Builders

IAS officer, builders misused power in high-value fraud case, says ED

Former Vasai-Virar civic chief Anil Pawar and three others, held in a money laundering case, demonstrated a "deliberate" misuse of administrative powers and financial system to perpetrate a high-value fraud, the Enforcement Directorate told a Mumbai court on Wednesday. "Hawala and angadia" channels were used to launder the proceeds of crime, not just within Maharashtra, but across other states too, the ED told the special court, which later sent the quartet, including two real estate developers, to jail a week after their arrest. The hawala system refers to an informal channel for transferring funds from one location to another. Hawala operations are deemed illegal cash transactions in India. Angadias are traditional couriers who offer their services to transfer cash, diamonds and jewellery for a fee. Besides IAS officer Pawar, Vasai-Virar City Municipal Corporation (VVCMC) town planner Y Shiva Reddy and two builders -- Sitaram Gupta and Arun Gupta -- are the other accused in the ..

Docs to delayed complaint: Why homebuyers lose legal fight against builders

Another reason for buyers weakening their own case is making inflated or unrealistic claims

CBI books builders, bank officials in 22 FIRs for cheating buyers

CBI registers 22 FIRs against real estate developers and unnamed financial officials in NCR, alleging subvention scheme misuse and fraud under Supreme Court orders

Builders from other regions tap into Mumbai's redevelopment market

Mumbai's policy-level incentives for redevelopment and less capital-intensive nature of the business amid a lack of open land parcels, are attracting developers

Gap between built up area & carpet area rises in apartment to 40%: Anarock

The difference between super-built-up area and carpet area in apartments has risen over the years with builders increasing average loading percentage to 40 per cent across major cities to provide common amenities, according to Anarock. The average loading percentage was 31 per cent in 2019, and the same has risen to 40 per cent in the January-March quarter of this year, which means flat owners are getting less livable space. In its report, real estate consultant Anarock said that in residential apartments, the average loading factor is the difference between the super-built-up area and carpet area. If the super built-up area is 1,300 square feet and the carpet area 1,000 sq ft, then the loading percentage is 30 per cent. Prashant Thakur, Regional Director & Head - Research & Advisory at ANAROCK Group, said, "While RERA now requires developers to mention the total carpet area provided to homebuyers, no law currently limits the loading factor in projects." "Q1 (January-March) ...

EOW arrests Delhi builder for siphoning off crores from private bank

The Economic Offences Wing (EOW) of Delhi Police has arrested a real estate developer for allegedly cheating and siphoning off crores of rupees from a private bank, police said on Monday. The accused, Anil Mithas (52), a resident of Noida, is the director and majority stakeholder of a real estate group, the police said. The private bank had sanctioned loans of Rs 100 crore and Rs 65 crore in 2016 and 2017 for the construction of projects in Noida and Gurgaon by M/s Unnati Fortune Holding Limited (UFHL). However, it was found that Mithas had allegedly misrepresented facts and siphoned off the loan amount. In 2019, M/s Nupur Finvest Pvt Ltd, a financial creditor, approached the National Company Law Tribunal (NCLT), alleging that UFHL had mortgaged the same 75 flats with them and later with the private bank. The NCLT initiated insolvency proceedings and appointed an Insolvency Resolution Professional (IRP), who ordered an audit of UFHL. The audit allegedly revealed major financial .

Homebuyers should reject possession without OC, seek legal recourse

NCDRC finds Hamilton Heights guilty of unfair practice for giving possession without occupancy certificate; legal experts urge buyers to refuse handover in such cases

SC seeks CBI roadmap to unravel builder-banks nexus duping homebuyers

The Supreme Court on Tuesday ordered the CBI to submit a roadmap on how it plans to unravel the "builder-banks nexus" which has duped thousands of homebuyers in the NCR as it proposed to go into the root of the matter. A bench of Justices Surya Kant and N Kotiswar Singh said thousands of homebuyers were affected by the subvention scheme, where banks paid 60 to 70 per cent of the home loan amount to the builders without projects being completed within the stipulated time. Under the subvention scheme, banks disburse the sanctioned amount directly to the accounts of builders, who are then required to pay EMIs on the sanctioned loan amount until flats are handed over to homebuyers. After builders started defaulting on EMIs to banks, as per the tripartite agreement, the banks sought EMIs from the homebuyers. "We hope that there is no mafia involved," the bench said. The court directed CBI counsel additional solicitor general Aishwarya Bhati to submit a proposal outlining the investigat

Inspiring the Builders of Tomorrow: Unleashing India's Toy Industry Potential

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Consumer protection: Buyer entitled to market value if flat is resold

The National Commission condemned the builder for creating third-party rights during litigation, thereby depriving the buyer of a permanent roof over his head

Macrotech Developers to launch Rs 10,000 cr housing projects by March

Realty firm Macrotech Developers Ltd will launch nearly 8 million square feet of residential space in the second half of this fiscal with an estimated sales value of Rs 10,000 crore, as part of its strategy to expand the business. Mumbai-based Macrotech Developers sells properties under the Lodha brand. In its latest investors presentation, Macrotech Developers said it has launched a 3.6 million square feet area during the April-September period of this fiscal, with an estimated sales bookings potential of Rs 6,130 crore. During the second half of this fiscal, the company is targeting to launch a 7.9 million square feet area, having a revenue potential of Rs 10,000 crore. These projects will be launched in Mumbai Metropolitan Region (MMR), Pune and Bengaluru where the company has a significant presence. Earlier this month, Macrotech Developers reported a 21 per cent increase in sales bookings to a record Rs 4,290 crore during the July-September period on better housing demand. Th

National-level builder-buyer agreements for realty to be a reality soon

Santosh Kumar, vice chairman of Anarock Group, said that while RERA in respective states has been actively resolving consumer grievances, buyers often struggle to get their homes as promised

Eyeing expansion in South, West markets: Puravankara CEO Abhishek Kapoor

Kapoor discussed the factors driving revenue growth, strategy to strengthen the Southern market, project pipeline, and investment targets

Not in 'rat race' to be top builder in terms of sale bookings: Macrotech MD

Realty firm Macrotech Developers is not in a "rat race" to become the top builder in terms of sale bookings and will rather focus on achieving consistent and predictable growth with high-profit margins, its MD and CEO Abhishek Lodha said. Macrotech Developers, which markets its properties under Lodha brand, registered a 20 per cent growth in its sale bookings (pre-sales) to a record Rs 14,520 crore last fiscal from Rs 12,060 crore in the 2022-23 financial year. It has given guidance of achieving 21 per cent annual growth in sale bookings this fiscal to Rs 17,500 crore. When asked about the reason for setting a conservative sale bookings guidance considering that few players posted more than Rs 20,000 crore pre-sales in FY24 itself, Lodha told PTI, "We are not in any rat race and neither our shareholders are bothered about any such rat race." "We want to achieve consistent growth. Consistent growth and predictable growth with low leverage is very important and that is our business .

IPO-bound Arkade Developers plans Rs 700 cr investment in 3 projects

City-based builder Arkade Developers will be investing around Rs 700 crore in three projects in the megapolis that are expected to be completed over the next three to four years. Last week, the company received the regulatory nod to launch a Rs 430 crore initial share sale and part of the proceeds will be used for the investment. "We have earmarked Rs 698 crore for three new projects in the city -- Arkade Nest in Mulund (West), Deep Shikhar C Unit in Goregaon (East) and Prachi in Vile Parle (East). "Phase 1 of Arkade Nest is a luxury project and is already on. Going forward, our focus is on blended model of greenfield and redevelopment. The Goregaon and Malad projects are redevelopment units," Amit Jain, Chairman and Managing Director of Arkade, told PTI on Monday. Currently, the company has five ongoing projects. Arkade Nest is a Rs 427 crore-project while Prachi and C Unit projects will be worth Rs 178 crore and Rs 94 crore, respectively, totalling the overall investment at Rs

CREDAI asks developers to focus on green construction, seeks ITC in GST

The real estate sector has been growing phenomenally in the past two years on strong consumer demand and there is a need for developers to focus on green construction, realtors' body CREDAI President Boman Irani said on Friday. Irani was addressing the 21st CREDAI NATCON conference being held here. Around 1,400 real estate developers are participating in this event. "Real estate has been growing phenomenally," Irani said. Housing sales have risen sharply in the last two years as consumer demand revived strongly post-COVID pandemic. CREDAI Chairmam Manoj Gaur said it is the best time for the real estate sector and the momentum would continue if developers do not commit past mistakes. Irani highlighted the importance of the real estate sector, which is contributing 7-8 per cent to India's GDP. The CREDAI president pointed out that the construction sector contributes 26 per cent to global pollution and asked its developer members to focus on green development. "We have to be ...

Builders complete 86% of 1,642 projects launched in Jul'17-Dec'18: Anarock

At least 86 per cent of the total 1,642 housing projects launched between July 2017 and December 2018, across seven major cities have been completed so far, helped by tighter regulations under realty law RERA, according to real estate consultant Anarock. These 1,642 housing projects are registered under the real estate regulatory law -- RERA. However, in terms of number of residential units, the developers have completed only 71 per cent of the residential properties that they launched across seven cities during these 1.5 years. These cities are Delhi-NCR, Mumbai Metropolitan Region (MMR), Pune, Bengaluru, Chennai, Hyderabad and Kolkata. "When it comes to ensuring timely delivery of residential real estate projects, RERA has delivered resoundingly, wherever it has been fully deployed," real estate consultant Anarock Chairman Anuj Puri said. "The overall completion rate of 86 per cent across the top seven cities in the 1.5 years following RERA implementation is remarkable, especiall

Noida Authority CEO meets 24 builders over Rs 26,000 cr dues, buyers' woes

Noida Authority CEO Lokesh M on Friday held a meeting with two dozen real estate developers to discuss the recovery of Rs 26,000 crore in pending dues and difficulties faced by home buyers in 60 group housing projects, officials said. Expressing angst at the situation, the CEO directed his department that action, including the issuance of recovery certificates, should be initiated against builders who have not cleared their dues against the plots allotted to them, the Noida Authority said in a statement. The information regarding the dues should be published in the newspapers and the project site. Boards should also be installed at the project site's gate mentioning their liability towards the authority, he directed his officials. The senior IAS officer, who took over as the Noida Authority CEO last month, noted that every working day in public hearings in the authority, AOA (residents' associations) and flat buyers complain about the poor quality of the building constructed in the

Need credible framework to differential good & bad builders: Housing Secy

Housing and Urban Affairs Secretary Manoj Joshi on Monday pitched for a "credible framework" to differentiate between good and bad real estate developers, enabling the realty sector in accessing credit easily from banks to build projects without being dependent on customers' money. Addressing a real estate conference organised by CII, the secretary noted that real estate projects, especially housing, are largely funded through customer advances and said this model needs to be changed. He suggested that the credible framework could be a rating system and appraisal of past performances. Joshi pointed out that one of the main reasons for the delay in the construction of projects is cash flow issues. He said there is no bank finance at the level of main contractors and small vendors, which leads to project delays and cost inefficiencies. "Are we helping our economy by not providing finance to such an important segment of our economy?" he asked. "We are hurting far more," he quipped. "

Govt to set up panel to work on model builder-buyer agreement: Official

The government has decided to set up a committee to work on a model buyer agreement to help streamline the homebuying process and protect consumers from potential abuses, among others, a top government official said on Tuesday. The committee that will draw members from judges, national and state consumer commissions, various consumer bodies, lawyers as well as from the Ministry of Consumer Affairs, is expected to be in place within the next three months, Consumer Affairs Ministry Secretary Rohit Kumar Singh told reporters here. The official earlier addressed a round table conference on 'How to Effectively Redress the Grievances Pertaining to Real Estate Sector', in the city, hosted by the Department of Consumer Affairs, in association with the Government of Maharashtra. The problem (dispute between the home buyers and the developer) could be resolved quite to an extent if the contract between a builder and a buyer is standardised and uniformity is brought about. It should be a uniq