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.
Read more
Reply
2351 Replies
Sort by :Filter by :
  • reChennai is absolutely right. Let me just narrate a few examples.In last couple of months,I overheard very random conversations in MTC Bus, in restaurant, in a medical shop about how real estate has appreciated so much, how people missed bus in investing in a flat or plot in chennai in last few years. Now just roll back to 2010 November, we had everyone talk about the share market and MOIL public issue and then in 2008 January (when everyone was talking about Reliance Power IPO). And these were times when the share markets peaked.

    I am convinced that RE has peaked for now in Chennai. How it will play out is simple - the economy is not doing so well - we have so much inflation and with severe power cuts, there will be less recruitment in this year and after. Even IT Companies are not going to recruit with same strength this year. All this will reflect in lesser purchasing power down the line and end result is people will refuse to buy RE at higher prices. We wont realize this right now but by next year (2013) this will be apparent.

    Again, I would also like to say that like in past, the correction in RE Prices will hit some areas more than others. In 2007, OMR kind of peaked and 2008-09 was bad for OMR. In 1997-2001 period, CBD saw most slowdown. Now I suspect that GST Road beyond Tambaram - Oragadam, Vandalur, East Tambaram and beyond are priced to perfection . Not saying these places are bad, there is no doubt that in next 10 years and beyond these places will flourish as wonderful residential areas, but it is also likely that we can have a sharp correction in these places. As always, this is my personal view,do exercise due diligence.
    CommentQuote
  • The reason I bought this topic was, I am finding resale ADs which i keep bookmarked, display "This property not listed any more" when I access them by next week. I guess the steady power cuts in the suburbs+ stagnant infra is causing people to opt more for resale flats within the city limits even it its 25 yrs old!

    A builder in Kovilambakkam openly told me that he started his project and priced it at 4.5 instead of 3.8-4k relying on NRI investment, since his previous project was a success due to the same reason. He was telling me how the cool down is affecting his sales and was ready to negotiate upto 4L on the total price, now!
    CommentQuote
  • All this talk about a RE cooldown and here I thought it was it was going up looking at the number of builders on OMR and GST. Does this mean that it would be wiser to refrain from buying property and expect a decline in price? (At least in OMR).
    CommentQuote
  • Originally Posted by sarevok
    All this talk about a RE cooldown and here I thought it was it was going up looking at the number of builders on OMR and GST. Does this mean that it would be wiser to refrain from buying property and expect a decline in price? (At least in OMR).


    Nothing like that atleast in Chennai.

    I was also expecting the same " cool down" in the year 2008-2010. But it remained steady. Infact from 2010 to 2012, there was further increase in prices of the apartments in the chennai core city areas and in OMR as well.

    Yes areas like sriperumbudur,Oragdam,MWC and beyond kelambakkam/tiruporur in OMR prices will not see any sharp increase in another couple of years
    CommentQuote
  • Originally Posted by sarevok
    All this talk about a RE cooldown and here I thought it was it was going up looking at the number of builders on OMR and GST. Does this mean that it would be wiser to refrain from buying property and expect a decline in price? (At least in OMR).


    What we are seeing in Chennai is not a slowdown, but stabilization and Oversupply.Every few years after hectic increase in price comes a period of profit booking, which will be followed by stabilization period .There will not be any heavy decline, not atleast in OMR. The rates here has been stagnant for a couple of years and due to higher supply, the rates might not increase for some more time. You might see many offers like modular kitchens, Fully furnished kitchens, Fully furnished homes, free car parking, etc in the near future. You can also see the builders' attitude change from being arrogant to being ready for negotiation.

    If You are looking for end-use, You can still go ahead and buy. You wont see much of a difference in the long-run. If You are interested only in investment, expect more lock-in periods and lower returns.
    CommentQuote
  • Originally Posted by sarevok
    All this talk about a RE cooldown and here I thought it was it was going up looking at the number of builders on OMR and GST. Does this mean that it would be wiser to refrain from buying property and expect a decline in price? (At least in OMR).


    In Chennai infrastructure has broken for any substantial new development.

    You need to look at OMR, GST, Oragadam, Poonamallee High Road. Are there any big builder has successfully delivered and operating 1000 plus dwelling communities ? So far I have not seen any successfully operational communities of big scale in Chennai.

    Only small and medium scale projects are operating. All new projects are having cramped (10 acres 800 dwellings) layout which creates problem for living.

    In the absence of any credible large community projects, people are skeptical about RE investments. Some NRIs caught off guard; since they are not affected by delays or infrastructure issues, they just ignore these problems. But speculators are not finding Chennai market attractive since rates are stagnant for 3-4 years.

    Only builders proxies(typically Marketing teams, relatives) pretending like end use buyers purchasing at higher rates so that market gets an illusion that RE prices are increasing.

    Of course this is also based on my first hand experience where my builders Marketing head along with his relatives bought 6-8 units at a higher rates to keep up the rates.


    Sent from my iPad using Tapatalk HD
    CommentQuote
  • One more price increase is likely by 250-300 in OMR by many Builders once the EP Phase 2 by L&T is announced in soft launch at 5100
    CommentQuote
  • Originally Posted by RaviCbe
    One more price increase is likely by 250-300 in OMR by many Builders once the EP Phase 2 by L&T is announced in soft launch at 5100


    Are You sure that is the launch price? Seems very expensive for non-Villa apartments in that location.
    CommentQuote
  • Yes,5100 at Siruseri is high
    CommentQuote
  • They maintained 3600-3750 for 4-5 years in Phase 1 and considering the current GV increase payable for premium FSI, they may have to factor in this at price with different spec or maintain lower or equal price with completely different spec . They may adopt former one by pricing at 5100 and maintain it until the phase 2 gets completed for having established the township already .

    Originally Posted by cruise_1982
    Are You sure that is the launch price? Seems very expensive for non-Villa apartments in that location.
    CommentQuote
  • Originally Posted by RaviCbe
    They maintained 3600-3750 for 4-5 years in Phase 1 and considering the current GV increase payable for premium FSI, they may have to factor in this at price with different spec or maintain lower or equal price with completely different spec . They may adopt former one by pricing at 5100 and maintain it until the phase 2 gets completed for having established the township already .


    When I factor in the Land rates in Siruseri(which is around 25-35 Lakhs/ground around EP), L&T rate seems too high. Their rate seems to be on par with Sholinganallur, where a 2400 Sq.ft plot sells for 80L-1C. Hope L&T comes up with great specs to justify the base price for Phase II.
    CommentQuote
  • Originally Posted by cruise_1982
    When I factor in the Land rates in Siruseri(which is around 25-35 Lakhs/ground around EP), L&T rate seems too high. Their rate seems to be on par with Sholinganallur, where a 2400 Sq.ft plot sells for 80L-1C. Hope L&T comes up with great specs to justify the base price for Phase II.


    Giving great spec on paper is easy for any builder (with finer prints). I know the builder I have invested gave "Luxury" grade specs when he started in 2007 (around 4400 Psqft then) but slowly when market started going south (until Rs 2800 psqft including fully furnished one), the spec also carefully reduced and became budget flat.

    I have seen this happening in most of the builder - otherwise builder would delay your possession (after having paid nearly 90% and keep you waited for 3 years) indefinitely like in 99% of the OMR projects.

    Buyer must be extra careful, prudent and extra conservative (especially those who do not have inherited properties or wealth, and solely dependent on their own white income). I know many investors of 2007 based on hearsay invested Crore later backtracked and lost quite a bit.

    Low entry point is the best bet.
    CommentQuote
  • Originally Posted by Ramchi
    Giving great spec on paper is easy for any builder (with finer prints). I know the builder I have invested gave "Luxury" grade specs when he started in 2007 (around 4400 Psqft then) but slowly when market started going south (until Rs 2800 psqft including fully furnished one), the spec also carefully reduced and became budget flat.

    I have seen this happening in most of the builder - otherwise builder would delay your possession (after having paid nearly 90% and keep you waited for 3 years) indefinitely like in 99% of the OMR projects.

    Buyer must be extra careful, prudent and extra conservative (especially those who do not have inherited properties or wealth, and solely dependent on their own white income). I know many investors of 2007 based on hearsay invested Crore later backtracked and lost quite a bit.

    Low entry point is the best bet.



    Please don't make subjective allegations like this about all builders or about a particular location like OMR.

    Many good projects like Hiranandhani upscale( to me, it is one of the best townships in whole of Chennai), L&T, Akshaya etc in OMR have been completed with good quality and delivered. The L&T Eden park is a very well planned township in heart of Siruseri, right next to top IT campuses.
    CommentQuote
  • Originally Posted by RaviCbe
    They maintained 3600-3750 for 4-5 years in Phase 1 and considering the current GV increase payable for premium FSI, they may have to factor in this at price with different spec or maintain lower or equal price with completely different spec . They may adopt former one by pricing at 5100 and maintain it until the phase 2 gets completed for having established the township already .


    I feel L&T's pricing of Rs 5,100/sq.ft for Eden Park phase 2 if correct, is justifiable.


      L&T is a professionally run company, with consistent track record in real estate and big infrastructure projects. They own the biggest cement firm in the country as well, and it is among top 5 most valuable firms in the country.
      Good resale value. L&T brand name will do that for you.
      Quality finish, most of their existing customers are satisfied customers.


      Most importantly location is very good, right inside Siruseri IT SEZ. Getting tenants from day 1 is easily possible since its right next to TCS biggest campus anywhere. IT Biggies like TCS, Cognizant are right next door. Siruseri is one of largest IT SEZs anywhere. 70 thousand to 1 lakh white collared jobs will be present in that location.

      Most importantly location is very good, right inside Siruseri IT SEZ. Getting tenants from day 1 is easily possible since its right next to TCS biggest campus anywhere. IT Biggies like TCS, Cognizant are right next door. Siruseri is one of largest IT SEZs anywhere. 70 thousand to 1 lakh white collared jobs will be present in that location.

      Most importantly location is very good, right inside Siruseri IT SEZ. Getting tenants from day 1 is easily possible since its right next to TCS biggest campus anywhere. IT Biggies like TCS, Cognizant are right next door. Siruseri is one of largest IT SEZs anywhere. 70 thousand to 1 lakh white collared jobs will be present in that location.

      Most importantly location is very good, right inside Siruseri IT SEZ. Getting tenants from day 1 is easily possible since its right next to TCS biggest campus anywhere. IT Biggies like TCS, Cognizant are right next door. Siruseri is one of largest IT SEZs anywhere. 70 thousand to 1 lakh white collared jobs will be present in that location.

      Most importantly location is very good, right inside Siruseri IT SEZ. Getting tenants from day 1 is easily possible since its right next to TCS biggest campus anywhere. IT Biggies like TCS, Cognizant are right next door. Siruseri is one of largest IT SEZs anywhere. 70 thousand to 1 lakh white collared jobs will be present in that location.

      Most importantly location is very good, right inside Siruseri IT SEZ. Getting tenants from day 1 is easily possible since its right next to TCS biggest campus anywhere. IT Biggies like TCS, Cognizant are right next door. Siruseri is one of largest IT SEZs anywhere. 70 thousand to 1 lakh white collared jobs will be present in that location.
    CommentQuote
  • Ridiculous arguments. Professionally run companies cannot charge anything they want. They own cement company means they can charge high price? This how madness is spread in Chennai.
    CommentQuote