Not exactly relevant here, but thought would this interesting news.
World's most expensive parking places - CNN.com

"Nestled within Hong Kong's dense skyscraper jungle, a $640,000 property sits among some of the world's most expensive commercial and residential spaces.
The price might sound like a steal. This Asian financial capital has the world's priciest property, according to Savills. Since the start of 2010, average Hong Kong home prices have doubled.
But the price tag mentioned here is neither for a home nor an office.
It is for a parking space: A slab of undecorated concrete, stained by black motor oil, about 8-feet-by-16-feet in size. Price per square foot: nearly $5,000."
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  • CAUTION warranteed against some members who openly call for buyers for referral bonus in several forums .

    It is upto one to find who is Agent and Investor and take call accordingly by either ignoring messages or countering it by seeking additionl details. Terming Agents is simple . I also suspect many Agents are here in this forum and I take decison Not based on their info and inputs but by inferring what is all about by

    Many memers are smart enough and know where to put in money be it in Bank or RE as per their choice. We can not influence HNI and NRI who are smart with multiple info and knowledge and always invest in Right Properties.

    Have you deposited in GTB and waited in que in Kodambakkam only to have Zero response ? No

    Even FD is suicidal leave alone the RE for that matter. Only your experience and and Involvement will gain you a lot with Insights .

    Nobody compared HK and Siruseri . Randomguy informed abnormal car slot rate in HK and I too informed that abnormal rate in Hira which was increased recently . It is as simple as that to construe the development happening here without any correlation

    Choice of going for additional slots as per the cars possessed by one is option available before him either to opt in and out.


    Originally Posted by sunr2i
    If I were to live in OMR, I would rather put 9L in fixed deposit and use the interest out of it to get in by call taxi.
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  • When agents are desperate or when sales go down, agents and builders will go to any extent to market project. Comparing Siruseri with Hong Kong is just one example of desperate marketing.
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  • Buyers are smart these days. No one gives a damn if you are big builder etc....your name means nothing unless they personally experience it.

    All past performances are taken with pinch of salt irrespective of their size, fame etc..they are negotiating hard, choices are plenty, especially in the community style apartments.b

    I do not see Chennai or Siruseri anywhere closer to HK interns of demand for premium parking space. It may just a dream for some builders to think that they can sell anything & everything by citing NY or London....Whether Chennai anywhere closer to that except population? I don't know.
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  • Siruseri is comparable with an outlying suburb of Singapore in one aspect, apartment price. You can purchase a good condominium in Singapore for same price as Hiranandani upscale.

    Rental yield in Singapore is much higher coupled with economic prosperity and infrastructure development. If anyone has 4 crores and above and intending to buy an apartment purely for investment purpose with rental yield in mind, it is better to buy an apartment in Singapore suburb than Hiranandani upscale. There are various professional companies available to manage rentals coupled with stronger Singapore dollar unlike weakening and rapidly falling rupee which will erode investment return.

    It is hassle free for foreigners to buy apartment in Singapore.
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  • I think it is not such a bad idea to invest in places where rental yields, professionally managed properties, well regulated market economies especially when you have lots of money and thinking of investment options.

    I am sure investing in US may not be a bad option where interest rates are low, competitive price point and really completed units (no need to wait for 10-15 years for communities to shape up).
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  • With invetsor presentation materials and marketing reports for refreral bonus, it is evident who is agents for builder by now openly in this forum. Of course, those who put 2Cr + for higher floor size and long gestation period will excercise due diligence ad will not believe and go by what one says

    May be poor location , decreasing sales figure with competition coming from 360 degrees in VK and Thaiyur stretch, one may rush for helter shelter
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  • Originally Posted by Love4land

    Rental yield in Singapore is much higher coupled with economic prosperity and infrastructure development. If anyone has 4 crores and above and intending to buy an apartment purely for investment purpose with rental yield in mind, it is better to buy an apartment in Singapore suburb than Hiranandani upscale. There are various professional companies available to manage rentals coupled with stronger Singapore dollar unlike weakening and rapidly falling rupee which will erode investment return.

    It is hassle free for foreigners to buy apartment in Singapore.


    You have a good point, but tell me sir, is it possible to invest in Singapore, with UNACCOUNTED Black money?

    Can people like A.Raja invest their "life time savings" in Singapore, without hassles and without grabbing the attention of various agencies that are supposed to stop money laundering and tax evasion ?

    PS - I am not trying to mock you or make fun here , only suggesting that the very high RE prices in Chennai (and Mumbai) have everything to do with tax evasion rather than any genuine investment need to seek better returns !!
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  • Originally Posted by ramki830


    Can people like ----- invest their "life time savings" in Singapore, without hassles and without grabbing the attention of various agencies that are supposed to stop money laundering and tax evasion ?


    Yes they can transfer via "Haval/hundi" and invest via Binamis.

    AML /CTF measures are still being broken by the hardcore.

    Singapore is not nessesarly the destination there are coal field licenses in Indonesia & copper/cobalt licenses in Congo are waiting for investors.
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  • Originally Posted by ramki830
    You have a good point, but tell me sir, is it possible to invest in Singapore, with UNACCOUNTED Black money?

    Can people like A.Raja invest their "life time savings" in Singapore, without hassles and without grabbing the attention of various agencies that are supposed to stop money laundering and tax evasion ?

    PS - I am not trying to mock you or make fun here , only suggesting that the very high RE prices in Chennai (and Mumbai) have everything to do with tax evasion rather than any genuine investment need to seek better returns !!


    People don't generally use black money to purchase apartments from reputed builders. Coz it will create problem for builders as well.

    Black money is normally channeled into purchase of land or individual house.
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  • Just black money alone can't be the reason for Chennai RE price. Black money has been around for centuries however the RE price gone up significantly in last 7 yrs. There is a momentum and cultural shift behind the relentless price increase. Another major contribution is credit expansion. Our economy is always been on internal consumption and there is change in trend going among population of age less than 40. There is a mother of all bull markets coming and be prepared to wear a seat belt and enjoy the ride! In next 2 year the present RE price would look cheaper specifically in CBD.
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  • There is an another empirical evidence shows that having good universities in the area would impact positively attracting new business and growth in local economy. Good schools and colleges are must for long lasting effect. Chennai is getting ahead of other cities in India to have lot of private universities in Engg, arts, science and medicals. Though they are not on par with international standards it is going in right direction to fuel interest and rightful innovations. When I grew up in Chennai it was plagued by reservation etc and lack of good universities. We close friends of 3 did ass bursting effect of getting into IIT and that was only choice to have decent university. I see now so many private good universities that too tie up with carnig mellon etc. Now one need not worry about getting admission into a engg college in Chennai. That is tremendous achievement by state govt.
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  • Areas around Univerisities tend to grow in manifold as I witnessed in Bharathiar University in Cbe and Karunya University in western ghats in Cbe . I used to invest in nearby Universities always as it tends to grow for many decades for us and centuries for Generations .

    You may see my thread in other forum in Cbe .

    In chennai too when I studied BE I had lot of interests and ideas around colleges and universities but paucity of fund and lack of RE idea halted me a lot .but after graduating and joining a company, got tremendous opportunities by way of small savings, chits ,FM and coveted RE

    Thanks that I was spared in NBFC and MF scam coupled with Teak,Goat,Farm,Dairy,Veg scams etc which eroded the smart or real money to chase RE and finally collapsed all in late 90s .

    Going back to Bangalore for MBA , we had similar situations and Tamil and Kannadiga attack through Rajkumar until he was kidnapped by so called Veerappan which stopped our Invetsment there too only to loose an opportunity at right price and at right time.

    Subsequent development after our exit did not bother us too much due to past bitter experience. But things are normal to perfect angle ever since Veerappan and Rajkumar exited the scene.

    Whoever invested and had a wrath and sufferings in early 80 and 90s in Bangalore and in chennai by 90s and 2000 , are lucky and to be blessed for their luck or vision .

    Far sighted vision and near sighted mission are very close to each other either to make one strong or weak per se.

    Parking space is my vision with VFM from my past experience as I am crazy for Auto and know the inherent value arising out of it.

    Though I was ready to pay 10 lacs for front line car slot in Hira, I was denied and asked to wait only to have an announcement that additional slot would be priced at 9 lacs . Imagine at what rate that front line car slot would have been sold without my knowledge as on date .
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  • Besides black money, Crony capitalism is an another reason for the furious rise since the India story bull run of 2003 in stock markets. Unitech, ADAG, Sun network etc. and they can never create such wealth just with their business sense or through true value creation. Connections got converted to currency.

    Momentum and cultural shifts are reasons more on the lines of "this time is different" justifications, IMO. Any such shifts not supported by rental increases show how phony the rises are and a strong indication that funny money needs a place where yields do not matter. Fall in interest rates since the late 90's did play a role in compressed rental yields but how does one explain the further rental yield compression from 2007. Plenty of instances where the prices are 30% up in CBD (with 10% rental increases) in an already low-rate environment. Writings are already on the wall!

    Mav
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  • Capitalism is much needed now then anytime before. Socialism brought too many govt enterprises and no real economic growth. There was a case study way back in 91 about rational behind nationalizing the banks in 70s and how it impacted negatively the other business growth. After 91, private banks brought much needed credit expansion and they're growing in leap and bound. There are numerous examples in other areas too that impacted local business after privatizing.

    Regarding rental yield, the rentals are steadily increasing to maintain yield of 2 to 3% to PV of asset. Also the yields reaching more than 10% when compares to original price of the asset.
    I can throw you some real world example. In Vadapalani arcot road, the 3BHK (1400 sq.ft) cost was 25L in 2003 and the rent today is 2.4L per year. The yield is close to 10%. The PV of the apt is 1Cr and the yield is 2.4%. So absolute terms the rental values are increased to meet 2 TO 3% Yield. Another example, Vijay shanthi apt in venus colony 3BHK (2650Sq.ft) cost 1.9Cr in 2007 and the rent is 12L/yr now, the yield is 6%, the PV of asset is 5Cr and the yield is 2.4%

    Please throw examples when you assert any subject otherwise it would be meaningless!
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  • In Vadapalani, Saligramam, Virugambakka, KK Nagar - about Rs 15,000 - 25,000 for 2/3 bed apartments (New might fetch on the higher end) without maintenance - Typical area is about 1000-1300 sqft. Many of them cost around Rs 1 - 2 Cr

    No one is ready to pay rent beyond 30,000 per family irrespective of the area unless it is a corporate lease accommodation or group of bachelors living together.

    I have seen people renting out 2 bed in Siruseri for Rs 30,000 PM for 12 people living in 2 bed apartments but the condition of these apartments beyond anybody's guess!!

    If someone buys apartment in the range of Rs 1 - 2 Cr, annual yield is maximum 2 - 2.5 % maximum.
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