Wednesday, August 6, 2008

DS Kulkarni Developers sells 50 percent stake in premium housing project in Bangalore to ICICI Prudential PMS Real Estate Portfolio for Rs.35 crore

According to a company statement, ICICI Prudential PMS has invested in the joint venture (JV) firm, DSK Southern Projects at the land acquisition stage.

Last week, the Pune-based real estate firm sold 50 percent stake in a special economic zone (SEZ) project in Pune to Kardan Group company, GTC Cyprus, for $90 million.
- International Business Times -

Tuesday, August 5, 2008

We are headed for a distressed real estate market

"V Hari Krishna, chief investment officer, Kotak Realty Funds Group, has reason to say so.

Actual home buyers have all but withdrawn from the property market because of unaffordable property prices. Add a slack in the employment growth of technology companies, fall in home loan disbursement by about 22 per cent on a year-on-year basis from 2006-07 to 2007-08, hardening interest rates on the back of spiraling crude prices, the reluctance of real estate developers to reduce property prices and you have a problem on your hand.

As if on cue, stock prices of real estate developers like DLF, Unitech, Omaxe, Parsvnath and many others have been pummeled by the market since January this year as it is believed that the sector is facing a downturn.

In an interview with Prasanna D Zore, V Hari Krishna discussed the real estate sector in India, how it will be impacted if interest rates increase from here, and when his realty fund will start investing in the property market here." To read more, please, visit:
Rediff.Com

Friday, August 1, 2008

Net profit of Kolte Patil fells by 7 % but Unitech, Puravankara Projects and IVRCL Infrastructure post growth in the 1st quarter of FY09

Kolte Patil: "which housing projects?"

Pune-based property company Kolte Patil’s net fell nearly 7 per cent mainly due to lifting of tax exemption on IT parks under section 80 IA.
The company posted a net profit of Rs 31.46 crore in the first quarter of FY09 as compared with Rs 33.87 crore in the comparable period last year.
However, the company’s revenues rose 17 per cent at Rs 104 crore from Rs 89 crore due to "higher realization from housing projects."

Unitech:

Unitech, the country’s largest listed developer, posted a 15.7 per cent growth in net profit during the quarter, mainly due to higher realisations the company made in the mid-income segment housing, in the range of Rs 40-45 lakh apartments.

Puravankara Projects:

Bangalore-based Puravankara Projects posted 40.62 per cent growth in year-on-year profit during the quarter due to higher realisations from the sale of apartments and income tax exemptions on its residential projects under section 80 IB. The company sold 1,000 apartments during the quarter.

IVRCL Infrastructure:

IVR Prime Urban Developers, the group’s real estate firm, posted a 263 per cent increase in net profit at Rs 5.44 crore during the Q1 period as against Rs 1.5 crore, while the turnover went up by 55 per cent at Rs Rs 32.25 crore.

Realty firms gain from mid-income group housing