REALTY DECODED Q4 FY 17

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2 Structure 1 INSIGHTS 2 3 NEW LAUNCHES CONSUMER CALLING 4 5 PRICE TRENDS INVENTORY SCENARIO 6 POLICY DEVELOPMENTS AND KEY TRANSACTIONS Page 01

3 Key Insights And Outlook Page 02

4 Key Insights The market has witnessed a revival after demonetization, with sales across top 9 cities of India increasing by 19 per cent in Q4 FY 17 compared with 20 per cent fall in the previous quarter. In absolute terms, sales increased from 43,500 units in Q3 FY 17 to 51,700 units in Q4 FY 17 Mumbai, Pune and Bengaluru contributed nearly 57 per cent to the total absorption witnessed in Q4 FY 17. Mumbai accounted for nearly 23 per cent of the total sales during the quarter, followed by Pune at 18 per cent and Bengaluru at 16 per cent Buyers inclination continued to be higher towards ready to move in projects. Around 18 per cent of the sales during the quarter were witnessed in such projects as compared to 9 per cent in the same quarter previous year The top nine cities across India have witnessed launch of around 51,500 units in Q4 FY 17 compared with 43,250 units during the preceding quarter, an increase of 19 per cent on quarterly basis. Mumbai contributed a maximum share of 26 per cent to total launches followed by Hyderabad at 14 per cent and Gurgaon at 13 per cent Affordable housing segment has made sizable gains after getting infrastructure status. Share of affordable housing launches has increased by 22 per cent compared to the same quarter in the preceding year Mumbai Metropolitan Region (MMR) has witnessed a surge in launches within the sub-rs.25 Lac segment on account of favorable policy measures by the Government. The region has contributed the maximum, around 35 per cent, to the overall launches across top 9 cities in the sub-25 Lac segment. Also, the share of launches of the segment within MMR has increased from 12% in Q2 FY'17 to 53% in Q4 FY'17 The pressure of inventory overhang eased during the quarter from 46 months in Q3 FY 17 to 38 months in Q4 FY 17. Mumbai, Bengaluru and Pune together accounted for over 55 per cent of the unsold inventory Prices remained range-bound in top 9 cities across all the segments. However, Bengaluru, Hyderabad and Chennai witnessed a marginal appreciation in the range of 3 to 5 per cent per annum Page 03

5 Outlook With Real Estate Regulatory Act (RERA) coming in to force, the new launches may witness a drop in the short term as builders may wait to see how the new RERA norms turn out Affordable housing segment is likely to make sizable gains after getting infrastructure status. Both sales and launches are expected to improve, as compared with current levels Developers are likely to face further cash crunch as RERA will prohibit the pre-launch sales advertisements before all necessary regulatory approvals are in place; Earlier developers used to collect significant amount of revenues through pre-launch sales Page 04

6 Residential Landscape: Top-9 cities as of Q4 FY 17 Ahmedabad, Gurgaon and Noida witnessed steep increase in launches over the previous quarter. All cities have seen rise in sales with the exception of Kolkata and Pune. Prices have largely remained range bound. AHMEDABAD Q-o-Q (%) BENGALURU Q-o-Q (%) CHENNAI Q-o-Q (%) Launches +14 Launches -29% Launches +49% Sales +10% Sales +7% Sales +33% BSP Inventory Overhang 2,942 4,822 BSP (-1%) (0%) Inventory Overhang BSP Inventory Overhang 5,044 (0%) 34 GURGAON MUMBAI Q-o-Q - (%) HYDERABAD Q-o-Q (%) KOLKATA Q-o-Q (%) Launches +272% Launches +27% Launches -43% Sales + Sales +89% Sales -13% BSP 5,318 3,970 3,822 (-3%) BSP BSP (0%) (-1%) Inventory Overhang Q-o-Q (%) 120 Inventory Overhang Q-o- NOIDA PUNE Q-o-Q (%) Launches +59% Launches +130% Launches -52% 18 Inventory Overhang Q-o-Q (%) Q-o-Q (%) 40 Sales BSP Inventory Overhang +32% 8,153 (-2%) 45 Sales BSP Inventory Overhang +23% 3,965 (-1%) 61 Sales BSP Inventory Overhang +1% 4,774 (0%) 28 Notes: BSP is represented in Rs./sq.ft. Inventory overhang is represented in months Page 05

7 Key performance indicators bounced back in Q4 FY 17; Almost back to Pre-Demo levels Residential Trends in top - 9 cities* Launches -14% 14% 14% -8% 19% Sales Price Trend Inventory Overhang -4% 8% -1% -1 19% 0% 1% 0% 0% -1% 9% -9% 0% 23% -1 Q4 FY 16 Q1 FY 17 Q2 FY 17 Q3 FY 17 Q4 FY 17 / Strong/Marginal Decline Stable / Strong/Marginal Increase Notes: * Top 9 Cities are Mumbai (including Navi Mumbai & Thane), Pune, Noida (including Greater Noida & Yamuna Expressway), Gurgaon (including Bhiwadi, Dharuhera & Sohna), Bengaluru, Chennai, Hyderabad, Kolkata and Ahmedabad. Analysis includes apartments and villas across the regions. Page 06

8 Launches: Demonetisation Effect Fading Away Page 07

9 Launches during the quarter increased by 19%; highest levels witnessed during last 8 quarters # of units Total number of launches in top-9 cities* 90,000 80,000 70,000 78,075 75,357 79,343 73,433 Launches attained 50,000 level after last 6 quarters 60,000 50,000 40,000 50,594 36,774-47% 42,269 36,275 41,313 47,032 43,253 51,521 42% 30,000 20,000 10,000 0 Q1 FY'15 Q2 FY'15 Q3 FY'15 Q4 FY'15 Q1 FY'16 Q2 FY'16 Q3 FY'16 Q4 FY'16 Q1 FY'17 Q2 FY'17 Q3 FY'17 Q4 FY'17 Notes: * Top 9 Cities are Mumbai (including Navi Mumbai & Thane), Pune, Noida (including Greater Noida & Yamuna Expressway), Gurgaon (including Bhiwadi, Dharuhera & Sohna), Bengaluru, Chennai, Hyderabad, Kolkata and Ahmedabad. Analysis includes apartments and villas across the regions. Page 08

10 Ahmedabad, Gurgaon and Hyderabad witnessed maximum increase in launches on YoY basis Xrbia Aashiyana City, Karrm Brahmaand and Nebula Aavaas together accounted for over 40% share in launches within < Rs. 25 Lakhs budget segment Total unit launches Q4 FY 16 vs Q4 FY 17 20,000 15,000 10,000 5,000 # of units Anand Developers Ilyf Milan Enterprise Karnavati4 ->400 units each 522 4,205 Vajram New Town Myhna Properties Myhna Maple -> 500 units each 9,873 4,603 SPR Group Codename City and Skylark Aavli->600 and >350 units respectively 4,047 4,109 1,553 Signature Global The Serenas, Supertech Belfair and Signature Global The Roselia ->3,500 units 6,759 2,781 7,102 Nebula Aavaas-nearly 2,700 units 2,214 Usashi King Town and Dharitri Infraventure Universia ->1,000 units 2,535 7,623 13,517 Xrbia Aashiyana City and Karrm Brahmaand ->3,500 and >2000 units respectively Tata Value Home Destination 150 ->900 units 3,366 3,725 Yogesh Enterprises Gandharv Nagari 2 and Noble Vishnu Vihar -500 units 4,296 Q4 FY'16 Q4 FY'17 4,966 0 Ahmedabad Bengaluru Chennai Gurgaon^ Hyderabad Kolkata Mumbai** Noida* Pune Notes: * Noida includes Greater Noida and Yamuna Expressway. ** Mumbai includes Navi Mumbai and Thane. ^ Gurgaon includes Bhiwadi, Dharuhera and Sohna. Analysis includes apartments and villas across the regions. Page 09

11 Launches in Affordable segment increased to 40% on back of Infrastructure status and Interest rate SOPs % of units Q-o-Q budget-wise unit launches in top - 9* cities 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 18% 15% 17% 14% 12% 13% 12% 9% 18% 20% 18% 25% 8% 8% 10% 8% 10% 9% 9% 8% 8% 8% 11% 1 20% 23% 1 25% 21% 12% 17% 19% 19% 21% 17% 24% 27% 35% 38% % 33% 41% 33% 42% 32% 27% 40% 20% 22% 23% 20% 23% 24% 1 14% 18% 20% 12% Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 FY'15 FY'15 FY'15 FY'15 FY'16 FY'16 FY'16 FY'16 FY'17 FY'17 FY'17 FY'17 < Rs.25 Lakhs Rs Lakhs Rs Lakhs Rs Lakhs > Rs.1 Crore Share of <Rs. 25 lakhs segment increased significantly on account of favorable policies Notes: * Top 9 Cities are Mumbai (including Navi Mumbai & Thane), Pune, Noida (including Greater Noida & Yamuna Expressway), Gurgaon (including Bhiwadi, Dharuhera & Sohna), Bengaluru, Chennai, Hyderabad, Kolkata and Ahmedabad. Analysis includes apartments and villas across the regions. Page 10

12 Consumer & Demand : Sales Momentum Regained Page 11

13 Sales increased by 19% over the previous quarter; still lower than the Pre-Demo levels 120,000 Sales trend in top-9 cities* 90,000 92,725 80,366 76,739 Barring Kolkata, sales have increased across all cities with significant growth recorded in Hyderabad, Chennai & Mumbai 60,000 65,789 57, % 48,976 53,457 51,550 55,500 54,721 51,715 43,512 Attained previous year s levels 30,000 19% 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 FY'15 FY'15 FY'15 FY'15 FY'16 FY'16 FY'16 FY'16 FY'17 FY'17 FY'17 FY'17 Notes: * Top 9 Cities are Mumbai (including Navi Mumbai & Thane), Pune, Noida (including Greater Noida & Yamuna Expressway), Gurgaon (including Bhiwadi, Dharuhera & Sohna), Bengaluru, Chennai, Hyderabad, Kolkata and Ahmedabad. Analysis includes apartments and villas across the regions. Page 12

14 Projects > 12 months old, saw higher sales growth during the quarter Sales in top-9* cities: New projects vs old projects # of units 45,000 40,000 35,000 30,000 25,000 20,000 15,000 10,000 5, ,219 37,413 16,093 36,321 36,348 30,250 13,795 28,894 11,497 31,882 25,832 29,060 20,978 8,075 7,207 28,017 14,323 29,271 17,655 28,849 Period 33,095 15,510 24,927 6,636 6,531 6,025 6,272 6,116 4,857 32,980 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 FY'15 FY'15 FY'15 FY'15 FY'16 FY'16 FY'16 FY'16 FY'17 FY'17 FY'17 FY'17 % Change (Q-o-Q) Units sold in 6 months old projects 3% Units sold in 7-12 months old projects - Units sold in > 12 months old projects 32% 16,676 31,699 17,529 13,728 14,149 4,586 Units sold in 6 months old projects Units sold in 7-12 months old projects Units sold in > 12 months old projects Notes: * Top 9 Cities are Mumbai (including Navi Mumbai & Thane), Pune, Noida (including Greater Noida & Yamuna Expressway), Gurgaon (including Bhiwadi, Dharuhera & Sohna), Bengaluru, Chennai, Hyderabad, Kolkata and Ahmedabad. Analysis includes apartments and villas across the regions. Page 13

15 All cities witnessed an increase in sales barring Kolkata Index value (Base: Q4 FY 16=100) Q-o-Q Sales Index (Base: Q4 FY 16) Q-o-Q sales in Hyderabad increased by 89% Q4 Q1 Q2 Q3 Q4 FY'16 FY'17 FY'17 FY'17 FY' Ahmedabad Bengaluru Chennai Gurgaon^ Hyderabad Kolkata Mumbai** Noida* Pune Notes: * Noida includes Greater Noida and Yamuna Expressway. ** Mumbai includes Navi Mumbai and Thane. ^ Gurgaon includes Bhiwadi, Dharuhera and Sohna. Analysis includes apartments and villas across the regions. Page 14

16 Mumbai, Pune and Bengaluru commands lion s share at around 57% of combined absorption of top-9 cities in Q4 FY 17 Mumbai and Pune emerged as the largest contributors to total absorption during the quarter. Hyderabad s share has increased from 8% during the previous quarter to 12% currently 8% 18% 22% 8% 21% 23% 8% 1 18% 8% 7% 3% 3% 8% 12% Ahmedabad Bangalore Chennai Gurgaon Hyderabad Kolkata Mumbai Noida Pune Inner Pie Q3 FY 17 Outer Pie Q4 FY 17 City-wise split of total absorption in Q4 FY 17 Page 15

17 Affordable segment accounted for 58% of total sales; Mumbai, Pune and Bengaluru key drivers % of sales Sales in top-9* cities by budget segment 100% 90% 80% 24% 24% 23% 25% 25% 27% 29% 28% 27% 28% 2 24% 70% 60% 19% 20% 21% 19% 23% 21% 19% 20% 21% 21% 20% 18% 50% 40% 30% 20% 57% % 52% 52% 52% 52% 51% 54% 58% 10% 0% Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 FY'15 FY'15 FY'15 FY'15 FY'16 FY'16 FY'16 FY'16 FY'17 FY'17 FY'17 FY'17 Affordable Segment Mid Segment Luxury Segment Notes: 1: Affordable segment: Units within < Rs.50 lacs budget 2: Mid-segment: Units within Rs lacs budget 3: Luxury segment: Units in > Rs.75 lacs budget Analysis includes apartments and villas across the regions. Page 16

18 <Rs.25 Lakhs segment is gaining momentum in Mumbai; 25% of end-user demand recorded in Q4 FY 17 against 9% in Q3 FY 17 % of demand Budget-wise real estate end-user demand^^ Q4 FY % 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 3% 24% 48% 19% 14% 17% 19% 13% 35% 33% 30% 29% 3% 7% 39% 43% 1 2% 17% 13% 9% 17% 29% 41% 45% 24% 1% 4% 2 10% 14% 25% 25% 3% 5% 37% 55% 4% 8% 33% 48% 7% > Rs.1 Crore Rs Lakhs Rs Lakhs Rs Lakhs < Rs.25 Lakhs Ahmedabad Bengaluru Chennai Gurgaon^ Hyderabad Kolkata Mumbai** Noida* Pune Notes: * Noida includes Greater Noida and Yamuna Expressway. ** Mumbai includes Navi Mumbai and Thane. ^ Gurgaon includes Bhiwadi, Dharuhera and Sohna. ^^ Based on survey of enquiries received by PropTIger.com. Analysis includes apartments and villas across the regions. Page 17

19 Inventory: Moving Back To Stable Stage 22% Page 18

20 Increase in traction during the quarter resulted in a 1 decline of inventory overhang # of months Q-o-Q overall inventory overhang in top-9* cities Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 FY'15 FY'15 FY'15 FY'15 FY'16 FY'16 FY'16 FY'16 FY'17 FY'17 FY'17 FY'17 Notes: Page 19 * Top 9 Cities are Mumbai (including Navi Mumbai & Thane), Pune, Noida (including Greater Noida & Yamuna Expressway), Gurgaon (including Bhiwadi, Dharuhera & Sohna), Bengaluru, Chennai, Hyderabad, Kolkata and Ahmedabad. Analysis includes apartments and villas across the regions.

21 Hyderabad, Chennai and Mumbai have witnessed an increase in liquidity with decline in inventory overhang Age of unsold inventory (months) Age of unsold inventory vs inventory overhang in top-9* cities (Mar 17) Noida 85, Hyderabad 37,747 Pune 87,024 Chennai 45,924 Bengaluru 98,564 Mumbai 179,798 Ahmedabad 40,470 Kolkata 40,743 Gurgaon 53, Inventory overhang (months) Notes: * Top 9 Cities are Mumbai (including Navi Mumbai & Thane), Pune, Noida (including Greater Noida & Yamuna Expressway), Gurgaon (including Bhiwadi, Dharuhera & Sohna), Bengaluru, Chennai, Hyderabad, Kolkata and Ahmedabad. Analysis includes apartments and villas across the regions. Size of the bubble indicates total inventory in units. Page 20

22 Noida has highest share of unsold inventory aged above 3 years % of inventory Age of unsold inventory in top-9 cities (Mar 17) 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 29% 2 27% 25% 33% 43% 40% 50% 10% 19% 22% 20% 67% 21% 17% 2 17% 25% 15% 20% 28% 28% 18% 24% 1 15% 27% 38% 31% 19% 22% 19% 19% 9% 2 9% Ahmedabad Bengaluru Chennai Gurgaon^ Hyderabad Kolkata Mumbai** Noida* Pune > 3 Yrs 2 to 3 Yrs 1 to 2 Yrs 1 Yr Notes: * Noida includes Greater Noida and Yamuna Expressway. ** Mumbai includes Navi Mumbai and Thane. ^ Gurgaon includes Bhiwadi, Dharuhera and Sohna. Analysis includes apartments and villas across the regions. Page 21

23 More than 65% of unsold inventory in Ahmedabad, Kolkata and Pune is in the affordable segment % of inventory 100% 13% 90% 80% 12% 70% 60% 33% 50% 18% 14% 30% Budget breakup of unsold inventory (Mar 17) 8% 8% 15% 21% 25% 8% 31% 10% 15% 19% 20% 10% 15% 24% 9% 13% 37% 13% 28% 44% > Rs.1 Crore Rs Lakhs Rs Lakhs Rs Lakhs 40% 30% 40% 28% 22% 5 <Rs.25 Lakhs 20% 10% 0% 3 33% 5% 11% 24% 31% 5% 34% 25% 8% 25% Ahmedabad Bengaluru Chennai Gurgaon^ Hyderabad Kolkata Mumbai** Noida* Pune Notes: * Noida includes Greater Noida and Yamuna Expressway. ** Mumbai includes Navi Mumbai and Thane. ^ Gurgaon includes Bhiwadi, Dharuhera and Sohna. Analysis includes apartments and villas across the regions. Page 22

24 Increased focus on completions in affordable segment, deliveries increased nearly twice as compared to Q3 FY 16 Completions as % of inventory Completions as % of inventory across segments in top-9 cities 1 14% 12% 10% 8% 4% 2% 4% 4% 3% 3% 5% 4% 5% 5% 4% 5% 4% 7% 5% 8% 7% 9% 10% 9% 7% 11% 11% 10% 8% 11% 11% 8% 14% 13% 10% 15% 14% 11% 0% Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 FY'15 FY'15 FY'15 FY'15 FY'16 FY'16 FY'16 FY'16 FY'17 FY'17 FY'17 FY'17 Affordable Segment Mid Segment Luxury Segment Overall Notes: 1: Affordable segment: Units within < Rs.50 lacs budget 2: Mid-segment: Units within Rs lacs budget 3: Luxury segment: Units in > Rs.75 lacs budget Analysis includes apartments and villas across the regions. Page 23 * Inventory includes only under-construction units

25 Pricing: Largely Range-Bound 22% Page 24

26 Hyderabad witnessed highest price appreciation backed by increase in sales Weighted average^^ BSP (Rs./sq.ft.) of apartment units as at the end of quarter City Q4 FY 16 Q4 FY 17 Price Change (Y-o-Y) Ahmedabad 2,925 2,942 1% Bengaluru 4,694 4,822 3% Chennai 4,893 5,044 3% Gurgaon^ 5,326 5,318 0% Hyderabad 3,793 22% 3,970 5% Kolkata 3,897 3,822-2% Mumbai** 8,220 8,153-1% Noida* 4,076 3,965-3% Pune 4,894 4,774-2% Notes: ^^ Price weighted on number of units supply in respective projects in a city. * Noida includes Greater Noida and Yamuna Expressway. ** Mumbai includes Navi Mumbai and Thane. ^ Gurgaon includes Bhiwadi, Dharuhera and Sohna. Analysis includes apartments across the regions. Page 25

27 Prices across all major cities remained at the same levels 120 Weighted average price index of residential units in top-9* cities Index value (Base: Q1 FY 15=100) Bengaluru and Chennai were the only cities which witnessed price appreciation during the 112 quarter in absolute terms Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 FY'15 FY'15 FY'15 FY'15 FY'16 FY'16 FY'16 FY'16 FY'17 FY'17 FY'17 FY'17 Ahmedabad Bengaluru Chennai Gurgaon Hyderabad Kolkata Mumbai Noida Pune Notes: * Top 9 Cities are Mumbai (including Navi Mumbai & Thane), Pune, Noida (including Greater Noida & Yamuna Expressway), Gurgaon (including Bhiwadi, Dharuhera & Sohna), Bengaluru, Chennai, Hyderabad, Kolkata and Ahmedabad. Analysis includes apartments and villas across the regions. Page 26

28 Micro-markets of Southern cities witnessed the highest price appreciation across all segments Price trend map for prominent suburbs for Q4 FY 17 Q-o-Q Price Change (%) 0% to 1% 1% to 2% Above 2% Ahmedabad East (3%) GST, Chennai (1%) FNG Expressway, Noida (1%) Mumbai Pune Bypass (1%) ORR South, Hyderabad (2%) Secunderabad (1%) Hennur Main Road, Bengaluru (1%) Pune Solapur Highway (< 1%) Hyderabad North (2%) Ahmedabad West (1%) Mysore Road, Bengaluru (2%) Bannerghatta Road, Bengaluru (1%) Thanisandra Main Road, Bengaluru (1%) Bengaluru West (1%) Pune East (< 1%) Bengaluru Central (1%) Chennai North (5%) Worli to Andheri, Mumbai (1%) ECR, Chennai (2%) Outer Ring Road, Bengaluru (1%) Mumbai South (< 1%) ORR West, Hyderabad (3%) Chennai Central (1%) Bengaluru South (1%) Affordable Segment* Mid Segment** Luxury Segment*** Notes: *Affordable Segment : Units within < 50 lacs budget range. **Mid Segment : Units within lacs budget range. ***Luxury Segment : Units in > 75 lacs budget range. Page 27

29 Policy Developments & Key Transactions 22% Page 28

30 Major policy developments during the quarter In a move towards implementing a new and consolidated indirect tax regime from the proposed date of July 1, the Lok Sabha has recently passed four bills, relating to the implementation of the Goods and Services Tax (GST) The Parliament has passed the Enemy Property (Amendment and Validation) Bill, 2016, which denies inheritance rights to heirs of individuals who left the country for Pakistan and China Mumbai International Airport (MIAL), the GVK-owned consortium running the Mumbai airport, has won the bid to develop the Rs.16,000-Crore Navi Mumbai International Airport project The Ministry of Union Urban Development will extend the newly framed Transit Oriented Development (TOD) policy to Pune city. Under TOD, city densification will be promoted along mass transit corridors through vertical construction by substantially enhancing floor area ratio (FAR) The Government of Maharashtra has decided to form a separate authority to regulate cooperative housing societies in MMR The Mumbai Metropolitan Region Development Authority has approved the new 13-km Dahisar east-mira Road-Bhayander Metro IX. This route, comprising 10 stations, will be built at an estimated cost of Rs.6,518 Crore National Haryana Maharashtra Karnataka Government of Haryana has approved the proposed Mass Rapid Transport System (MRTS) between Gurgaon and Manesar to establish metro connectivity between the financial and industrial hubs The Government of Haryana approved the extension of the Delhi Metro network to Kundli, covering a distance of 4.86 km. The estimated cost of the project is Rs.1,100 Crore The Government of Karnataka and the Ministry of Railways signed an MoU for Bengaluru s first suburban rail which is expected to address the situation of extreme traffic congestion in the city The Government of Karnataka has cancelled approvals granted to 8 Special Economic Zone (SEZ) projects, as developers have not made any significant progress to complete the projects L&T Realty is likely to build around 3 million sq.ft. of commercial space in the recently approved SEZ in north Bengaluru, which is part of a 9 million sq.ft. mixed-use development Page 29

31 Major policy developments during the quarter Government of Andhra Pradesh is planning to raise around Rs. 2,000 Crore through an issue of infrastructure bonds, to build a capital city spread across 35,000 acres of land acquired through an innovative land pooling model Government of Andhra Pradesh is planning to build about 20 walk-to-work-in-10 minutes towns along the Vizag-Chennai Industrial Corridor and the Chennai-Bengaluru Industrial Corridor Kakinada SEZ, a subsidiary of GMR Infrastructure, has signed MoUs with firms interested in setting up manufacturing units; GMR seeks to develop an industrial zone spread over 8,500 acres and an all-weather, multi-cargo, deep water port with an estimated capacity of 16 million tonnes in the 1st Phase The Government of Gujarat in its budget, set a target of developing 45,000 affordable houses under PMAY and Mukhyamanti Saheri Vikas Yojana and an additional 100,000 houses under other schemes of the State Government Ahmedabad Municipal Corporation (AMC) signed 279 MoUs worth more than Rs.30,000 Crore for undertaking of various realty projects, at the recently held Vibrant Gujarat Summit Mahindra Lifespace Developers has signed an MoU with the Government of Gujarat to develop a 350-acre multi-product industrial park near Ahmedabad Andhra Pradesh Uttar Pradesh Gujarat West Bengal The Yamuna Expressway Industrial Development Authority (YEIDA) is going to set up solar plants on 100 hectares of land as per the Uttar Pradesh Solar Policy % The metro rail corridor from Noida to Greater Noida, is likely to be operational by December 2017, three months before the actual commissioning date. The 29.7-km Noida-Greater Noida has been constructed for around Rs. 150 Crore a kilometer Bidhannagar Municipal Corporation (BMC) is planning to develop its jurisdiction area covering Salt Lake and Rajarhat as a smart green city Two private companies have been selected to develop township projects in Rajarhat and near Amtala. Forum Properties Holding has been selected to develop the acre 'Innovative Township' in Rajarhat while Ambuja Neotia Group will develop theme-based township near Amtala on 233 acres Page 30

32 Major policy developments during the quarter The Ministry of Railways and Greater Chennai Corporation have decided to build a new bridge at Elephant Gate in Central Chennai, in place of the existing damaged structure with a 50:50 share of funding The Chennai Port Trust and the Puducherry Government have signed an MoU for handling export and import cargo originating from Puducherry Port hinterland. This is likely to reduce cost of logistics and ease road congestion In a bid to boost regional air connectivity, the Cabinet Committee on Economic Affairs (CCEA) has approved the revival of 50 unserved or underserved airports at a cost of Rs. 4,500 Crore over a period of three years starting FY 18 Tamil Nadu Others 22% Page 31

33 Key transactions during the quarter Lapis India Capital Advisors, a realty focused private equity fund, fully exited its investment in Sobha Palladian, a Bengaluru based residential project of Sobha Limited; the fund had invested Rs.50 Crore in a 50:50 partnership with Sobha and has exited with a total of Rs.98 Crore over a period of 4 years, starting 2013 Infosys Limited, acquired 3 acres of land in Bengaluru s Electronics City for nearly Rs.33 Crore from Pradot Technologies Godrej Properties has acquired a 12-acre land parcel along Sarjapur Road to develop around 1 million sq.ft. of residential space Signature Global, a real estate firm, is going to invest Rs.500 Crore for the development of two newly launched affordable housing projects comprising 2,405 units in Gurgaon GIC has entered into exclusive bilateral negotiations with the promoters of DLF Limited to acquire the promoters 40% stake in DLF Cyber City, Gurgaon for Rs.12,000 Crore Vatika Business Centre has entered the co-working spaces segment with the launch of its first office in Gurgaon at Vatika Atrium, Golf Course Road Microsoft is likely to sign a nine-year lease deal with Prestige Group for a 6 lakh sq.ft. office space in Bengaluru. The new facility can accommodate approximately 6,000 employees Bengaluru Kolkata Gurgaon Mumbai Air India, as a part of its asset monetization programme, has started the process of leasing out 25,000 sq.ft. of office space at landmark C R Avenue locality of Central Kolkata 22% Indiabulls Asset Management Company's private equity arm is planning to raise Rs.1,500 Crore through its new real estate fund Dual Advantage Commercial Asset fund (DACA) PepsiCo India has sold a 2.5-acre land parcel in the central suburb of Chembur to The Wadhwa Group, a real estate development firm, for a consideration of Rs Crore Lodha Group has launched its maiden investment fund with an initial corpus of Rs.50 Crore to invest in real estate tech ventures focused on smart city solutions and the overall realty sector Oberoi Realty has acquired a 4-acre land parcel from GlaxoSmithKline, with plans to develop 1 million sq.ft. of mixed use project Altico Capital has invested Rs.180 Crore in Sheth Corp s residential project Project Zuri in Thane Page 32

34 Key transactions during the quarter Infosys is planning to build an IT-operations facility on 28 acres of land parcel in Noida with a total investment of about Rs.5,000 Crore Honda India has acquired a 380-acre land parcel in Vithalapur, Gujarat, at a cost of Rs.1,000 Crores, to set up a new assembly line Xander Group has acquired Express Trade Towers, a fully leased 500,000 sq.ft. IT park located in Noida, from IL&FS Investment Managers. The deal was valued at Rs.300 Crore Noida Pune Ahmedabad Hyderabad Embassy Industrial Parks, a joint venture between Embassy Group and PE firm Warburg Pincus, is investing Rs.350 Crore to build a 1.1 million sq.ft. industrial park at Chakan, Pune 22% Marvel Realtors, a Pune based real estate developer, raised Rs.150 Crore in the form of structured debt from Piramal Fund Management; the company seeks to utilize the funds towards construction of a residential project in Pune Phoenix Group has raised a credit line of Rs.300 Crore from Altico Capital. The funding is proposed to be utilized towards refinancing of some of its existing lenders and for the construction of two of its projects in Hyderabad Page 33

35 Key transactions during the quarter Xander Group has invested around Rs.120 Crore in a plotted development project of VGN Property Developers in Ambattur, West Chennai L&T Realty has sold its 51 per cent stake in a township project at Siruseri Chennai for Rs.190 Crore to Pragnya Group Chennai 22% Page 34

36 CONTACT PROPTIGER FOR REAL ESTATE INSIGHTS: Detailed analysis of micro markets Market intelligence report Micro market surveys Price sensitivity analysis City dashboards and trends Demand assessment ANURAG JHANWAR, MRICS Head Consulting and Data Insights DISCLAIMER All data, figures, information here are provided and/or collated by Proptiger.com and that any of its representatives, officers, employees or affiliates make no representations or warranties as to the accuracy or completeness of any information furnished hereto. This report has been prepared by Proptiger Data Labs solely for information purposes. It does not purport to be a complete description of the markets or developments contained in this material. The information on which this report is based has been obtained from sources that PropTiger.com believes in its reasonable bona fide faith to be reliable, but PropTiger.com has not independently verified this information and does not guarantee/ warranty the accuracy, genuineness or completeness of the information therein. This report contains information available to the public and has been relied upon by PropTiger.com on the basis that it is accurate and complete. Information contained herein should not, in whole or part, be published, reproduced or referred to without prior approval. PropTiger.com accepts no responsibility if this should prove not to be the case. Any such reproduction should be credited to PropTiger Data labs Proptiger.com. All rights reserved LIMITATION OF WARRANTY The information is provided as is, without warranty of any kind, it has not been independently verified by PropTiger.com or its affiliates, officers, employees or agents and use of the information is at your sole risk. PropTiger.com or its affiliates, officers, employees or agents shall not be liable and expressly disclaim liability for any error or omission in the content of the information, or for any actions taken by you or any third party, in reliance thereon. The information is not guaranteed to be error-free, or to be relied upon for investment purposes, and PropTiger.com or its affiliates, officers, employees or agents make no representation or warranty as to the accuracy, truth, adequacy, timeliness or completeness, fitness for purpose, title, non-infringement of third party rights or continued availability of the information, withdrawal without notice and to any special conditions imposed by our principals.