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Transcription:

OCTOBER 2016

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

Key Insights And Outlook Page 02

Key Insights Residential market conditions across top-9 cities of India in FY 17 were largely similar to the previous quarter with sales during the FY 17 witnessed at 54,721 units compared to 55,550 units in FY 17. The repo rate cut by the Reserve Bank of India (RBI), discounts and schemes offered by developers and the Real Estate (Regulation And Development) Act (RERA) are expected to lead to higher sales in subsequent quarters Ahmedabad, Chennai, Hyderabad, Kolkata and Pune noted an uptick in housing sales during FY 17, even as most other cities witnessed subdued sales. Sales in Kolkata and Hyderabad increased by 35% and 24% respectively over the previous quarter Mumbai, Pune and Bengaluru contributed nearly 58% to the total absorption witnessed in FY 17. Mumbai contributed the most to sales, accounting for 21% of total sales during the quarter followed by Pune and Bengaluru at 19% and 17% respectively, during FY 17 Sales in under construction projects continued to account for nearly 70% of the absorption. However, around 15% of the sales across top-9 cities was witnessed in completed projects, marginally up compared to the previous quarter. Past delays in completion of projects by developers has led some section of buyers to opt for completed projects Buyers inclination continues to be higher towards projects which are showing visible construction progress. 60% of the sales during the quarter were witnessed in such projects launched more than 12 months ago Page 03

Key Insights During FY 17, the top-9 cities of India witnessed launches of about 47,000 new residential units compared with 41,000 units in FY 17 at a quarterly growth of 14%. We anticipate an increase in new launches in FY 17, as many developers are looking forward to the festive season to launch their projects Affordable segment accounted for nearly 61% of the total launches in FY 17. This could be attributed to the sops offered by the Government for development of affordable housing Inventory overhang remained unchanged at 35 months, indicating the demand is moving in tandem with the supply. Unsold inventory across the top-9 cities declined barring Ahmedabad, Kolkata and Pune Developers across top-9 cities of India have been reluctant to reduce residential prices and have instead been offering deferred and flexible payment schemes to entice buyers. Thus, overall prices across the cities remained range-bound during the quarter Page 04

Outlook International Monetary Fund revised India's GDP forecast to 7. in FY 17, up from its previous forecast of 7.4%. The prospect of above-normal rainfall in the country is likely to keep the Consumer Price Index under control and further help to maintain inflation within the favorable target band. This might possibly lead to further repo-rate cuts by Reserve Bank of India over the medium term, which will help in furthering of positive sentiments for the residential real estate The impact of recent repo rate cut by RBI, the Real Estate (Regulation And Development) Act and GST Bill implementation, relaxation of rules for REITs, implementation of the 7th Pay Commission recommendations to increase Central Government employees wages is expected to positively impact the sector over the next few quarters From spot discounts, flexible payment plans, waiver of registration, stamp duty and other charges to free whitegoods, gold coins, luxury cars, buyers across the country, are spoilt for choices this festive season. This is coupled with developers focus on execution and launches only with approvals is expected to bring the fence-sitters into market Page 05

Residential Landscape: Top-9 cities as of FY 17 Most cities witnessed increase in Launches over pervious quarter. Prices are largely range bound, with exception of Hyderabad at 3% increase over previous quarter AHMEDABAD Q-o-Q (%) BENGALURU Q-o-Q (%) CHENNAI Q-o-Q (%) Launches +57% Launches -13% Launches +15% Sales +7% Sales -8% Sales +2% BSP Inventory Overhang 2,912 (-2%) 29 BSP Inventory Overhang 4,811 (+1%) 31 BSP Inventory Overhang 4,988 (+1%) 38 GURGAON Q-o-Q (%) HYDERABAD Q-o-Q (%) KOLKATA Q-o-Q (%) Launches -34% Launches +20% Launches +480% Sales -28% BSP Inventory Overhang 5,525 (+1%) 66 Sales +24% BSP Inventory Overhang 3,991 (+3%) 21 Sales +35% BSP Inventory Overhang 3,879 (-1%) 31 MUMBAI Q-o-Q (%) NOIDA Q-o-Q (%) PUNE Q-o-Q (%) Launches -33% Launches +25% Launches +8% Sales -10% BSP Inventory Overhang 8,349 (+1%) 43 Sales -2% BSP Inventory Overhang 3,987 (-1%) 53 Sales 0% BSP Inventory Overhang 4,981 (0%) 23 Notes: BSP is represented in Rs./sq.ft. Inventory overhang is represented in months Page 06

Key performance indicators depicts stable outlook Residential Trends in top-9 cities* Launches Sales Price Trend Inventory Overhang -27% 15% -14% 14% 14% -14% 9% -4% 8% -1% 0% 0% 0% 1% 0% 14% - 9% -9% 0% FY 16 FY 16 FY 16 FY 17 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 07

Launches: Increased Momentum to capitalize on Festive season Page 08

Launches increased by 14% quarterly; paced up to capitalize on the festive season momentum # of units Total number of launches in top - 9 cities* 140,000 120,000 100,000 116,402 108,226 FY 17 witnessed the highest volume of launches in last 5 quarters 80,000 78,075 75,357 79,343 73,433 60,000 40,000 50,594-51% 36,774 42,269 36,275 41,313 47,032 28% 20,000 0 FY'14 FY'14 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 09

Launches in Ahmedabad and Kolkata increased significantly Y-o-Y Mumbai and Chennai accounted for 50% and 59% of the launches respectively in <Rs. 50 Lac segment # of units 20,000 15,000 10,000 5,000 B Kesar Gold City and Keval Vision Corp Ashray 10 have launched 2,500 and 800 units respectively 1,248 6,752 Brigade 7 Gardens and Excel Group Codename Five Rings Apartment have launched >600 units each 9,602 5,647 2,640 Total unit launches - FY 16 vs FY 17 4,192 Sumadhura Acropolis and Rajapushpa Properties Atria have launched >550 and >450 units respectively 2,998 3,492 2,160 Meridian Group Aamar Bari and Aspirana Infraventure Malabar Residency have launched >1,600 units each 8,027 Vyom Probuild Organic Golf Homes has launched >500 units 2,615 2,192 7,441 7,315 5,976 8,084 FY'17 Lodha Codename Golden Tomorrow has launched 2,500 units MKS Venture County has launched >700 units 2,094 1,331 0 Ahmedabad Bengaluru Chennai Hyderabad Kolkata Noida* Pune Mumbai** Gurgaon^ 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 10

Share of affordable segment in total launches at 61% during the quarter; after a gap of 10 straight quarters % of units Q-o-Q budget-wise unit launches in top-9* cities 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 15% 15% 18% 15% 17% 18% 14% 12% 25% 20% 18% 13% 7% 7% 8% 10% 8% 8% 10% 8% 11% 1 19% 20% 19% 23% 1 25% 21% 12% 17% 24% 21% 9% 17% 40% 39% 3 30% 35% 38% 33% 41% 33% 42% 32% 27% 22% 20% 20% 22% 23% 20% 12% 1 14% 18% 20% 23% 8% Government incentives to developers in the affordable segment continues to provide the necessary momentum for the segment 0% FY'14 FY'14 FY'17 FY'17 < Rs.25 Lakhs Rs.25-50 Lakhs Rs.50-75 Lakhs Rs.75-100 Lakhs > Rs.1 Crore 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 11

Consumer & Demand: Stagnant Sales Page 12

Sales witnessed annual growth of 12%; stable on quarterly basis though # of units Sales trend in top - 9 cities* 150,000 120,000 114,302 107,013 Sales increased by 12% in FY 17 as compared to the same quarter last year with major contribution from Mumbai and Pune 90,000 92,725 80,366 76,739 65,789-39% 60,000 57,245 48,976 53,457 51,550 55,500 54,721 12% 30,000 0 FY'14 FY'14 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 13

60% of the sales being witnessed in projects launched more than 12 months ago Sales in top - 9* cities: New launches vs old projects # of units 60,000 50,140 47,351 50,000 Age % Change (Q-o-Q) Units Launched in 6 months -12% Units Launched in 7-12 months -2% Units Launched in > 12 months 4% 40,000 30,000 36,962 38,754 39,219 36,321 36,348 31,882 37,413 29,060 28,017 29,271 28,849 31,699 33,095 20,000 10,000 27,200 20,908 30,250 28,894 25,832 20,978 14,323 17,655 16,676 17,529 15,510 0 FY'14 FY'14 16,093 13,795 11,497 8,075 7,207 6,636 6,531 6,025 6,272 6,116 FY'17 FY'17 Units Launched in 6 months Units Launched in 7-12 months Units Launched in > 12 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. Page 14

Kolkata and Hyderabad emerged as top selling cities, while sales in Gurgaon declined by 28% Q-o-Q Sales Index (base: FY 16) 190 Q-o-Q sales in Kolkata increased by 35% and in Hyderabad by 24% 183 Index value (Base: FY 1 6=1 00) 170 150 130 110 90 70 100 120 115 97 143 116 106 93 85 81 83 158 148 118 115 102 169 139 115 105 100 93 85 50 FY'17 FY'17 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 15

Mumbai, Pune and Bengaluru commands lion s share at around 57% of absorption in FY 17 Mumbai, being the largest contributor in total absorption, saw a decline of its contribution from 23% on FY 17 to 21% in FY 17 19% 19% 8% 7% 19% 17% Ahmedabad Bangalore Chennai Gurgaon 9% 9% 23% 21% 5% 7% 7% 5% 4% 8% Hyderabad Kolkata Mumbai Noida Pune 7% Inner Pie FY 17 Outer Pie FY 17 City-wise split of total absorption in FY 17 Page 16

Affordable segment continued to dominate the sales trend; Pune s share at 25% % of sales 100% Sales in top - 9* cities by budget segment 90% 80% 23% 23% 24% 24% 23% 25% 25% 27% 29% 28% 27% 28% 70% 60% 18% 18% 19% 20% 21% 19% 23% 21% 19% 20% 21% 21% 50% 40% 30% 20% 10% 0% 59% 59% 57% 5 22% 5 5 4% 52% 5% 52% 52% 52% 52% 51% 23% 5% FY'14 FY'14 FY'17 FY'17 Affordable Segment 1 Mid Segment 2 Luxury Segment 3 Notes: 1: Affordable segment: Units within < Rs.50 lakh budget 2: Mid-segment: Units within Rs.50-75 lakh budget 3: Luxury segment: Units in > Rs.75 lakh budget Analysis includes apartments and villas across the regions. Page 17

Demand for affordable segment is predominant in Ahmedabad, Noida and Pune % of demand Budget - wise real estate end - user demand^^ - FY 17 100% 90% 80% 70% 3% 2% 27% 12% 9% 14% 1 33% 18% 18% 18% 11% 41% 3% 4% 11% 8% 2 32% > Rs.1 Crore Rs.75-100 Lakhs Rs.50-75 Lakhs 60% 50% 40% 30% 20% 10% 0% 53% 15% 3 37% 1% 33% 30% 12% 34% 39% 42% 20% 22% 34% 21% 8% 23% 1% 3% 5% 4% 13% 18% 59% 49% 20% 5% 8% 1% 7% Rs.25-50 Lakhs < Rs.25 Lakhs 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 18

Inventory: Reading Between The Lines 22% Page 19

Six cities, barring Ahmedabad, Kolkata and Pune have witnessed a decline in inventory levels Q-o-Q overall inventory overhang in top - 9* cities Inventory overhang for FY 17 across cities excluding Gurgaon stands at 33 months # of months Range bound 40 35 33 37 35 38 35 35 30 29 25 20 17 18 20 23 25 15 10 5 0 FY'14 FY'14 FY'17 FY'17 Notes: Page 20 * 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.

Hyderabad is emerging as preferred city on liquidity front with declining inventory and inventory overhang Age of unsold inventory (months) 45 Age of unsold inventory vs inventory overhang in top - 9* cities (Sep 16) 40 Noida 90,547 35 30 Hyderabad 28.838 Bengaluru 99,334 Chennai Mumbai 48,184 Gurgaon 165,984 45,748 25 20 15 Pune 80,109 Kolkata 38,535 Ahmedabad 39,772 22% 15 25 35 45 55 65 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 21

Pune and Ahmedabad have around 37% of unsold inventory aged over 2 years, lowest across all 9 cities % of inventory Age of unsold inventory in top - 9 cities (Sep 16) 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 22% 25% 21% 19% 37% 32% 33% 41% 14% 57% 18% 21% 21% 23% 1 17% 1 28% 27% 12% 22% 23% 19% 23% 22% 17% 41% 17% 40% 3 14% 35% 31% 28% 27% 15% 12% 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 22

Around 25% of unsold inventory in Bengaluru, Hyderabad and Chennai continue to be in the mid segment % of inventory Budget breakup of unsold inventory (Sep 16) 100% 9% 8% 8% 13% 13% 90% 19% 27% 8% 8% 5% 30% 9% 32% 80% 12% 17% 14% 20% 20% 70% 23% 12% 11% 9% 60% 35% 29% 14% 13% 50% 2 42% 44% 40% 55% 43% 25% 30% 27% 22% 20% 32% 35% 32% 2 10% 18% 21% 20% 12% 9% 0% 3% > Rs.1 Crore Rs.75-100 Lakhs Rs.50-75 Lakhs Rs.25-50 Lakhs < Rs.25 Lakhs 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 23

Increased focus on deliveries across the segments Completions as % of inventory Completions as % of inventory across segments in top - 9 cities 14% 12% 10% 8% 4% 2% 0% 3% 3% FY'14 FY'14 3% 4% 4% 5% 22% 5% 5% 5% 8% 9% 7% 8% 11% 8% 9% 12% 9% FY'17 11% 13% 12% 10% FY'17 12% Affordable Segment Mid Segment Luxury Segment Overall Notes: 1: Affordable segment: Units within < Rs.50 lakh budget 2: Mid-segment: Units within Rs.50-75 lakh budget 3: Luxury segment: Units in > Rs.75 lakh budget Analysis includes apartments and villas across the regions. Page 24 * Inventory includes only under-construction units

Pricing: Largely Range-Bound 22% Page 25

Prices have remained range-bound across the cities except Hyderabad with 11% annual appreciation Weighted average^^ BSP (Rs./sq.ft.) of apartment units as at the end of quarter City FY 16 FY 17 Price Change (Y-o-Y) Ahmedabad 2,827 2,912 3% Bengaluru 4,633 4,811 4% Chennai 4,827 4,998 4% Gurgaon^ 5,618 5,525-2% Hyderabad 3,602 3,991 11% 22% Kolkata 3,946 3,879-2% Mumbai** 8,117 8,349 3% Noida* 4,155 3,987-4% Pune 4,938 4,891-1% 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 26

Hyderabad and Bengaluru witnessed maximum price increase since FY 14 120 Weighted average price index of residential units in top - 9* cities 118 Index value (Base: FY 14=100) 115 110 105 100 95 101 101 100 100 102 101 101 103 103 102 107 107 106 106 106 104 105 103 104 104 104 102 102 102 100 101 99 99 99 22% 99 98 111 108 109 109 108 109 103 103 103 104 98 97 96 95 115 110 111 107 106 107 105 105 103 103 98 97 96 95 90 FY'14 FY'14 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 27

Prices remained range-bound in the luxury and mid segments, appreciated in the affordable segment Price trend map for prominent suburbs for FY 17 Q-o- Q Price Change (% ) < 1% 1% to 2% Above 2% New Gurgaon (4%) Mysore Road, Bengaluru (2%) Kolkata West (1%) Greater Noida Central (1%) OMR, Chennai (1%) Pune Solapur Highway (3%) Gandhinagar South, Ahmedabad (2%) Mumbai Pune Bypass, Pune (1%) Bengaluru North (1%) Whitefield, Bengaluru (2%) Beyond Panvel, Mumbai (1%) Navi Mumbai (1%) Hyderabad East (1%) ORR South, Hyderabad (5%) Outer Ring Road, Bengaluru (1%) Secunderabad, Hyderabad (2%) Kolkata Central (7%) Bengaluru South (2%) Sohna Road, Gurgaon (1%) EM Bypass, Kolkata (< 1%) ORR West, Hyderabad (2%) Noida Expressway (< 1%) Old Airport Road, Bengaluru (3%) Affordable Segment* Mid Segment** Luxury Segment*** Hyderabad West (2%) Central Mumbai (1%) Kolkata East (1%) Chennai Central (< 1%) Notes: *Affordable Segment : Units within < 50 lacs budget range. **Mid Segment : Units within 50-75 lacs budget range. ***Luxury Segment : Units in > 75 lacs budget range. Page 28

Policy Developments & Key Transactions 22% Page 29

Major policy developments during the quarter The Cabinet Committee on Economic Affairs (CCEA) has approved a proposal by Niti Aayog to boost construction sectors and restart stalled infrastructure projects Central Government is all set to impose a betterment charge on land sale in the areas where the prices have appreciated due to infrastructure development Central Government has allocated Rs.18 Lac Crore for improving urban infrastructure The Maharashtra state cabinet approved the construction of two new metro lines - Metro line 2B from DN Nagar, in Andheri West, to Mandala in the eastern suburbs and Metro line 4 is proposed from Wadala to Kasarvadavali, expected to be operational by 2022 Maharashtra Government has extended the redevelopment policy bonanza for old and dilapidated buildings to the suburbs Stamp duty in Nagpur Metro Rail corridor has been hiked by 1% to 7.5%. However, it remained unchanged for the rest of the city The Urban Development Department (UDD) has agreed to increase the FSI to 2.95 in Nagpur National Haryana Maharashtra Karnataka Haryana Urban Development Authority (HUDA) to spend Rs.700 22% Crore to acquire nearly 102 acres of land for the construction of the Central Peripheral Road (CPR) to connect Dwarka Expressway with the Southern Peripheral Road (SPR) and NH-8 Haryana Government to build a new 4.5 Km long 4-lane-road from Bajghera in Gurgaon to Bijwasan in Delhi Bengaluru Development Authority (BDA), which has been developing and allotting plots and low-cost housing units, has entered into the premium segment of housing with high-end facilities Page 30

Major policy developments during the quarter House allotment process goes online in Bhopal Government panel clears three new airports in Andhra Pradesh at Bhogapuram and Dagadarthi in Nellore district, and Orvakallu in Kurnool district The Kerala Government has envisaged a complete rehabilitation package for the homeless and landless in the next five years through a comprehensive housing scheme, expected to directly benefit over 4.70 lac families Andhra Pradesh Uttar Pradesh Other States The proposed airport at Jewar, Greater Noida has got the no-objection certificate from the Ministry of Defence 22% Ghaziabad to get a direct Metro link with Noida, with the extension of the Blue Line of the Delhi Metro Noida Authority has decided not to increase the FAR in under-construction projects Page 31

Key transactions during the quarter Piramal Fund Management has invested Rs.520 Crore in the form of structured debt and construction finance to Bengaluru based developer Century Real Estate Total Environment Building Systems has raised Rs.300 Crore in the form of equity from HDFC Capital to fast-track its 5 ongoing residential projects Signature Global is likely to invest around Rs.950 Crore to develop 5,000 low-cost homes under the Haryana Government's affordable housing policy M3M India has signed an agreement with Tata Realty and Infrastructure to sell its proposed IT-SEZ in Gurgaon. The deal size is estimated to be Rs.500 Crore IREO Management, a private equity development fund, plans to build 11 million sq.ft. IT-SEZ on 67 acres of land parcel in Gurgaon over the next 5 to 7 years Vipul Ltd. has raised Rs.275 Crore from PNB Housing Finance for its luxury project Aarohan Bengaluru Chennai Gurgaon Mumbai Kotak Realty Fund has invested Rs.155 Crore in a residential project of Alliance Infrastructure 22% Uttar Pradesh Other States Lodha Group has raised Rs.2,320 Crore in a debt transaction from Piramal Fund Management for the development of its projects in south and central Mumbai Piramal Fund Management and Shapoorji Pallonji Real Estate Development jointly invested Rs.300 Crore in a residential project launched by Ornate Spaces at Oshiwara in suburban Mumbai Sethia Group has raised debt worth Rs.115 Crore from Edelweiss Group to finance the development of two of its newly launched projects in western suburbs of Mumbai Piramal Fund Management has invested Rs.100 Crore in Ahuja Constructions' premium residential project Altus in Worli Kotak Investment Advisors has partly exited its investment in Mumbai-based builder Sunteck Realty, reportedly at a loss Page 32

Key transactions during the quarter Apollo Global Management LLC has invested Rs.400 Crore in Logix Group to fund the completion of four of its ongoing residential projects and a commercial project Kautilya Finance has invested Rs.160 Crore in a residential project of Noida-based developer SAHA Infratech The Blackstone Group L.P., in a joint venture with Embassy Office Parks, will invest Rs.5,000 Crore in the next 3 years to build over 16 million sq.ft. of office space in Bengaluru, Hyderabad, Chennai and Pune Salarpuria Sattva Group and Apollo Global Management LLC have entered into a joint venture to buy two under construction residential projects from a group of offshore investors in Bengaluru and Vadodara for Rs. 275 Crore Noida Pune Other States Altico Capital has invested Rs.300 Crore in KUL Ecoloch, a township project of Kumar Urban Ltd. in Hinjewadi 22% Altico Capital, the non-banking financial wing of Clearwater Capital Partners, has invested Rs.180 Crore in Pharande Group s two residential projects Page 33

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