Real estate developer DLF Ltd has emerged as the sole bidder for the Bangalore Region Development Authority’s 9,300-acre Bidadi satellite township project as the deadline for the submission of technical and financial bids has expired. The bids would be evaluated and finalized by end of August. There were 24 contenders at the request for qualification stage as on January 22. The estimated cost of building the township, to be located 39 km from Bangalore off the Bangalore-Mysore state highway, is Rs. 3,500 crores. The implementation period will be two years and the realization period five years. Bidadi is one of the five self-contained townships proposed by BMRDA around Bangalore to be developed in public-private partnerships.

Real estate stocks in India are the most expensive in the world even as they give lower returns than most of the emerging as well as developed markets including China, Singapore, Hong Kong and Australia.

The revelation has come in the backdrop of a seven-year bull run in the global property stocks coming to an end in the second quarter of 2007, although emerging markets bucked the trend, according to second-quarter review of property sector by international investment services firm Standard & Poor’s.

A comparison of price to earnings ratio of stocks from various countries showed that valuation of property stocks from the US and UK moved lower, while those from emerging market continued to grow.

P/E ratio is considered as valuation benchmark of a stock where a higher ratio indicates an expensive stock while lower P/E signifies a cheaper stock.

P/E ratio for Indian stocks for the trailing 12 months was highest among all countries, while return on equity (ROE) was second lowest among all emerging markets and lower than most of the developed markets.  More

Mumbai, Jun 27 (UNI) Housing Development Finance Corporation (HDFC) Chairman Deepak Parekh today said the soaring real estate prices are not sustainable and will come down very soon.

”Real estate developers are offering various freebies to the consumers and it’s a prelude to the reduction of prices,” he said on the sidelines of the annual general meeting of HDFC in Mumbai.

However, he said there won’t be a drastic fall in the prices but there will be a correction in the rates.

According to him, the Reserve Bank of India (RBI) has also tightened its grips on the foreign investments in real estate which further points towards the reduction of rates.

”Due to strict regulation, no housing finance these days can lend money against lands, for developers borrowing money from housing finance is becoming increasingly difficult,” he said.

There are already indications of softening of real estate prices in certain areas like Bangalore, Gurgaon and Hydrabad where heavy construction is taking place.

Mr Parekh was also of the opinion that unless and until the soaring real estate prices comes down it will become difficult for real estate developers to sustain their market share in the country.

On low-cost housing, he said government should take the initiative in terms of acquiring cheaper land.

RealtyOffline portal is about to complete the first 50 days of its web presence. We would like to thank you for your support and feedback.  We are getting good response from all over the world and getting hits from various search engines (mainly from Google).

Please find the following diagram  related to Geographical location of visitors.

Please click the following links to visit the site.

www.realtyoffline.com

India - http://in.realtyoffline.com

http://review.realtyoffline.com  (Review & Ratings)

US - http://us.realtyoffline.com

UK - http://uk.realtyoffline.com

Middle East - http://me.realtyoffline.com

Expecting your support and contribution in future also.

Let us make RealtyOffline as No#1 real estate portal.

DLF Limited, the largest real estate development company in India in terms of the area of its completed residential and commercial developments , proposes to enter the capital market on 11th June 2007 with a public issue of 175,000,000 equity shares of Rs.2 each through 100% book building process. The issue closes on 14th June 2007 and the price band has been fixed at Rs.500 to Rs.550 per equity share. The floor price of the band is 250 times the face value and the cap price is 275 times the face value. The issue will constitute 10.26% of the fully diluted post-issue capital of the company.Kotak Mahindra Capital Company Limited and DSP Merrill Lynch Limited are the global coordinators and BRLMs for the issue. Lehman Brothers Securities Pvt. Ltd. is the Senior BRLM, and Citigroup Global Markets India Pvt. Ltd., Deutsche Equities India Pvt. Ltd., ICICI Securities Primary Dealership Ltd. and UBS Securities India Pvt. Ltd. are the BRLMs for the issue. SBI Capital Market Ltd. is the Co-BRLM, while Karvy Computershare Pvt Ltd. is the registrar to the issue.

Out of this issue, 1,000,000 equity shares of Rs. 2 each will be reserved for subscription by employees, leaving a net issue of 174,000,000 equity shares for the public. The Issue is being made through the 100% Book Building Process wherein at least 60% of the Net Issue shall be allotted on a proportionate basis to Qualified Institutional Buyers (“QIBs”). 5% of the QIB Portion shall be available for allocation to only Mutual Funds and the remaining QIB Portion shall be available for allocation to the QIB Bidders including Mutual Funds. Further, not less than 10% of the Net Issue shall be available for allocation on a proportionate basis to Non-Institutional Bidders and not less than 30% of the Net Issue shall be available for allocation on a proportionate basis to Retail Individual Bidders, subject to valid Bids being received at or above the Issue Price. The company has not opted for grading of the Issue. The equity shares are proposed to be listed on the NSE and the BSE.

There are two payment methods for applications. Only Retail Individual Bidders shall be eligible to bid under Payment Method-I, wherein they can pay Rs 150 on application, of which Re. 1 will be credited to face value and Rs 149 towards premium. The payment of the balance amount will be payable by the Due Date. Under the Payment Method-II applicable to any category, the payment of full application money will have to be made by the applicant. QIB bidders will be required to make a payment of 10% of the Bid Amount, with the balance being payable on allocation, but before Allotment.

Out of the net proceeds of the issue, DLF Limited proposes to utilize Rs. 3,500 crores for acquisition of land and development rights, Rs. 3493.4 crores for development and construction costs for existing projects and the remaining amount for prepayment of loans of the company.

http://dlf.in/corporates/media/media_pr_details.asp?id=40 

One more portal from RealtyOffline team

http://review.realtyoffline.com

Add your apartments to review portal. Let visitors review and rate your apartments.

If you are planning to book any flats in any of the metros in India, better to wait for a few more months. Sometime in the course of this year you’ll see a 30 to 40 percent drop in prices.  The price of a 100-square-metre Bangalore flat has jumped 60 percent in two years to $100,000. Prime residential prices in Mumbai and New Delhi have doubled in that time to about 20 percent lower than Shanghai and 40 percent below Singapore and Hong Kong.

US tycoon Samuel Zell told a gathering of Indian property executives this week it was “mental masturbation” to believe there were endless riches for investors in India’s runaway housing market. For the developers and fund managers who were listening, however, the only question remaining was how far property prices will fall. The last time a property bubble burst in India - between 1995 and 2001 - prices slumped by up to 70 per cent. This time, a fall of 30 to 40 per cent is on the cards.

The interest rates on home loans have increased by over 2 per cent during the last six months. The increase in the cash reserve ratio and repeated hikes in the short-term borrowing rates has forced the banks to increase the lending rates. Private sector banking major ICICI Bank had increased its home loan rates by one percentage point to 14 per cent for fixed rate loans and to 12 per cent for floating rate loans.

There is good news for home loan borrowers. RBI’s stance to reduce risk weightage for housing loans up to Rs 20 lakh to 50 per cent could lead to softening of rates by as much as 0.5 per cent. But you won’t find any flats in metros like Bangalore, Mumbai, Delhi etc for 20 lakh. Hence better to wait  and let the ice melt.

• Please visit our home page at www.realtyoffline.com

• Select your region from home page / directly access from the following links.

India - http://in.realtyoffline.com

US - http://us.realtyoffline.com

UK - http://uk.realtyoffline.com

Middle East - http://me.realtyoffline.com

• Click the “Post Property” link after login (if you don’t have a login name, please register first)
•  You will see the following screen. Enter your post  title and details. If you don’t have any images(/files), click the  “Publish” button.  You are done!
• If you have any images, click the “browse” button shown below editor. Then select your image and click “Upload”, and you will get the following screen.
• After selecting the image, click on “Send to editor”, then you will see your image appearing in the editor (as shown below).
• Click on “Publish” button. You are done!
• If you want to modify/remove your post, login and select  “Manage” posts and select your post and proceed.

We are happy to announce the launch of RealtyOffline.

You might be wondering about the name - Offline. We believe that real estate / property deals cannot be closed without seeing your property. Google earth/photos is/are not enough to provide the complete details and it has to be off line. We are providing a portal for your off line activities. Post your property details and contact info. Let the buyers contact you directly and close the deal. No thanks, we don’t accept any commission;)

Please click the following link to visit the site.

www.realtyoffline.com

Initial phase, we are planning to support India, US, UK and Middle East and you can access the same from our home page or from the following URLs.

India - http://in.realtyoffline.com

US - http://us.realtyoffline.com

UK - http://uk.realtyoffline.com

Middle East - http://me.realtyoffline.com

Expecting your support and here is our terms.

Happy posting:)