DELHI, HARYANA, BENGAL PLAN TO INSURE LAND TITLE

Delhi, Haryana, West Bengal, AP and Orissa are planning to insure land titles in their respective states. Land title insurance is an indemnity insurance against financial loss from defects in title to real property and from the invalidity or unenforceability of mortgage liens. It is meant to protect an owner's or lenders financial interest in real property against loss due to title defects, liens or other matters.

A one-time premium in this regard will be shared by the state governments and the primary lending institutions to provide land title insurance. According to industry analysts, many land deals fall through and many result in disputes due to unclear and defected land titles. Apart from companies, foreign investors are also wary of investing in Indian real estate due to the same reason. Insurance of the land titles will remove one of the major hurdles faced by investors in this sector. The move is expected to give a boost to FDI flow into the sector.

The product will act as a defence if there is a lawsuit attacking the title by providing reimbursement of the insured for the actual monetary loss incurred. It is available in many countries but it is principally a product developed and sold in the United States.

"At present, we do not have title insurance companies in India, but the same technique can be employed by banks and financial institutions and housing finance companies in association with the state governments," an official in the urban development ministry said. According to government officials, the move is set to boost confidence among the realty players and property buyers as the government itself will guarantee the validity of land titles.

According to experts, the land title insurance would only succeed if states take an active initiative in computerization of land records. Many states have started computerizing land titles and also get them audited to avert property disputes and to make property transactions transparent. In fact, there is a provision under the Jawaharlal Nehru National Urban Renewal Mission (JNNURM) for the states to computerize land records and titles for availing funds under the scheme for infrastructure development. Nonconformity would mean the deferment of central funding to the state. "Many states have started maintaining databases of land records and updating it from time to time," the official said. Land title certification begins at the village level itself.

RLYS TO SEEK BIDS FOR DEVELOPING VACANT LAND

Indian Railways plans to invite bids from real estate developers to set up commercial complexes on its vacant land, as part of efforts to increase revenue. In a written reply to Parliament, minister of state for railways R Velu also said private investment would be sought to modernise 26 major stations. The ministry has set up Rail Land Development Authority for commercial development of vacant railway land for generating revenue. "As per current thinking, railway land is to be given to developers for commercial development through transparent bidding process on long term lease basis for development work without any budgetary resources," he said.

Courtesy: ET dtd.25-04-2008

THE LAND BANK AGAIN, AND THE BENEFICIARY'S SHREE PRECOATED

The counter of Shree Precoated is witnessing sustained investment-based buying by investors. The buzz is that the company is going to register good numbers. Analysts say the company is expected to report a PAT of about Rs 240-250 crore on revenue of Rs 2,000 crore for FY2007-08. The company is looking to develop its 67 acres Kanjuurmarg property, which it had acquired for Rs 42 crore about 30 years ago. The current market value is estimated to be about Rs 4,000 crore. The total cost of the project would be to the tune of Rs 5,000 crore and would generate a revenue of about Rs 1012,000 crore over five years. It is already developing its Bhakti Park project in Mumbai. Analysts expect the company to achieve a total topline of about Rs 3,000 crore with about Rs 500 crore bottomline for FY 2008-09. This is largely due to low land acquisition cost and low debt. When contacted, company officials refused to comment on the same. The stock closed at Rs 195, down about 4% on Thursday.

'SPRINGDALE' EXECPTIONALLY DESIGNED ITALIAN HOMES IN WAGHOLI, PUNE

Inspired by the architecture of the land that gave the world its greatest works of art. From Michelangelo's frescos to Leonardo da Vinci's unrivalled Mona Lisa.

IDEB presents exceptionally designed Italian homes on the Pune-Ahmed Nagar Highway. The only residential enclave in Wagholi, one of Pune's fastest developing locality and soon to be a major IT hub.

Merely a hop away from Ranjagaon Industrial City Estate and a whisper away from MIDC's proposed SEZ. Yet housed in a cocoon of lush green open spaces. A haven in the name of home. A true bella figura in the Italian order.

Springdale is a FAR cry from the concrete jungles that outline most urban locales.

The homes here are exceptionally landscaped and carry with them a distinct flavor of Italian Lifestyle. Located in a calm, serene atmosphere with all facilities within reach, Springdale is spread over 23 acres, with ample space around every home.

The houses vary from independent villas, row houses, twin bungalows to apartments. Approximately 372 homes designed around international levels of amenities.

The individual villas are built around a central oval. Where you can stroll leisurely, like on the streets of Venice and rid yourself of the office humdrum. Or engage in a bicycle ride in open air, instead of sweating it out in the gym.

The row houses and twin bungalows afford a scenic delight only paralleled by the scenic marvels from Rome to Sicily and Pompeii to Venice. While the apartment balconies offer their own share of picturesque pleasures.
More information mail:Basavaraj_jote@yahoo.com

TIDCO, DLF INK MOU FOR IT ZONE

Chennai the Tamil Nadu Indusstrial Development Corporation (Tidco)and New Delhi-based real estate developer DLF Building India signed a memorandum of understanding (Mou) in Chennai on Wednesday to develop an IT SEZ at suburban Taramani at a cost of Rs1,500 crore. According to a state government release on Wednesday, the new SEZ will generate employment opportunities for Rs 45,000 people directly, while another 10,000 jobs will be created indirectly. The new SEZ is expected to come up in an area of 45 lakh sq. ft. The first phase of the constructon work on the scond phase (over 20 lakh sq ft) would be completed by 2011, the release said. Tidco officials were unavailable for comment.
Courtsy: BS April 24, 2008

MLD TO INVEST $4.5 B IN RESIDENTIAL PROJECTS

Mahindra Lifespace Developers (MLD), the real estate arm of $4.5-billion Mahindra Group, would invest close to Rs 800 crore in its six upcoming residential projects in Mumbai, Pune, Chennai, Delhi and NCR over the next 2-3 years, reports Pramugdha Mamgain from New Delhi. With the launch of its residential project in Faridabad recently, the company entered the real estate market of North India. The real estate firm is targeting a turnover of Rs 1,000 crore in the next five years against Rs 163 crore in 2006-07. So far, the company has completed projects in Mumbai, Pune and Chennai and is now entering the northern region. "With the launch of Chloris, the residential project in Faridabad, we made our presence in real estate market of the North. We are coming up with a similar project in Delhi spread over 17 acres," said MLD CEO Pawan Malhotra. He added the company is looking at expanding into other areas of the region including Chandigarh and Himachal Pradesh. Asked about funding plans for the projects Mr. Malhotra said, "We would be expanding in a phased manner. Initially, the funding would be primarily through internal accruals. It's only when we go about de-veloping the land further, we may resort to loans and private equity." While work on the Faridabad project has already commenced, construction of the project in Delhi is yet to begin. Work on the two projects coming up in Mumbai and one each in Pune and Chennai are also yet to commence. Currently, MLD has a land bank of 3 million square feet for residential projects

L&T GETS LAND FOR RS 3500 CR MUMBAI PROJECT

The property division of engineering and construction company Larsen & Toubro was on monday given possession of the land for commercial complex of seawoods Darave railway Station at Navi Mumbai the venture with the ity and industrial development corporation of maharshtra cideco, o ver 40 acres is estimated at the 3500 cr is to be develk9oped over thre yesra. This involes developing between foru and ive million saft of commercial space of office complexeds shopping malls star-hotels, multiplexes and service apartments. l&t baged the development rights for rs 1,809 crore in feb this year, outbidding other biggies such as DLF and Indiabulls