Brigade Metropolis

Trial run of Bangalore Metro at MG Road

2011-02-27T11:19:00.001-08:00

Trial run of Bangalore Metro at MG Road

IT hiring at Bangalore will hike rent at Brigade Metropolis

2011-02-27T10:56:00.000-08:00

BANGALORE: Sunita Koppar, an IT professional with Oracle, never expected her flat owner's random talk on inflation would come with a rider. He dropped a hint on passing on any price hike to her. His yardstick: anything from onions to foodgrains going through the roof. This year, he raised the rent by 20%. But that didn't quite match the hullabaloo created on commodity inflation.

He sprung another surprise -- one more round of substantial hike when the agreement comes up for renewal. "The hike in rent has been significant in the past one year. But I will hang on till we move in to our new apartment," she said.

As IT/ITeS firms are back on the growth track, companies are going full-throttle on their hiring plans. This has attracted a lot of talent from outside Bangalore, hence a pent-up demand for apartments around the IT hub. "Rentals have gone up by 15-20% at Marathahalli, Sarjapur, Whitefield and Outer Ring Road compared to last year. Rentals in pockets of North Bangalore have also moved up," said Sunil Simon, proprietor of property consultancy firm Aaron Associates.

Post-slowdown, the market witnessed a correction in residential space. The recovery was felt in luxury and mid-sized apartments, lending itself to a moderate increase in rentals. "Rentals in high-end apartments like Epsilon, Palm Meadows, Prestige Bougainvilla and others have seen a revision. Newer developments, especially gated communities, have witnessed an increase in capital values. That's also reflecting in the rentals," said Ram Chandnani, deputy managing director, South India, real estate consultancy CB Richard Ellis.

The city's rental graph has moved up in traditional IT hubs like South and East Bangalore too. Residential layouts in Koramangala, Hosur Road, Bannerghatta Road, Sarjapur Road, Jayanagar, J P Nagar and Banashankari have witnessed 10 to 15% jump. A similar trend is seen in pockets of East Bangalore, including parts of Indiranagar, Airport Road, Fraser Town, Cooke Town, Lingarajapuram, Marathalli, HRBR Layout, Banaswadi, Old Madras Road, K R Puram, Brookefields, Hoodi and Whitefield.

But the reverse happened in 2009. IT firms froze recruitment plans. As a result, the job market was shaky and spending power shrank. Oversupply in Sarjapur, Outer Ring Road, Whitefield and Marathalli forced apartment owners to press the panic button. They offered steep discount on rentals to combat weak consumer sentiments. Prices during the slowdown tanked by as much as 35%, said real estate brokers. "Apartment owners in Palm Retreat or Brigade Metropolis expected 6 to 7% return on investments as they had purchased flats at a premium. They only got 3% return then. But things are looking better now," added Chandnani.

On the flip side, Metro rail work and congestion in the central business district of MG Road, Richmond Road, Residency Road and Lavelle Road, to name some areas, has pushed down rentals by 10-15%. "Villas demanding rentals close to Rs 1.5-2 lakh have dropped by 20% compared to a year before," said regional director (south) of Knight Frank India, Naresh Dandapat.

A Knight Frank research estimates that the city will witness a residential supply of 38,000, translating to 72 million sqft between 2009 and 2011. Around 53% of this supply will be 3-BHK apartments and 30% will constitute 2-BHK ones.

Feedback from Brigade Group on drainage issue at Brigade Gateway

2011-02-27T10:54:00.000-08:00

Source - Deccan Herald

The Brigade Group on Tuesday stated that it had not blocked any stormwater drain at any point of time during the construction of ''Brigade Gateway'' in Rajajinagar.

The Group was responding to allegations by a few members of the BBMP Standing Committee that the project was constructed on the drain. The Group said in a release that it had not noticed the existence of any such stormwater drain. “The land where Brigade Gateway project is coming up was originally allotted in 1950s by CITB - City Improvement Trust Board (now known as BDA) to the Kirloskar Electrical Co. Kirloskar’s had put up a number of factory sheds and buildings in the property which we demolished and constructed new buildings. At no time was there any drain passing under any building, then or now. “At the insistence of BBMP, we have connected the stormwater drain on railway parallel road, Malleswaram (eastern side of our property) to the stormwater drain built by BBMP few years back, in the Milk colony area, Subramanyanagar.” The Group said the 15 ft width of the compound wall removed on Dec 4, 2010 for BBMP inspection purposes was a compound wall built by the Kirloskar Electric Co 40 years back on Dr Rajkumar Road side. “There has never been flooding of the area even during heavy rains on the west sideof the property which would have happened if we had blocked the drain, if any, as alleged,” the release said.

Brigade Millennium landmark victory over BESCOM

2011-02-27T10:46:00.000-08:00

Source - Citizen Matters

They persisted with what is right and have saved scores of Bengaluru's apartment associations lakhs of rupees in 2011. Arathi Manay Yajaman, 40, and O P Ramaswamy, 64, of JP Nagar challenged BESCOM's levy of penalties on their apartment complex and, despite being pushed around initially, won their case. BESCOM had penalised their apartment complex in August last year for not taking into account the building's fire safety equipment (pumps) as part of sanctioned electrical load.

On January 12th, the Brigade Millennium Mayflower block residents association, represented by Arathi, received a letter from BESCOM, which in effect said BESCOM was taking back the demand for penalties and higher charges. The 22-acre Brigade Millennium complex in J P Nagar VII Phase houses 5 residential towers including Mayflower, apart from other amenities.

Arathi Manay Yajaman and O P Ramasamy behind the pumps for which BESCOM levied 'unauthorised load' penalties. Pic: Yograj S Mudalgi

As a result of the victory, multistorey buildings in Bengaluru with fire safety equipment are now saved the worry of having their power disconnected over BESCOM's ‘unauthorised load' claim.

BESCOM's notices on ‘unauthorised load'

This saga began in August 2010, when BESCOM sent a notice to Brigade Millennium (BM) residents associations. In its notice to Mayflower Block, BESCOM said that while their sanctioned load was 99.47kW, they had connected a load of 177.85kW. They had thus connected an excess or ‘unauthorised load' of 78.38kW, claimed BESCOM.

BM was not being singled out. Similar notices sent around the city to apartment complexes with multistorey buildings. On BM's Mayflower block alone, BESCOM imposed Rs 29,484/- as back billing penalties. In addition, BESCOM added monthly penalty charges of Rs 4680/- until the unauthorised load was either removed or extra sanctioned load was obtained.

This is where Arathi Yajaman and O P Ramaswamy, both past presidents of BM's Mayflower Block residents association stepped in. They found out that excess load claimed by BESCOM was actually the power needed to run the fire hydrant pumps (statutory requirement for high rises) that come into play during emergencies only. This amounted to about 90KW. (Arathi and Ramasamy are also trustees of Puttenahalli Neighbourhood Lake Improvement Trust.)

The Brigade Group, builder of the complex confirmed the residents' finding, but declined to intervene directly with BESCOM in the matter. Brigade noted that the fire safety equipment is kept on standby only and is not a part of the day-to-day regular power requirements of the buildings. Brigade also pointed out that the in the event of a fire, lifts and other electrical equipment are switched off. The fire pumps themselves are all never operational at the same time.

Also, during any fire accident all the power utilities need to be shut down as a measure of safety. Therefore the issue of all the equipment being used ‘simultaneously' and thereby exceeding the sanctioned load, did not arise. Based on this, Arathi and Ramasamy concluded that the usage of fire hydrant pumps was not 'unauthorised' load as claimed by BESCOM.

However despite filing written objections with BESCOM and meeting a subdivisional engineer, the latter did not accept BM residents' explanations. BESCOM continued to impose penalties in monthly bills instead. BM residents, like those in apartments around the city were a worried lot. Merely because the notices were from the government-run electricity supplier, the associations decided to start paying the penalties to avoid disconnection, and did so in protest, says Arathi.

The residents also started preparing to file applications for increased load, which Arathi estimates would have amounted to Rs.1 lakh for the Mayflower block. Not surprisingly, the worries had spread around many areas where BESCOM's notices were received. "I had already started getting calls from worried residents of Sobha Tulip and Brigade Gardenia complexes nearby who had received the same notices", says Arathi.

Citizens' action

Arathi then wrote to BESCOM Managing Director, IAS Officer P Manivannan, 38, who had taken over in October. Manivannan issued an internal circular asking his officials to look into Arathi's complaint. Despite a fresh visit by BESCOM engineers to the complex, nothing changed and penalties remained on the bills. BM's block residents associations continued to pay in protest fearing disconnection of power supply.

But Arathi and Ramaswamy did not relent. They took the matter up with the state's power regulator, Karnataka Electricity Regulatory Commission (KERC). It is the appeals authority for citizens against BESCOM decisions.

Arathi wrote to the KERC on December 13th pointing out the issue with BESCOM's definition of 'connected load' and faulty interpretation by including fire safety equipment in calculation of ‘connected load' by BESCOM. Arathi and Ramaswamy had also researched rules in other states in preparing their case. "Other ESCOMs (like Maharashtra, Kerala) have clear definitions of ‘connected load', among other terms. They have also made provisions in their regulations, for excluding load arising due to fire safety equipment...", they wrote in their letter to KERC.

The KERC sent BESCOM a notice on 24th December asking the latter to look into Arathi's complaint. BESCOM revised its position and sent its letter to Arathi on January 12th. Since the fire safety equipment would not be used regularly, it should not be considered as excess load, acknowledges the letter, bring much awaited relief to residents. "This subject was discussed in the weekly meeting and by the concurrence of all the members, it was decided that though the fire extinguishers were connected to the electricity, the load must not be taken into account while calculating arrears", says the BESCOM letter (translated from Kannada).

A General Manager (Commercial) at BESCOM, speaking on condition of anonymity because she was not authorised to speak to the press, confirmed that the revision had since been communicated to all Executive Engineers at the divisions.

Victory for the city at large

With this verdict, all multistorey buildings with fire fighting equipment that received the original penalty notices from BESCOM can rest. In an action to set things right for their own apartment complex, Arathi and Ramaswamy set the problem right in one stroke for all of the city.

In doing so, they also set right a related problem that would have come up, had BESCOM been able impose its original decision. Thousands of multstorey buidings in the city would have had to apply to increase their sanctioned load. Based on this, BESCOM would have likely projected a far higher power demand for Bangalore than was the reality.

So are the apartment associations that paid penalties going to get their money back? Yes, says BESCOM. An Assistant Executive Engineer at BESCOM though adds that the refunds may not be made immediately, as the paperwork involved will take some time to get approved.

Security opens at large apartments

2011-02-27T10:37:00.000-08:00

Use remote control to switch on lights and draw your curtains; or a GPRS-enabled control to use all your electronic gadgets; motion sensors to activate lighting; or biometric access to lifts and apartments. Sounds like features in a condominium in the hi-tech West? Not really. These are facilities offered in some of the high-end apartment complexes in Namma Bengaluru.

Not too far ago, the provision of club facilities offering swimming pool, tennis and badminton courts, squash courts, and hi-tech gym were a novelty, and found only in high-end apartment complexes. With these facilities increasing the marketability of these complexes by offering a lifestyle sought by customers both from the budget segment as well as medium and high-end, such features may soon became part of every new project proposed.

With expanding customer expectations, mini townships too surfaced offering facilities such as school, shopping complex and more. But it now appears that is not enough. For, the discerning customer with constantly expanding needs and expectations is looking for something more that would set the dwelling apart from the rest; a totally hi-tech home where not only security is controlled by sophisticated electronic gadgets, but where lifestyle is governed by the touch of a button on a remote control.

Literally high-tech

Thus, a manned security post or an intercom-connected apartment can now be considered outdated. In place are security features like a video door frame, biometric access controls that can range from smart cards to thumb impression or even a sophisticated eyeball recognition device. CCTV cameras, old though the concept, could now feature in vantage points and be accessible from remote locations instead of from within the complex.

While these may no more be perceived as fancy fittings but as essentials in a high-end apartment, a question that raises here is how workable are these features. For instance, with live-in household help figuring on a significant scale in such apartment complexes, features like a smart card or eyeball recognition devices may prove to be a little too sophisticated for this section of residents.

Operational problems

Similarly, operational problems can arise when the gadgets malfunction because of wrong usage. When used in small apartment complexes, the cost per unit can get significantly impacted as a result of installation of these features.

Unless there is a significant and perceptible market for these features, a sharp increase in cost per unit can prove as a deterrent, as it can act as a trade-off between opting for a more spacious unit in an equally high-end complex as compared to a smaller one sporting these features. It is not uncommon to find the market declining to compromise on space especially when a competing option is equally attractive.

Cost factors

Says Viswa Pratap Desu, Vice-President, Marketing and Sales, Brigade Group, “The increase in cost is not significant in large complexes, approximating to about five per cent. The value addition, however, for this incremental cost is tremendous as is evident in the market for it.” Incidentally, Brigade Gateway, a township project of this group, incorporates many of these features including video alarm, building automation system, CCTV in vantage points in common areas, access card for exit and entry doors leading to lobbies and garden areas, and panic alarm in the kitchen. In one of its upcoming premium projects where the lift opens on to the lobby of the apartment, even the lifts are accessible only through swipe cards.

Adds Desu, “biometric access may pose functional issues, especially if the complex is large. It is workable in a smaller premium project.” According to him, eventually, how these features work solely depends on the mindset of the residents. “There have been cases where residents have decided to close even simple features like garbage chutes because of the regular maintenance issues.”

Features, still new

Says Bijay Agarwal, MD, Salarpuria Sattva Group, “Since these features are still new in their concept in apartment complexes and are currently incorporated only in high-end apartments, the cost addition can be 15 to 20 per cent, especially if it is a smaller project offering premium units.”

But this should not deter the customer, according to him as there is a significant market for it, with people seeking such features. “A few years down the line, these can become standard features in all high-end segments.”

Besides incorporating hi-tech features to meet security concerns, Salarpuria is also introducing lifestyle-oriented automation such as GPRS-enabled control for electronic gadgets, motion sensors, and remote control for lighting and curtains.

Concurs T.S. Sateesh, MD, Hoysala Projects, “Bangalore being a hi-tech city, its residents too are seeking a similar hi-tech lifestyle and are willing to pay for getting that facility.”

As for the operational hassles involved in these gadgets, he adds, “the systems need to be of a very high quality and maintained well.” Hoysala has incorporated smart access cards to its lifts and homes in its upcoming premium project.

BBMP notice to Brigade Gateway for water canal encroachment

2011-02-27T10:24:00.000-08:00

Source - DNA India

The Bruhat Bangalore Mahanagar Palike has initiated action to ensure the natural flow of the Vrishabhavati Canal in Rajajinagar, after a two-member survey team reported that the storm water canal has been taken over by a prominent real estate firm.

The civic body has served a notice on Brigade Enterprise Private Limited, asking it to file details regarding the owner of property within seven days.

The survey team found that the builder had carried out construction in pieces of land owned by the BBMP and government, besides those belonging to private parties on Dr Rajkumar Road in Rajajinagar.

It was also found that the developed area, Brigade Gateway, has a building constructed on the storm water drain, blocking its natural flow. The canal has been allegedly diverted to a nearby residential area in Subramanyanagar.

The members of the BBMP standing committee for major works conducted the survey on December 5, 2010, under the leadership of its chairman H Ravindra.

After discrepancies were found in the inspection, the committee ordered a detail survey of the 40 acre where the building has been constructed. To facilitate the survey, the BBMP had dismantled a portion of the 15 feet compound wall of the property.

BBMP objects Brigade Gateway and Shobha Developers for drain encroachment

2011-02-27T10:19:00.000-08:00

Source - Deccan Chronicle

The BBMP standing committee on major works has been cracking the whip on builders encroaching upon stormwater drains (SWD). On Tuesday, the committee temporarily stopped work by Sobha Developers on Tumkur Road near Peenya.

It may be recalled that the committee, headed by Mr H. Ravindra, had alleged that Brigade Gateway at Rajajinagar and G Staad Hotel on Vittal Mallya Road was being constructed on a stormwater drain obstructing flow of water and causing problems to people residing in the vicinity.

During an inspection on Tuesday, Mr Ravindra said that the builder had closed the stormwater drain and diverted it unscientifically. “Actually, the SWD was running through the middle of the project site. But the builder has been constructing a huge apartment on the drain, which has been diverted unscientifically. They have also diverted the main Vrishabavathi Valley 60 feet away from its original location affecting natural gravity and the flow of water,” said Mr Ravindra.

The drain connects Peenya and Chikka Bidarakal lake. Since the drain has been diverted, flooding during the monsoon has become a major problem in this area, he added.

As per the Karnataka Municipal Council (KMC) Act, diversion of the drain amounts to violation.

But Sobha Developers AGM (Projects) Vishagan said, “We purchased the land through public auction from Deepak Cables and have taken up the project after proper approvals from the BDA. A few days ago, Mayor S. K. Nataraj and BBMP Commissioner Siddaiah had visited and ordered a survey. Now, the major works standing committee has also come for inspection.

Mr Ravindra ordered eviction of encroachment on the drain and to recover the wasteland which has been illegally occupied by the builder. Sobha Developers Liason Officer H. G. Sandesh said, “We have strengthened the road next to the building. There is no encroachment of the SWD and the road, as alleged. We will provide all the documents to the BBMP”.

Brigade Group to raise Rs 1000cr for luxury hotels' launch

2009-12-18T07:28:00.000-08:00

Brigade Gateway, Brigade metropolis took 4+ yrs for contruction and people are still counting. Brigade Millenium & Brigade Gateway went through similar delays in the past and now Brigade Group claims that Bangalore Sheraton will be opened by Aug 2010. Should people trust Brigade Group? I'll have to wait till Aug 2010 to see if Brigade Group can keep their words.

Source - Moneycontrol
Brigade Group is spinning big dreams for its hospitality arm Brigade Hospitality. After being in the service apartments and clubs space till now, Brigade is now tapping luxury hotels and resorts in South India. It plans to raise Rs 1,000 crore in the next six months. CNBC-TV18’s Vineetha Athrey reports.
Brigade Hospitality, which is a 100% subsidiary of the Bangalore based Brigade Group, is planning six luxury resorts and hotel properties across South India. This is set to launch by 2013. Brigade has already appointed JP Morgan as the banker for the exercise of raising about Rs 1,000 crore over the next six months through private equity. Brigade has started talking to six of the short listed PE firms for raising this money. It is targeting consolidated revenue of Rs 500 crore in the year 2014. This will be a year after the hotels become operational from Brigade Hospitality alone. Brigade Hospitality’s current turnover is around Rs 30 crore.
On the project:
There will be two Sheratons––one in Bangalore and other in Mysore. One Holiday Inn and two resorts with Banyan Tree and Angsana in Chikmagalur and a luxury island resort on Kochi. Investments figures are Rs 200 crore for the Bangalore Sheraton. It will have 230 rooms and will open in August 2010. Brigade intends to position Mysore Sheraton as a wedding and banquet destination with 220 rooms and investment of Rs 180 crore. It plans to open in 2013.

Along with it, Holiday Inn will also open in 2013 with 219 rooms and investment of Rs 120 crore. Apart from this, Brigade is also planning business hotels in Chennai and Bangalore.

Read other posts of Brigade Group

Brigade Metropolis Apartment Owners Welfare Association (BMAOWA)

2009-12-14T19:26:00.000-08:00

Brigade Metropolis Apartment Owners Welfare Association (BMAOWA) got registered with Government of Karnataka. This association is managed by very active volunteers and are working to resolve some of the critical issues faced by the owners.
The associated also managed to celebrate Diwali and are planning New Year bash. Lot of happening on this front so stay tuned and keep visiting Brigade Metropolis Apartment Owners Welfare Association (BMAOWA) new site.

Prestige Group to file DRHP

2009-12-14T19:00:00.000-08:00

Another builder going for IPO. This is the builder who is constructing Prestige Shantiniketan for last 4 years and there is no sign as when all promised amenities will be ready. SEBI should closely monitor pre-IPO issues and audit post-IPO fund allocation.
* I'll not buy this stock. I can't trust a builder who doesn't have the capability to construct an apartment in 4 years and can't keep the promises which they made to it's investors. Can you trust?

Source - Moneycontrol
Bangalore based realty firm Prestige Estates Projects is planning to enter capital markets with an initial public offering (IPO) of Rs 1,200 crore. The company has filed a draft red herring prospectus (DRHP) with Securities & Exchange Board of India (SEBI).
The company has over 23 years of experience in real estate development. It has completed 142 real estate projects of approximately 27.09 million sq ft. It currently owns development rights for 52.57 million sq ft of developable area, which includes 24.49 million sq ft of saleable area and 9.64 million sq ft of leasable area.
The objects of the issue are to finance ongoing projects and projects under development; invest in existing subsidiaries which investment will be utilized for the construction and development of commercial ongoing project, retail ongoing and retail projects under development undertaken by those subsidiaries; finance the acquisition of land and repay certain loans of company.
For the year ended March 31, 2009, it has reported profit after tax and extraordinary items of Rs 70.73 crore on total income of Rs 916.15 crore. For the period of April-August 2009, its profit after tax was at Rs 66.51 crore on total income of Rs 437.85 crore.
The book running lead managers to the issue are Enam Securities Private Limited, JP Morgan India Private Limited, Kotak Mahindra Capital Company Limited and UBS Securities India Private Limited. Link Intime India Pvt Limited is the registrar to the issue.

Rent of 2 BHK apartment in Brigade Metropolis?

2009-12-14T18:52:00.000-08:00

I conducted a survey on what should be the rent of 2 BHK (~1200 sq ft) apartment in Brigade Metropolis including maintenance. This survey ran for 6 months and total of 176 people participated and here is the outcome of the survey.
> 10,000 Rs - 13%
10,0001 - 12,000 Rs - 27%
12,001 Rs - 14,000 Rs - 20%
14,0001 - 16,000 Rs - 18%
>16,000 - 19%
Clearly 27% people thinks the ideal rent of newly constructed Brigade Metropolis apartment should be in the range of 10,001 - 12,000 Rs.

Find out apartments available for rent in Brigade Metropolis

Demand of 1-BHK in Bangalore

2009-12-04T19:35:00.000-08:00

Lately builders have reduced the apartment size to reduce the apartment cost but it will be interesting to watch whether there will be demand of 1 BHK apartment in Bangalore.

A city that rarely saw a 1-bedroom hall kitchen (BHK) apartment or a studio apartment could soon have a plethora of them. Many developers in the city are looking at building such units — 1-BHK ranging between 500 sqft and 800 sqft with a price tag of around Rs 10 lakh to Rs 15 lakh. This could particularly benefit young professionals, newly-wed couples, and senior citizens.

Most of the handful of 1-BHK apartments around are actually 2-BHK apartments converted into 1-BHK ones, sporting a large drawing room. Pricewise, these units command the same rates as a 2-BHK.

Electronic City, Whitefield, Marathahalli and Bannerghatta Road are the current hotspots for 1-BHK and studio apartments. “The trend of buyers wanting 1-BHK units and developers acceding to their wishes hinges on affordability,” says Ravi Ramu, director, Puravankara Group. Ramu adds that in the heyday of real estate, even 2-BHK units were not in great demand, as majority of consumers here preferred 3-BHK ones. With salaries in the IT sector zooming, so did aspirations and spending power of buyers and the demand for 1-BHK units vanished.

Brigade Group, which just announced the launch of its value homes, says that 30% to 40% of the 10,000 units it’s expected to build would comprise 1-BHK units. “As investors in the realty market become younger, it spurs the demand for smaller units which fit their wallets,” says M R Jaishankar, CMD, Brigade Group.

Misuse of IPO fund by Brigade Enterprises

2009-07-11T14:39:00.000-07:00

In end-December 2007, M.R. Jaishankar was a man who could do no wrong. The promoter of Bangalore-based real estate firm Brigade Enterprises had just raised Rs 745 crore via an initial public offering (IPO) when the stock market indices were ensconced in near-peak territory.

Status of utilisation of funds: Amount specified in the IPO document was Rs 47 crore for buying land but actually spent Rs 254 crore. Rs 85 crore remains unutilised, parked in MF schemes

Explanation for change in fund utilisation: Says it has endeavoured to make the best available use of funds by taking advantage of business opportunities

Read full story Issues of misuse in Brigade Enterprises at sify.

DLF Westend Heights project does not get approval

2009-05-20T18:00:00.000-07:00

Few years back I committed a mistake of booking an apartment in Pre-Launch offer. It was peak of real estate boom and almost every builder had some Pre-Launch offer in their plate and I too got lured for a cheaper deal but at the end it was a big loss.

As I read the news of DLF Westend Heights, I can empathize with the owners who might have invested their hard earned money in dream project. I can see flaring nostrils, fuming face and angry heads. Few angry with builder, others angry upon themselves repenting their decision of booking an apartment in Pre-Launch offer and now bit confused on the next step.

BBPM has tightened the noose and issued a public notice saying that DLF has not obtained its approval for the Westend Heights project, Bangalore but has gone ahead and started bookings. BBMP has cautioned customers against investing in this property. The construction will be termed as illegal and the buyers may not get the occupancy certificate. Jai ho !! BBMP for taking action against builders who are involved in these practices.

Click below picture to see detailed notice.

Expectations from the Government

Monitor fake and illegal real estate advertisements in the newspapers.
Ban all Pre-Launch offers
Take stern action against builders promoting illegal construction - Just banning the project may not be sufficient. There should be huge penalty imposed on these builders, a penalty which will make them think twice before committing these grave mistake. Look how Intel has been fined for $1.45 billion in Europe.

Lessons Learned

Never book an apartment in Pre-launch - Initially you may gain few hundred rs/sq ft but in long run you may loose even more.

The project may get delayed for several months or years - Your booking amount will get blocked for that duration.

The project may not even get approved - Don't be under impression that big builders has prior approval before starting the booking or they might get the approval by hook or by crook. This is not always the case. Verify approved documents from development authorities and don't hesitate to question builders if you have any doubts.

Issue with the floor plan - What will you do if you were looking for bigger rooms and the builder provides room size of 100 Sq ft or even lesser? What will you do if you were looking for balconies in every room but you find a enclosed fort? What will you do if all toilets are attached to bedroom and temporary guests have to walk down to bedroom to toilets for washing their hands. Don't assume that your builder is in the construction industry for a long time and they will not make such mistakes. These are some of the common very basic issues observed when you go for an apartment hunting. It may come as a rude shock once the floor plan is launched and when it doesn't meets your expectation. You either sell the apartment or compromise with the problem through out your life.

Issue with the agreement - What will you do if the agreement is in favour of builder?

Issue with the apartment allocation - Lot of times in Pre-Launch builder allocates the apartment at random. Though they might ask you for your favourite floor and location but then there are few other people like you who had booked in Pre-launch so finally lottery determines your apartment fate. It's important that floor, direction & location is as per your requirements and choice. Otherwise regret by saying room is dark, sunlight never comes to the room.

Sell the apartment - I hear someone saying well if I have these issues, I'll sell my apartment. But selling might not be practical solution all the time. If you sell you might get booking amount plus may be some interest amount but by that time apartment price in the neighborhood might have already moved north so you will be forced to buy a new apartment at higher price.

Weigh all the benefits & risks associated with Pre-launch offers before taking the joy ride.

Read here detailed news of Westend Heights project in moneycontrol. You must read the last line of the news that 600 of the 2,000 apartment homes have been sold in last 2 weeks. Similar claim was made by Prestige Shantiniketan that all apartments were booked on Day 1, Brigade Metropolis, Brigade Gateway, Purva Fountain Square has their own inflated stories and even after 5 years you still see the sale advertisements in newspaper. All these projects are worth investment but let's be realistic on the sales figure.

Next Step
1) Share this article and spread the awareness with your friends and relatives. "No Approvals, No booking in Pre-Launch".
2) If you have booked an apartment in Westend Heights then get connected with other owners through Google Group and seek help. All the best!!
3) If you have Pre-Launch stories to share then please leave a comment. Readers of this blog will learn from your experiences.

Related Posts
--> Brigade Penalized for Ceiling Height in Brigade Retreat
--> Prestige Shantiniketan Building Collapse

Click below icon to follow me on twitter for latest news on Bangalore, Brigade, Brigade Metropolis and more..

Brigade Penalized for Ceiling Height in Brigade Retreat

2009-05-08T18:43:00.000-07:00

Last weekend I'd been to IKEA and my wife suggested to hang a beautiful "Sweet Home" wooden sign board on the front door of our new Brigade Metropolis apartment. After reading "Brigade Retreat" news I've now changed my mind and I'm looking for "Watch Your Head" sign board.

One of my wife wish is to hang a giant Chandelier and though I'm vertically challenged but I can't guarantee that all my guests will be of my height. Those who do stretching exercise either don't raise your hand or don't buy ceiling fan. Make sure that you buy powerful exhaust or live with poor ventilation through out your life.

Consumer forum has fined Brigade for deviating from the approved plan. In Brigade Retreat, Mysore apartment Brigade reduced the ceiling height from approved 2.85 m to 2.65 m. This violated the minimum requirement of 2.75 m as the minimum ceiling height.

I salute to those people who come out of comfort zone to fight for their rights, who fight for the substandard product delivered by the company. Jago Grahak Jago!!

Lessons learned from this incident

Never register an apartment till the apartment is completely ready.
After possession, Go through the specifications and do a full inspection.
If cheated voice your concern at appropriate forum.

Why Builders are reducing the ceiling height?
In high rise apartment even reducing the floor height by few inches or even half foot/floor brings huge saving in terms of reduced material cost. One must reduce the cost of whatever product you are developing but this is greed when you are keeping your customers in the cage. The apartment construction has been delayed by 1.5+ yr and if there was proper project management in placed and the apartment was delivered on time. This itself would had brought huge savings to Brigade.

Business Opportunity
This incident also highlights business opportunities for Civil Architect companies , Building Audit companies and Property Management Companies.
Most of the people in luxury apartments are NRI or are very busy to get themselves involved in thorough inspection of their apartment. Even if owners are willing to they don't have knowledge and right tool to do the possession audit and find out what was the planned & agreed specifications and what is finally delivered by the builder? If your company does a possession audit then please feel free to leave your company details & service fees in comments section. There are 1000's of owners who are looking for your expertise to do the possession audit for their apartment.

Recommendations

If you are an owner of an apartment or a house and you are looking forward to the possession of your apartment then don't just blindly trust your builder just because it's big name in the market.
Go through the planned and approved technical specification and do a full audit on what has been delivered. If you don't have the expertise & time then take the professional help.

Possession Checklist
You must check following items during the possession of your apartment. Lot of these features depends on what was agreed by the builder.

What type of wood has been provided on doors? Does it have locks & keys? Does the keys work? Are you able to open & close doors smoothly? Does the doors have magic eye?
Does the electrical boards have Light points, Sockets, Fan points, Telephone points, Television points, Call bell point, AC point, Geyser points etc?
What type of tiles & flooring has been provided? Are they tightly coupled? Is there any broken tiles?
What type of painting is on the wall? Is there any marks?
Does the Balcony & Window doors slides? Does it have mosquito shutter? Does it have a provision for rain water outlet?
Does the apartment have fire sprinklers? Does it works? How it is triggered? How it is switched off just in case there is false alarm?
Does the bathroom have washbasin, showers, bath tub, towel rod, toilet paper holder, soap tray, towel ring etc? Is it of same company as per the agreement? Does the water flows smoothly? Is there a leakage?
Does the kitchen have sink? Does it have hot & cold water taps? Does the water flows smoothly? Is there a leakage? Does it have granite? Is it in good condition?

The list goes endless and after reading Brigade Retreat news, I would also add
9. Measure the dimensions of your rooms
10. Measure the floor to ceiling height - You never know what surprises are stored for you.

Read below Brigade Retreat news in Hindu
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The National Consumer Commission recently upheld an order of the Mysore District Consumer Forum asking Brigade Developers Private Ltd. to pay damages for “substandard construction” of an apartment building.

P.M. Bhat, who had bought a flat in “Brigade Retreat”, constructed by Brigade Developers, on Adi Pampa Road, had complained that the approved plan for the building showed that height of the ceiling from the floor as 2.85 m, but the actual height was only 2.65 m.

“This violated not only the approved plan but also the National Building Code of India, 1970, which mandated 2.75 m as the minimum ceiling height,” said a press release from Mysore Grahakara Parishat (MGP).

The forum agreed that this was a deficiency in service and ordered Brigade Developers to pay the complainant Rs. 25,000 to meet the financial loss suffered by him.

The forum awarded an additional Rs. 75,000 compensation to the complainant noting that “...the complainant and his family members are forced to reside in such building for their entire life with lesser ventilation,” S.K. Ananda Thirtha of the MGP said in the release.

The builder filed an appeal before the Karnataka State Consumer Commission arguing that Mr. Bhat had signed a declaration at the time of taking possession of the flat stating that he had conducted a detailed inspection of the flat and was satisfied with the construction and had no claims against the builder.

The commission said that the question whether the signature was obtained by force or not could only be decided in a civil court and set aside the order of the district forum.

Mr. Bhat filed an appeal before the national commission, which observed that the purchaser of the flat was under duress to sign the declaration because, otherwise he was not given the flat.

The release said the national commission also noted that in the case of another flat in the same building, the ceiling height was as low as 2.31 m and the Mysore City Corporation had issued the builder a legal notice for this violation.

“When Brigade Developers issued a press statement saying there were no violation in the building and that MCC had closed the matter, N. Jayaram, the then Commissioner of the corporation, issued a counter press release stating that the builder had violated the law and that the corporation had not closed the matter,” the release stated.

The national commission said that this press statement of MCC weakened the case of the builder, overturned the decision of the State commission and confirmed the order of the district forum.

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Next Step

Share this blog link and inform your friends and relatives on the possession checklist.
If you have apartment possession stories to share then please leave a comment. Readers of this blog will learn from your experience.

Easy Auto

2009-05-05T13:28:00.000-07:00

Do you use Auto rickshaw for your day-to-day commuting?

Then you must be wasting an average of 20 to 30 minutes on the road trying to get a willing auto to take you in. REFUSAL!! This is a major challenge that an auto rickshaw passenger faces everyday. This is not only a challenge for you, this is a issue for the law enforcement agencies as well.
“Double meter and one-and-a-half meter” are the other challenges that we face in our daily commuting. Despite a reduced fuel cost, the auto wallahs refuse to ply to a destination that we need to go to many a times unless we comply to give them “extra” on the meter charges. This “extra” is almost always either one-and-a-half times the meter fare or twice the meter fare.

Easy Auto has come up with innovative ways to resolve this frustrating Auto rickshaw problem.

What are the benefits to Passengers ?
# Courteous and clean drivers
# Tamper proof digital Meters
# No refusal
# No overcharging
# Police verification of papers
# LPG for fuel
# Latest good condition vehicles
# Soft drinks and water in vehicles
# Complaint reporting channel
# Feedback cards with drivers
# Door to door service
# Exclusive Easy Auto stands

How does Easy Auto Work?

Passengers have to register themselves using Passenger Registration Kits (PRK), to avail door-to-door service at a cost of Rs.75/-. Any one in the family can avail Easy Auto using the same registration. That is, using a single PRK you can register up to ten phone numbers, which will be used as identifiers by the computers.

Registered passengers can use Internet, Interactive Voice Response System (IVRS) or Short Message System (SMS) to hail an Easy Auto. Others can simply hail one, at any of our Easy Auto Stands or on kerb side.

For hailing Easy Auto using SMS, you will have send in your location code to 9844-11-22-33. You will get a receipt confirmation message along with request code. If this message does reach in 5 minutes after your SMS, you may have to try again. Please remember any network congestion can affect smooth flow of SMS. After the confirmation SMS, you will get another in a few minutes along with Easy Auto number followed the auto driver’s mobile number. To complete the procedure a parallel SMS will be sent to the auto driver. Please ensure to call the Easy Auto driver within 5 minutes or else he will be assigned to another passenger.

For hailing Easy Auto using IVRS, you will have dial 9844-11-22-33 and follow the instructions told to you. To complete the procedure a parallel SMS will be sent to the auto driver. Please ensure to call the Easy Auto driver within 5 minutes or else he will be assigned to another passenger.

Who can use Easy Auto?
Easy Auto can be used by anyone. A registered commuter gets door-to-door service. For registration, the user will buy a kit from any of the Spice outlets in the city at a cost of Rs.75.00. This is a one-time fee to be paid by the commuter.

Read here for more details about Easy Auto. Good job Padmasree Harish and all the best for this wonderful initiative.

Brigade Gateway Video

2009-05-03T09:02:00.000-07:00

Watch this video to see how Brigade Gateway will look like?

Click here to read more Brigade Gateway News
Did you liked the Brigade Gateway concept? Leave a comment

Brigade Metropolis Analytics Report

2009-05-01T13:11:00.001-07:00

I was moderating Brigade Metropolis yahoo group when I found an issue which was stopping us to get new members in the forum. Yahoo group was a closed community so if a user searches for "Brigade Metropolis forum or Brigade Metropolis group or Brigade Metropolis yahoo" then it didn't figured out in Google search result. As per the experts - If your site is not in top 10 search result then there are few chance that users will navigate further to get the desired site. With my exposure in Interactive Marketing field, I thought to use my skills to get new members and revive this group. To be honest, I haven't fully exploited social networking sites (twitter, Orkut, Facebook, Youtube) except blog and so far it has served my purpose but still a long way to go.

Brigade Metropolis blog completed 1 yr and here are the important statistics which I would like to share with my readers.

Number of users who joined Brigade Metropolis yahoo forum in 3 yrs (till March 2008) - 115
Number of users who joined Brigade Metropolis yahoo forum in 1 yr (after blog creation) - 286
Not directly related but indirectly related. No of discussions/month increased from 62 to 700 in 1 yr due to increase of members in the forum.
Total no of Visitors in the blog - 14607
Total No of page Views in the blog - 27204
Average Monthly Visit in last 6 months - 1688

Average Monthly page Views in last 6 months - 31005
Users visited blog from 92 countries with below locations.

Brigade Metropolis blog Contents in top Google search result

Sale brigade metropolis - No 1

Buy brigade metropolis - No 1

Brigade Metropolis forum - No 1

Rent Brigade Metropolis - No 1

Feedback of Brigade Metropolis - No 1

Brigade Gateway - Top 3 search result

Brigade Metropolis - Top 2 search result
Delay Penalty for Apartments - Top 3 search result

That was the performance indicator for this blog and this motivates me to exploit social networking sites and get to the next level.

Rent Brigade Metropolis Apartment

2009-05-01T11:07:00.000-07:00

Are you looking for an apartment in Whitefield area?
Are you looking for diverse, young and vibrant community?
Are you tired of commuting to your office in Whitefield?
Are you looking for good schools in neighbourhood?
Are you looking for fresh air to breathe and chill in pool?
Are you a shopaholic or movies freak?
Are you looking for networking opportunities?
Does your wife troubles your for foodies at regular intervals?

If your answer is "Yes" to 5 questions then you should stop your apartment hunting search and spend your energy on other important mundane work.

Why you should rent Brigade Metropolis Apartment?

1) Diverse, young and vibrant community -
Brigade Metropolis community comprises of people from across the states who bring their culture, food, festivals under one roof. There are NRIs across the globe who brings their global experiences, best practices to make it one of the best community to live in. The community has professionals from diverse background & field and it's melting pot for networking opportunities. It has experienced administrators & working executives who give their best to make it a
vibrant community.

2) Strategic Location

10 min drive to ITPL and other offices in Whitefield - Luxury of coming home during lunch

5 min drive to Outer ring road - Zoom your car after few minutes of sloppy drive

Proximity to Railway station: K R Puram Railway Station, Whitefield Railway Station , Under construction Baiyappanahalli Metro station - Dropping your friends & relatives will now be easier

Number of schools in neighbourhood: Brigade School (is on the opposite side of the road), Gopalan International School, Ryan International School to name a few - Will never miss your princess fancy dress competition

Shopping Malls & Multiplexes - If you wife requests for foodies & groceries at regular interval then "The Arcade" shopping center is within the Metropolis enclave, Under construction Forum Mall, Xylem, Soul Space arena mall, Cosmic Mall are within few minutes of driving - Unlimited fun, food, movies & shopping.

Commute to Airport in AC shuttle buses - If you have fat pocket then there is helipad at Summit rooftop.

3) Greenery & Club house (Under construction)

Why breathe automobile exhaust when there is fresh air in the enclave?

Walk in garden, Jog around in campus, Play tennis, Kids ride swings and chill in pool.

If this is what you were looking for then place an ad. in the comments section and save 1 month rent as commission.That brings huge saving and saves you from Real estate brokers :-)

Apartment Owners
Please leave followings details in the comment section for the ad to get published. (* is mandatory)

Name (*)
Apartment No/Number of Rooms/ Area in sq ft) (*)
Phone No
E-Mail Id (*)
Expected Rent?
Any other cost? Maintenance/Club Charges,Electricity,Water etc
Features inside the apartment - Closets in rooms, Cabinets in Kitchen, Electrical appliances - Geyser, Fan, Lights etc
URL of the apartment - If you have pictures of the rooms then provide the URL.
Any additional information - e.g- It's on ground floor, top floor, Garden/Park/Road facing etc

Provide as many details as possible for renters to make the decision in shorter timeframe.

Tenants
Please provide followings details in the comment section for the ad to get published. (* is mandatory)

Name (*)
E-Mail Id (*)
Phone No
Number of rooms you are looking for? 2/3/4 BHK
Your rent Budget?
Does it includes or excludes Maintenance/Club Charges,Electricity,Water etc?
Any other requirements for the apartment?

Property management companies who are looking for service apartments or as a guest house are also welcome and can provide requirement details in the comments section.

This blog is a platform for the handshake between owners and tenants and is no way related to anyone or any ad in this section. Take informed decision before leasing or renting an apartment. As I get number of comments every month so it's important that old comments are archived.Your advertisement will appear for 3 months which I believe is a good time to get an apartment rented and then it will get deleted. But you are always welcome to place the ad again.

Success Story
If you get success in renting the apartment then do share your success story and also suggest how can I help you better?

If you ever change your mind and would like to own Brigade Metropolis apartment then read here all Buy and Sale Brigade Metropolis advertisements.

Have you bookmarked this blog?
Help us to determine what should be the rent of Brigade Metropolis?There is a poll running on the top right menu.
Share this post with your friends or relatives who might be interested in renting or owning Brigade Metropolis apartment?

Brigade cuts rate by 15% across projects

2009-04-16T08:11:00.000-07:00

Brigade Group has 12 projects in pipeline which they hope to start by the end of the year. On the other hand Brigade Metropolis & Brigade Gateway booking started 5 yrs back and the constructions is still in progress. Jaishankar should make every effort to fulfill his commitments to existing customers before creating a "mouse trap" for new customers.

Where is the 15% price cut?
I verified on the ongoing price after the news and it's still selling at 2900 Rs/sq ft which was same as before. 10-15% price cut means cut of around 290-435 Rs/sq ft - Has anyone bought from Brigade around 2465 - 2610 Rs/sq ft in year 2009? There used to be price list on the website but now it has been removed and instead of that it has numbers of marketing executives. At least I expected some transparency on pricing front. Interested Bloggers, Competitors, Media, Existing Customers will anyhow track and find the ongoing price but putting price list off from the site will certainly help you in loosing few customers. If I'm doing a research for buying an apartment where is the time to send an email to each of the builders and get the price quote?

Any builder not publishing the price list on the site are loosing customers, increasing the cost of their customer care and delaying the purchase decision of the customers.

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Bangalore: Close on the heels of DLF Ltd slashing ticket prices of its homes by 30%, Brigade Enterprises Ltd cut rates by 10-15% in all its projects and will build small, cheaper apartments to cater to buyers with budgets of Rs25-30 lakh.

The Bangalore-based developer has lined up 12 projects, which include hospitals, residences and malls, and would start building them before the end of this year. It plans to raise Rs1,000 crore for its ventures.

“We are planning to raise the money this year through a combination route of private equity and institutional funding,” said chairman and managing director M.R. Jaishankar.Brigade, which has around 14 million sq. ft under development in southern India, is aggressively looking at expanding its hospitality business in 2009.

On Friday, the company, in partnership with Accor hotels and resorts, launched Mercure Homestead, which is a 126-room luxury service apartment complex in north-west Bangalore. This also marked the launch of Accor’s global Mercure brand in India, with the next property lined up at the hill station of Lavasa, near Pune in Maharashtra.

“We are positive on the Indian market and are planning 50 properties here by 2012 under our various brands, such as Mercure, Novotel and others,” said Daniel Tannenbaum, Accor’s India regional director of sales and marketing. He was responding to a query on a dull hospitality sector and dipping demand in the serviced-apartments segment.

Brigade has a debt of Rs350 crore, but will not restructure its loans like other developers that include Unitech Ltd, Sobha Developers Ltd and Housing Development and Infrastructure Ltd.“We didn’t commit the mistake of buying land indiscriminately and only bought enough that would be developed within five-seven years. So, if there is a good piece of land, we are still looking to buy,” said Jaishankar. The company has a land bank of about 450 acres.

Brigade’s net profit for the nine months to 31 December dipped by 17.3% to Rs67.44 crore from Rs81.55 crore in the same period a year earlier.

The company’s stock closed at Rs38.75, up 5.59%, on the Bombay Stock Exchange on Thursday, on a day when the Sensex rose 4.51%. The markets were closed on Friday.

Source - LiveMint

Brigade Enterprises net profit declines 94.02%

2009-01-31T14:29:00.000-08:00

There was a time when the shares of DLF & Unitech were worth gold and lot of people could not have afforded to have these stocks in their portfolio. These builders were riding high in sellers market with prices zooming almost 100 Rs/sq ft/month/. With global meltdown and housing market crisis, real estate industry is bleeding. Quarterly results have started coming and the numbers look scary. If the recession continues longer, I seriously doubt whether these builders will have debt paying capability. Most of these builders have spread their wings and executing number of projects in parallel. With sales taking dip they are having liquidity crunch.

Here are the profit of few of these companies in December 2008 quarter. Profits are down not just 25%, 50% but as high as 95%.

December 2008 Quarter
Brigade Enterprises net profit declines 94.02%
DLF’s net profit declines 69%,
Unitech’s net profit declines 74%
PARSVNATH net profit declines 95%

Source : Capital Market
Brigade Enterprises net profit declines 94.02% in the December 2008 quarter
Sales decline 18.10% to Rs 97.35 crore

Net profit of Brigade Enterprises declined 94.02% to Rs 2.20 crore in the quarter ended December 2008 as against Rs 36.82 crore during the previous quarter ended December 2007. Sales declined 18.10% to Rs 97.35 crore in the quarter ended December 2008 as against Rs 118.86 crore during the previous quarter ended December 2007.

Source : Business Standard

DLF’s profit down 69%, Unitech’s 74%

Realty majors DLF, Unitech, Parsvnath and Ansal Properties today reported their worst quarterly drop in profit in at least six years as faltering economic growth crimped demand for homes and offices.

DLF, the nation’s biggest real estate developer, reported a 69 per cent drop in consolidated profit at Rs 670.79 crore, trailing analysts estimates. The company reported a profit of Rs 2,138.87 crore in the comparative period a year earlier. Analysts expected DLF to report a profit of Rs 1,589 crore.

Sales of the Kushal Pal Singh-owned company fell 62 per cent to Rs 1,366.67 crore in the three months ended December 2008 from Rs 3,598.42 crore a year earlier, the company said in a statement to the National Stock Exchange without giving more details.

DLF shares have plunged 79 per cent, surpassing the benchmark Sensitive index drop of 47 per cent in the period. Shares of the company rose 8.3 per cent on Friday to close at Rs 177.65 on the Bombay Stock Exchange.

The New Delhi-based developer’s rating was cut by a notch to A+ from AA- by Crisil on concerns of slowing sales, constraining cash flows and mounting debt.

UNITECH, the county’s second-biggest property developer, said its consolidated profit dropped 74 per cent to Rs 136.05 crore from Rs 525.78 crore. The profit also lagged analyst’s expectation of Rs 293 crore for the quarter.

The New Delhi-based company’s sales fell 57 per cent to Rs 489.39 crore in the three months to December, Unitech said in a statement to the Bombay Stock Exchange.

“Last quarter witnessed a dramatic change in the macroeconomic environment. It was characterised by tight liquidity conditions and significant demand slowdown across segments. Consumer sentiment continues to be weak,’’ Sanjay Chandra, managing director, Unitech, said.

Unitech’s main thrust during the quarter was on reviewing projects with a view to according higher priority to pre-committed projects and on generating additional cash flows through asset sales and infusion of private equity at project level. Property developers have been hit as customers, hurt by a global slowdown and climbing interest rates deferred projects and purchase of homes, after a six-year rally in property prices.

Between the second quarter and the third quarter of the calendar year 2008, residential prices have fallen by 5-10 per cent in the National Capital Region (NCR) and office rentals around 15-20 per cent between the end of calendar year 2007 and the third quarter of calendar year 2008, according to estimates by Goldman Sachs. Still, experts have called upon real estate companies to cut property prices further to boost sales and shift to affordable projects in the home segment.

Unitech and other developers have also been struggling to repay debt to banks and mutual funds as they fail to generate enough sales. Fitch Ratings on January 14 cut Unitech rating to junk grade on concerns of the developer’s ability to repay debt.

PARSVNATH, another property developer which announced its results today, said its consolidated third-quarter profit fell 95 per cent to Rs 5.42 crore from 112.5 crore. Sales of the New Delhi-based developers in the period dropped 80 per cent to Rs 90.52 crore from Rs 465.31 crore.

ANSAL PROPERTIES reported a loss of Rs 15.73 crore in the third quarter. It had a profit of Rs 52.15 crore in the year-ago period. Sales of the company dropped 23 per cent in the three months to December 2008 to Rs 200 crore. Unitech shares have slumped 92 per cent in the past year to close at Rs 32.15 on Friday on the Bombay Stock Exchange. The benchmark Sensitive index has declined 79 per cent in the period.

Parsvnath shares have dropped 90 per cent in the past year to close at Rs 31.4 rupees on Friday on the exchange.

SOS Children Village of India

2009-01-04T11:49:00.000-08:00

One of my friend recently suggested that you have around 1600+ Visitors and 4000+ Page Views every month that too without any marketing effort so why don't you commercialize your blog. Initially I was bit hesitant but after giving a thought that I spend precious time in researching , writing an article and responding to reader questions so there is nothing wrong if there are earnings from that effort.

In 2005, I visited SOS Children Village of India and I was touched by the concept and the commitment by NGO's to raise Orphans in family environment, Educate them and make them a better citizen. I again visited SOS Children Village in year 2006 with my family and introduced them to SOS. Number of times I thought of taking some initiatives but plans never materialized due to lack of time.

Now it's 2009 and I'm back with plans that I'll help to sponsor a child in the Children Village. All the earnings from this blog will go in sponsoring a child in the SOS Children Village.

Goal - Help in raising and educating one children of SOS Children Village.
Target - Need 6000Rs/Year

I'll try to spend 2 hour/week to write an article and raise the fund for this cause.

Learn More about SOS Children Village

Prestige Shantiniketan Liquidity Crunch?

2008-12-08T22:01:00.000-08:00

Prestige Shantiniketan was a landmark project in Bangalore and due to these two accidents, I fear that this can also be one of the infamous project in Bangalore. The biggest challenge for Prestige Group will be
1) To settle those legal cases and resume the construction.
2) To keep disgruntled owners of the apartment pleased. With time they may calm down.
3) To keep worried investors at calm will be an uphill task considering the fact that there were investors with deep pockets and people with power.
4) To rebuild the deteriorating Prestige brand.
5) To boost morale of construction workers and their employees. With employee getting arrested and media bashing the Prestige it will be daunting task to keep everyone in high spirit.

I won't be surprised to see Prestige going Lehman way if investors starts pulling back their investment, if banks stops giving further loans and the project construction gets stopped for few months. As it's not a public listed company so their balance sheet health conditions is unknown. Accidents coupled with harsh credit crisis in the market, Prestige can have a liquidity crunch.
It will be interesting to watch how Prestige will be able to wriggle out of this mess. Unfortunately with the current issues apartment owners fate will keep on hanging.

I would like to express my solidarity for the constructions workers who got killed and injured.

Read more news from Mid-Day

After the Prestige Shantiniketan roof collapsed, investors want their money back.

Sources in the group said, after Shantiniketan came crashing down last month, investors in the project, most of them from Dubai, were opting out even though the management was desperately trying to hold them back.

"Apart from the slump in the realty market, this new development has put Prestige under great stress," said a source.

However, Irfan Razack, chairman and managing director of Prestige, said: "The Shantiniketan accident was an unfortunate development. By God's grace, we are marching ahead leaving it behind. Nobody is asking for money back from us. All the customers are with us at this difficult time."

What happened

Tower 'C' of Prestige Shanthiniketan, a township project on a 105-acre campus in Whitefield, crashed on October 23. With the roof of the fifteenth floor leaning, all the fourteen floors of a portion of the tower collapsed.

Sources say there were 17 Dubai-based investors for the project with a major stake an average investment of Rs 30 crore from each. The total cost of the project was estimated around Rs 500 crore and the group was not in a position to return the money owing to the liquidity crunch.

The management has been holding investors' meetings several times but has failed to convince them to stay on so far.

"The options they put before us were not workable," said an investor requesting anonymity. "We will not accept anything other than our money back."

The group is understood to have offered the investors land at Chikkaballapur near the international airport, but the offer was rejected as the land was under litigation.

The market value of the land is around Rs 1.20 crore per acre, but the group is said to have offered it to investors at the rate of Rs 40 lakh per acre. Investors have not agreed.

"Knowing it is disputed property, how can we buy it?" asked the investor. "We have insisted that our money must be returned. Now, they have to take a decision."

Banks including HSBC and ICICI who had paid advance for office space also want their money back.

Zafaer Sait, vice-president, business development, Prestige, denied the news saying it was a rumour. "Like others in the industry, Prestige is also facing problems. I don't think the Shantiniketan case has any impact on our business."

Click here to read all news on Prestige Shantiniketan

Prestige Shantiniketan construction accident

2008-12-08T21:30:00.000-08:00

There was a second accident at Prestige Shantiniketan site within two weeks. As per the initial report it appears that portion of excavated earth caved in while constructing parking lot. It's unfortunate that poor construction labors got killed in this accident. I'm not sure how Prestige resumed the construction without even closing first accident investigation from BBMP.

If there were no permissions to resume the construction then Prestige Group is in serious trouble now and I empathize with the owners who had invested their hard earned money for a dream apartment which may now get indefinitely delayed due to legal tangles. Though there is a slight relief for the owners that this accident was not due to sloppy constructions in towers or slabs but it's just that loose mud caved in.

Whether it was an accident or lapse in the construction process we will come to know after investigation but one thing is sure that both Prestige Group and Owners will have a tough time ahead.

Read below for more news from media.
Source - The Hindu

Bangalore: In a reprise of a tragedy, two labourers died and one was injured at the Prestige- Shantiniketan Township at Whitefield on Monday when mud caved in on them. The police identified the dead as Prasannajit Behara (25) and Sanjeev Dutta (28) and the injured as Kailash Paswan (25).

It was only six weeks ago that a worker died and several were injured when part of the same building collapsed, leading to exhaustive excavation to retrieve the body.

The police said that Monday’s incident occurred at around 5.30 p.m. when construction on the approach to the underground parking lot was going on. It is said that a bulldozer was being used to clear the way when the excavated mud suddenly collapsed, interring Prasannajit Behara and Sanjeev Dutta. The two died of asphyxiation.

Kailash Paswan and others, who were working on the centring near the accident area, rushed to move to safe grounds. In the scramble, Mr. Paswan fell into the pit and injured himself. He was rushed to a hospital.

Commissioner of Police Shankar Bidari, who visited the spot, said: “It seems to be a case of negligence on the part of the construction company and builder. Prima facie, the accident has occurred due to lack of supervision.” A case was registered under Sections 304, 304A and 338 of the Indian Penal Code. Seven people, including vice-president of Prestige Group Ashok Saproo and general manager and project in-charge Muralidhar Rao, were arrested and were later produced before a magistrate.

Prestige Group was not available for comments.

The work at the township was taken up only after the Bangalore Development Authority (BDA) gave the go-ahead to the group. On October 23, the 15-storeyed “C” Tower in the structure collapsed, killing one and injuring four workers.

Upa Lokayukta G. Patri Basavana Goud, who had visited the spot then, ordered an inquiry and held officials of the Police Department, Labour Department, Bruhat Bangalore Mahanagara Palike (BBMP) and BDA guilty of “serious dereliction of duty.”

Read more news Deccan Herald

Two construction workers were buried alive and an equal number injured as earth caved on them at the Prestige Shantiniketan, a township project in Whitefield, on Monday evening.

Sanjeev Dutta (18) and Pranjit Behra (29) from Midnapore in West Bengal were killed while Kailash Paswan and Jagadish have been admitted to a nearby private hospital with injuries.

According to eyewitness, more than half-a-dozen workers were engaged in centring works for the construction of the sub-way and parking lots, connecting various residential complexes. Pits, 18 feet in depth, had been dug up for the works. When the workers were busy in the civil works, a portion of the excavated earth caved in.
A worker had died when a portion of the 16-storyed commercial complex under construction collapsed at the same site on Oct 23.

Heera Nayak, BBMP Joint Commissioner who visited the site said, “we had not given permission to start the works. They have violated the rules. It's a serious offense and we will lodge a complaint.”

"Click here to read all news on Prestige Shantiniketan accident"

Brigade Gateway Project Delay

2008-12-06T13:18:00.000-08:00

Dear Mr. Viswa Prathap Desu,

I would like to respond to your mail on behalf of Brigade Gateway Owners with whom I share common pain and sufferings.

I am a small person who booked the Brigade Metropolis apartment when there was only dust at the site, layout plans were still on the drawing table, there was a single security guard on the site managing vacant land and there was no visibility on ROI of this apartment. My dad was shocked to know that I had booked an apartment of 45 Lakhs, an apartment whose layout plan was still on the drawing board.

I booked with Brigade because I heard it's one of the "top builder" in Bangalore and after 3 years I have understood the bitter facts of "top builder"? In year 2005, I recommended Metropolis apartment to my friend in US who had never visited Bangalore forget about visiting the site. He booked an apartment within a week just because he had confidence on me and you will be surprised to know that my friend has still not visited the site and Bangalore. Now I feel guilty that I recommended Metropolis to a close friend without researching on past projects of Brigade.

Most of my office colleagues have been laid off and every Friday afternoon my wife calls in office to check if the worst fear came true. When my friends gets pink slip, I starts thinking of backup plan. If I had the apartment at least I would have been getting the rent which would had covered my EMI or in the worst case I had a shelter. Now I've been forced to take 2 weeks vacation and I feel handicapped. If I had possession of the apartment then I would had gone to India and had used this time to get registration, interiors and electrical equipment installed. But now I'll waste those precious vacation venting my anger on Brigade and ranting it in different forums and blogs.

I find close resemblance of your irresponsible statement "Project delays are unfortunately part of the construction and real estate industry" to Maharashtra Home Minister R R Patil statement "Aisa nahi hai. Itne bade shahar mein chhota hadsa ho jata hai. To total failure nahi hai. (It is not like that. In big cities like this, small incidents do happen. It's is not a total failure)".

RR Patil was a politician but you are from the corporate world and I expected a matured response from the top executive of Brigade.

Honestly speaking, I don't mind even if the projects are delayed for an year provided you compensate us appropriately. You must read this post to find out what should be the ideal compensation for an year delay. We have been hit badly by this delay and what's your impact? Peanuts.

All those awards and certificates are good for hanging in Brigade headquarters or in marketing brochures. Prospective buyers are least interested in those certificates and you have failed to understand their thoughts. I may not be marketing pundit like you but to let you know that most Prospective buyers research on different forums, blogs and go by friends & relatives recommendations before making a huge investment. Now you may ask didn't you researched enough? I was a fool and booked this apartment in a haste and unfortunately there was not enough information available on different forums. But with explosion of digital media in last few years you may find it really tough to fool my other friends and neighbors.

What does top builder means? Is it just the number of projects which you have executed or the market value in the share market? Top builder cannot be defined just by some numerical value.
You also need to account customer service, your commitment to milestones, weightage of your words. You may say that rating agencies have taken into account all those parameters. You are right Sir. If I'm asked asked to choose a PM between Lalu, Raj, Mayawati and Mamta what choice do I have? I may choose a lesser evil.

I like your advertising message "Upgrade to Brigade". Did you ever seriously debated on a White Board why buyers should "Upgrade to Brigade"? If you talk of enclave then there are lot of builders who are offering these concept? If you talk about Quality then I find every builder on the street has some quality certification.

Now if your unique selling point was a) Quality customer service b) Closeness to customers c) Commitment to milestones d) Weightage of your words then I can assure you Sir that buyers would had differentiated class from the mass and would had Upgraded to Brigade otherwise they think it's just another marketing gimmick.

Sugar coated soothing words were fine for initial months of delay but now it has crossed the limits. There has been a delay for an year. Bubble has burst and owners are in no mood to empathize. You need to act fast and tough in the best interest of customers. I'm sorry to say that I'll not be recommending your apartments to my friends and relatives and I'm sure there might be 1000's of owners with the same opinion.

I would be glad to hear your response someday if you happen to read this post.

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3- Response from Desu to Brigade Gateway Owner

"We are pained to see your comments. I am sure one cannot judge a company based on a particular project delay. Project delays are unfortunately part of the construction and real estate industry, not that I am justifying the same, but just stating the same.

Forbes is an International magazine of repute, which you may know. They have judged us as one of the 'Best Under Billion Dollar' Cos (amongst 200 nos) and we are the only Indian real estate co. to feature in this list..We are also amongst the top ten real estate developers in India - as judged by 'Construction World' magazine.

We are endeavouring to give a good product as has been proved by our other projects in the past which have become landmarks. While we empathize with you, we would also urge you to recommend this project to your friends/relatives. No doubt, Brigade Gateway is slated to be a landmark project in Bangalore."

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2- Comments from Owners to Desu
(Frustration mail for the delay.... )
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1- Letter to Brigade Gateway Owners from Brigade
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Dear Brigade Family,
Greetings from the Brigade Group!
We are proud to share with you significant milestones, Brigade has reached now:· Only Real Estate company to be featured "200 Best under a Billion Dollar" Forbes List for Asia Pacific Region.Ranked as one of India's "Top Ten Property Developers "by the Construction World Magazine. ISO Certified for Quality, Environment, Health & Safety by Bureau Veritas.

We are pleased to show case our projects, Brigade Gateway @ Malleswaram- Rajajinagar and Brigade Courtyard @ HMT Main Road. Currently we have some limited period special offers running as part of the bookings.

Brigade Gateway: - A Lifestyle enclave spread across 40 acres with 1200+ Luxurious apartments with amenities like Brigade School,Columbia Asia Hospital, Orion Mall, Galaxy Club, North Star, Office Tower, Sheraton Bangalore - (Five Star Hotel) and a beautiful man made lake spread across 2 acres.

Brigade Courtyard:- The project is developed on a 3 ½ acre land which is part of HMT township. About 60% the property is reserved as open area. The project is designed with a refreshing concept of terrace areas being attached with almost every apartment. Just 4 apartments to a floor; 4 floor to a wing, 2 & 3 bedroom luxury apartments, paved pedestrian avenue, multi level clubhouse, water features, landscaping and children's play area.

Referring your friends and relatives can enable you to earn a special referral incentive of upto Rs.2,37,000/ - * if in Brigade Gateway and upto Rs.61,000/- * if in Brigade Courtyard on a confirmed booking.

You would agree ,this is the best time to buy , best offers coming your way....and a best choice to make, "Upgrade to Brigade". You could visit our website www, brigadegroup. com for our updated info. Please feel free to contact the undersigned for any assistance.
Thanking you and assuring you our best services.
for Brigade Enterprises Ltd.,Viswa Prathap Desu

---------------

Read all posts related to Brigade Gateway

Delay Penalty for Apartments

2008-11-16T09:33:00.000-08:00

"Taarikh pe Taarikh, Taarikh pe Taarikh pur "apartment" nahin mila - Mila to sirf Tarikh."
Date after Date and Date after Date but didn't got the apartment. What I got was only Date?

This was one of the famous dialogue of Sunny Deol in Damini movie. Same story gets repeated in real life - There are dates after another date with no sign of Brigade Metropolis possession date.

As per my agreement the apartment was supposed to be delivered by March 2008 but now officially the project has been delayed by an year (March 2009). Officially it's an year but technically it's two year. I booked the apartment in Pre-Launch offer and was informed by Brigade marketing executive that hopefully we will launch the apartment in next 2 months and you should get the apartment in next 2 years. Ok, it was my first apartment and I was a fool who fell into those sugary words.

Last official communication (mail & letter) from Brigade was in Sept 2007 that project has been delayed for 3 months due to shortage of cement, sand and labour. Since then there has been a silence from Brigade Executives and there is no further official clarification as why the Project has been further delayed? Now the forums and word of mouth has become source of "official" communication channel.

I must admit that though Brigade has delayed the project for an year but Brigade was "kind enough" to pay 3 Rs/sq ft as delay penalty with number of "if "and "else " clause.
What is the impact of this delay on our pocket?

I'll continue to live in a rental property for an year. If the rent in Whitefield is 10-12 Rs/ sq ft then I loose 120-144 Rs/sq ft in a year.
I'll continue to pay Pre-EMI and will not get tax benefits.3) In last one year Property registration cost, BESCOM/KPTCL and other payment to the different government offices may have increased which will make a bigger hole in the pocket.
If inflation is 10% then I'll be paying almost 10% more for buying interiors and electrical appliances for the apartment.
If you have spent 10 min. everyday for an year posting e-mails on different forums , reading blogs, writing mails to Brigade, following up on response, visiting Brigade office & Metropolis site to check the possession date, browsing through lawyers & Consumer forum sites, researching on the process of legal action for delay and compensation then you have spent close to 61 hrs or roughly 8 days of effort/year. You have lost 8 days of salary due to delay in possession date.
Have you added cost of mental agony? My dad asked me when are you coming to India? I replied the Brigade Metropolis apartment is getting ready in Oct 2008 and I will be in India that time for registration and Interiors. At every new milestone I kept assuring him now this is the final date and there won't be any postponement and I was wrong each time.

The date shifted to Dec 2008 and now it's Mar 2009.

If your office is in Whitefield and you are forced to continue living at some other place in Bangalore because the Metropolis apartment is not ready then add the cost of fuel and commute to Whitefield.
If you had plans to get your kids admitted to some school in Whitefield in 2008 but has to temporarily get him/her admitted in some other school in your current neighborhood then add the admission cost of that school.

If you add total cost then it comes to minimum of 350 Rs/sq ft but what is Brigade paying 3 Rs/sq ft or 36 Rs/sq ft (Annually) that too comes with number of "If" and "Else" clause.

There is a grace period of XX months before the delay penalty starts. No official date announced till now, only response is "it will be as part of the agreement".

If you have opted for some modification in the apartment then you will not be eligible for delay penalty. It's not clear how adding an electrical point in some room can delay apartment from the owner side?

The delay penalty will be settled once all the payments dues are paid from owners. Why this cannot be settled with other pending payments from owners?

Is shortage of Sand, Cement and labour the real cause of project delay or this has become a habbit of Brigade?

Now let's explore whether shortage of Sand, Cement and Labour are real cause of delay. It can be partial reasons for the delay may be for few days but certainly not for an year.
If there are real shortage of resources then

Why did Brigade started Phase 2 booking?

Why did Brigade started booking of commercial areas?

Why did Brigade started booking of other projects (Brigade Gateway, Brigade Petunia, Brigade PalmSprings, Brigade Paramount)?

Why did Brigade started booking for "K" block when they didn't had even approval due to high tension wire? Finally poor owners have been requested to shift to other blocks.

It's greed, greed and greed.

If there are shortage of resources then complete projects which you have committed to the customers. The fact is that Brigade has spread their wings in different directions ,have taken payments from the owners and have delayed the projects. If you do some math Brigade is hardly getting a hit because of delay in the projects.

After taking feedback from different forums of Brigade projects it was found that even other Brigade projects were delayed for an year. They share the same pain and frustration which we are going through.
One should also take feedback from different forums and share the experiences.

Brigade Gateway - Feedback from Brigade Gateway Google group
Brigade Millenium - Feedback from Brigade Millenium Yahoo group
Brigade Gardenia - Feedback from Brigade Gardenia Yahoo group

I also request owners from different projects to share their apartment milestones. Here are the important milestones of Brigade Metropolis.

First person to book the Brigade Metropolis apartment - July 2004
Allocation of apartment starts - June 2005
Brigade Metropolis project launch - January 2006
Request for signing the agreement - Started in January 2006 but very few people got request but majority of the people got started getting requests after April 2006.
Tentative Possession Date - Few blocks in Jan 2009 and few in Mar 2009 (note - this is still tentative)

I can see lot of cocked eyebrows asking whether Brigade is building Taj Mahal in 4 years? Brigade has failed to meet each and every milestones from apartment allocation to signing the agreement. Umm, I may be wrong there was one milestone which they met every time. I've received bi-monthly requests for payments on time every time.

Delay has now become a habit of Brigade. When I move around in the city, I see the advertisement on Billboards "Upgrade to Brigade". Now owners have started questioning why should we "Upgrade to Brigade"? Is it because you delay the project for an year and then you pay 3 Rs/sq ft as compensation that too with number of clauses.

It's high time that owners of delayed projects should come forward , unite themselves and fight for their rights. Builders take people for the ride because we allow them to take us for the ride.

Read below news on compensation for late deliveries.

Source - TOI
Builders should compensate for late delivery of flats

Many property aspires buy an under-construction flat for the convenience of slab-wise payment and lower rates. But is it such a good idea? A Mumbai consumer says her flat’s possession has already been delayed by six months. Like her, scores go through the harrowing wait for possession when housing projects-even those of reputed builders-get delayed unexpectedly. To add to their woes, consumers complain that builders rarely offer compensation, leave alone actually doling it out.

Kirti Bhatt of Ahmedabad’s Consumer Education & Research Centre, says: "In case of delay, the builder is liable to refund the amount paid with interest (for the period of delay) as there has been a breach of contract." Bhatt says Gujarat Ownership Flats’ Act, 1973, for instance, mandates builders to mention the possession date in the agreement. "Default would attract penalty under both Consumer Protection Act and the Flat Act," says Bhatt. Some states have such acts in place to protect the common man, as "housing is a state subject". Maharashtra has a similar regulation under Maharastra Ownership Flats’ Act (MOFA), 1963, says Mumbai consumer activist Jehangir Gai.

Now, consider the financial implications of delayed possession. A Mumbai consumer who was promised his flat in June 2007 says, "My agreement document clearly says that in case I intend to return the flat over delayed possession, the builder will refund the original amount with 9% interest." However, he calls this an impractical solution. "Prices have more than doubled since we booked the flat, so giving it up for just 9% interest does not make sense." Besides, he says, the interest rate on borrowed money has seen a steep rise. During the unfortunate wait, buyers lose out in other ways too. One, if they don’t own another property, they have to stay put in a rented place.

Two, if they have secured a home loan for the flat, its repayment schedule is treated as pre-EMI (equated monthly installment) till the buyer gets the property’s possession. A buyer is entitled to tax rebate under sections 24 (b) and 80 (c) of the Income-Tax Act 1961, after securing possession of the property and thus commencement of EMI. Till then, he gets no tax relief on the pre-EMI.

Vinod Sampat, advocate and president at Cooperative Societies’ Residents and Users Association, however, draws attention to a ruling that may lend hope to consumers. In May 2007, National Consumer Disputes Redressal Commission upheld a Goa State Redressal Commission order directing a real estate developer to give alternate premises of similar dimensions and in the same locality to the complainant (buyer). This, along with 18% interest per annum, on Rs 1,84,000 paid by him, from August 1991-the required possession date. Alternatively, the builder was asked to pay three times the purchase amount to the buyer-Rs 5,52,000-within 30 days of the order. Sampat adds, "Suppose I had booked a flat for Rs 20 lakh and now it’s worth Rs 50 lakh, I’m eligible for the original flat or alternatively a similar flat in the neighboring area, irrespective of price... When anyone approaches the court (for deficiency in service), its ruling is binding (on the builder)." Sampat also advises filing of a criminal case against the builder for offenses of nuisance and criminal breach of trust.

The reason builders are lackadaisical about compensation, say consumer groups, is because there is no real estate regulator yet. The only recourse available to consumers then, it appears, is approaching the courts. Bejon Misra of Delhi’s Consumer Voice, however, says: "A consumer doesn’t want to get into a legal tangle and just wants his flat in hand. Builders take advantage of this helplessness. " Misra adds, "There is a great need for government regulations for builders in terms of both quality and good practices... Due to the strong influence of property developers within policy-making bodies, a regulator (for the sector) is not coming into force." Mofatraj Munot, former president at Maharashtra Chamber of Housing Industry, however, assures: "The Centre is trying to put in place a regulator. It is in the offing."

Time and again, consumer organizations have warned against purchasing an under-construction property. This advice is all the more pertinent today because delayed housing projects are an unfortunate reality.

Vinod Sampat, president of Cooperative Societies’ Residents, Users and Welfare Association, seconds that housing projects are going slow at the moment, and says, “In this situation, the consumer is literally helpless, especially if a certain portion is paid in cash. But for the white component at least, he can file for deficiency in service on the builder’s part in a consumer court.’’

For now, a consumer court is the only redressal recourse in real estate disputes over delayed possession, quality of construction, and such others. That’s because, despite several representations from consumer groups, the critical sector continues to languish without a single-point regulator. (Things are a lot different in the developed world. Builders in the UK, for instance, even offer a 10-year warranty and insurance cover on property, says consumer activist Arvind Shenoy.)

Since housing is a state subject, each frames its own policies. As an official in the ministry of urban affairs says, “It is (to be) dealt with by the concerned state governments.’’

Bejon Misra of Delhi’s Consumer Voice, however, insists that there is an urgent need at the Central government level to bring in a strong mechanism for the sector. “This has not happened despite promises from the government.’’

A step in this direction was made by the Maharashtra government early this year with the proposed Maharashtra Housing Sector Regulatory Commission Act 2008, which stipulates the formation of a dispute redressal committee. However, it is yet to be passed.

Currently, Maharashtra has the Maharashtra Ownership Flats Act, 1963. The Act mandates a builder to provide 9% interest on the total amount paid for the flat in case of delay, says consumer activist Jehangir Gai. Then, Gujarat has its Gujarat Ownership Flats Act, 1973. Not all states, though, have such an Act in place. The National Capital Region (metropolis areas around New Delhi) does not have one, says D L Desai of Builders’ Association of India.

At an individual level, most property buyers remain reluctant to move consumer court over a dispute. Like, this Mumbai resident who has been waiting for a year-and-ahalf for his flat — without being offered any compensation. As reported earlier in these columns, a delayed housing project is a financial strain in other ways too. The Mumbai consumer, for instance, continues to shell out the EMI (equated monthly instalment) on his home loan even as he pays rent on his temporary accomodation. And, since he is still to secure the flat’s possession, he is not entitled to income-tax rebate under Section 24 (ii) of the Income-Tax Act, 1961. Certified financial planner D Sundararajan, though, says after securing possession, the interest portion on the loan paid before possession will be adjusted over the next five years, subject to a limit of Rs 1.5 lakh. If a property is in a joint name, both holders are entitled to the amount, which works out to Rs 3 lakh.

Prestige Group Senior Management Arrested and Bailed

2008-10-29T09:52:00.000-07:00

Prestige Group and IJM Group senior management has been arrested and bailed. I didn't expected this stern action. Don't know what government is try to prove. May be government wants to show that we are acting tough.

The people who are arrested might not be even aware of intricacies involved in the construction or putting a slab. If the investigation proves that there were lapses then punish and fine those who were guilty.

There are numerous train accidents - Has anyone ever arrested Railway Minister?
There are blasts after blasts and still government doesn't take appropriate measures - Has anyone ever arrested Home Minister?
There are accidents on the roads often because there are potholes on the road- Has anyone ever arrested Transport Minister?

It's unfortunate that same yard stick is not used for Corporate World and Government officials.

Source

“Structural failure or lacuna in the soil test report or improper shuttering might have forced the footings to give way,” says an initial report submitted to the authorities in connection with the collapse of the C-Towers at the commercial complex of Prestige Shantiniketan at Whitefield in Kadugodi.

The construction work was entrusted to the Malaysian company — IJM.

On Thursday evening, after the centring work on the 15th floor was almost complete, the left portion of the building caved in. Four workers were injured and many were feared trapped. Apart from the hanging pillars and beams, two lower basements are filled with debris. A team of experts is busy clearing the rubble.

Sources said the experts are of the opinion that it might take at least four to six days to clear the debris. The team is busy arranging and erecting ‘props’.

“It’s risky. From the top floor (15th floor) to the basement, we need to give support before touching or clearing the debris. As many as three pillars need to be demolished. A stench is emanating from the site of the collapsed building.

“Fire force personnel say the foul smell could be that of some dead animal or human beings. Until all the debris is cleared, it is almost impossible to say that no one is trapped,” said an official.

Not even as a single slab from the debris has bee removed yet, but a majority of the government departments, including the Bangalore City police, maintain that “no one is being trapped.”

“Only Munna Katua (23), who was working along with the other four injured, is missing.” A team has been sent to Munna’s native place in Kendra Pada District in Orissa to check whether he has gone back home.

Meanwhile, Shivanna (41), a resident of Saramangala in Kadugodi who was found dead in mysterious circumstances is said to have died of an injury caused by a moving train, according to the postmortem report. He was a security guard working for Alert Security Group. The Cantonment Railway police are investigating the case.

Prestige Group Chairman Irfan Razzak, General Manager Muralidhar Rao, Project in-charge, Ashok Saproo, Vice President, Ravi Hoskote, IJM Group Vice President, Nanda Kishore, and Chaitanya Properties Director Srinivasulu, who had given the land on lease to Prestige Group were arrested and released on bail.

Click here to read all news of Prestige Shantiniketan

Govt halts construction work in Bangalore

2008-10-29T09:08:00.000-07:00

Government has stopped all construction work in Bangalore city till they undergo a quality check. There will be lot of hues and cries and even the objective of such order is questionable?

Does the government have the capability to do quality inspection?
Does the government have sufficient manpower to do inspection in all the construction sites in Bangalore?
How long will this take? I am afraid if this will further delay construction and now Builders will have an excuse for the delay.

If the quality inspections are conducted in a proper way, Guidelines are issued and Recommendations are implemented by Builders then it's worth getting delayed. Note Round 2 inspections will also be required after recommendations are implemented by builders to ensure that recommendations were really implemented.

If the government is really serious on the quality inspections then this may be the turning point for all builders who have been fooling around. But I hope this is not just like any other order.

Source
BANGALORE: The government on Friday ordered that work at all construction sites in the city be stopped immediately and that they undergo a quality check before work is resumed.

The order comes in the wake of the collapse of the 15-storey Prestige Shantiniketan residential-cum-commercial project in Whitefield.

Arvind Limbavali, minister for Higher Education, said that the IJM (India) Infrastructure and the Prestige group have been asked to stop construction work at Shantiniketan until the enquiry into the case is completed.

"Work at all under-construction buildings across the city should stop and work will resume only after the technical committee verifies the quality of construction materials,'' he said while visiting the site of the collapse.

The minister added that the Bangalore Development Authority (BDA) did not have rules that mandated constant inspection of materials used at construction sites in the city.

"We will suggest in the Cabinet that a rule should be introduced to keep a check on the technical aspects of construction of high-rise buildings. We will have to amend the BDA rules and discuss this with the concerned ministers," he said.

Labour Minister BN Bache Gowda, who also visited the site of the collapse, said proper investigation will be carried out, until when Prestige group cannot continue with the construction work.

"We have ordered them to bring down the structure and clear the debris. The licence given to them has been suspended. After technical checks are completed, the building will be demolished,'' he said. He also said that the government will provide compensation to the injured labourers.

The ministers said that there was no official causality count on the building collapse. "We have not received missing complaints from any family members. The company claims they have conducted a headcount. But we are not sure. We are waiting for the debris to be cleared,'' said Bache Gowda.

A technical committee, which includes officials from the labour department, the NHRC and the BDA's chief engineer, will submit a report on the incident.

RMC suppliers under the lens
Bache Gowda said that ready-mix concrete (RMC) is being used extensively by construction companies to speed up the construction work. "This is affecting the quality of construction. We are also going to conduct surveillance checks on suppliers of ready mix concrete and, if necessary, the use of RMC will be eliminated,'' he said.

He also said that the labour department will verify the identity of labourers from other states working in the city. "They will have to be given identity cards and permission certificates, which will act as a data bank for us. The department has to conduct checks of all labourers and if they fail to submit a report on the background checks of labourers, strict action will be taken."

Click here to read all news of Prestige Shantiniketan

Quality and Safety of Apartment

2008-10-24T09:09:00.000-07:00

Prestige Shantiniketan Commercial "C" tower which was under construction collapsed. Whether this building collapse was due to sloppy construction or it was an accident or combination of both we will come to know after government investigation. But this incidence is an eye opener for me or whoever has plans to live in a high rise tower.
I am traveling in a local train, reading newspaper and going to office but I am not able to concentrate on the news that Sensex is down by 1000+ points. There are volley of questions shooting my mind - What should be my next step? What measures should I take before occupying the apartment? The focus has shifted from Children Bed Room Theme and Interior Design to safety.

In next few weeks I will focus my energy on following topics.

What are the Quality standards and testing process available in market for construction Industry?
What are Quality standards and Testing process followed by Brigade Metropolis?
If a Builder claims they are ISO 9001 certified, What does it mean?
Who does the testing in Brigade Metropolis? Internal Audit or External Audit?
If Internal audit then why not External audit?
What was the testing results from Internal/External audit?
Can the audit results be shared with the investors? That's again a big question mark whether builder will be transparent enough to provide correct information.
What are the action taken by Brigade Metropolis from the Internal/External audit?
What type of audits are done by Government Authority before issuing occupancy certificate? Any examples where occupancy certificate was denied due to violations? What happened next?
What happens if there is a major flaw in the design or construction? Will investors have to accept because building has been constructed or Builder will go back to their design workshop and rectify the problem? Any case study where it has happened?
What are the insurance policy available for Fire, Earthquake, any natural disasters or an mankind accident?
Which is the nearest Fire Station in Whitefield? Does this Fire Station have the capability to fight fire at 20th Floor?
Does every apartment has Fire alerts? Fire Alarm, Water Sprinkler etc
What measures should I take for Fire? May be install Fire Extinguisher. Just having Fire Extinguisher may not be sufficient, I also need to learn how to use it.

I thought there might be just few questions but this list is growing. I am about to reach office but my journey doesn't stops. I have to research and get answers for so many important open questions. With my background in Software, I may not be competent enough to get all the answers but I am sure readers of my site who may be proficient will help us in the "Discover Safety and Quality Process" and leave expert advice in the comments section.

Stay tuned for more info on above topics.

Click here to read all news of Prestige Shantiniketan

Prestige Shantiniketan Building Collapse

2008-10-23T18:26:00.000-07:00

Why do people invest in property at premium price with top builders?

Trust that apartment delivered will be of highest quality.

Confidence that the project will be delivered on time.

Hope that the hard earned money will be invested in right channel.

Faith that you will not be cheated.

Few portion of Under construction building collapsed in Prestige Shantiniketan. This incidence has shaken my confidence with these builders. I just hope that Brigade has taken utmost care on construction quality and I wish that government does proper inspection before releasing occupancy certificate.

Source

BANGALORE: Four persons were injured and another 100 construction workers had a providential escape when a part of a 15-storeyed concrete structure under construction of the Prestige group crashed at Whitefield here on Thursday.

The block which collapsed is part of the 20 blocks under construction by Prestige in a joint venture with Shantiniketan. The top floor slab which collapsed first was laid only a few days ago.

The police told The Hindu that the accident occurred around 5 p.m. when a small portion of the top floor collapsed resulting in the slab of the floor below it collapsing in a short while. Owing to sheer weight, the slabs of the lower floors collapsed subsequently, all in a span of 50 minutes, although the embedded steel rods prevented the slabs from falling in a heap.

The injured were identified as Srinivas (20), Dasharat (25), Mahendra Prasad (25) and Dadudar (30). Dadudar is said to be a native of Bihar and the other three residents of Kadugodi and surrounding areas in Bangalore. They sustained minor injuries when they were running out of the building, and were initially taken to Vydehi Hospital and after first aid were reportedly taken away by the site engineers for further medical attention. The workers were evacuated from the site. Complete information relating to the building collapse is yet to be made available to the police. The Prestige Shantiniketan complex comprises several towers, each of them of several storeys and located in the vicinity of the International Technology Park. There is no information on the strength of the work force at the construction site. A Malaysian construction company (IJM) was building the superstructure for the Prestige Group, which has undertaken the joint venture project with Shantiniketan (Chaitanya Properties) of D.K. Audikesavalu.

Nayeem Noor, vice-president (public relations) of the Prestige group said the collapse occurred after the top floor slab was cast. “The super structure is intact and there are no casualties.” A head count at the construction site has been conducted and it is confirmed that there is no casualty including injury suffered by any person, he added.

Enough time to escape

N.M. Nachappa, security guard at the site, told The Hindu that “the entire building crashed in 50 minutes. There was enough time for all the workers to escape.”

According to an eyewitness, around 4.50 p.m., the slabs of the building started to collapse. Then there were around 120 people, including women and children. “Immediately after the incident, the workers at the construction site had left. Very soon they were sent to isolated places in a few trucks.”

“A Few officers, perhaps from the contractors side, had shifted all the workers to some other location immediately. They instructed the security guard and other workers at the construction site not to answer the media or the police,” he said.

The Bruhat Bangalore Mahanagara Palike has taken a serious note of the accident. Directions have been issued to stop construction pending an inquiry.

Several superstructures are under construction in the vicinity of the ITPL.

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One should investigate and follow up with their respective builders on Quality Process followed before occupying the apartment. We also need to do our part whether we have the insurance to cover natural disasters and accidents and whether there are devices available to alert and protect you in case of fires.

Click here to read to few questions on "Safety and Quality of Apartments" which one must read and try to get it answered before occupying the apartment.

Click here to read all news of Prestige Shantiniketan

Do you know there is Prestige Shantiniketan Yahoo Group?

Don't forget to let your friend know about this blog.

Schooling costlier than college now

2008-10-17T19:43:00.000-07:00

Last month my son turned 2.5 yrs and as a concerned dad, I have started thinking whether I should get my son admitted in one of the schools in US or India. I had came to US for few months on a small assignment - toured all major cities and thought what next? May be spend few years with my wife and by the time the son goes school will return back. Now I have entered in the comfort zone, have tasted luxuries and the appetite which doesn't wants to stop. The battle will go forever but deep inside my heart I know someday I will return back. When, I don't know?

Keeping both the options open, I have started exploring school options both in US and India. In next few posts I will share my experience on the ongoing research.

Below article was bolt from the blue. Nursery admission fees at some schools starts at 50,000Rs. What's the fees I am going to pay when my son goes for professional education? I went to one of the NIT's and paid 7500 Rs/year as tuition fees which is 30,000 Rs of tuition fees for 4 yrs of engineering education. On top of that there was 1000 Rs/month for hostel, mess and pocket money which converts to 12,000 Rs/year or roughly 50,000 Rs for 4 years. Got engineering degree in 80,000 Rs (4 yrs of education). The fees which schools these days are commanding will dwarf what my parents spent a decade back.

I researched on few of the schools in Bangalore and here is my report. Majority of schools don't have the site and those who have the site they haven't mentioned the fees. Ironically only Brigade School has listed the fees.
Registration - 70,000 Rs, Yearly School Fees - 33,000

That leaves a big gap for people like me who don't get opportunity to visit Bangalore school and inquire on the fees. It also gives an opportunity to fill this gap. My journey to explore on Bangalore Schools , their academics curriculum and fees doesn't ends here. Stay tunes for more news.

Meanwhile read below for more detailed news on "Schooling costlier than college now".

Source

BANGALORE: ‘Donation’ is a word that doesn’t exist in the lexicon of the education sector. Nobody ever admits to taking it. ‘Development fee’ is another matter altogether. Almost all schools (there are a few exceptions though) levy this fee when a child is admitted to a school either at pre-primary or primary stage.

While nobody bats an eyelid about either paying or taking it, what has caught most unawares is the rather steep rise in development fee charged by schools in the past few years.

The sum charged has headed north by about 20% annually. In 2000, the annual development fee per child, per annum was around Rs 600. Now, schools charge anywhere between Rs 1,000 and Rs 4,000 per year/child.

Going by the numbers given by some top schools in Bangalore, the fee for admission at nursery level goes up to a whopping Rs 50,000 which includes both development and tuition fee. Taking the fees on par with those charged for professional courses.

A major chunk of this booty, say schools, is collected as admission fee and this includes tuition and annual development fee. The remaining amount is capital expenditure for which schools charge between Rs 20,000 and Rs 50,000. Schools argue that as development fee is used for regular upkeep of premises, the increased charges is due to escalation of costs of raw material and labour. They also argue that after the Supreme Court judgment in the T M A Pai case, schools are allowed to fix their own fees.

Consider this: a medical seat through the Karnataka Examination Authority is charged at Rs 35,000 and engineering a mere Rs 25,000. These figures seem paltry compared to the fees charged by schools. Institutions argue that the amount is “not much”. They say this has been the fee structure followed for years and is the sum incurred by them for the child’s education.

A few other schools argue that this sum pales in comparison to the annual fees charged by international schools.

“This is the standard fee structure followed by all schools,” says a school principal on condition of anonymity. Another principal of a leading school says: “Everywhere, school education is much more expensive than professional courses.” Justification for the fees is thus — the annual fee covers not only tuition but also sports, media centre, playpen, learning aids and other material.

Again, this varies from school to school and the area in which the school is located.

Schools also maintain that the fee collected for development work is not used for any other purpose. Interestingly, parents are not batting an eyelid. They see nothing amiss in this.

So too with Krishna Iyer, general secretary, Associated Management of Schools in Karnataka. He says that schools charge anywhere between Rs 30,000 and Rs 1.5 lakh as capital expenditure at the time of admission. Iyer justifies the fee saying that it is one-time payment which covers 12 years of education. Further, he says the school managements invest crores on infrastructure on borrowed money. “They have to repay the amount,” he says.

Delay in Real Estate Projects

2008-10-15T18:57:00.000-07:00

Why there is delay in Real Estate Projects?

Liquidity Crunch
Lack of Demand
Shortage of Manpower - Both skilled and Unskilled workers
Poor Project Management
Have spread their wings beyond their capability
Occasional shortage of cement
High home loan rate in turn has contributed to lack of demand

Read below for detailed news.

Source

Several real estate projects in India that were launched a few years ago have been delayed because of the liquidity crunch. Post meltdown, the lack of demand may delay new projects.

During the real estate boom, builders expanded extensively by utilising the proceeds of one project to purchase land in other areas and launch new projects. Today, many realty firms are doing away with the construction-linked payment plan and introducing time linked payment plans for buyers. This has the danger of not only exposing buyers to a high risk of late delivery but also increasing apartment costs.

This has now led to projects getting stuck mid-way. Realty experts say that a regulatory authority is therefore the need of the hour to ensure that funds are not diverted for other projects and delivery deadlines are met.

There have been many complaints pending before consumer courts against developers for delay in possession of property, and builders, too, have their own set of grievances. In their defence against the consumer forum, they often cite the mandatory approvals at various stages to be the prime reason for the delay in their projects.

Banks too have been over zealous in financing the real estate projects. Real estate developers have been hit by the funds shortage. Many banks have stopped overdraft facility and many are not disbursing sanctioned loans. Points out Anshul Jain, CEO, India, DTZ, a real estate advisory firm, “The high interest rates and non availability of funds for construction will have significant impact on development — it is anticipated that a number of projects will be delayed as developers will prioritise construction with limited resources at hand.”

Also, in the course of developing new projects, the developer is often left with no option but to sub-let the construction to sub- contractors, thereby causing more delays. This is because contractors, in an attempt to scale up, themselves face manpower constraints.

In western countries, occupancy is necessary to transfer a Construction Loan into a Home Loan that often has a low interest rate. So, when the construction of a house is delayed by a month or two, it automatically becomes a serious financial liability for builders. Builders here often start construction, only to learn later that they do not have the mandatory approvals in place.

There is, however, a silver lining in that the downturn in the realty market will help temper the land price expectations to more rational levels. The anticipated over supply situation in the commercial real estate sector, too, will ease as developers prioritise and reschedule their developments. This should also help cushion the downturn in the rental market, adds Jain.

Kids Bedroom Theme

2008-10-11T10:17:00.000-07:00

Few months back my wife asked me "What will be our son bedroom theme?". For a while I was silent, Umm I never thought of. I sat on a time machine and went 30 years back.
What was my bedroom theme when I was a kid? "White House". Room with white plasters - If you rub your shoulder on the wall one can see plasters on your T-Shirt.

May be it was "Hostel"? A big bed shared with my 2 younger brother.
May be it was "Writers House"? Three study table and chairs , book shelves with lot of books
May be it was "Sports"? Carrom Board on the corner, Kite hanging on the wall, Few marbles in a powder box and battered cricket bat under the table.

Whatever it was it was simply great after all it was my and brother's bedroom.

My wife voice broke the silence. Don't you think kids bedroom theme is important. Kids thoughts, habits and growth are aligned to what they see in everyday's life. I don't know how far this is true, I grew up watching Spider Man, Bikram Betal, Ramayan and Mahabharat.

One day I was in a Mall and I saw a wonderful painting on a wall. I pointed my finger towards the painting and told my son look there is a monkey hanging on a tree. Prompt came the response - Dad it's Curious George. In the night I Googled and got some "gyan" on "Curious George". For those who are dad like me can watch Curious George below.

In next few months I learned that yellow bear is "Winnie the Pooh", the brown tiger is not tiger but Winnie the Pooh friend "Tigger", Animal with red fur and bulging eyes is "Elmo", the gal with Sadhana hair cut is "Dora", the professional animal rescuer is "Diego", the clown fish whose fin is smaller than the other is "Nemo", the green coloured man is "Shrek", the dog with exciting facial expression is "Pluto".

If you can't recall 50% of these characters then join my "Dumb Parents" club and view below videos. If you are aware of those characters then skip those videos and go directly to Kids Bedroom theme (just below those videos). It's important to understand those characters and their background to learn the latest trend and close on a Kids Bedroom theme.

Who is "Winnie the Pooh" and "Tigger"?

Who is "Elmo"?

Who is "Dora" and "Diego"?

Who is "Nemo"?

Who is "Shrek"?

Who is "Pluto"?

I hope you liked watching those lovely videos and pictures. Now you can think in the same frequency like your kids.

Creating the perfect bedroom theme for your prince or princess will be easier if you know what characters they like? Do they like watching animals in Zoo or they like to spin in a car?

Animal Theme
If your kid is fond of pets then create environment filled with love! Cuddling with puppies and kittens, swimming with dolphins, riding an elephant, chirping birds.
One can paint walls with animals. One side of the wall with Pet animals - Dogs, Cats. Other side of the walls with wild animals - Tigers, Bears, Elephant, third side of the wall with birds, butterflies and bugs, Fourth side of the wall with Fishes, Dolphins.

One can paint wardrobes with animals, Knobs can have butterflies or bugs, Clocks can have roosters, Lamps shades, Pillows, Bedsheets, carpets with animals. You enter the room and you get lost in the Zoo.

Butterflies and Bugs on the Dresser Knobs
Transportation Theme
If your kid like sitting at drivers car seat, steering wheels, honking horns, flying jet, waving passing train then you might like to go for transportation theme.
You can have walls, wardrobes, bed, carpets with Cars, Airplanes, Boats, Trucks, Trains, Helicopters, Fire Brigades, Ambulance.

Bed on a Car
Bed on a Fire Engine

Nursery Themes
If your kid is in a learning stage then decorate room with Numbers, Alphabets, Nursery rhymes.

Character Theme
If you kid eat, drink and sleep with some character then keep famous character theme of Barbie, Thomas & Friends, Spider Man, Batman, Winnie the Pooh, Curious George, Elmo, Scooby Doo, snoopy,Mickey Mouse, Pluto, Shrek, Nemo.

If your kid like Curious George then one might like to have Jungle Theme
If your kid like Nemo then one might like to have Water Theme

Celestial Theme
If your kid sings twinkle twinkle little star whenever (s)he sees stars in the skies or ask you to sing "Chanda Mama Door ke", "Chanda Hai Tu, Sooraj Hai Tu" then you may like to go for Celestial Theme - Decorate the room with Galaxy, Moon, Sun, Stars, Planets, Satellites, Rockets.

Sports Theme
If there is another Tendulkar or Sania in your home then you can have Sports theme and decorate the room with different sports - Cricket, Soccer, Basket ball, Swimming.

Environment Theme
If your kid is very close to nature then you can plan for Jungle, Rain Forest, African Safari or Antarctica theme.

Fruits and Vegetable Theme
If you kid is fond of food then it might be a nice idea to introduce him/her to healthy foods. You can decorate the room with red apples hanging from a tree, Monkey eating banana, Rabbit eating carrots, Elephant eating sugar cane, Cow eating grass, Giant Panda eating bamboos, Parrot eating Chilly, Pigeon picking grains.

After going through above post you might have got some hint on the theme which might be right fit for your kid. Let's see what are the items you can buy for each of the themes. If you do some research in the market almost everything is available.

Here are some of the samples.

Pooh Ceiling Fan

Pooh Clock

Pooh Knobs

Pooh Murals

Bumble Bees curtain holder

Bumble Bees Pillow

Source of photographs is
http://mariesmanor.hotusa.org/
Walmart

After hopping from one shop to another for my son bedroom theme, I finally made a list of links where you can find out kids bedroom theme products. Click each of the below links to view sample products.

Spider Man Bedroom Theme
Winnie the Pooh Bedroom Theme
Moons and Stars Bedroom Theme
Jungle Bedroom Theme
Outer Space Bedroom Theme
African Safari Bedroom Theme
Surfing Beach Bedroom Theme
Train Bedroom Theme
Sports Bedroom Theme
Car Racing Bedroom Theme
Circus Bedroom Theme
Music Bedroom Theme
Mickey Mouse Bedroom Theme
Noahs Ark Bedroom Theme
Winter Wonderland Bedroom Theme
Modern Baby Bedroom Theme
Scooby Dooby Doo Bedroom Theme
Cinderella Fairytale Princess Bedroom Theme
Underwater Bedroom Theme
Aviation Bedroom Theme
Farm Bedroom Theme
Alphabets and Numbers Bedroom Theme
Cats and Dogs Bedroom Theme
Duck Bedroom Theme
Nautical Bedroom Theme
Flower Garden Bedroom Theme
Dinosaurs Bedroom Theme
Carousel Bedroom Theme
Rabbit Bedroom Theme
Ballerina Bedroom Theme
Fairy Bedroom Theme
Rainbow Bedroom Theme
Tropical Hawaii Bedroom Theme
Camping Bedroom Theme
Dr. Seuss Bedroom Theme
Dots and Circles Bedroom Theme

The list goes endless. More you see more you get confused. Lot of these items are available in IKEA and Walmart in US. Though smaller specialized shops have more options. The biggest challenge will be to get these items in Bangalore. Even I am searching where can I get those Theme items in Bangalore.

If you own a shop and sell these items then leave your Shop Name, Address, Phone (make sure you give 2-3 numbers - may be ring may not stop from readers of this site :-), E-Mail address, site

If you have bought Theme items from some shops in Bangalore then please provide the details.

Hope you liked the post. Did I see the smile? Have you added the URL to your favorite list and forwarded the link to your friends?

Strategy of builders in buyers market

2008-09-28T05:27:00.000-07:00

Paradigm shift from sellers market to buyer market. With inflation and home loan rates rising, realty firms have started using unusual marketing tactics to woo buyers.

Developers go the extra mile to woo buyers.

New Delhi:
When real estate company Unique Builders launched a condominium development near Jaipur, 3,510 Hindu priests performed traditional rituals and prayed for divine blessings. The number of priests equalled the number of condos on offer at the development, My Haveli@ Mannat1.An adjudicator for the Guinness Book of World Records was in attendance at the bhoomi pujan (ground-breaking) ceremony in Mahapura village, about 16km from the Rajasthan capital. The ceremony took place when India’s real estate market was starting to cool after a red-hot streak. “The whole idea was to attract attention and create hype around the project,” says Vinay Shenoy, head of marketing at Bangalore-based real estate marketing firm Asipac Group, which conceptualized the event.

Innovative marketing: Dancers at Parsvnath Fiesta, a promotional event organized by Parsvnath Developers Ltd. Real estate companies are adopting new marketing techniques to attract reluctant homebuyers.
The gimmick helped, and the project made up 63% of total residential sales last year in a softening Jaipur real estate market, according to Shenoy. It is an example of how developers are moving away from traditional marketing techniques and adopting novel strategies to attract reluctant homebuyers.

Rising home loan rates and surging inflation have forced both speculators and genuine homebuyers to put purchases on hold, driving developers to think out of the box to drum up consumer interest. Sales in the Delhi suburbs of Gurgaon and Noida have declined by 20-25%, according to estimates by real estate brokers.
Mumbai-based Lodha Group hired an event management company to think up a different on-site experience for potential buyers to sell its luxury villas in Lonavala, a hill station near Mumbai.
The company conducts pre-visit interviews where personal details about the potential buyer are collected. Based on these, buyers are picked up in a luxury car, given their favourite magazine and offered a beverage to sip through the journey to the site, which is then followed up by a personalized trip around the site.
“It is a challenge to sell in a competitive market with consumers being exposed to more variety,” says R. Kartick, marketing head of Lodha Group. “You can’t give out a great advertisement and sit back,” he adds.
Lodha adds a personal touch by clicking a photograph of the visitor on the site. The photograph is framed and then sent to the potential buyer as a memento.
Such personalized marketing techniques lead to increased sales, said Kartick. “There may be a latent desire to purchase but such tools actualize that urge to real buying,” he said.
Unitech Ltd staged special events—a horse race in Delhi and a polo match in Mumbai —to attract buyers when it launched two new towers in its super luxury residential project Unitech Grande in Noida. The events were designed to associate the luxury apartments with pastimes of the rich.
Developers typically spend 1-2% of their revenue on marketing by giving out advertisements in newspapers and airing commercials on radio, television and the Internet.
According to Anuj Puri, country head of Jones Lang La Salle Meghraj, a property consultancy firm, innovative marketing techniques are required for luxury properties and second-home projects, where demand has to be created.
For marketing companies, the real estate slowdown has meant more business
“Such developers have the added task of marketing a lifestyle product and not just a property,” Puri said. “So, you are targeting a customer exposed to international travel and developers are forced to move up the value chain and go beyond the obvious tools of marketing.”
Orange Properties, a real estate marketing agency in Bangalore, has been bailing out mid-sized developers finding it difficult to sell their properties. The agency typically takes up a project for a period of 10 days and markets it aggressively through radio, newspapers and outdoor hoardings, backed by the offer of a range of freebies.
Orange claims that it is successful most of the time. “Buyers don’t have brand recall for smaller developers. So, we have created our own brand, Orange Properties, which we lend to smaller builders and help them in marketing their products,” said a company spokesperson.
In Mumbai, a local developer plans to hand out glasses of lemonade and refreshment towels bearing its brand name to commuters on the local train to Virar to market a residential project it is building in that suburb, said Shenoy of Asipac.
For marketing companies such as Asipac, the real estate market’s slowdown has meant busy—and potentially profitable—times.
Asipac chairman and CEO Amit Bagaria says he is travelling frequently to Mumbai to meet real estate developers who aren’t able to sell their properties and who want him to devise marketing strategies similar to United Builders’ Jaipur bhoomi pujan.
Asipac has received 300-odd emails in the last three to four months from developers, landowners and first-time developers, enquiring about its services. The company used to get two to three such enquiries a fortnight, about three to four months back.According to Shenoy, it is a buyers’ market and the challenge for real estate companies is to cut through the clutter and attract customers.“The projects that are being launched are all the same,” he says. “Today, buyers are making a choice. But the question is how do you draw attention?” That’s where marketing experts are stepping in.

Reference
http://www.livemint.com/2008/06/30222516/Developers-go-the-extra-mile-t.html

Where is Brigade Metropolis located?

2008-09-27T10:23:00.000-07:00

Important landmark around Whitefield.
Click the image to view large map and important locations.

One of my friend in US asked me where is Brigade Metropolis? Can I get the direction from M.G Road in Google map? Unfortunately street names are not well defined and organized in India and that can be one of the reason why you don't get street directions from one location to another (as you get in US google map). However when I did further R&D I got a high level map on Google.

I have numbered important locations in and around Whitefield area.

Brigade Metropolis
Prestige Shantiniketan apartments, The Commercial Cresent, The Forum Mall, and The Radison Hotel.
ITPL - Lot of IT companies and call centers
Baiyappanahalli Metro station - This will be the terminal station and will provide connectivity to S-W Railway Station.The red coloured line is the proposed Metro route.
K R Puram Station - Small railway station - Lot of trains to Chennai has stoppage at this station. If developed can ease the decongestion at other main railway stations.
Whitefield Railway station - Lot of trains to North has stoppage at this station. It's a small railway station but it's greatly under utilized. Lot of potential to ease traffic from Bangalore City and Yeshwantpur Railway station.
Brigade International School, Xylem, Bhoruka Park, DLF Technopolis - Lot of offices and Malls coming at this location.
Lot of MNCs and IT companies - TCS, TESCO, Sapient, Perot Systems, L&T Infotech.
Gopalan Millenium Tower, i-flex Solution office (now Oracle Financial Services), Habitat Splendour Apartment.
Golden Star apartment
Kemp Forte Mall, Famous Shiva and Ganesh jee statues.
Old HAL Airport.
Notorious Marathahalli Bridge - There was a time when it used to take 30-45 min to cross 1 KM during peak hours. Traffic got slightly better with the new Bridge.Factory outlets - Puma, Nike, Titan, Reebok,Samsonite, Lee, Woodlands, Proline, Peter England and many other discount stores. Biggest challenge is lack of parking space and weekends can be nightmare.
Purva FountainSquare, Rohan Vasantha, Purva Rivera - Close to 3000 apartments near Marathahalli Bridge. Impact of traffic from these buildings will be known once people starts living in those apartments.
Akme Ballet, Soul Space arena mall.
Sai Baba Ashram and Golden Blossom apartment
Sathya Sai General Hospital (SSSGH) - The first time when I saw this building I thought this is a palace. Lot of MNCs.
Ryan International School, iGate, Manhattan Associates, SAP labs,
Knightsbridge apartment, Future Group Cosmos Mall in brookfield.
Diamond District, Reuters, Manipal Hospital, Leela palace Kempinski on Airport road. This is one of the busiest road and during rush hours traffic moves at snail pace.
Embassy Business Park - Office of iflex solutions, Juniper Networks, Motorola, Texas Instruments, BEML (They are the ones making coaches for Metro)

Over Suppy of Apartment

2008-09-22T18:26:00.000-07:00

I was talking to my friends and relatives who have booked apartments in some of the good projects in Bangalore. There was one pattern which was common everywhere that there are more than 50% NRI and lot of them have not seen the apartment or may not have even visited Bangalore. People had some fund which they wanted to park somewhere and during boom time real estate was the best investment. Not anymore.
Even in Brigade Metropolis most of the people who have booked reside outside Bangalore and not sure whether they will be able to come there for living purpose. Over supply in residential market will reduce the rental rates.

Empty Apartment, Need a person to live

Source - The Economic times

For those who thought the worst was over, there’s more bad news. The slowdown in the real estate sector is far from over. Rather, the worst seems to be knocking on the door, with retail and office rental prices across the country witnessing a sharp drop. In fact, current market stats reveal that there has been a drop in both retail and office rental values in the last two months which varies from 25% to 50% in some micro markets such as Gurgaon and Greater Noida, where malls and office space have seen a dip of 25-50 %, and Saket (south Delhi), where the rates have dropped by 30-35 %. Overall, the rental rates in cities such as Kolkata, Chennai, Mumbai, Pune and Bangalore have also dropped by 25-30 %.

Kishore Biyani, CEO of the Future Group, feels the rentals may see another 25-40 % drop. The market is going to witness a 25-40 % drop in the retail rentals as all big or small retailers are finding it tough to survive in this very high rental market, Mr Biyani told SundayET. “Many smalltime or vanilla retailers may have to close their shop in this kind of condition. We have changed our business model and are now operating on a revenue-sharing model in malls.

Productivity is a key factor for any retailer to operate efficiently in a mall, in case of a leased deal,” he added.
According to industry sources, initially most malls in the same micro-market had similar rental rates. But as they became operational, the rentals started to get aligned with revenues and footfalls. In the office space, the second quarter of this year witnessed a total supply of 4.3 million sq ft in the NCR region, of which 60% was for IT/ITeS but interestingly, the demand was down to 3.3 million sq ft only.

Too many homes up for grabs

It’s pouring bad news for the real estate industry. In a market where prices are moving southwards, over-supply is the new problem which has come to plague the residential market. According to industry sources, there has been a 35-40 % over-supply in residential apartments in the last eight months. And the reason is evident — a dip of as much as 30-40 % in the transactions this year as compared with last year.

Says Raminder Grover, CEO of Homebay Residential, Jones Lang LaSalle Meghraj: “The rise in interest rates has affected the demand for residential space. Higher interest rates have combined with certain other factors such as temporarily reduced buying power due to stock market fluctuations to reduce the demand for high-end residences. Most of the over-supply consists of higher-priced residential units in prime localities that investors cannot resell quickly, since the demand for them has been impacted.”

In fact, both investors and end users of the residential property sector are anticipating a blanket correction in prices in the wake of the over-supply situation leading to a further slowdown. To offer a solution to the oversupply situation, various developers have started to offer discounts and freebies to attract buyers.

There have been tie-ups between the developers and financial institutions also to ease the burden of high EMI payments on the end user. There are also instances of banks in tie-up with developers easing payments with deep discounts on down payment options or longer and easier construction-linked payment plans. Some smaller developers are exiting by offloading their stake.

Housing Bubble

2008-09-22T18:12:00.000-07:00

Source The Economic Times

----------------------------
It has become well nigh impossible for those who invested in real estate last year to exit the scene as the downturn has deepened and the prices being quoted do not even cover the purchase costs and interest expenses.

Moreover, the negative global news flow has set off a panic reaction, inducing investors to close deals at losses.

The 35-year-old Rahul Verma, who works with a Noida-based IT company, exemplifies the experiences of late entrants into the property market. He bought a Rs 50-lakh flat in Greater Noida early last year by arranging for a bank loan to finance 85% of the cost.

His EMIs have continuously gone up since the purchase, thanks to a series of rate hikes by the RBI. The flat purchase was a pure investment decision. Rahul had jumped onto the bandwagon after hearing stories of skyrocketing returns made on property investments.

However, the prices haven’t climbed as expected and the interest outgo has made the property expensive. Rahul is now left with the only option of selling at a loss. And given the global economic gloom, he is willing to take a hit.

“Several investors are stuck simply because there hasn’t been enough price appreciation in the past one year,” says Raheja Developers Chairman Navin Raheja.

Several young investors invested in property at the peak of the property cycle last year. Many purchased two apartments simultaneously, assuming that they would finance one by selling off the other at a premium. They are now caught in a difficult situation as they bought at a higher market rate and are compelled to service two EMIs.

Some investors have started defaulting, according to a senior Parsvnath executive. “There is a significant rise in the number of people who are approaching us to cancel their bookings and return the money,” he says.

Property consultants feel that investors will have to bear huge losses if the markets do not improve during the festive season. Home buyers in the country are staying away due to the high interest rate regime and expectations of a correction following the realty crash worldwide.

----------------

Good article on how ever increasing home loan rate can land you in trouble?

Bangalore to get 'Astrology Mall'

2008-09-20T13:33:00.000-07:00

Never thought in my wildest dream that there will be Astrology Mall someday. Does Astrology has so much demand that 10 astrology supermarkets can survive?
For all those interested there will be one in Marathahalli too.

Shape your future?
--------------------------
BANGALORE: When you step into this supermarket, you can find your future. A few years ago, nobody would have predicted this. But, soon Bangalore will boast of an exclusive supermarket, perhaps the first of its kind in the country.

It'll house soothsayers: astrologers, numerologists, palmists, tarot-card readers, horoscope specialists - all under one roof.

The city will have 10 such supermarkets, the first one opening in J P Nagar by September first week. The supermarket will also have astro-related materials like Rudraksha beads, gems and stones, yantras, puja materials and books relating to astrology.

It is not just about fortune telling. If an astrologer suggests a puja, the supermarket will arrange it for you. The concept is like a multispeciality hospital where all specialists are available under one roof, says promoter Ramesh Tulsian.

Named Star and Planet, the supermarket will have branches in Marathahalli, H S R Layout, Vijayanagar, Rajajinagar, R T Nagar, H S B R Layout, Kasturinagar, Sarjapur and Electronic City.

But, it won't be smooth sailing for budding fortune tellers. They have to pass a written test and attend an interview. An expert panel will finally select them. Only then can they set up shop.

Commute from Whitefield to Bengaluru Airport (BIA)

2008-09-12T18:50:00.000-07:00

Travel from Whitefield to Bengaluru International Airport (BIA) ?
When I lived on Airport Road, I had the luxury of walking to HAL Airport. It may be hard to believe but sometimes it took less time to walk from Kemp Forte to HAL Airport than taking a taxi or auto during peak hours.
Now I will be moving to Brigade Metropolis apartment in Whitefield and I am exploring how will I commute to Bengaluru International Airport. There are several options available but I think Airport Shuttle Services using air conditioned Volvo bus is the cheapest, most comfortable and they have a good frequency too (every 10 min). People from Brigade Metropolis can board the bus from K.R.Puram (2 km from the apartment)
Board the red coloured Volvo bus for airport darshan

Route - Whitefield --> ITPL --> K.R.Puram --> Kalyan Nagar Bus Station --> Hebbal --> Yelahanka --> BIAL
Total Distance - 50 KM
Total travel time - 2 hr 5 min.
Frequency - 10 min.
Check important landmarks in the route map.

Fare - 150 Rs.

Check other route map for Bengaluru International Airport

Airport Taxi Service
Meru Cabs and Easy Cabs are the two official taxi operators at the Bengaluru International Airport

Rates for Airport Taxi Service
Rs 15/- per kilometre, plus waiting charge @ Rs 60/- per hour
All India Call Centre Numbers

Easy Cab - 4343 4343
Meru - 4422 4422

If you have deep fat pocket then you can use Helicopter Shuttle service from Brigade Metropolis enclave.

Don't worry if there is a fire at Airport? Check this Hi tech Fire Brigade vehicle

Source http://www.bengaluruairport.com
One must see excellent collection of Bengaluru International Airport photographs.
http://www.flickr.com/photos/photoyogi/show/with/2516702221/

Communication from Brigade

2008-09-11T15:08:00.000-07:00

How does information flow? Through Builder or Through People....
If you don't have openness you encourage Chinese Whispers.

Last communication from Brigade that Project has been delayed was sent through mail on 18th Sept 2007 by Brigade. Let me know if someone has received any official communication from Brigade after that.

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Communication from Brigade.
18th Sept 2007
We would like to share some of the recent road blocks faced by the construction industry.

You may be aware there was an acute shortage of cement from June ` 07, followed by the recent sand suppliers` strike apart from general truckers` strike early in the year. The industry has also been facing shortage of labour which is migratory in nature. Cement, sand and labour shortages have a cascading effect on the time schedules of any property development.

Not being an exception we have faced an overall impact of about 3 months on the progress of our projects also. However, rest assured, we are putting forth best of our efforts and resources to expedite work at all our sites to minimize the delays.

----------------

1) It mentions that the project has been delayed for 3 months but it doesn't mentions when is the next possession date?
2) I get regular monthly status mail which I really appreciate but it doesn't mentions when is the completion or possession date?
You might wonder how do we get important communication of completion date. If a new Metropolis resident joins the forum we come to know that they have been communicated distant future date (it's March 2009 as of now)

There are people who are planning their India trip based on the possession date so that they can do apartment registration, interiors, electrical works, rent etc in 1-2 weeks of vacation. How long you can postpone your trip? How frustrating it can be when you are NOT communicated when is the next possession date? How unprofessional it's for a listed company who doesn't communicates to their customer even basic thing like the possession date?

Brigade - You can be top 10 builders in India but there is long road to travel before customers can say Brigade is a truly professional company.

Check status of Brigade Metropolis Project
Is Brigade really in top 10 builders?

Brigade Group ranked among top 10 builders in India

2008-09-10T10:27:00.000-07:00

Source - Moneycontrol

Congratulations!! Brigade Group.
On the lighter side, Is there any award for most delayed projects?
---------
Brigade Group, one of the leading real estate developers headquartered in Bangalore, has been ranked among India’s top ten builders for the year 2008-09 in the third Construction World Architect and Builders Award. Brigade Group is getting this award for the second consecutive year.

Mr. M.R Jaishankar, CMD Brigade Group received the award on behalf of Brigade Group from His Excellency S C Jamir, Governor of Maharashtra. The awards were presented to twenty recipients – ten architects and ten builders. The event witnessed representation of over three hundred senior professionals from the construction industry across the country.

Commenting on the award Mr Jaishankar, CMD, Brigade Group, said “We are indeed honored and delighted to be named among the top 10 builders in India. This recognition is a testimony to our leadership position in the Real Estate space and hard work of all Brigade Group employees.”

Taste of India

2008-09-08T18:51:00.000-07:00

Click the image to view enlarged contents

How is Brigade Metropolis Community?
One of my friend residing in US asked me how is Brigade Metropolis community. The first thing which strikes my mind is that it's young crowd, just married, may be with small kids, software professionals and mostly NRIs.

If you look at bigger picture one may get Taste of India. A community where you can celebrate Holi, Diwali, Durga Puja, Id, Christmas, Ganpati, Onam, Pongal, Ugudi, lodi.

If you climb staircase one may smell delicious Sambhar, Hyderabad biryani, Kababs and the list goes on.

It's a cosmopolitan community with people across India and one may
celebrate festivals & cultural programs through out the year and don't forget those wonderful food stalls which will be there in fests.

One may get a true "Taste of India"

Helipad at Brigade Metropolis

2008-08-08T12:29:00.000-07:00

Helipad at Brigade Metropolis - How does this impacts your life?

With space on the road diminishing at Bangalore there are other modes of commute getting explored. Though not for the common people but people with fat pocket can definitely take advantage of it.

Look what Deccan Herald as to say on Helicopter shuttle services. It's all for good but then the residents will have to bear the noise of operation. However safe it is possibility of accident can't be ruled out.

---

While the City is abuzz with excitement, albeit a little sceptical about the Bangalore International Airport Limited (BIAL), which is slated for take-off this month end, there is one aspect that is slowly gaining momentum in the real estate industry — helipad.

It is a small patch of land with immense utility. The word helipad is a grammatical contraction meaning helicopter landing pad, an operations area for helicopters. Though helicopters can usually land anywhere flat, a fabricated helipad provides a clearly marked hard surface away from obstacles where a helicopter can land (and take off). Helipads are usually constructed out of concrete and are marked with a circle and/or a letter ‘H’, so as to be visible from the air. There is also the low-cost option of a grass helipad, that needs comparatively less investment. The current trend in Bangalore seems to be rooftop or elevated helipads. Real estate companies are already wooing potential clientele with the option of helicopter services to ensure fast passage to the new airport.

Not so simple

But not everyone can just build a helipad or declare his lawn or rooftop as a helipad/heliport. Various considerations like the touchdown and lift-off areas (TLOF), slope, surface type, bearing strength, final approach and takeoff area (FATO), etc, have to be considered. Though not common in India, a heliport is a small airport suitable only for use by helicopters. Guidelines for heliport planning, physical characteristics, infrastructure, markings and safety services for construction of roof-top helipads have been issued by the Directorate General of Civil Aviation (DGCA). Only institutions meeting the guidelines are permitted to operate helicopter services from roof-tops. Usually a helipad does not have fuel and service facilities for aircraft, as does a heliport, and does not maintain a full-time air traffic controller.

Deccan decides

Deccan Aviation recently announced its plans to have four helipads across the City to ferry passengers, and is presently content with grass helipads that would not need too much maintainance. Col Jayanth Poovaiah, Director, Deccan Aviation, said the company would begin helicopter shuttle services from Bangalore city to the upcoming international airport at Devanahalli after its inauguration.

The shuttle service will operate from four prime locations, ie, BIAL airport itself, HAL Airport (for limited purposes), Bangalore Palace ground and Electronic City. While infrastructure like check-in counters, security, etc, is already in place in three of them, talks are on with the administration for a grass helipad at Bangalore Palace Ground, said Col Poovaiah. The company would have tie-ups with the companies who own helipads. Logistical requirements would then be ticketing counter, security, lounge and car park, he added.

Deccan Aviation will be starting its service initially with a Jet Ranger helicopter that seats four passengers, with around 2/3 shuttles in the morning and afternoon, respectively. The company is in talks with hotels like The Oberoi, Windsor Manor, Leela Palace and Royal Orchid, to cater primarily to the business travellers or executives who generally come to the City for only a few hours. With the shuttle tickets priced approximately at Rs 4,500 (BIAL to the other 3 helipads in the City and vice versa) and Rs 5,500 from Electronic City, Col Poovaiah said they had taken up the venture because of the requirement for the same.

Explaining what a helipad entailed, Pravin D V, architect, Arcadia Architects, said a grass helipad was primarily 80m/50 m. Having designed the helipad of Deccan Aviation in Jakkur, he said the grass landing was 6 metres in diameter depending on the size of the helicopter. Surrounding the grass was cobbled stone. A clear flight cone was mandatory, he added. A concrete helipad on top of a building, contrarily needs to be designed in such a way that the impact of the load was transferred to the base of the building, explained Pravin. There should also be a safety net of around 4 metres around the elevated helipad.

Company speak

The future of helicopter services along with functional helipads definitely has a bright future in the real estate industry, said V Shashikant, CEO, UB Global. “Particularly in urban areas with congested traffic,” he emphasised. “The helipad at UB City will be fully ready in the next few weeks, and would definitely be used for the shuttle service to the new airport.”

The Brigade Group is going ahead with an elevated helipad in its new 30-storied Northstar building of the Brigade Gateway project in Malleswaram, according to Ms Indira Sharma, vice president, Marketing, Brigade Group. Northstar will have one million sq ft of office space. The company also plans to have a helipad in its Brigade Metropolis project in Whitefield. Having a helipad is no longer just ‘snob value’, feels Ms Sharma. It has become essential in a booming economy with less time to spare.

While Brigade is awaiting DGCA approval for its two helipads, the helipad at Golden Gate Properties on Tumkur Road in its 13.1 acre-Golden Grand project, marketed by Asipac, is proposed on the tallest building of the project. The tallest building comprises 24 levels of livable spaces above ground level and is 72 meters high. The helipad is planned at a height of 13 meters above the top of the tallest building with a spread of approximately 225 sq mt. Permission has been acquired from BBMP, BDA, Fire Force Department and Airport Authorities for constructing the helipad, said the spokesperson. Moreover, the helipad will be used by the Firefighting department to rescue people in case of any emergency. The company is in talks with Deccan Aviation to provide other services.

There are others who don’t quite see heli services as the next transport trend. “Helipads are not going to be very functional, they will be more for emergency,” feels Mrs Snehal Mantri, Director, Mantri Developers. “But, in the near future it could be used for countering traffic as well for emergencies — for emergencies will become tomorrow’s necessities,” she says. Ashish Puravankara, Director, Puravankara Projects Limited, is nonchalant about having a helipad in a Puravankara project just yet. Maybe in the future, he says, helicopter shuttles would function like taxis in the City to take care of the traffic congestion.

The crux of the matter — time is money and money is time. While it may be relatively easy to construct a helipad, and get the requisite approvals, it still remains to be seen how well the real estate companies that plan to foray into this venture, are able to follow it through and turn it into a profitable investment. The future holds no limits — whether for commuting to the airport, to the farmhouse, or just to a satellite town for a conference, a medical casevac or fire rescue — this is just the beginning, and a welcome one at that!

---------------------------------------------
I can't afford Helicopter Shuttle service so How do I commute to Bengaluru International Airport from Whitefield?

Brigade Gateway price appreciation

2008-08-07T08:38:00.000-07:00

Source:- Economictimes

Brigade Gateway is located in North-West Bangalore where some neighbourhoods still capture the good-old Bangalorean way of life and where owning an independent house is still a status symbol. Bangaloreans today are opting to shift into high-rises and residential enclaves that are designed as ‘lifestyle enclaves’ supported by essential infrastructure like a super-specialty hospital, mall, multiplex and a school, among others.

Gateway has been designed as an enclave comprising residential, retail, commercial and hospitality sections. Designed by New York-based architectural firm H O K, it spans 41 acres. Central to the project is a 2-acre man-made lake. Landscaped seating areas, benches, tree-lined promenades and open–air cafes will border the lake.

The development will comprise over 1,200 apartments spread across 13 residential wings, a Sheraton hotel and an 8-lakh sq ft mall. Also in the offing is a 30-storied office complex adding up to 1-million sq ft of commercial space, a 152-bed hospital to be run by Columbia Asia, the Brigade School and a 12-screen multiplex to be set up by the PVR Group. The office tower, called North Star, would be connected to the hotel through a sky-bridge. It includes an observation deck and a helipad.

The Orion Mall is spread over five levels, offering a wide choice of retail, entertainment and food and beverage outlets. According to the company, the mall’s attractions include a stage, amphitheatre, four-storey atrium, extensive landscaping and water features, exhibition and event space and a pedestrian plaza.

Gateway is among the two enclaves that the Brigade Group is currently developing in Bangalore. The second, Brigade Metropolis, is in south Bangalore in the Whitefield technology hub.

According to realty consultant Cushman & Wakefield, prime residential property rates in Malleswaram-Rajajinagar hover around Rs 4,675, registering a 2% increase in the past 12 months. These are average values for a three-bedroom unfurnished premium apartment measuring 2,000-3,000 sq ft.

While parking woes continue to bog Bangalore, the enclave has provision for a multi-level car park, adjoining the office tower, and can accommodate over 2,000 cars. The multi-level car park will extend across two levels of basement and seven upper levels. Additional parking of two basement levels in all zones will be provided. In all, there is a provision to park over 6,000 cars.

The project is located well within the city, around 10 km from M G Road CBD. In future, a metro rail station will come close to the project. Here, prices have seen a significant appreciation since the launch of the project in early 2006. Prices of apartments range between Rs 5,810 and Rs 7,490 per sq ft and are valid till July 31.

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Read all posts of Brigade Gateway

Status of Brigade Metropolis project

2008-08-06T13:06:00.000-07:00

Status of Brigade Metropolis Project

Three years and still counting.....

How do you feel when your builder regularly updates status of the project through photos and videos on the site? You are excited viewing your dream home inching step by step.The first thought which strikes the mind is that the Builder is IT savvy. If you visit the Brigade site it looks really professional.
We also get the status update every month through mails and also through letters. If you are overseas or outside Bangalore this is the much awaited mail. Once status mail hits the Inbox there is sudden increase in activity at yahoo groups. Few happy with the progress and few disappointed with the progress.

What will be your reaction if there is delta progress in the project every month? I can see cocked eyebrows, fuming ears and flaring nostrils.

Here is the snail pace progress in last 6 months.

6th Jan 2008
We are pleased to inform you on the project progress of your block as on 25/12/2007. As per the current work progress, the structure has been completed. Masonry works & Internal plastering have been completed in all the floors. Internal plumbing up to 17th floor, and Dadoing (toilet) up to 13th floor have also been completed in your block.

3rd Feb 2008
Project Progress: We are pleased to inform you on the project progress of your block as on 25/01/2008. As per the current work progress, the vault roof has been completed. Plumbing on 18h floor and Toilet Dadoing of 15th floor are in progress in your block.

5th March 2008
Project Progress: We are pleased to inform you on the project progress of your block as on 25/02/2008. As per the current work progress, Masonry and Internal Plastering have been completed. Plumbing on 19h floor is under progress in your block.

10th April 2008
We are pleased to inform you on the project progress of your block as on 31/03/2008. As per the current work progress, plumbing on 19th floor and Toilet Dadoing of 17th floor are in progress in your block.

9th May 2008
As per the current work progress External plastering, plumbing works and toilet dadoing are under progress in your block. (concealed) works excluding fixtures and fire fighting works (excluding testing & commissioning) have

5th June 2008
As per the current work progress, Structure, masonry works and internal plastering have been completed. Internal plumbing, toilet and Kitchen dadoing are also under progress in your block.

12th July 2008
As per the current work progress, Structure, masonry works, internal plastering, internal plumbing and toilet dadoing have been completed. Kitchen dadoing is under progress in your block.

6th Aug 2008
As per the current work progress, Structure, masonry works, internal plastering, internal plumbing, kitchen & toilet dadoing have been completed. Flooring, painting, external plastering and doors fixing are under progress in your block.

7th Sept 2008
As per the current work progress, Structure, masonry
works, internal plastering, internal plumbing, toilet & Kitchen dadoing
and Doors shutter fixing have been completed. Flooring in 7th & 8th
Floor, external plastering, civil works and shaft civil works fixing are
under progress, external painting has commenced. Internal painting,
window fixing, wiring works yet to start in your block.

Recently I visited Empire state building at NY and I found that 102 floor was built in 3 yrs 1929-1931. Technology might have taken giant leap in 75 yrs.
Metropolis coming with 19 floors started in 2005 and it's 2008 still progressing and yes Brigade has tie up with leading international firms too :-)

I will be surprised if entire construction gets over by 2009. BTW, I just heard that there is some foreign technology being used which expedites the construction work :-)

When is the Completion or Possession date of Brigade Metropolis project?

Investment in Brigade Metropolis

2008-08-06T12:04:00.000-07:00

Investment in Brigade Metropolis - Is it worth?

When you make a huge investment in a residential project a question which strikes your mind is whether it's a good investment? If you are not going to live there then you might think whether I will get a good rent? A rent which can at least cover your EMI. An EMI which is going only north and there is no sign of getting south.

What will be the rent will depend on number of factors but let's explore who are the Brigade Metropolis neighbours and this will be the most important factor for the rent?

1) ITPL - There are 130 companies and 20,000 IT and BPO professionals working here.
2) The Crescent - There will be 2 towers of 16 floors with a capacity of 3 million sft of office and commercial ara.
3) Xylem - There will be a tower of 7 floors with a capacity of 340,090 sft
4) Bhoruka Park - There will be 2 towers of 5 floor each with a capacity of .5 million sft of office.
5) Technopolis - Still at an initial stage but DLF is planning to build mall or office area in 15 acres plot.
Infact Xylem, Bhoruka Park, Technopolis and Brigade School are on one side of the road and Brigade Metropolis is on the other side of the road. Click to check the map
6) Summit - There will be 2 towers with 14 and 16 floors in Brigade Metropolis enclave.
7) Brigade Techpark - There will be 2 blocks with 440,00 sft
8) Millenium Tower - There are 5 floors with offices of Oracle Financial Services and Transworks.
9) Global Axis

Besides this there are IT giants like TCS, Accenture, GE, WIPRO, iGate, Sapient, Manhattan Associates, SAP labs, Perot Systems, Dell and IBM in Whitefield area. All these IT parks and offices are located within 3-4 KM radius of Brigade Metropolis. Infrastructure of Bangalore has already tested patience of people and people are in no mood to commute long distance with ever increasing petrol price.

Besides IT parks there are residential complexes mushrooming across Whitefield. But there are few coming like township so I think Shantiniketan and Metropolis will have an edge as compared to other complexes.

Keep watching for few months and we will get clear picture of the rental price in this area and your investment in Brigade Metropolis :-)

Home Loan Feedback

2008-04-20T11:18:00.000-07:00

Now that you have already planned or booked an apartment one of the items high on your list might be getting a Home Loan. With so many Banks and number of different Home Loan packages available it's confusing. Remember Home loan is going to be pain for next 15-20 yrs so do enough research before closing a deal.

I will add list of few popular Banks and their URL's where you can go and do your research.
If someone has already taken a Home Loan and have some experience to share then please do share with prospective Home Loan buyers.
If you are a Bank Loan executive and wish to add your details on the site then please send
1) Name 2) Bank Name 3) Phone Number 4) E-Mail Id 5) Other details.

Request everyone to share your feedback if you take loans from above Bank Loan executives this will help to rate their customer service.

1) ABN AMRO Bank
2) Citibank
3) HSBC BANK
4) SBI BANK
5) STANDARD CHARTERED BANK
6) IDBI BANK
7) ALLAHABAD BANK
8) ICICI BANK
9) HDFC BANK

Experience with SBI
I took home loan from Vimala (SBI loan executive) for home loan. In mid January, I had submitted ALL the required documents with an assurance that it will be processed with 2 weeks. Initially called her to find out the status and she told it will be submitted and processed nothing to worry.Then all of a sudden I get call from her that my wife cannot be gurrantor so they need someone who has sufficient fund to backup. Fortunately my father was coming to Bangalore next day. On further follow up she comes up for further documents on 24th Feb (after more than 4 weeks) then I get call from her on 27th Feb at 5 PM that you will have to take leave tommorrow and go to SBI branch for further documentation as rate is increasing from 1st March and I just need to bring salary slip and come along with my father.

No options but was forced to go to SBI next day thinking it will take 2-3 hrs but I was wrong. There I was asked to bring stamp paper and they don't keep stamp papers. Rushed to Indiranagar to get the stamp paper.Needed 6 stamp paper but SBM bank gives max of 2 stamp papers at one time so got 2 stamp paper and then again joins the line. Again gets 2 stamp paper and joins the line.Reached SBI, Murgesh Palaya (Opposite Manipal Hospital) during lunch time so sat in the Bank for loan officer to come back. They finally came and input data in their computers and took ages to feed data. (Literally finding each computer keys gurr kit kit #@#$%^). My application form which was submitted more than 4 weeks back was in a file and they were submitting all data like Name , Address etc in front of me. I was wondering why this can't be done offline.

Waited patiently and finally comes to know that my wife signature is also required. No options but called her and she rushed from home as this was the last day.Finally after all documentation, I was asked to open a home saver loan account and they asked a minimum of 1000 Rs. There was shortage of cash so I went to ATM and came back.

Finally got my file closed in cool 4 hrs :-) and I ran from 10 - 6 PM. Most frustrating part was all these requirements came in phases. Had it been communicated earlier with checklist there would have been less of pain. After 3 months, I visited Bank that if there are other formalities left and how installments will be made as I am travelling out of country. 3 days before I was going to depart they asked you need to go for medical test for Home Loan insurance which I had taken. There eyes were closed for 3 months and got awake now :-(

Now every two months, I get reminders from Brigade to pay the installment and following with SBI is real real pain. They don't respond to mails even after several reminders. At times, I have to even call the loan officer at his home. No one picks phone in office. Installment is sent to Brigade unless I send several reminders to SBI and give a final blast. This is the most frustrating part of the SBI home loan.

Learning Experience
a) These loan executive have half baked information on loan process and puts you in trouble after document gets submitted.

b) Pre loan counseling will have prompt response. Once you submit processing fees and documents then be prepared to follow up from your end.

c) Be prepared to run for documentation in Public sector bank.They are really slow in terms of processes and technology.

d) If you are out of country then paying installment and follow up will be a challenge.

Only good thing is that since it's goverment managed so rates don't fluctutate much and there are no hidden costs. This is the area where I feel relaxed but overall SBI has troubled me a lot.

I won't recommend if you live in a different city than the SBL branch and don't have time to do follow up.

Buy or Sale Brigade Metropolis Apartment

2008-04-20T08:17:00.001-07:00

Resale Junction

This section will try to bring buyers and sellers on the same platform. Sellers will get an opportunity to place an advertisement and reach wider audience. Buyers get an opportunity to meet sellers avoiding high brokerage costs and also gets an apartment at a discounted price from Brigade.
The rules are simple provide as many information to reach your prospective buyers and sellers.

Kindly leave followings details in the comment section for the ad to get published.
(* is mandatory) . Brokers please excuse.

1) Name (*)
2) Apartment No (*)
3) Phone No (*)
4) E-Mail Id (*)
5) Price at which you want to Sale/Buy
6) Description of apartment
7) Any additional benefit? Any discount etc?

The site is just an platform for the handshake between buyer and seller and is no way related to anyone or any ad in this section. Please take your informed decision before buying/selling.

Once your apartment gets sold or you buy an apartment and you wish to remove your details from this site then please do not forget to send a mail to remove your details from this section. Also if your apartment gets sold or you get an help in buying the apartment from this site then please don't forget to share your success stories. I hope this section helps everyone in turbulent housing market. Once everyone gets the possession then I will add Rental section where in residents can post ad for the rental. Will help to avoid unnecessary high brokerage costs.
Any advice to help you better always welcome.

If you don't know at what price to buy or sale Brigade Metropolis apartment then do a research on the price at which others are selling?

There is a discussion going in the comments on the price of Brigade Metropolis apartment and the range varying from 56-74 Lakhs. One should not be influenced by final figure and it doesn't mean anything.
The figure may vary depending on

When someone bought the apartment?
How many bedrooms?
Which floor?
What was the unit price, cost of club house and parking lot at the time of buying?
What was the registration, electricity charges at the time of registration?

One should deep dive on different parameters to calculate the cost of the apartment. For my readers I have calculated the cost of a 3BHK apartment (1630 Sq ft) @ 2900 Rs/sq ft. This is just a number I have picked one should not assume that this is a prevailing market price. Market price can be higher or lower and also note Brigade price includes interior cost.

You can view formula of the calculation in the spread sheet . Let me know if you find any discrepancies or if you have any questions.

Cost of Brigade Metropolis Apartment

Area in Sq ft	1630
Service Tax	12.36%
KPTCL & BWSSB Charges - Rs/sq ft	160
Price/sq ft	2900
Building Maintenance - Rs/sq ft	2
Campus Maintenance - Rs/sq ft	40
Guidance Value of Metropolis - Rs/sq ft	2200
Land Value	326000
Construction Value	4741000
VAT	12.50%

Base Price	4727000
Club House	250000
Car Parking	90000
Total VAT (VAT % * 70 % * Construction Value)	414838
Service Tax - (ST % * 33% * Construction Value)	193376
Reticulated Gas Connection	20000
Service Tax - Gas Connection	2472
Cost of Building Maintenance / Yr	39120
Service Tax - Building Maintenance	4835.232
One time corpus fund which is equivalent to one year's maintenance charges.	39120
Campus Maintenance Charges	65200
Service Tax - Campus Maintenance Charges	8058.72
Legal Fees	25000
Stamp Duty and Registration Charges	382000
Total KPTCL & BWSSB Charges	260800
Katha Transfer & Property Assement Charges	20000
Service Tax - Katha Transfer	2472


Total Cost	6544291

Have you explored the price at which Brigade is selling the apartment?

Related Post
1) If you are a prospective buyer then must read "Feedback of Brigade Metropolis"?
2) Don't get disappointed if the apartment price doesn't fits your budget you can still live in wonderful Metropolis community by "renting the apartment in Brigade Metropolis"
3) Apartment Owners join Brigade Metropolis Yahoo Group to get connected with your neighbors.
4) Why you should invest in Brigade Metropolis?
5) Where is Brigade Metropolis located?

As I get number of comments every month so it's important that old comments are archived.Your advertisement will appear for 6 months and then it will get deleted. I believe 6 months is a good time to buy or sale an apartment . But you are always welcome to place the ad again if your apartment is still in the market.

Interview with Brigade Chairman and MD - Jaishankar

2008-04-15T18:14:00.001-07:00

Source

Brigade Enterprises Limited's (BEL) property development portfolio covers luxury apartments, integrated enclaves, state-of-the-art software and retail facilities, offices, serviced residences, clubs, resorts, spas, hotels and schools. Some of its projects that are currently underway include: two large enclaves in Bangalore, one of the city's tallest office buildings, a large mall with a multiplex, world-class hill resorts & spas, 5-star hotels, a hospital and two schools. Over the years, Brigade has set quality standards for luxury residential projects in Bangalore and Mysore. It also pioneered the 'integrated enclave' concept in Bangalore, a decade ago, with the much-appreciated Brigade Millennium and Brigade Gardenia enclaves. In the domain of commercial space, Brigade is developing many world-class office and retail facilities. The upcoming Orion Mall & Mutiplex at Brigade Gateway is set to become a landmark destination.

MR Jaishankar, Chairman and Managing Director, Brigade Enterprises, holds a Bachelor of Science Degree in agriculture from the University of Agricultural Sciences, Hebbal, Bangalore and a Master of Business Administration from Manasa Gangotri, Mysore. He has 21 years of experience in real estate industry. Mr. Jaishankar has previously worked as a Sales Officer from 1977 to 1978 for UB-MEC Limited, and has 25 years of business experience. Prior to promoting the Company, he promoted MLR Industries in Peenya, Bangalore from 1979 to 1980, which was engaged in the manufacture of roasted chicory. After running MLR Industries for five years, he diversified into real estate development and promoted Brigade Investments, a partnership firm in the year 1986 which constructed among other Brigade Towers, Brigade Gardens, Brigade Manor, Brigade Parkview and Brigade Regency.

Speaking with Anil Mascarenhas of India Infoline, MR Jaishankar says, "Our strength also lies in the ability to manage multiple service providers."

You say your execution model is different from many others. Could you explain?
We follow a balanced business model where we outsource construction and design. We believe selective outsourcing activities enables us to reduce our operation costs and capital expenditures. For some of our projects we have New York-based real estate consultancy
firm, Hellmuth, Obata + Kassambaum, Inc. ("HOK"), to develop the master plan. We work with Architects like Zachariah Consultants, RSP Architects, Thomas Associates, Venkatraman Associates, Chandavarkar & Thacker among others and contractors like Simplex, Ahluwalia, Billimoria and Shapoorji among others.

We also outsource interior services. We do not award turnkey projects. Instead, we often do the procurement of many raw materials like cement and steel ourselves. This ensures the best of quality in our projects. Our strength also lies in the ability to manage multiple service providers.
We have a large team of senior project managers and around 210 engineers and architects to oversee the development of projects,

Would you look at developing commercial property and selling or would you opt for leasing?
We are looking at retaining ownership of most of the commercial spaces. As and when the regulator allows real estate investment trusts, or REITs, we will stand to benefit.
We will also look at development of residential properties to target lower income groups as well. We are already present in the higher and mid-segment.
Going ahead we will also leverage our strengths and experience in serviced apartments to get into luxury hotels and resorts.
Give us brief details about your IPO.
The price band has been fixed between Rs351 and Rs390 per equity share. The proceeds of the issue would be for acquisition of Land (Rs480mn) and Construction and development of ongoing projects (Rs5.12bn). The Issue has been graded IPO Grade 3 by ICRA Limited indicating average fundamentals.
We expect to raise between Rs5.83bn- Rs6.48bn (Including Greenshoe: Rs6.71bn to Rs7.45bn). The total issue is of 16,624,720 equity shares without Greenshoe and 19,018,428 equity shares with Greenshoe option. The Issue will constitute 16.87% of the fully diluted post issue paid-up capital of the Company assuming that the Green Shoe Option is exercised in full and 15% assuming that the Green Shoe Option is not exercised.
The issue would be open between Dec 10 ’07 and Dec 13 ’07. The Global Co-ordinators and Book Running Lead Managers are JP Morgan India Private Limited and Enam Securities Private Limited. The Book Running Lead Manager is ICICI Securities Limited.
What will the funds be utilized for?
The primary objective of the Issue is to fuel the future growth plans of the Company, including by way of acquisition of land, meeting construction and development costs in relation to the Company’s ongoing and forthcoming real estate projects and general corporate purposes.
The two large projects, Brigade Gateway and Brigade Metropolis comprise a large part of projects under execution. 75% and 67% of apartments pre-sold as of November 23, 2007 in Brigade Gateway and Brigade Metropolis respectively

What is your mix between residential and commercial? What kind of revenues come from the hospitality segment?

Brigade Enterprises operates out of a single entity and has a 100% subsidiary, which is in the hospitality segment. Brigade Enterprises is active in residential, commercial and hospitality segment. We are the pioneers of integrated, mixed-use enclaves and serviced residences in Bangalore.
In our ongoing properties, the total saleable area is 12.5mn sq ft. Of this 86.4% is in the integrated life style enclaves. Our integrated lifestyle enclaves are conceptualised as self-contained, gated communities, which generally include a combination of apartment complexes, commercial and retail space, recreational clubs, parks, schools, convention centres and car parking.
The Residential properties comprise 12.5% while Hospitality Ventures is 1.1%.
In Bangalore, we were one of the early developers of integrated lifestyle enclaves. Our residential properties include integrated lifestyle enclaves and apartment buildings. Our commercial properties include commercial office space, software and IT parks, schools, hospitals and retail malls with entertainment facilities, such as multiplexes.
Bangalore is a growing marketplace and 100 sq ft of office space will translate into roughly 500 sq ft of residential area. Bangalore is short of malls with just around two major ones.

Who are your clients in the commercial segment?

Our clients include Cisco Systems India Private Limited, Digi Captions India Private Limited, Mahindra Engineering Design & Development Company Limited, Mindtree Consulting Limited, Spice Communications Limited, Tata Coffee Limited and TTK Prestige Limited.

Could you share some numbers on your projects completed. How many are in the pipeline?

As of November 23, 2007, Brigade Enterprises Ltd. has completed a total of 67 properties, comprising 41 residential properties, 21 commercial properties and five hospitality properties, aggregating to approximately 5.67mn sq ft of saleable area and approximately 6.74mn sq ft of developable area. It is developing two integrated lifestyle enclaves, 12 residential properties and two hospitality properties, aggregating to approximately 12.53mn sq ft of saleable area and approximately 13.84mn sq ft of developable area. Its forthcoming properties (properties that are in planning stage, where approvals are in the process of being obtained but construction has not yet begun) include four integrated lifestyle enclaves, 16 residential properties, nine commercial properties and five hospitality properties, aggregating to approximately 23.14mn sq ft of saleable area and approximately 30.32mn sq ft of developable area.

You mentioned about your hospitality business. What is the plan here?

We are among the early developers of professionally-managed serviced residences in Bangalore. We have completed the development of and currently operate two serviced residences. We are involved in the hospitality business with ‘Brigade Homestead’, our serviced residences.

Who are you partnering for your hospitality segment?

We plan to operate erviced residences, hotels and resorts ourselves and through arrangements with international hotel operators, such as Starwood, InterContinental, Banyan Tree and Accor.
You have land banks in many places besides Bangalore. Give us an idea of your land bank.
Firstly, let me clarify, we are not in the land bank game. We have acquired land and development rights in various cities and towns outside Bangalore and Mysore such as Hyderabad, Chennai, Mangalore and Kottayam for future property developments.
Our Land Reserves aggregate to approximately 43.17mn sq ft of developable area, of which approximately 11.21mn sq ft of Developable Area is owned by us directly and approximately 2.99mn sq ft of Developable Area is owned by us through our nominees.
Our Land Reserves also include land taken on lease by us for which we hold the sole development rights and land for which we have joint development rights.

Could you share with us your financials?

Our consolidated total income was Rs4.17bn for the fiscal year 2007 as compared to Rs2.03bn for the fiscal year 2006 and Rs1.6bn for the fiscal year 2005. Our consolidated profit after tax was Rs714.98mn for the fiscal year 2007 as compared to Rs423.06mn for the fiscal year 2006 and Rs198.77mn for the fiscal year 2005.
For the six months ended September 30, 2007, the company has posted net profit of Rs444mn on revenues of Rs2.30bn.

Calling Metropolis bloggers

2008-04-13T20:18:00.000-07:00

If you are a Metropolis Owners and have a blogging site which you would like to get added on this site. Then leave your name and URL in the comments or drop a email to bmetropolis@gmail.com

Service tax on apartments

2008-04-13T19:50:00.000-07:00

Economic times

PUNE: You could well be spared from paying a 12.2% service tax on your dream house in a swank apartment complex.

The government has made it clear that a builder or a realty developer who does construction work on his own will not have to pay service tax. Simply put, there will be no service tax on sale of a flat, which means the buyer will not have to bear any extra cost. Builders, though, are awaiting a final verdict from the Bombay High Court to seal the issue.

Realty developers in the state — Promoters and Builders Association of Pune and Maharashtra Chambers of Housing and Industry among others — had moved the HC, challenging the government’s move to levy service tax on sale of flats in housing complexes with more than 12 units. According to them, builders or realty developers per se were not service providers. Normally, the tax is levied on the service provider who, in turn, passes the burden on to the user (in this case, the owner of the flat).

The finance ministry’s Tax Research Unit (TRU) appears to have endorsed the builder’s stance, though the matter is still sub-judice. The TRU has clarified that a builder or a developer will not have to pay service tax if he does the construction on his own — without engaging the services of any other person. “In such cases — in the absence of a service provider-service recipient relationship, the question of providing taxable service to any person by any other person does not arise,” the clarification states.

PBAP office bearers declined to comment as the matter is sub-judice. “The clarification vindicates the stand taken by developers,” said R Vasudevan, CMD, Vascon Engineering.
Some builders, who have added the service tax component to the cost of the flat, have parked these proceeds in an escrow account. It’s possible the money may be refunded.

The finance ministry has, however, held that in a case where the builder, promoter or the developer builds a residential complex with more than 12 units by engaging a contractor, the contractor will be liable to pay service tax on the gross amount charged for construction services. “Builders did not contest the levy of service tax on contractors. They have only opposed levy of service tax on the sale of a flat,” said an industry analyst.

Residential complexes were brought under the service tax net from June ’05. The government had said service tax will be charged only on the value of the contract for constructing the block. Land value will be excluded while computing service tax. Further, the abatement of 67% on the value of the contract will be allowed if the construction contract is turnkey — the contractor supplies the material and labour.

PABP had filed a writ petition after show cause notices were issued by the revenue department to builders who did not pay the levy. Builders contended they are not liable to pay the levy simply because they have the rights to develop the property.

They have cited a CBEC notification (September ’04) which said estate builders who construct buildings or civil structures — for their own use or rent it out or sell it out subsequently — were not taxable service providers. However, if such real estate owners hire a contractor, payments made to them will attract service tax.

However, the directorate of service tax went by a SC ruling which said that a works contract included in any agreement ‘for carrying out either for cash or for deferred payment or for any valuable consideration, the building and construction of any movable or immovable property’ would attract a turnover tax.

Feedback of Brigade Metropolis

2008-04-13T17:33:00.000-07:00

Feedback of Brigade Metropolis

If you are a prospective buyer then taking a decision to book an apartment in Metropolis might be challenging. The information listed below is not written to go for it or to go against it. The feedback listed is after numerous discussion in different forums. Please take informed decision assess your requirements, budget and do some research at your end before booking an apartment.

Why should I book an apartment in Brigade Metropolis?

1) It's near to ITPL or other software companies located in Whitefield.

2) It's 2 KM from outer ring road (ORR) so provide easy connectivity.

3) It's 2 KM from KR Puram railway station and nearly 6 KM from Whitefield railway station.

4) Metro is coming on Old Madras road and there will be an important station at Bypanhalli. There is a proposal to extend this metro to ITPL. If this happens then Metro will be aligned on the road side to Metropolis.

5) Brigade is a reputed builder. It's also going for IPO so greater transparency may be expected.

6) Brigade Metropolis is an enclave so will have commercial and residential area.You will get everything within the campus.

7) There is an office coming up with Summit 1(14 floors) and Summit 2 (16 floors) so the apartments will be in great demand for rent.

Is it worth investing in Brigade Metropolis?

Why should I think twice before booking an apartment in Brigade Metropolis?

1) The enclave is located in an industrial area. There are number of small scale steel and

gas plants. How good will be the quality of water will depend on how efficient will be water treatment plant of Brigade?

2) The Old Madras Road on which Metropolis is located is jammed during rush hours. With number of pop and mom stores on sides and without much space it may be difficult to widen the road.

3) Brigade has bad reputation of delaying projects. Those who booked in late 2004 or early 2005 were informed that it will be ready in next 2 years. The project launch itself was delayed and residents signed the agreement in mid 2006. (Almost an year after few people booked the apartment).

Residents have got mails from Brigade in the past that due to shortage of cement, sand and labour the project has been delayed. If there is shortage of cement, sand and labour then Brigade should not spread their wings to number of other projects. Manage what's your capacity and capability. Shortage of above items are temporary but Brigade has also delayed other projects in the past (Brigade Millenium and Brigade Gardenia) for almost an year.

Those reasons might have contributed to delay but for how many months? Inefficient project management and failure to manage large projects repeatedly can't be totally ruled out.

4) They have good marketing and sales department but extremely poor customer service. They have wonderful site, they will upload photographs, videos on site very frequently which is very good. You shoot a mail and show your interest in buying the apartment. Prompt response is guaranteed :-) Now you book an apartment and shoot your issues. You need to send reminders after reminders and still response is not guaranteed. They tend to remember prospective buyers but somewhere down the line forget residents.

Click to Read - Unprofessional approach to existing customers

5) High tension wires - There is a high tension wire running inside the campus. In the past (2005) at the time of allocation of apartments, Brigade canceled few blocks and had requested residents to book apartments in other blocks. This high tension wire still exists running between blocks of Phase 2. Now what will happen to this tension wires and when it will be removed is a question mark? Remember - Removing high tension wire is not in Brigade hand and they need to have approvals from appropriate government agency to shift those wires. Residents haven't been informed nor they have any clarity what's going in the background.

6) Service Tax - As per notification from the government "The finance ministry has, however, held that in a case where the builder, promoter or the developer builds a residential complex with more than 12 units by engaging a contractor, the contractor will be liable to pay service tax on the gross amount charged for construction services (Click here for more news)" there should not be any service tax but in spite of several mails to Brigade. We haven't heard back which is another way of saying whatever we are doing is right. Before booking an apartment you would like to check with your property lawyer whether you should pay service tax.

7) One sided penalty - If residents delays penalty then Brigade charges 15% monthly installment but when Brigade delays the project then give peanuts at 3 Rs/Sq ft. Will you get a rent at 3 Rs/Sq ft in Whitefield area?

8) Residents have to pay one time lump some membership charges plus monthly membership and the best part is that it's open for public.

9) Installment - Brigade has bi-monthly installment in placed. Whether the constructions progresses or doesn't progresses you have to pay XX RS. every 2 months. You need to weigh the consequences. For e.g K block is lagging behind but investors are still paying the payment. Sometimes even Bank refuse to pay the installment because the construction is not progressing. This puts your hard earned money at the risk. You may like to explore construction based payment. Pay for what has been constructed should be the mantra.

Now that you have discussed with your friends, have done research on different forums, checked your bank balance and have made your mind. You might be going through 100's of questions few needing more clarity. Here is the list of questions which you should ask Brigade sales executive before booking an apartment.

Question to ask Brigade sales executives

1) Why the project is getting delayed? Imp - When will be the possession of apartment?

2) What Brigade is going to do with high tension wires and when will be these removed?

3) Why are we paying Service Tax?

4) If you delay paying installment, Brigade charges penalty of 15% monthly interest but if Brigade delays the project they pay just 3 Rs/Sq ft. Will you even get a rent in that area for 3rs/sq ft?

5) When will be club house ready? - You will be paying lump some club house membership upfront but irony is that it's not ready and will not be ready in newt few months? As of now (12th Aug) registration has started , possession of few blocks will start in few months but there is no visibility when the club house will be ready. People will start living there without the clubhouse :-( When will be club house ready? If at the end of 2009, why should I pay club house membership at the time of booking?

6) You pay lump some amount for club membership and then also pays monthly membership (not declared now) and best part is that it's open for public and it's mandatory to get membership. Why it's open for public?

If you come across points as why we should book Brigade Metropolis and why we should think twice before booking an Brigade Metropolis apartment or what should prospective buyers ask Brigade sales executive then please do leave your comments on the site.

The intention of this post is to help prospective buyers with unbiased information. If you feel other way around then please do question with valid arguments.

All the best for Brigade Metropolis. By the way it has wonderful community :-)

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Next Step?
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List of Schools in Bangalore

2008-04-13T13:39:00.000-07:00

List of Schools in Bangalore?

If you have kids, the foremost thing which will strike to your mind is whether there are schools in vicinity of Brigade Metropolis. How will my kids commute to school? Whether it's ICSE, CBSE or karnataka board? How are the fees and academics in the school? Does that school have enough extra curricular activities to make my kid a "All Rounder"?

I will list the Names of schools, Address, Site links and any other information about the school. If you have these info plus any feedback on fees, academics, extra curricular activities, board, distance from Brigade Metropolis then please leave your comments on the site or drop a mail to me at bmetropolis@gmail.com.

Thanks for posting the comment or dropping the mail. Without your valuable feedback, it was practically not feasible for me to make this great site for the Metropolis community.

List of Schools

CBSE Board
1) National Public School
80 Feet Road
Indira Nagar,
Bangalore560038
Phone: 080-25280611

2) New Horizon Public School
1/208100 Feet Road
Indira Nagar,
Bangalore560038
Phone: 080-25261735

3) Brigade School
http://www.brigadeschools.org/
There is one at Brigade Mllenium expecting to have one at Brigade Metropolis

ICSE Board.

1)Little Angels Modern High School
#1,Service Road,Domlur,
Bangalore-560071
Phone : 080-25350489

2)Bangalore Public School
3358 B13th Main,

HAL 2nd,Stage,Indira Nagar,

Bangalore-560038

Phone : 080-25270383

3) New Horizon Education & Cultural Trust
100 Feet Road,HAL 2nd Stage,

Indira Nagar, Bangalore-560038
Phone : 080-25261735 , 25275455

4)Cambridge Public School

#33/2A & 33/2B,24th Main,Sector 1,
HSR Extension,
Koramangala, Bangalore-560034
Phone : 080-25727335

5)Cambridge Public School

#28,22nd Main, 11th Cross,1st Sector,
HSR Layout,
Koramangala, Bangalore-560034
Ph:080-25729283, 25729284,25729281

6)Sophia High School

#152,Jakkasandra,
Koramangala, Bangalore-560034
Phone : 080-25532743

7)Sri Ravishankar Vidya Mandira

#129,Whitefield Road,Siddapura,
White Field, Bangalore-560066
Phone : 080-28525681

8)Vibgyor High school

#58/1,Varthur Road,Thubarahalli,
White Field, Bangalore-560066
Phone: 2852 5863/64
website: http://www.vibgyorhigh.com/

INTERNATIONAL SCHOOL

1)Ryan International School

AECS Layout, Kundanahalli,M.H. Colony,
Marathahalli Colony, Bangalore-560037
Phone : 080-28476963

2)Indira Gandhi International Academy

#2/1,Jakkur Road,
Marathahalli Colony,Bangalore-560037
Phone : 080-28563430

3)International School Whitefield,
Sarjapur Road,Bangalore-560066
Phone : 080-27822555

4)Bethel International High School

56/7Archakarahalli,
Ramanagaram Domlur,Bangalore560071

Phone: 080-27271246

5)Gopalan International School

Plot No.13. Doddenakundi II Phase,

Brookefield Road, Bangalore - 560048.

Tel:+91 80 6599 5703, 4115 7829

Website: www.gopalanschool.com

PLAY SCHOOL

1)Geethanjali Montessori House of Children

8481st Block, 1st Main, Geethanjali Layout,
Indira Nagar Indira Nagar, Bangalore560038
Phone: 080-25272357

2)Prerana Montessori House Of Children
#1341, 10th Cross, 10th Main, 2nd Stage,
Indira Nagar, Bangalore-560038
Phone : 080-25295116

3)Neev - Whitefield

123/64, Main Road WhitefieldBangalore 560 066
Tel: 080 32973720 / 21

Email: info@neevschools.com

Website: http://www.neevschools.com

4)Neev - Indiranagar

2989/C, 12th Main,
HAL 2nd Stage
Indiranagar, Bangalore 560 008

Tel: 080 25263935, 080 32907294

5)Euro Kids Play Home

#361, 13th B Main, HAL 2nd Stage,
Indira Nagar, Bangalore-560038

Phone : 080-25264765

6)Kangaroo Kids

#947, 12th Main Road,2nd street
Indira Nagar, Bangalore-56003
Phone : 080-41154677

7)Akshara Montessori House

#15, Thamarai Kannan Road, Ulsoor,
2nd Stage, HAL Indira Nagar, Bangalore-560038

Phone : 080-25363312

8)S.N. Vidyamandir Nursery Inner Circle,

(Ruby Cottage) White Field, Bangalore 560066
Phone: 080-28452688

List of Interior designer, Electricians and Plumbers in Bangalore

2008-04-13T12:57:00.000-07:00

List of Interior designers, Electricians, Plumbers in Bangalore.

Now that apartment is getting ready residents will be looking for interior designers who can provide themes and styles unique to their apartment, a wood work contractors/ carpenters whose creation can provide them more space, an electrician who can connect all their electronic and digital gadgets.

If you are an Interior designer, wood work contractors, carpenters , plumbers, electricians and are interested in providing QUALITY service to Brigade Metropolis resident then please leave your Name, Address, Phone Number, E-Mail Id and Website address in the comments or drop a mail to bmetropolis@gmail.com.

If you are a resident of Brigade Metropolis and knows or have used the service of Interior designer, wood work contractors, carpenters , plumbers, electricians then please leave their Name, Address, Phone Number, E-Mail Id, Website address in the comments or drop a mail to bmetropolis@gmail.com.

If you use service of these vendors then please don't forget to let us know one of these service ratings. Your effort to rate these vendors will help residents to take informed decisions.

1) Excellent, Beyond your expectation.
2) Good - Matched your expectation.
3) Average - Below your expectation but still can refer to someone.
4) Poor - Will not refer to anyone.
5) Very Poor - Horrible experience.

If I get info , I will add vendor details on this site. If someone has objections with the listings then please feel free to write a mail to bmetropolis@gmail.com and I will remove within 2 weeks.

For Vendors
The service rating listed on this site is based on the feedback provided by residents verbally or messages posted in different forums. This may not be standard criteria to measure your quality of service. However, as other processes to measure your quality of service does not exists this has been taken as a guidelines for this community.

List of interior designers and wood work contractors

1) Eco-Decor interiors
Jobish Thomas
#123 ,B.Y Narayana Reddy Layout
Kalyan Nagar Post Bangalore-43
Phone: 080-41646126
Mobile: 9886233043
Email: ecodecor@gmail.com
Website: www.ecodecor.in

1) Professional
2) Reasonable rate
3) Prompt Response
4) Currently doing work in few apartments at Bangalore

2) Ode-2-Design
Ruchira Sarin
402, M.S.Ramaiah Silicon Fields Apartments
Kundalahalli, Brookfields, Bangalore - 560037
ode2design@gmail.com
Cell - 9886023141, 9886706841

No service rating available

3) Signature Kirchens
No. 8 Ulsoor Road, Bangalore 560 042
Tel:+91-80-41494046/7
Fax:+91-80-41494048
Email: info@signaturekitchen.co.in

No service rating available

4) Trident Interwood Pvt. Ltd.
1A – 1st Floor, HVS Apartments, No1,
Edward Road, Bangalore – 560 052
0091 80 2267453 / 2257456
E-mail: trident@interwoodindia.com

No service rating available

5) Design Concepts
L&S Design Concepts Pvt. Ltd.
#3310, 2 nd Floor, 8 th Cross,13 th Main
HAL II Stage, Indiranagar, Bangalore - 560 038
PH: +91 80 25205529
E-mail : info@designconceptsworld.com

No service rating available

6) Elite Modular Kitchen and Interior Solutions
598,Noorani Masjid Road,4th Block
HBR Layout
Hennur Serveice Road,5th Cross
Bangalore
Ph - 9980888875 (Jason)

No service rating available

7) Design Spot
Interior, Architectural & Landscape Designers

1184, 3rd Cross, 1st Bock,
BDA Layout, HAL 3rd Stage
Bangalore
Karnataka, India- 560075
+91-98453-42172 (Ambica)
+91-80-25214575

No service rating available

Brigade Metropolis Yahoo Group

2008-04-13T11:18:00.000-07:00

This blog is for residents and prospective buyers of Brigade Metropolis. This will serve as "Wiki" for any information which you may like to have to live a comfortable at your home "Brigade Metropolis"
Based on feedback in different sites, blogs and yahoo group, I will consolidate relevant comments in this blog. If you have any comments please feel to leave your message.

Don't live in isolation, Get connected..

How do I talk or meet people of Brigade Metropolis?

If you are a resident of Brigade Metropolis then please join the yahoo group - http://groups.yahoo.com/group/brigade_metropolis/. This forum is moderated and it's a platform where you can get your issues addressed from hundreds of active Metropolis resident, stay connected with your neighbors & office colleagues, organize meets and join in the celebration of community events.

Don't forget to bookmark this blog - The Times of Brigade Metropolis. You can also subscribe to Brigade Metropolis posts by clicking "Subscribe" button in right menu.