Seth Developers has launched a new project " VASANT OASIS". This project is located on Borosil Plot on Marol GHS road. Followings are the room sizes available,

1- 2BHK
2- 2.5 BHK
3- 3 BHK

Total no. of towers are 16 nos (G+14) with one commercial building. The prices are as follows,

1- BSP 9,850/ PSFT
2- Floor Rise 50/ SQFT
3- Car Park - 5,00,000/
4- Development Charge - 14/ PSFT
5- Corups Fund - 200/ PSFT

Would appreciate comments from sr. members on this project.
Read more
Reply
179 Replies
Sort by :Filter by :
  • If the investor has not yet registered then he can pass the stamp duty benefit to you ( within 1 yr of his agreement registration with builder).. Please check for the total lumpsum amounts and compare builder price and investor price rather than per sqft rates..

    SAS, if soarer is a broker than he can sell resale properties too!! What difference does it make? I felt the points made were logical and if it helps the buyer then the purpose of the forum is met..
    CommentQuote
  • Agreed Chinuboy. calculations are simple, builder price is 14500+50FR + 700000 car park. so, say 1255 2 bhk at 10th floor (say hypothetically), is 1.95 crores. whereas if the price is 13500 (say) inclusive of 50FR and car park cost, it is 1.76 crores + brokerage / transfer fees, etc that Soarer mentioned. However, if cash condition comes, then obviously it is out of question for many..plus the risk of unregistered agreements, MOUs, etc. I think it these points are valid. Just unsure about the project though...thanks all
    CommentQuote
  • Originally Posted by CAinvest
    Agreed Chinuboy. calculations are simple, builder price is 14500+50FR + 700000 car park. so, say 1255 2 bhk at 10th floor (say hypothetically), is 1.95 crores. whereas if the price is 13500 (say) inclusive of 50FR and car park cost, it is 1.76 crores + brokerage / transfer fees, etc that Soarer mentioned. However, if cash condition comes, then obviously it is out of question for many..plus the risk of unregistered agreements, MOUs, etc. I think it these points are valid. Just unsure about the project though...thanks all


    Thanks to SAS2014 for assigning me an occupation certificate of a broker this is going to be a long post just to dispel the fear :)

    Firstly, for people with no source of unaccounted wealth it does not make much sense to go for an investor flat irrespective of the discount being 5%, 10% or 15%. Dealing with investor flats is a different ball game. I have given up quite a few lucrative deals as I couldn't cough up hard cash required to execute these transactions in the past.

    Secondly, just like any other under construction project this one also has the risks as well as the rewards. Will list down my analysis below:

    Negatives - I'm sure SAS2014 will get goosebumps now :)
    1) The project is delayed by a couple of years.
    2) The developer has taken funding at relatively higher rates (from Morgan Stanley, India Bulls, IIFL, Private Placements etc) and has to achieve sales at any cost to repay the debt. This particular issue prompted a rumored distress sale to Edelweiss in 2013.
    3) This is a mixed community project which might be a negative for some people who prefer a particular dominant community within a project. The project has 1 BHK as well as 4BHK (economic mix) and has people of all faiths reasonably represented (religious mix).
    4) Accessibility (North - South) is an issue as both WEH and EEH are at least 15 minutes drive away and Metro III operations at least 5 years away.
    5) Not the best residential location (in terms of quality of restaurants, schools, roads etc) among the western suburbs.

    Positives - SAS2014, please don't issue another occupation certificate to the poor me - a broker was bad enough :(
    1) The reasons for delay were reasonable. Firstly, the family split and had to re-organize and divide the assets between the two groups that were formed. Secondly, the AAI clearance took a while as the developer wanted to increase the height from 17 to 22 floors. Thirdly, the DCR got revised in 2012 and all projects in Mumbai got delayed by at least one year for this single factor. Fourthly, and most obviously, the economy nosedived.
    2) Even with the height restriction in place the developer is providing 8 ft high door and 10 ft high ceiling which is commendable and shows the developer's commitment to deliver a quality product (most projects have 7 ft high doors and 9 ft high ceiling in the absence of stringent AAI height restrictions)
    3) Once Metro III becomes operational, Marol (where Metro I and III intersect) has the potential to become the true center of Mumbai
    4) Except for OC, all approvals are in place. Land title is also crystal clear (with developers selling 30 year leases or SRA projects this is a huge USP)
    5) Simplex construction quality, next only to L&T

    Competition among similar builders within 5 km radius
    1) Most clear land title projects (Kanakia Rainforest, Lodha Supernova etc) do not have all the approvals (CC, AAI, EC, and many many more). At least Rainforest is rightfully cheaper at this stage but Supernova takes the cake at the current inflated rates with a not so promising past (project is in launch phase for donkey years)
    2) Remaining clear land title projects (the ones in Chandivali and ones like Bajaj et all near WEH) are more expensive (but also have relatively better location advantages)
    3) SRA projects (Kanakia Sevens, Omkar - V Raheja Kenspeckle, Atul - Hubtown HillCrest, Acme Boulevard, Joy Castilla) can't be compared with clear title projects as the economics / risks / amenities / approvals / rates are very different
    CommentQuote
  • Hi Soarer,

    Thanks for the clear explanation. I have been looking for 2 BHk in this area for investment. I didn't know that Acme Boulevard, Kenspeckle and Kanakia Sevens are SRA projects.
    Being a SRA project, What are the risks with these 3 projects??
    CommentQuote
  • Thanks a lot, Soarer! I think it is more than the desired explanation.


    No doubt there are strong positives as well against the negatives enumerated! Chandivali may have a better gentry, but with Khairani road, super sonic sound from the religious structures guarding the residences from all the 4 sides, slum view and particularly, pollution from some of the chemical factories, it can not be called as a better location clearly. a 1150 2bhk in chandivali would cost atleast 2.2-2.3, whereas a 1310 2bhk costs 2.2-2.3 in vasant. so, the gentry disadvantage v/s chandivali is already factored in the price (I guess more than needed). additionally, I feel this has much better access; via T-2, you can reach domestic airport in minutes (something which could take an hour from raheja/ chandivali in peak hours), and v/s chandivali it is only 1.5-2kms farther from western highway. just a km away is l&T emerald which has 2.2crs+ for a 630 carpet 2bhk, and lets not even discuss the gentry of emerald isle (mhada next, and not shops, malls, around - completely downmarket area, with v poor connectivity to WE highway


    I like the amenities he's offering. a big hitch are the 1 bhks.....I personally think that was a mistake to bring in liquidity. and this could also hamper to the luxury apartments builder is thinking of launching this year (just heard him while visit) .


    conclusively, it has its own negatives and positives, not sure if the best investment, but I would not classify it as junk. And, I would completely refrain from SRAs, so a comparison isn't right.


    I am still an amateur, so please feel free to correct. Cheers and thanks !
    CommentQuote
  • Originally Posted by plavikp
    Hi Soarer,

    Thanks for the clear explanation. I have been looking for 2 BHk in this area for investment. I didn't know that Acme Boulevard, Kenspeckle and Kanakia Sevens are SRA projects.
    Being a SRA project, What are the risks with these 3 projects??


    The only common factor for the three projects is that they technically are not on freehold land. Each of these three have higher risks and lower desirability compared to any freehold land project anywhere in Mumbai.

    While I may be able to guide you with general observations you should discuss your selected project preferably with a friend who is a developer or at least with a RE legal expert (although many lawyers are not as aware of the risks related with approvals)

    Omkar claims that Kenspeckle is not on a leasehold land (SRA projects by default are leasehold projects) but this is a very very high risk project and there is a separate thread on this forum that you should refer to. Some of the dirty tricks (submitting forged and fabricated documents for approvals, deletion of names of slum people, publicly arm twisting and threatening AAI officials to grant approvals etc) played are just not acceptable and do not infuse any confidence in terms of the long term legal standing of this project even if it gets completed with all approvals in place (This project is following the footsteps of Raheja Inorbit Mall in Vashi which has now been deemed to be illegal by the Mumbai High Court).

    However the biggest risk with projects on leasehold land is that you are never an owner. For example if you spend 2 cr to buy a 2BHK apartment then you are only spending about 30 lakhs to construct the 1200 sq ft area. The remaining 1.7 cr is going towards your right on a portion of the land on which the project is developed. Now after paying 85% of the cost to purchase land if you do not get ownership of the land then what is the use? Developers will claim that the lease can be renewed but the point is who knows when the government policy will change and people living on leasehold land will start paying heft sums similar to property tax toward their land lease renewal and maintenance?

    The lower desirability in leasehold land projects comes from two main factors
    1) Even if the slum people are relocated from shanties to multistory structures they still do not change their habits (they throw garbage on YOUR approach road, celebrate their festivals on YOUR approach road, put on loudspeakers and break all rules as they have political patronage etc). You should realize that a very very high density population resides right next to you with 0% space for amenities so they convert your approach road or any available public space into their amenity space. I have gone through this nuisance on 15th road Khar (W) and hate it every day. Others can chip in as well if I am wrong.
    2) Since these leasehold projects are very high density projects (government grants much higher FSI for SRA / MHADA projects) you will find that none of these projects give you amenities similar to freehold projects which have space available in abundance due to lower FSI / density. These SRA projects will have swimming pools, gardens, and jogging tracks (if at all) on the terrace! And some of these SRA / MHADA developers have the audacity to claim that terrace amenities are luxury "features" of the project!

    For now its better to stick with a project on freehold land (Vasant Oasis, Emerald Isle, Rainforest, Supernova etc) as its still available. Since all are under construction do the due diligence before investing. It wont be long before all projects in Mumbai will be on leasehold land and no real "owners" will exist. Hope this helps! can be renewed but the point is who knows when the government policy will change and people living on leasehold land will start paying heft sums similar to property tax toward their land lease renewal and maintenance?

    The lower desirability in leasehold land projects comes from two main factors
    1) Even if the slum people are relocated from shanties to multistory structures they still do not change their habits (they throw garbage on YOUR approach road, celebrate their festivals on YOUR approach road, put on loudspeakers and break all rules as they have political patronage etc). You should realize that a very very high density population resides right next to you with 0% space for amenities so they convert your approach road or any available public space into their amenity space. I have gone through this nuisance on 15th road Khar (W) and hate it every day. Others can chip in as well if I am wrong.
    2) Since these leasehold projects are very high density projects (government grants much higher FSI for SRA / MHADA projects) you will find that none of these projects give you amenities similar to freehold projects which have space available in abundance due to lower FSI / density. These SRA projects will have swimming pools, gardens, and jogging tracks (if at all) on the terrace! And some of these SRA / MHADA developers have the audacity to claim that terrace amenities are luxury "features" of the project!

    For now its better to stick with a project on freehold land (Vasant Oasis, Emerald Isle, Rainforest, Supernova etc) as its still available. Since all are under construction do the due diligence before investing. It wont be long before all projects in Mumbai will be on leasehold land and no real "owners" will exist. Hope this helps!
    CommentQuote
  • Anyone here can provide me with the contact details of Vasant Oasis Welfare Association ?
    CommentQuote
  • You can go through the posts in the facebook group to find many contact details of the association members. The facebook group is this one - https://www.facebook.com/groups/240129326117670/
    CommentQuote
  • All well?
    CommentQuote
  • Have got couple of investors flat asking for Rs 22k per sf on carpet + all taxes (excluding transfer charges) in Ph 1. Is it worth it?

    Anyone have clarity on current pricing (all-in) for 2 bhk by developer and how much is maintenance per sq ft and any other unexpected charges? When is realistic possession timelines? Looking at current status at the site, it seem at least 1.5 yrs away for possession in best case
    CommentQuote
  • Is 22k inclusive of parking and floor rise? How much is the transfer fee? and cash component? Agreement value will be based on? Builder NOC assured? Sounds decent, but you should know these answers and do further diligence.
    CommentQuote
  • Lastly, which building? answer will change based on that. each building is a story by itself...
    CommentQuote
  • Originally Posted by Swades
    Have got couple of investors flat asking for Rs 22k per sf on carpet + all taxes (excluding transfer charges) in Ph 1. Is it worth it?

    Anyone have clarity on current pricing (all-in) for 2 bhk by developer and how much is maintenance per sq ft and any other unexpected charges? When is realistic possession timelines? Looking at current status at the site, it seem at least 1.5 yrs away for possession in best case


    22000 psf on carpet translates to 13750 psf on salable given the loading in this project. If the price of 22K includes parking and floor rise then it is a good deal. Otherwise you can directly buy from the builder by paying about 15K psf on salable + parking and floor rise (or even lower depending on your negotiation skills).

    Also, it is known that the builder is giving NOC only to the initial investors in this project. If you are buying from a regular customer in Phase I then you will either not get an NOC or will have to pay very high transfer charges. Another point to consider is that the investor flat will involve cash component up-to 30% of the transaction value. Do you want to take the risk of a lower agreement value in a under construction project? The clauses relating to refunds, interest penalty etc are relevant till the time the building receives OC. Unless you know the builder in a personal capacity my personal recommendation would be to stay away from agreements with cash components for under construction buildings.

    But then you are also getting a decent reward (13750 rate) for taking on the higher risk. So you will have to decide for yourself whether you want to play a high risk high reward game (investor flat) or a low risk low reward game (builder flat).
    CommentQuote
  • Originally Posted by soarer
    22000 psf on carpet translates to 13750 psf on salable given the loading in this project. If the price of 22K includes parking and floor rise then it is a good deal. Otherwise you can directly buy from the builder by paying about 15K psf on salable + parking and floor rise (or even lower depending on your negotiation skills).

    Also, it is known that the builder is giving NOC only to the initial investors in this project. If you are buying from a regular customer in Phase I then you will either not get an NOC or will have to pay very high transfer charges. Another point to consider is that the investor flat will involve cash component up-to 30% of the transaction value. Do you want to take the risk of a lower agreement value in a under construction project? The clauses relating to refunds, interest penalty etc are relevant till the time the building receives OC. Unless you know the builder in a personal capacity my personal recommendation would be to stay away from agreements with cash components for under construction buildings.

    But then you are also getting a decent reward (13750 rate) for taking on the higher risk. So you will have to decide for yourself whether you want to play a high risk high reward game (investor flat) or a low risk low reward game (builder flat).

    Thanks for your insight Soarer. Yes, it is definitely high risk high gain game. Cash component is nonnegotiable terms of the seller. Had negotiated from 23k to 22k carpet including transfer charges, parking & floor rise but its still risky bet until developer NOC is secured
    CommentQuote
  • Sounds a great deal. Pressurise the builder as I have heard builder has some select investors to whom he had assured exit and giving NOC to them. I also heard a one of those near closure as well.
    CommentQuote