ASSIGNMENT FILE
(STUDY OF THE REAL ESTATE MARKET WITH FOCUS ON COMMERCIAL & RETAIL ASSET IN PUNE WEST)
INTRODUCTION TO REAL EASTATE
SUBMITTED BY
ENROLLMENT NUMBER SYUDENT NAME
A13558917045 PRABIR P. MAHANTA
SCHOOL OF REAL EASTATE
MBA REUI SEC-A SEMESTER 1
RICS SCHOOL OF BUILT ENVIRONMENT
AMITY UNIVERSITY, NOIDA
STUDY OF THE REAL ESTATE MARKET WITH FOCUS ON COMMERCIAL & RETAIL ASSET IN PUNE WEST
City profile:
Pune is the second biggest city in the territory of Maharashtra. It is the seventh most crowded city in the nation. It is additionally called the Oxford of east, as it has developed as a noteworthy educational hub with 811 colleges in the nation.
The city is known for its manufacturing and vehicle enterprises, and in addition for research institutes of information technology innovation (IT), instruction, administration and training, which draws in understudies, and experts from India. Pune is one of the quickest developing urban areas in the Asia-Pacific district. The ‘Mercer 2017 Quality of Living Rankings' assessed living conditions in more than 440 urban communities around the globe and positioned Pune at 145, second in India after Hyderabad at 144. A similar source features Pune among advancing business focuses and nine developing urban communities around the globe with the reference " Hosts IT and automotive companies ".
Demographic studies:
Pune city has a range of 243.84sq.km. The population of Pune city is 31,24,458 and Pune Urban Agglomeration (Pune Metropolitan Region) is 50,57,709 as of the 2011 evaluation. The estimated population in 2016 for the Pune metro region was 62,26,959. According to the Pune Municipal Corporation, 40% of the population lived in slums in 2001.
The Pune Metropolitan region consists of following parts:
Pune municipal corporation
Pimpri chinchwad municipal corporation
Pune cantonment
Khadki cantonment
Dehu road cantonment board
Talegeon municipal council
Dabhade municipal council
Lonavla municipal council
Alandi municipal councils
100 fringe villages
90% of the population is below 50 years of age. Sex ratio for the year 2011, females per 1000 males is 945. The city has seen a high level of migration from various parts of the country for education and employment. The in-migration growth rate has though decreased in the PMC area but, has increased in the PMR area. The number of multimillionaires in Pune increased from 60 in 2004 to 250 in 2014. The average literacy rate of Pune was 91.61 in 2011 compared to 80.45 in 2001. Marathi is the official and most widely spoken language, while English and Hindi are understood by a significant part of the population.
Economic base:
Pune has the GDP of INR 1065 billion in 2005. It is the 5th largest metropolitan economy. The per capita income of the population is INR 88341 in 2004-2005 at constant price. Pune has exported INR 295890 million in software in 2012-2013. The IT sector of Pune alone contributes to about 10% of national software exports. Many Automobile companies have set up greenfield facilities as India's "Motor City", near Pune. The Kirloskar Group, was the first to introduce industry to Pune by setting up Kirloskar Oil Engines Ltd. in 1945 at Kirkee in Pune.
Maharashtra industrial development corporation(MIDC) has started a project “The Hinjawadi IT Park (Rajeev Gandhi IT Park)” for the IT sector in Pune. When the Hinjawadi IT Park will complete, it will be expected to spread to an area of about 2,800 acres (11 km2). The investment in the project estimated is INR 600 billion . The IT sector in Pune employs more than 70,000 people. Microsoft, the Software giant intends to set up a INR 7 billion project in Hinjawadi.
Pune has also appeared as a new startup hub in India. NASSCOM in association with Maharashtra industrial development corporation have started a co-working space for city based startups initiative at Kharadi Maharashtra industrial development corporation.
The Incentives, Meetings, Exhibitions, Conferencing trade will definitely get a boost once the Pune International Exhibition and Convention Centre completes in 2017. Serum Institute of India which is the world's fifth largest vaccine producer , has a manufacturing plant set up in Pune.
Pune is the biggest hub in India for German companies. According to the Indo-German Chamber of Commerce, for the last 60 years, Pune has been the single largest hub for German companies. Over 225 German companies have set up their businesses here.
Profile of City Real estate market:
Pune has seen a tremendous growth in the last decade. The growth drivers for the real estate market are :
• IT/ITeS policy of India 2003 and special township act of Maharashtra
• Influx of automobile industry and software companies
• Pune is the market for 2nd home to people living in smaller houses in Mumbai
Some infrastructural growth drivers are:
• Mumbai-Pune expressway
• DMIC i.e Delhi Mumbai infrastructure corridor
• Pune metro corridor
• Bus rapid transit system
• Chhatrapati Shambhaji Raje international airport
According to Commonfloor’s Annual Reality Report, Pune witnessed the launch of about 230 projects during the year 2014 out of which 29 percent projects were launched in west region, 23 percent in east region followed by 22 percent in south and 5 percent in central city.
Pune is one of the few markets like Chennai, Ahmedabad, lucknow, that have shown a 2X growth in the NHB RESIDEX index and has a consistently low unsold inventory in comparison to other markets.
Mr. Anil Pharande, Chairman of Pharande Spaces have quoted that Western Pune is a division that is seeing gigantic development as far as land. Areas in Western Pune are basically determined by nearness to the Mumbai-Pune Road and predominant framework, making this the best most property speculation hallway of Pune. These incorporate Pradhikaran, Baner, Wakad, Aundh, Pimple, Nilakh and Pimple Saudagar. Since West Pune is as yet creating, and growing quickly, a considerable measure of new foundation offices are in progress to drive venture assessments. West Pune has any number of development drivers, in particular Hinjewadi, Pune's essential IT center point and the entrance it gives to Pune's major modern and assembling centers. Every one of these segments are making countless, and this thusly is making high land request.
Basic asset study:
Pune's commercial real estate market has recorded an idealistic begin to the year 2017 with rising number of tansactions. Pune has seen 23% year-on-year development in leasing volume amid the long stretches of January and February. Pune has likewise recorded 26% year-on-year ascend in number of lease transactions amid the initial two months of the year. Pune's office property market has recorded around 11% development in lease rentals, while the opening level remained underneath 5%.The top five rental market with availability:
• Hadapsar
• Waked
• Kharadi
• Wanowarie
• Wagholi
Co working space taking up office space in markets like nagar road and hadapsar.
80% office space are primarily located in east and west pune.
some of the areas under Pune west:
Pradhikaran
Baner
Waked
Anudh
Pimple nilakh
Pimple saudagar
Lavale
Darawali
Hijewadi phase1
Hijewadi phase2
Baner:
It is located in the western part of Pune, off Katraj-Dehu Road Bypass. Baner is a rapidly developing locality. Regarded by a few as the fastest developing suburb of Pune. Baner is close to Shree Chhatrapati Sports Complex and Hinjewadi IT Park. It is also the most convenient gateway to Mumbai through the expressway. Baner has emerged as a highly desirable location for IT professionals because of its proximity to Aundh and Hinjewadi, and easy access to the highway.
AXIS CENTRA, Baner, Pune
Project description:
It is a commercial development of axis Lifespaces LLP. It is situated near to the banglore-mumbai Express highway.
No. of tower :1
No. of floors: 10
Configuration: office space, shops
No. of shops: 20
No. of office spaces: 56
Features:
• 24×7 Security
• CCTV Camera Security
• Entrance Lobby
• Gated Community
• Security Cabin
• Video Door Security
• Cafeteria
• Library
• Restaurant
• Shopping Centre
• Conference room
• Reading Lounge
• Landscape Garden
• Paved Compound
Amenities:
• Lifts
• 24/7 power backup
• Intercom
• Carparking
Size/ type of units with pricing:
Commercial shop :1145-2106 sqft @ Rs.17689/sqft
Commercial office space: 467-2545 sqft @ Rs.12205/sqft
Unique selling proposition:
• Strategic location
• accessibility
• Excellent infrastructure
DERON HEIGHT, Baner, Pune
Project details:
Deron Heights is one of the commercial development of Deron Properties, located in Pune. It offers spacious and skillfully designed showrooms and office space. The project is well equipped with all the amenities to facilitate the needs of the officepeople.
Total Area: 2.47 Acres
Number of Floors: 10
configuration: office space
Features & amenities:
• Hi-speed passenger elevators
• 24 hrs Security systems including
• DG Power Backup
• Professional housekeeping service for common area
• Water Resistant flush door for toilet
• Fully air-conditioned common areas
• Property Staff
• Video Door Security
• Water Softener Plant
• Landscape Garden
• Rain Water Harvesting
Size/ type of units with pricing:
Commercial office space: 1000-1600 sqft @ Rs.12500/sqft
NANDAN PRO BIZ, Baner road, Pune
Project details:
Nandan PRO BIZ is a commercial development by Nandan Buildcon is located in Pune. It provides well designed commercial shops, showrooms and office spaces. The project consists of all the necessary business amenities.
No. of tower:1
No. of floors:14
No. of unit:
Configuration: office space, shops
Features & amenities:
• Creche/Day care
• Restaurant
• Shopping Centre
• Property Staff
• Video Door Security
• Landscape Garden
• Conference room
• Rain water harvesting
• Lifts
• 24/7 power backup
• Intercom
• Carparking
Size/ type of units with pricing:
Commercial office space: 450-1200sqft @ Rs.13111/sqft
GERAS IMPERIUM, Hinjewadi phase2, Pune
Project description :
Geras imperium is one of the commercial projects of geras developments
Under construction, will be completed by 2018.
Total project area: 4 acre
No. of tower :2
No. of floors: 12
Configuration: officespace, shops
Total units: 654
Shops: 45
Offices:600
Restaurants:9
Lowerfloorhave:31shops
Features & amenities:
• fitness center
• ground floor has 6 metre height
• two level parking
• CCTV Camera Security
• Entrance Lobby
• Property Staff
• Sewage Treatment
• Conference room
Size of units with pricing: @ Rs.7704-7794/sqft
Shops: 448-7572.09 sqft @ Rs.68 lacs onwards.
Offices:368-658.76 sqft @ Rs.28.48 lacs onwards
Restaurants: 2500 sqft onwards @ Rs. 3.46 cr
Unique selling proposition:
• Strategic location
• Good accessibility
AMAR BUSINESS PAK, Baner, Pune
Project details:
Amar business park is a commercial development by amar builders. It offers commercial office space, shops.
Under construction, will be completed by 2022.
No. of tower:1
No. of floor:12
Configuration: officespace
Features & amenities:
• ATM
• Food court
• Shopping center
• Video door security
• Lifts
• 24/7 power backup
• Intercom
• Carparking
Size of units with pricing: Rs.1281-1311 sqft @ Rs.12490/sqft
Unique selling proposition:
• Strategic location
• Convenient access
• Excellent front and back-end infrastructural facilities
References
WIKIPEDIA
http://accommodationtimes.com/what-drives-punes-real-estate-market/
https://realty.economictimes.indiatimes.com/news/commercial/pune-office-market-records-23-growth-in-jan-feb-lease-volume/57629986
http://www.punesmartcity.in/wp-content/document/challenge1/Pune-smart-city-PPT-29-july-2015-final-v1.pdf
www.99acres.com
www.magicbricks.com