Apartments, Flats, Houses in Hyderabad, Kukatpally, Moosapet, Hitech City
City based Cybercity builders and Developers,Promoted by Ashoka Developers and Builders,Launched Rainbow Vistas Rock Garden,a two bed room and three bed room project at Hitech City on Sunday.Rainbow Vistas is already a condominium project,The phase-I of the project, consisting of 400 flats,was sold in 100 Days,”Uttam korupolu,Chief executive officer of Cibercity,Said here on Sunday.Rainbow Vistas is a self sufficient High rise township with four acer central park and a club house on hilltop.It offers living spaces at a price of over Rs 30 Lakhs
comprising two-bedroom and three-bedroom homes spread over 1,080 sft to 2,075 sft.
Cybercity builders and Developers on sunday Announced its latest project “Rainbow Vistas” offering two and three bedrooms flats with rich amenities at Rock Garens near Hitech City MMTS Station.
As part of the inaugural offer,the developers are offering modular kitchen,modular wardrobes and split Air-condition in bed rooms for the first 100 bookings.Sprawling across 12.5 acers, the venture consists of eight blocks offering flats that are spread over 1080 sq.ft to 2075sq.ft. At a price of Rs.30 Lakhs onwards.
Its a Rs.570 crore Project.Construction would begin in three months and the flats would be hand over to the owners in January 2012, said Cybercity builders and Developers, Chief executive officer Uttam korupolu at a press conference here.
Real estate Developers in Hyderabad have adopted a cautious approach to new projects though some prospective buyers have benn showing sustained interest since January 2009. With government support to the real estate sector coming in the form of some lowering of interest rates by banks, there are early indications of a revival of the market after a tough 2008 fourth quarter.
However, Builders fell that the Government can do a lot more to rekindle interest, which including bringing down the service tax imposed pn residential property and enhansing the interest rate rebate further.
Industry players says that the focus now is on affordable housing and expanding the scope of their product offerings.
As Builders has become cautious with regard to new investments, some feel that if will take a while for the plans to materialise. The trends vary depending on the nature of property, Commercial property, in particular, is going through a rough patch. The general slow down has seen the rental values in various parts of the city falling.
The managing Director of Mr. Aliens, Mr. Hari Challa, is of the view that through buyer interest has been raising especially last two months, the total no of transactions have come down.The Managing Director of Loco Infra tech, Mr.Venkatesh Babu, said that the market conditions are tough and the general economic has impacted every player in the sector.
Reducing Costs
The Chief executive officer of Ciber City Mr. Uttam Korupol, said that the Government continuous to be a big beneficiary of various taxes imposed on buyers. By reducing some of the imposts, it will significantly help bring down overall costs for buyers.
Cyber City is developing an integrated township with an investment of Rs 550-600 crore near Hyderabad. Mr Uttam feels that reducing the service tax on residential property, extending the ceiling limit of Rs 1.5 lakh on interest and hiking the benefits under Section 80 of the I-T Act,will encourage new property purchases.
With fear of job looses due to the slowdown in several sectors, especially information technology and financial services, there is a tendency to postpone purchases till the general economic environment becomes more stable.
The other aspect that is causing a delay in deals coming through is the fact that buyers expect property prices to fall further.
Property Builders in HyderabadCybercity builders and Developers Pvt Ltd, in associated with Ashoka Developers and Builders Ltd, is developing an integrated township “Rainbow Vistas” at Kukatpally in Hyderabad with an estimated cost of 550 crore to 650 crore. The project being planned is coming up in about 15 acers of land. The project work is sheduled to begin by April 2009 and will be developed in a phased manner. The overall
township is expected to be ready in 5 years.
Uttam korupolu, Chief executive officer of Cibercity said, the promoters of the company alredy invested 20 crore in the project. We are talking to a slew of Banks and financial instructions including Union Bank of India, LIC for credit line, We are also being approached by private equity players, who are intrested in investing in the project. But we have not decided on that yet. If the company is able to manage the funds for the project by itsself with just the support of Banks and finantial institutions, we might not sign up for PE investment”, he said.
Highlighting the details of the project, he said that the township would offer affordable housing to cusstomers. “The 2.5 millons square feet project will have 1,500 apartments with both two and three bedroom options. The size of the apartments will vary from 1,100 to 1,500 sq.ft. And the price will be anywhere between Rs.28 lakh and 40 lakh depending upon demand and market conditions. The project will be built in multiple blocks of 14 floors each. The other features of the township will include club house food court, childrenplay area walking track and gym.
After the Real estate Melt down, with price differential between gated community projects and samller private developers coming down, morwe and more new buyers are looking at gated community holdings. This trend will only get accelerated as buyers realise the advantages fo these projects, in terms of infrastructure, comfort levels and, more interestingly, lower cost due to scale, according tp Mr. Uttam Korupol Chief executive officer, Ciber City Builders & Developers.
Return Of Demand
“The real estate prices have corrected by more than 25 percent scince the boom times in early 2008. After the prolonged period of lull, we are witnessing more buyers coming in for more enquiries.
However, we believe it will take a couple of months, possibly even up to end of the year, for business to come back to normalcy,”he explained.
The Director of Aliens Group, Mr. Naveen Mypala, said the demand for sub-Rs 1 crore project continious to be there. But buyers continues to adopt a wait-and watch aproach. Though the intrest rates have come down, we expect transactions to actually pick up significantly in the second half of this year.”
Most large builders have changed their business strategy in the last quarter after the real estate sector took a major brunt of the general economic slow down leadind to low liquidity. They are gradually tailoring their projects to suit a much larger buyer segment, Mr. Naveen Explained
“With the recent elections paving way for stable Governments at center and the state, and the possibility of delay in taking up the issue of Telangana state hood, we believe that the state would have a very positive effort on the real estate setor in the state, more particularly in and arround Hyderabad”,Mr. Uttam explained.
From a high of Rs. 3500-4000 per sq.ft. Builders have either brought down prices or are offering new products at lower prices of Rs. 2,200-Rs. 2,500 per sq.ft even in localities such as Madhapur near High City. This has augured well for buyers, Mr.Uttam said.
Reffering to the lull period of about six months, that is from the last quarter of 2008 to the first quarter of 2009, Mr. Naveen said this period has already passed by and most developers have either changed their srategies or taken up projects that address the affordable segment. Once these projects begin to take shape, buyers will get into purchase mode.
Affordable Segment
Giving a different perspective about the real estate sector, especially the affordable housing segment, the Chairman and Managing Director of IVRCL, Mr. E. Sudhir Reddy, said for developers who have acquired land, say, two years ago, it is very difficult to address the affordable housing segment. Unless the land work out to about Rs. 100 per sq.ft., it is not easy to cater to the affordable housing segment. And to make this Attractive to buyers, we will have to make these apartments extremley small.
There fore even though we have a land bank of 3,300 acres in various parts of the country we are going slow on real estates. The is now limited to a 20-acer site in chennai, and projects in bangalore and Hyderabad,”
Prices, Rentals
The quaterly report on property price trends brought out by 99acers.com states that the prices have continued to fall in Jan-March 2009. Localities like Nizampet and Kukatpally have registered steep drop in prices, while localities like Miyapur has remained stable.
Commensurately, rentals recovered in the firrst quarter of 2009 across all localities compared to four quarter last year. Mr. Vineet singh, Business head ,99acers.com, says that prices which continue to witness a down ward trend seem to bottom out in many localities. Like the Indian realty market, there are signs of stability returning to the cities of Banglore,Delhi and the NCR region.
If the trend for the 1st quarter is any indication, there has been surge in absorption across majority of the cities, the Hyderabad and Banglore residential markets witnessed fewer units being launched in 1st quarter of 2009.
The corresponding new launch absorpition was thus lower making these cities rank lowest in the trend analysis.
Ciber City Builders and Developers have been promoted by six visionary enterpreneurs and out of the six, three promoters are from Ashoka Developers and Builders Limited. The Ashoka realty firm is one of the leading firms in Hyderabad and it has Built arround a million square feet in various areas in Hyderabad both residential and commertial such as Ashoka Bhoopal chambers, Ashoka plaza, Ashoka my home chambers and Ashoka Raghupathi chambers, Asoka lake view, Ashoka silent valley, Ashoka Amber and Ashoka Chandra.
Elaborating the new joint venture 'Rainbow Vistas', gated community apartments, Vinod said that the Cyber City has come up with a dream to provide multi-near future.
Uttam Korupol said that the Cyber City would have atleast 14-floors and it would consists of all amenities such as power back-up, sewerage treatment plant, water softening plant, club house, convinient store, food court, children play area, walkinh track, automated security system, car washing area, gym, safe deposit lockers, etc.,
The project is also located 5km to Hitech City, where the IT and ITES firms are located, close to Hi-tech MMTS, the site is well connected to 100-feet road from JNTU-Kukatpally and the project is surrounded by picturesqeue natural landscaping with copious greenery and two lakes.
