Hi Friends,

I had been to the FAIRPRO '09 Fair.My Impression after seeing, is that prices are stagnating for all ongoing projects and builders are trying hard to hold them up.

Prices are 10-20% lower for new projects in the pipeline and for ready to occupy flats.

The discount offered at the stall was very less and were in the range 150-500 Rs/sqft max.

For the benefit of fellow members I am posting the project/price details of some of the properties.



Akshaya Foundations

Adora - OMR - 3750/sqft
Aikya - Adyar - 12500/sqft

Alliance Group - Orchid Springs - 3199/sqft

Arihant Foundations

Heirloom - Thalumbur - 2499/sqft
Escapade - Thoraipakkam - 4150/sqft
Villa Viviana - Maramalai nagar - starting from 1 Crore

Asvini Foundations

Amarisa-phase1 - Ramapuram - 4500/sqft
Amarisa-phase2 - Ramapuram - 4250/sqft
Akshita - Madipakkam - 3800/sqft

Casa Grande

Riveira - Palikkarnai - 3450/sqft - before discount 3600/sqft
Silver Oak - Perungudi - 4300/sqft - before discount 4500/sqft
Madhuban - Madipakkam - 3300 /sqft - before discount 3500/sqft
Mylapore - R.K.salai - 12500/sqft
Plots
Ponmar -785/sqft - before discount 825/sqft
Maraimalainagar - 790/sqft - before discount 825/sqft

CeeDeeyes - Chenni Pattinam

Basic Rate - 1600/sqft All Inclusive - 2075/sqft

Chaitanya shanthiniketan

Sunnyvale - Ayanavaram - 4850/sqft
Serena - Rajkilpakkam - 2550/sqft
Gardenia - OMR - 1900/sqft
Green Park - Chitlapakkam - 3300/sqft

DLF

Gardencity - 3200/sqft - was told slash in prices expected in coming weeks.

Doshi Housing

Etopia I and II - Perungudi - 3895/sqft
Nakshatra - Tambaram - 2995/sqft - Completion May 2010
Tranquil - Velachery - 5500/sqft - Completion February 2010
Trinity park - Santhoshpuram,Vengaivasal - 3195/sqft - Completion April 2009
Serene Couny-Villas - Santhoshpuram,Vengaivasal - 2200,2600/sqft
LlanStephan - Chetpet - 9000/sqft - Completion May 2009
Sri Mahalakshmi - Ayanavaram - 4495/sqft - Ready to Occupy

ETA

Rosedale - OMR - 3100/sqft
Le Chalet - Villas - Sriperambudhur - 26 Lakhs - 37 Lakhs

Hiranandani Upscale - 4200/sqft

Hiranandani Palace Gardens - 3475/sqft

Indus Housing

anantya - Navalur,OMR - 2299/sqft + 400(other charges)
riviera villa - Navalur,OMR - 90 Lakhs onwards
habittera - urapakkam,GST - 2399/sqft + 400(other charges)
amber - Saidapet - 4750/sqft

Jain Housing

Ankush Prakas - Kilpauk - 7500/sqft - Ready to occupy
Amrit Kailash - Strahns Road - 4500/sqft - Ready to occupy
La Gardenia - Nungabakkam - 7500/sqft - Ready to occupy
Ansruta - Valluvarkottam, nungabakkam - 10000/sqft - Ready to occupy
Antariska - Kodambakkam - 4500/sqft - Ready to occupy
Eiffel Garden - Vadapalani - 4250/sqft - Ready to occupy
Saagarika - M.R.C Nagar, sea facing - 10000/12500 - Ready to occupy
Green acres - Pallavaram - 3900/sqft - Ready to occupy
Abhishek - Selaiyur - 3500/sqft - Ready to occupy.

Jamals

Orchid - Palikkarnai - 3500/sqft
Palazzo - keelkattalai - 3700/sqft
Grandeur - Velappanchavadi(near saveetha dental college) - 3200/sqft

KGEYES

3 Projects on L.B.Road, Thiruvanmiyur - 6650/sqft
Delmare - Beach road,Thiruvanmiyur - 7000/sqft
Carolina - Velachery,Taramani - 4500/sqft
Swathi - Sastri Nagar,Adyar - 8500/sqft
Kalakshetra - 8000/sqft

Landmark Constructions

Tiara - Perungudi - 4000/sqft - Completion on August 2009
Aston Ville - Vadapalani - 5500 sqft - Completion on July 2009
Tudors Place - K.K.Nagar - 6500/sqft
The Address - Adyar - 11500/sqft
The Grange - Palavakkam - 7500/sqft
Cenralia - Chrompet - 2950/sqft - prelaunch
Gem Towers - AnnaNagar - To be launched.
Mahalakshmi Heights - Ashok Nagar - To be launched

L&T Estancia
Construction in Progress
1st-3rd Floor - 3950/sqft
4th -12 floor - floor rise charge of 20/sqft for each floor
13th - 17th - 4450/qft

L&T Eden Park - 3600/sqft

Mantri Synergy - OMR
2800/sqft - with 20/floor rise
Special offer - First Floor - all inclusive
1140 sqft - 33,67,000
870 sqft - 28,50,000

Navin Housing

Dayton Heights - Nelson Manickam road - 6500/sqft + 30/sqft floor rise from 2nd floor
Subha Mangala - Ramapuram - 4200/sqft
Brookfield - Nanmangalam - 3500/sqft
Merrylands - Medavakkam - 3500/sqft

Olympia Opaline - 3441/sqft - spl budget flats available

PACE Builders

Anna nagar west - 4195/sqft - before discount 4495/sqft
Selaiyur - 3195/sqft - before discount 3495/sqft
Valasarvakkam - 2795/sqft - before discount 3295/sqft

PS Srijan

The Grand - Velachery - 5250 sqft - before discount 5500/sqft - Floor Rise applicable from 4th floor

Rajparis

Harmony - Medavakkam - 3100/sqft

Rajarathnam Constructions

RC Prince Gardenia - Perambur redhill road,Kolathur - 3600/sqft

Rajkham

Independant houses - Ayyapathangal - 2600/sqft

Real Value

Sai Skanda - Velachery - 4200/sqft
Sai Surya - Palikaranai - 3800/sqft
OMR opp SIPCOT - 13.20 Lakhs onwards

Shriram Properties

Trishakti - SIPCOT - 2750/sqft
Shankari - 1990/sqft

Sidharth foundations

Tulip - k.k.nagar west - 4800/sqft - completion march 2009
Natura - medavakkam - 3100 /sqft - completion july 2009
Visvaleela - Annanagar - 8500 /sqft - to be launched
Dakshin - Urapakkam - price TBD - to be launched
upcoming projects in porur, thoraipakkam, rajkeelpakkam, mogappair.

SIS

Safaa - Urappakam - 3150/sqft

SSPDL

Crescent - Kelambakkam - Vandalur Road - 2500/sqft
Upcoming 2 villa project one in OMR and one in Sriperambathur.

Sumanth & Co

Thiruvanmiyur - 6000/sqft
Besant Nagar - 11500/sqft

TVH

Lumbini square - Pursaiwalkam - 5500/sqft + 30/sqft floor rise from 5th floor
Ouranya Bay(Premium) - OMR,Padur - 3100,3200 + 25/sqft floor rise from 5th floor
Ouranya Bay(Budget) - 2bhk - 20 Lakhs
3bhk - 30 Lakhs
Ekanta - Coimbatore - 3100/sqft
Revata - Mogappair east - 4500/sqft
Kamya - K.K,Nagar - 7000/sqft
Metro Golden Nest - Sriperambathur - 1bhk - 15 Lakhs
2bhk - 22 Lakhs
3bhk - 28 Lakhs

VGN Group

Minerva - Mogappair,Nolumbur - 2975/sqft
3 in 1, 4 in 1 - 3800/sqft
Mahalakshmi Nagar,Thiruverkadu - 3500/sqft
Plots
Mugalivakkam - 52 Lakhs/grnd
Selaiyur - 50 Lakhs/grnd
SPKoil - 34 Lakhs/grnd
Katankulathur - 22-27 Lakhs/grnd

Yuga Homes

Shem Park - chemmenachery - 3300/sqft
Upcoming in Koyambedu, R.A.Puram(8000/sqft)



There are lots of properties and also lots of potential buyers.There is sure a sense of uncertainity among the builders and also the buyers on when to make the next move.It was evident that correction in RE prices have started to happen.

Requesting members to respond with their thoughts on the current trend.
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  • We see indirect price discount from unsold huge inventory projects Orchid Springs freebies, first year interest rate at 4.99%, Puravankara interest rate cut for first year etc. but really we don't see any such reduction on value products like PBV, Hira, other few.......will it happen in due course - say 1-2 years or the market will pick up and these builders will keep it tight until then.
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  • Unfortunately no sign of price reduction.
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  • Originally Posted by Haojin
    but really we don't see any such reduction on value products like PBV, Hira, other few.......will it happen in due course - say 1-2 years or the market will pick up and these builders will keep it tight until then.


    Keeping the prices as-is, in a high inflationary environment itself is like a reduction.

    Prices are above affordability now for end users. If the prices remain stagnant for another 2-3 years, there might be some increase in take rate.

    Hira is offering some small discounts on Amalfi. They are offering 5200 base if they can hit 64 units. Not sure if they can hit their sales target so the offer might be in question.
    Might be attractive for some if they can stretch out the payment plan even more.

    PBV is highly inflated. Pretty much most people are paying 2020 price now itself.
    I do not like the prices, unless they give a huge discount.
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  • Pricing is really one's opinion on value. the same opinion can drastically differ with different market conditions.
    Lets look at what is so gloomy about indian market today. granted there is complaints about frozen salary hikes and less hiring in the IT segment, but the broader macro indicators looks pretty strong and particularly market feels strong about the RE sector.
    If the broader thinks that RE segment is going to be in trouble , please explain why the CNX realty index shows it completely different.

    Calling a project's pricing is forward priced and that too 2020 is purely shooting from one's hip, there is no proof nor a model to show how 6200 will be the price per sqft in PBV in 2020, can any one explain ? NO

    I came across another property and a developer contacted me about this layout - see attached -
    Pricing in this layout is 4200 rs a sqft

    Another example is Porur garden - CMDA approved plots pricing is around 4000-4500 rs a sqft .

    If you factor the land cost in this area to what prestige / mainroad project the pricing is correlated

    IN the PBV thread i have voiced multiple times my opinion about PBV pricing (many of my friends bought in at 4400 and i passed cautiously the opportunity), im only picking this as an example to show that some times folks in this forum have an opinion about valuation which is not connected to the market reality in that area.

    If you have to buy a main road project in Porur Iyappanthangal area what are your options - and what are the price comparisons, start there and lets argue if this is the right valuation or is it 2020 price/
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  • Just because someone pays so much for smaller plots, you cannot expect flats to get corresponding rates.

    TNHB Shols - You guys say 4K psft for plots. Flats are being sold at 4-4.5K with no takers.
    I have been saying 3-3.5K tops for apt in that project right from the beginning.

    Iyyapanthangal, Porur - If the land is sold at 4K, how can flats sell at 6.2K and that too it is only the base rate.
    It is super expensive when extra charges are added which could be another 2K+.

    Let's say if I consider both Porur and Shols are areas with similar prospects.
    If I say PBV is a value, I cannot say TNHB Shols is a bad deal.

    I remain consistent in my views, both are overvalued.

    Individual plots might have demand from non-endusers and NRIs. But Flats do not trade at same levels.
    They always trade much lower. Especially in slow markets it could be even bigger gap.

    Builders like Prestige will always make money. It is not their land. Most Bangalore builders do JV projects. The landowner loses more money, Prestige is not incurring any cost in form of interest payments, so slow sales do not impact them a lot. Even if they buy land, they buy it at 1/4th the price of small plots or even less.
    Builders do not pay retail prices in suburbs, they cannot do big GCs at such high prices. They do keep flat prices high to recover inflation in construction costs and maintain their profit margins.

    To make thing even more clearer, My opinion is that even land prices are jacked up in many areas.
    I would not pay 4K for land in both TNHB Shols or Iyyapanthangal. Again this is if it was my money.
    I am keeping my money in stocks and fds. I will stay away from Builder stocks.
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  • Lets look at what is so gloomy about indian market today. granted there is complaints about frozen salary hikes and less hiring in the IT segment, but the broader macro indicators looks pretty strong and particularly market feels strong about the RE sector.


    There is no gloom as portrayed through price correlation. Prices do not move, not many takers and hence there is a gloom can be a bad inference. It is the stupid price that should be the focus. There are still takers for the project positioned and priced right. Good and small time builders are still selling with out advertisement because they 'get' the market and price it right. During the non-euphoric times, people become selective and choosy.

    Euphoric period is an aberration and there are periods where salary hikes are nominal/hiring is sub-par which lasts much longer than periods of euphoria. Markets have a way to adjust and if we think that prices paid in euphoric time to keep rising in a linear fashion, it is a problem with our thinking. If the prices stop rising, there need not be a gloom and markets can still be fine.
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  • I dont think you can compare prestige pricing to TNHB in shols, its called comparison by comfort.
    Im not a flat buyer but i looked at a few developments that are non -TNHB and the pricing are in 5500-6000 in that area .
    Khurinjis Gloxinia, Chennai is one example.

    From a social infra standpoint porur main road is much ahead than shols area particularly the TNHB corridor.
    So its not even a good comparison.
    The problem with PBV is just the extras they charge, 2 of my friends bought 3BHK at 4400 entry price, but total end cost was 1.15C plus interest charges for 3 years.
    That was the main reason i pulled out. The worst part is they would deliver all 2300+ units the same time, which kills all rental prospects if you are an investor.
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  • TNHB apartments in shols cannot be equated to PBV in porur merely based on land prices. One is a soviet style govt housing project while other is a private township with clubhouse and other amenities.

    Also land prices need not directly correlate with prices of gated community apartments. It is like saying McDonalds must price their burgers based on selling price of wheat, tomato, chilly, chicken, spring onion, etc... Or comparing McDonald's pricing with road side canteen and accusing McD of selling overpriced commodities.

    Value of a product = sum of raw material cost + labor cost

    This formula may be true in bygone socialistic economy, but not anymore. People have lot of choices and demand a product that meets their specific requirement. They are also willing to pay premium for it.
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  • Originally Posted by Love4land
    TNHB apartments in shols cannot be equated to PBV in porur merely based on land prices. One is a soviet style govt housing project while other is a private township with clubhouse and other amenities.


    I am equating it price wise. Forum members put the same value in both TNHB and this thread. I am not comparing features or pros/cons of one area vs other. I would let rest of forum members decide if Soviet style is better or otherwise. Of course you have plus points of OMR, there are various other factors. Area comparison is outside the topic.

    My point is flats cannot sell at 6.2K base + whatever extras (2K or so) in areas where plots trade at 4K. Again this is my personal valuation, not everyone is forced to accept it. I am not the market.
    Same goes with TNHB. Govt cannot sell flats at 4.5K in that area. I assume 1K premium for better construction in private development. My price point for flats in TNHB Shols is 3-3.5K. For private developer in the same league as Prestige with all the features in Shols I might consider 4-4.5K. Still would be lower side if it was my money.

    If people found these projects as deals they would not be in discussion.
    They would have been sold out long time ago.

    Originally Posted by Love4land
    Also land prices need not directly correlate with prices of gated community apartments. It is like saying McDonalds must price their burgers based on selling price of wheat, tomato, chilly, chicken, spring onion, etc... Or comparing McDonald's pricing with road side canteen and accusing McD of selling overpriced commodities.

    Value of a product = sum of raw material cost + labor cost

    You are contradicting yourself.

    McDonald Burger ~= Sum of Wheat, Tomato, Chilly, Chicken, Onion, etc + Labor + Margin.

    McDonald's labor and margin might be different from roadside canteen.
    But if prices of ingredients or labor goes up, McDonald's will increase prices.
    They will not sit and take a loss. It is a multi billion dollar company with shareholders demanding higher profits.


    Originally Posted by Love4land
    This formula may be true in bygone socialistic economy, but not anymore. People have lot of choices and demand a product that meets their specific requirement. They are also willing to pay premium for it.

    Yes, people have choices. Wouldn't Prestige sold all it is apts by now after so many years.
    Why are people not paying premium for it.

    Is it possible that people do not see value in it.
    Is it possible people think it is unaffordable.

    Listen to market, observe the take rates.
    You, me and rest of forum members might be totally wrong from what is happening on the ground.
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  • How is OMR an advantage for TNHB flats in Sholinganallur? They couldn't have launched it in a worser location. Buyers are spoilt for choice in that locality. You have apartments at various price ranges and targeting multiple classes. We have projects like Euphoria as well as Renuka Sangamam in the same locality.

    Porur is a different matter altogether, PBV was the first major township in that area. It is also a natural extension of Central chennai. They have a huge untapped market comprising of well to do non-IT buyers who want to live in Gated community.
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  • If this is your money, what prices will you buy plots in these two locations.
    Also what prices would you buy flats in these locations.
    Will you buy PBV, TNHB Shols flats? Prices?

    Would like to know how much your opinion varies from market list prices.
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  • RE Sentiment in India

    Buying property: Silly money or sound investment? - CNN.com

    Saw the perception of bubble building up in India! Looks like most of the Indian visiters s of CNN site feels it is RE crash soon!
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  • In Anna Nagar Railway Station, Canal works got over. There may be a Link Road will be constructed from Inner Ring Road(IRR) to Thirumangalam Road inbetween Anna Nagar Railway Station and Agathiyar Nagar.

    This Link Road may be a 100 Feet Road, which starts between Padi Flyover and Anna Nagar West depot in IRR and ends in Thirumangalam Road.

    If a road comes up here, Anna Nagar Railway Station can be easily accessed from IRR also. Now it has a entry and exit in Thirumangalam Road only.

    So, train services may resume and more number of users use this train from Anna Nagar.

    This road will greatly benefits the residents of surrounding area.

    Also, there is a plan for connecting Anna Nagar Tower Metro Station with Anna Nagar Railway Station. This would benefit this area, which is already well developed and will increase the property prices also.
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  • I dont want to start a controversy, but PBV was and is overpriced project. All this talk of no decent options around Porur is not right. Navins, Sidarth have good projects much before PBV. Osian Chlorophyll, SS Solitarie and Vijay's Ten square are very good options in terms of location. Also 1-2 projects in Manapakkam.

    Yes, PBV is a much larger area than these, but this is only if you are ready to bear TLP scheme, extremely high extra costs, are ok with delay in getting corporation water/drainage (compared to Porur).

    Being closer to Main road even if 5 kms away from a hotspot is a very subjective thing. Many still prefer being 1/2 km away from Main road but in a better location.

    Also we still need to wait and see how PBV STP and other infra inside function, once so many families move in. There is a chance of chaos like Mantri.

    About Land costs, I am sure PBV wont have bought it at 4K, they would have hardly spent 1.5 to 2 K when they bought it. So even then 4.4 K was a shocker for someone who has done nothing yet in Chennai, altho they quickly went to 4.8 K
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  • i am selling my land of 5 acre in sriperumbudur near chennai for Rs 350/sqft.
    if anybody interested pls call 9445579363 ( pugalenthi )
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