the government's seriousness in introducing reforms in India — and this is just a preview of things to come, Datta says.

Additionally, the RBI can be expected to lower interest rates in the coming months which will benefit developers as well as consumers. The change in sentiment on account of the above measures will have a positive impact on all the segments of real estate — whether it is retail, office or residential and will certainly make 2013 a much better year in comparison to last year.

Against this, 2012 has been disappointing for real estate as falling sales and rising construction costs dampened the market sentiment. This is reflected in the financial performance of real estate companies, which have taken a hit in their revenues and profit during the year.

Jones Lang LaSalle (JLL) in its report also said that the outlook for the real estate sector in the New Year looks promising in the NCR. However, all the stakeholders like consultants and developers feel that those areas where the prices have not peaked and world-class infrastructure like roads, parks sports complexes are being developed by the authorities concerned and developers will see the maximum appreciation.

Om Ahuja, the CEO of Residential Services of JLL, says that the supply trends in real estate indicate that it is in a state of flux. The supply of products priced below Rs 3,000 per sq ft is reducing markedly. From 43% in the fourth quarter of 2009, supply in this segment will come down to 8% in the same period of 2013. At the same time, supply in the price range of Rs 5,000-10 ,000 per sq ft is expanding. He said aspirational and affordability levels are driving such trends.

However, smart residential property investors will identify the right products priced below Rs 4,000 per sq ft in key growth cities as best options. In cities like Bangalore, Hyderabad, Chennai, Pune, Noida and Gurgaon, one can still find good projects in this price range for long-term investments, which would yield good appreciation .

JLL in its report on the NCR region says that areas like Dwarka Expressway, New Gurgaon-Manesar , Noida Extension and Noida Expressway show huge potential for investors as well as end users. It says that Dwarka Expressway, because of its infrastructural advantages and locational benefits, enjoys huge upside.

The area has been able to successfully withstand the heat that many other areas and pockets of the NCR faced. The price sustainability and appreciation trends of the recent past, and also its relative affordability, will continue to maintain investor interest and confidence . Other important areas to watch out for in 2013 for residential realty, the report says, will be New Gurgaon and Manesar.

The increase in commercial developments, its developing infrastructure, continuing affordability and the proposed connectivity via Metro and the expressway will put this region on the radar in 2013.

Noida Extension and Noida Expressway will continue to generate interest as more and more IT-ITeS companies shift their offices to Noida Expressway for its rental affordability when weighed against the rentals in Gurgaon, the Cyber City.

Noida Expressway will further increase its appeal as a residential hub. The comparatively better infrastructure, easy accessibility and availability of affordable options will appeal to investors and end users, the report says. Supply in this region will not be an issue and good levels of absorption with appreciation in capital values are a high possibility in 2013.

Om Ahuja of JLL also says that most research reports highlight factors like oversupply and low absorption. Cities with a high level of job creation continue to see high volumes of real estate supply and absorption. Cities with few or no economic drivers to spur the growth of employment fall behind, no matter what other factors seem to work in their favour, he says. Earlier, Mumbai and Delhi attracted most of the talent from rural areas.

Today, cities like Bangalore, Hyderabad, Chennai, Pune and Gurgaon have taken pole positions and are all set to overtake Mumbai and Delhi.
IT-centric cities like Bangalore , Hyderabad, and Pune, and to an extent Chennai, are now emerging as a whole new real estate proposition. IT companies there are expanding their campuses dramatically. Recently, WIPRO announced the imminent launch of its new facility and headquarters of nearly 2.5 million square feet in Bangalore. This facility will augment its existing campus, which already employs over 31,000 people. Trends and data points suggest that dynamics in these cities will be very different in the next few years.

Time-related value of money and inflation are two key parameters that one needs to take into consideration. A careful study of factors like growing population will show that intelligent investments in residential real estate in India will definitely pay off over the mid-to-long term.

Other important areas to watch out for in 2013 for residential realty will be New Gurgaon and Manesar. The increase in commercial developments, developing infrastructure, continuing affordability and the proposed connectivity via Metro and the expressway will put this region on the radar in 2013.

Besides, in order to arrest the slowdown in the economy, it is expected that the RBI will cut interest rates in 2013. This will also bring cheer to the real estate sector. The RBI has also instructed scheduled banks to not allow a rollover of loans given to real estate developers into the next financial year. This means that developers will see urgency in disposing of their unsold inventory in order to be able to raise funds to pay back their loans. This holds the potential for a major correction in residential prices in the NCR region.

Quick Bites

Additionally , the rbi can be expected to lower interest rates in the coming months which will benefit developers as well as consumers Arun Gupta