Just in case anyone of you had any doubts as to how bad things really are, CREDAI has been thinking of sending out an SOS and stopping work is now seeming fairly certain - so the raining bookings due to Navratras, NRIs and Non-stoppable Black Money was a lie :) as if we ever were fooled. Be rest assured who will pay for this. Now the entire nation seems to be going the Noida Extension way -Developers will stop construction sooner or later under some pretext and then people will be out on the streets to complain and help government give a bailout. See how wonderful the idea is. Except perhaps, there will be hordes of litigation and financial models gone awry across India.

Developers may strike if realty woes persist: CREDAI

MUMBAI: Concerned over the problems faced by realtors and home buyers, Confederation of Real Estate Developers' Association of India (CREDAI) said it may go on a nationwide developers strike to sensitise the policy makers if realty woes persist.

The association has also decided to send an 'SOS' to the Prime Minister Manmohan Singh and seek an appointment to meet him to discuss the need for speedy reforms in the sector.

"In our next governing council body meeting, we will decide to call for a day's strike to draw the government's attention to the problems being faced by the industry. We may have to go on an indefinite strike if the problems affecting the developers and home buyers are not addressed," CREDAI national president Lalit Kumar Jain said in a statement issued here.

Clarifying that the developer community was not against any government or a political party, Jain said, "Our aim is to get all the problems resolved, so that developers can play an effective role in the housing for all mission planned by the government."

The sector contributes close to 7 per cent (or around Rs 140,000 crore) to the GDP, he said, adding, "But we are still facing suffocation due to various administrative delays on various counts. All our appeals for speedy action are falling on deaf ears."

As per the current projections, there is a shortage of 270 lakh dwellings and by 2025, shelter will be of a matter of a huge concern for nearly 50 crore people, he said.

"Instead of facilitating the industry to function without any hurdles, the government is enforcing policies like compulsory reservation of 20 per cent of the developed property for affordable housing. It is unfair to burden the majority 80 per cent buyers with additional cost," Jain said.

Real estate is a capital and labour-intensive industry which supports over 200 other industries like steel, cement and other construction material, he said, adding, "Therefore, reforms will have a cascading effect leading to the doubling of the GDP, employment for a crore of people, apart from proving a million white collar jobs."

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  • As if Dhritarashtra Manmohan Singh can or will do anything to help solve the problems, being faced by industry, that start and end at corruption.
  • This govt can be blackmailed by anyone for anything.. Right or wrong is a matter of policy which they left behind with UPA-1
  • Increasingly I realise, this is not a democracy anymore. Slowly we are reverting back to maharaja era where the laws of the land were dependent on the whims and fancies of the rulers. By giving the scum of India a Free hand to bend rules into making money for themselves we are creating a monster on mercy of which we shall leave our children.
    What a mess!
  • Hi


    Bhoomika bandhi ja rahi hai massive RE Scam Part 1 ki is what I can understand. It appears this to be a euphemistic suggestion that things wont be delivered given highly stressed balance sheets and money already siphoned from projects and invested in landbanks.

    High time we have a serious regulator

  • A comparison

    I did a comparison of data, extract thru 99acres, to compare the inventory for Gurgaon - First in Feb and then in April - 2 months apart. I see a 15% growth in no of units and requirement of funds to buy this inventory. Others free to draw their own inferences.

    * Listing on 99acres is not taken as a great no. to start with- not all properties are listed on 99acres, duplicacy possibility etc. The idea is a like to like comparison i.e Using same data source 99acres data between Feb 1st week and Apr 1st week