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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  • Dear All
    I support Maverick on his extensive knowledge on RE.I would have challenged him at times and i feel I am immature considering his vast knowledge.Even by looking at the data provided by gsvenkat it looks or it appears the RE is doing fine as for as Chennai is concerned 7.1 % from 2013 CAGR and 10 % on just this year which is definitely much better with regards to investment considering the cheap interesst offered by banks
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  • For RE King:
    You missed the bus on Eicher Motors and Sri Chakra Tyres 10 years before by quitting just because you had tendency to trade - gathered from your own post. It does confirm that you do not look for growth prospects grounded by reasoning and miss the forest for trees. By the same token, you are saying the land will do 15-30% in future - a parrot Josiyam for now. All I am asking is why and how? You have been evading this ever since while talking so much but never coming to the crux. If you do not answer, it corroborates that it is the same hip-shoot decision on Eicher/Sri Chakra with out any meaningful reason. Pray and hope is not an investment strategy. Looking at the rear view mirror (15-30%) and driving is equally dangerous.

    Pl get to the basics and focus on my message - not me or Moderators.
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  • Rangadorai:

    This is an anonymous forum. Respect should be carried and commensurate for what is being posted and on the sole merit of reasoning it stands on. Everything else matters less. Experience/Expertise/Veteran Status can all be misleading. Notwithstanding those who made 30% CAGR in the last 2 decades not having an inkling on why they got what they got. Being in the right place and right time is not bad but not knowing and realizing it is dangerous. Predicating on future using it is fatal.
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  • Insults/Flaming
    IREF was put together for people to come together and help each other, collaborate and discuss in a positive way – not bash on someone because you don't like their idea, or because they don't share the same views as you. We are big into the free speech idea here. So you're free to say what you think – but do it in a constructive and positive way. We encourage mature debates – discourage childish arguments. Personal attacks, insults, rudeness, racism, threats, name calling or unnecessarily inflammatory posts will NOT be tolerated. Common courtesy, politeness and respect for fellow members, along with constructive posting of opinions are essential in preventing posts from being edited and/or deleted, or having threads locked. Whilst we encourage healthy disagreement/debate, please maintain respect towards fellow members at all times.

    Off Topic
    Please make every effort to keep your posts relevant to the active thread topic. Detours usually take a thread wildly off topic, and invite others to do the same. Off topic posts (and any responses to such posts) may be deleted without notice.
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    1 Comments
    • RE King1 years ago
      Looks like Parrot josiyam is the relevant topic here! LOL!
  • Something new is happening. Just 3 weeks back a Hanu Reddy consultant was calling it a buyer's market. Suddenly today she is asking me to hold on and stating that there is a competition amoung buyers. Is the Chennai market waking up for another big uptick?
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  • Last time the tide lifted entire India. This time can't be same. Location is foremost important either for Rental or Cap Gain. However for next 20 years, India is the place to be for any investment.
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  • Something new is happening. Just 3 weeks back a Hanu Reddy consultant was calling it a buyer's market. Suddenly today she is asking me to hold on and stating that there is a competition amoung buyers. Is the Chennai market waking up for another big uptick?


    This is new: The term Hanu Reddy Consultant is an oxymoron. Plenty of Hanu Reddy listed properties quoted at 5-10% lower in property sites by owners. In my random checks with direct owners, it was quite apparent. You have to observe outside more than HRR broker feeds you with.

    What is new: People who invested hard earned money in RE in the last 10 years with a life goal attached has realized, 'liquidity' is an important aspect when one chooses an asset for investment. I know many who are in quandary with marriages/children's education money attached to realization of sale. To get liquidity, they need to mark down - they don't have the luxury because the unrealized gain is meagre.

    What is sad: Scores of RE investors of last decade, with 5-6 % IRR on their investments. Several properties(apartments) in prime areas such as Alwarpet, Adyar with sellers having a neat excel showing their plight and want at least their cost of capital paid as a minimal return expected on what they paid for these properties. They don't realize that markets are brutal and they can only sell at where buyers are willing to pay for.
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  • What is sad: Scores of RE investors of last decade, with 5-6 % IRR on their investments. Several properties(apartments) in prime areas such as Alwarpet, Adyar with sellers having a neat excel showing their plight and want at least their cost of capital paid as a minimal return expected on what they paid for these properties. They don't realize that markets are brutal and they can only sell at where buyers are willing to pay for.



    People can use Excels , Calculators etc and cry that they need to at least get bank interest for their property but markets have their own way of moving and sometimes you may have to just accept the fact that you made a mistake in buying the property , sell it for the rate that is being seriously offered , book the losses and move ahead . This applies not only to Properties but also for stocks and other investments . In stocks at least you can exit it and book the losses at the click of a button but in RE it is not very easy and you need to get a buyer first .
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  • Originally Posted by kubera2016



    People can use Excels , Calculators etc and cry that they need to at least get bank interest for their property but markets have their own way of moving and sometimes you may have to just accept the fact that you made a mistake in buying the property , sell it for the rate that is being seriously offered , book the losses and move ahead . This applies not only to Properties but also for stocks and other investments . In stocks at least you can exit it and book the losses at the click of a button but in RE it is not very easy and you need to get a buyer first .


    In one instance, seller just wants the investment principal back - in USD, when it was invested in 2007 !!. Has accepted the fact it was a lost decade.

    What many do not realize is, this is the beginning of the unwinding of the largest bubble created in India due to the funny money and not clean money. Unfortunate fact is, clean money will pay for it and cannot avoid the collateral damage.

    -------
    How Real Estate performed in a clean & transparent system in US (since 1980) - the country with one of the highest standard of living, high governance, great place to do business, sustainable economic growth leading the world with innovation. RE under performed the Cash (90 day T Bills) is the message that can shock anyone but that's the nature of the asset and generally accepted around the world.

    Absolute Returns since 1980 -

    Stocks +6100%
    Bonds +1500%
    Cash +420%
    Real Estate +330%

    ---------------------------
    From above, one can measure the extent of skew the funny money had caused in our system - no excel or modelling can forecast the unwinding impact on valuation. If India needs to move in the direction of growth and becoming a developed one, this unwinding is inevitable.
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  • From above, one can measure the extent of skew the funny money had caused in our system - no excel or modelling can forecast the unwinding impact on valuation. If India needs to move in the direction of growth and becoming a developed one, this unwinding is inevitable.


    With Aaadhar and PAN becoming compulsory in almost everything we use be it Banks , Cell Phones , Property etc etc there is very little scope to hide the illegal money except through GOLD , or through Hawala or through entering Politics . No doubt the fat Cats will always find a way to scuttle the system and escape scrutiny but it is going to be very tough for the normal Cats to escape scrutiny and hide their illegal wealth .
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  • It is crazy to compare US return with India. It is quite opposite environment. One have low inflation, low interest rate, matured market for other asset classes, aging population and decent social security. The other have complete opposite of the former. RE is one of the main components in the economy, and without this pillar other components can't sustain. For any asset class, when the price goes up or down, the mean reversion happens and that is what happening now in RE.

    It would take years to see normalcy in RE price. The RE price can't go to zero as some bears suggest. Still buyers have difficulty in getting right property at right price. Still builders are holding the price steady. For most of apartments, It used to be one forth the construction cost for total price, remaining land value. It is complete opposite now. One forth is land cost and remaining building cost.
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  • Unwinding of 2-3 decades of non-sensical build up using funny money has a strong lever has begun.

    Pillars supported the 'uncontrolled' growth of RE is being clinically dismantled.

    RE is not going to zero and may not even crash.

    But, standing still and not providing liquidity when investors need can wreak a lot of pain.

    Any investor in the last decade and more so in the last 5-7 years know the pain RE has caused without crashing and not even correcting more than 10%.




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  • All those RE stocks such as DLF, Vijay Shanthi etc. in last 2 years either doubled or tripled and some one saying RE investment caused pain. Even in NYC, selling or buying RE is not easy due to the process involved and Chennai or any other Indian city is no exception. Actually it causes pain for people who have been waiting for price crash for last 10 years and end up becoming with price out of reach. Those who missed the train, unfortunately missed it forever!
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  • Originally Posted by sunr2i
    It is crazy to compare US return with India. It is quite opposite environment. One have low inflation, low interest rate, matured market for other asset classes, aging population and decent social security. The other have complete opposite of the former. RE is one of the main components in the economy, and without this pillar other components can't sustain. For any asset class, when the price goes up or down, the mean reversion happens and that is what happening now in RE.

    It would take years to see normalcy in RE price. The RE price can't go to zero as some bears suggest. Still buyers have difficulty in getting right property at right price. Still builders are holding the price steady. For most of apartments, It used to be one forth the construction cost for total price, remaining land value. It is complete opposite now. One forth is land cost and remaining building cost.


    I beg to differ, I believe high RE prices are holding our economy. here are some examples,

    *I hope you wont deny the need of a bus terminal for south bound travelers. The huge traffic in GST from Guindy all the way through Perungalathur especially at Perungalathur is horrible, for a city like Chennai where 90% travelers depend on moffisul buses don't have proper facility in a needed area. everyone acknowledges the need and have consensus to bring a new terminal with good facilities. Govt is trying for 5 years now to identify land and acquiring them. They failed big time because they could not pay for the Land. we are losing infrastructure development because of the Land prices..

    *how many so called schools in Chennai have play grounds for kids? when I remember my school the first thing that comes to my mind is the big playground where we played endless soccer and cricket, the tracks to prove our mighty speed. I met my best friends in playground not in classroom. I feel pity for most school kids nowadays, what they have other than those four concrete walls to see. this is the development! in RE prices that gifted our kids.

    *High RE prices means, unsustainable rents for small businesses. eventually who could run a small business, will turn into a employee for a MNC killing his entrepreneur ambitions. unfortunately if one could not earn a professional degree against his/her name will have to fight a battle to prove their other valuable capabilities. not many realize high RE prices are killing dreams. even if someone own a chunk of RE now, doesn't mean that their next gen is safe.


    the day when the entire society realize that RE price is holding us back, the craze for RE will reduce. Govts will be forced to control RE Price as there could be revolutions, that need to be respected. I am not saying we are there yet but we will eventually be if the RE prices don't match with average income of the mass population. if RE prices cant correct then atleast the average incomes need a steep raise.

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  • Amazing how this board has been hijacked by bears! So RE is only to park black money...so say my friends here! You dont buy RE to live, only for it to appreciate...haha what a good joke. In a city like Chennai which is filled to its brim where people earn money and are asking for more money, where silly engineers are paid by the dozen, do we think they dont need a roof to live in. We are today importing huge crowd from Rest of India (cricketing parlance!?) to South India and Chennai, Bangalore and Hyderabad are getting choked. Add to this Chennai is choked with the entire TN crowd. A taxi driver few years ago explained that in his village somewhere in Tuticorin was filled only with old ladies and all the younger generation was making a living in Chennai. They only return to celebrate functions.What does this mean?
    Simple, scope for new building in the congested concrete jungle. That means competition for land and buildings. So why will RE fall? Only that our friends typical Madrasis, want the seller to sell desperately so that they can buy for a song. The hearing is that there is a big bang rise poised to happen in the next few months, probably it has started already. Let us take Aug 2018 and you wont get the same rate you get now, it will be quite high by then.Anyway listen to the bears if you dont have the dough, after all you can atleast dream that RE will crash to zero.
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