D-Mart’s Radhakishan Damani buys Malabar Hill property for Rs 1,001 crore – ET RealEstate

In the largest ever residential transaction anywhere in the country, Radhakishan Damani, billionaire investor and founder of D-Mart has bought a bungalow in South Mumbai’s plush Malabar Hill locality for Rs 1,001 crore. Damani has bought the property along with his younger brother Gopikishan Damani.

The ground plus two storey-bungalow Madhukunj on leafy Narayan Dabholkar Marg is spread over 1.5-acre land parcel and has total built up area of around 60,000 sq ft. The market price based on the ready reckoner rate is around Rs 724 crore.

The deal was registered earlier this week and Damani’s family office has paid Rs 30 crore as stamp duty for the same, showed the document accessed by ET.

It could not be ascertained if the property will be redeveloped or the existing structure itself will be used by the family as its residence.

ET’s email query to Damani remained unanswered until the time of going to press.

This is the third large property transaction executed by Damani in the last two months. On Thursday, ET broke the story that Damani’s family office has purchased an 8-acre land parcel in Thane from Mondelez India, formerly Cadbury India, for nearly Rs 250 crore.

ET had also reported on March 19 that Damani’s retail chain DMart has bought two floors spread over 39,000 sq ft in realty developer Wadhwa Group’s under-construction project, The Epicenter, in the Chembur suburbs of Mumbai for more than Rs 113 crore.

Over the past few years, several bungalows in south Mumbai’s toniest localities of Carmichael Road, Altamount Road, Nepean Sea Road and Malabar Hill have made way for luxury skyscrapers. Several industrialists and India’s uber rich have also been buying bungalows for their personal use in the billionaires’ district.

In 2015, industrialist Kumar Mangalam Birla emerged as the highest bidder for the sea-facing, 30,000-sq-ft Jatia House in Malabar Hill. The Aditya Birla Group chairman paid Rs 425 crore for the property, making it the most expensive bungalow deal ever in India then, surpassing the Rs 400 crore, Maheshwari House transaction of 2012.

Soon after, Cyrus Poonawalla, chairman of the Poonawalla Group, emerged as the highest bidder for the US Consulate’s Lincoln House at Breach Candy for Rs 750 crore, making it the costliest transaction for a house. In 2014, the Godrej family acquired Mehrangir, the Malabar Hill house of Homi Bhabha, father of India’s nuclear programme, for Rs 372 crore.

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Amid Covid chaos, NRIs rush to buy homes in India – ET RealEstate

MUMBAI | BENGALURU: The global Indian is coming home — to a grand reception from home sellers.

NRIs are scooping up properties in India with unprecedented enthusiasm. And the reasons aren’t far to seek: Record low borrowing costs, stamp duty cuts in key markets, and the anxiety stoked by the pandemic. Attractive offers and product discounts, to use a cliché, have acted as the icing on the cake.

Additional tailwinds are a weaker currency and a confidence-boosting regulatory environment after India implemented the Real Estate (Regulation & Development) Act, 2016.

“The Covid-19 outbreak has made people realise the importance of owning a tangible physical asset. NRIs have demonstrated a keen appetite to get in on this action, both as investors and potential homebuyers,” said Vikas Chaturvedi, CEO, Xanadu Realty. “Most enquiries are originating from Europe and the Gulf region. We have seen 8-10% rise in residential sales to NRIs.”

Proptech platform Square Yards has also seen an 82% sequential jump in NRI transactions in the December quarter, taking the year-to-date performance to 1,510 deals across the country.

The gross transaction value for these deals rose 67% from a year ago to Rs 817 crore. Reduction in stamp duty for a limited period in major states, such as Maharashtra and Karnataka, helped conclude deals. “With home loans rates being at its decadal low and several regions announcing a reduction in the stamp duty, it has caught NRIs’ attention,” said Ashish R Puravankara, MD, Puravankara. “These deductions impact the projects’ final costing, making them more appealing and lucrative for NRI home buyers and investors… We expect the sales momentum to continue not only for the next quarter but also in the next financial year.”

Despite the lockdown affecting the first quarter of FY21, Puravankara has witnessed around 20% on-year rise in NRI sales for the six months ending September. “Around 15% of our overall sales in the last two quarters came from the NRI segment and most of it has originated from West Asia, the US, and Africa. The demand for both ready to move in apartments and new launches has been robust across our projects in Mumbai,” said Bhaskar Jain, head of sales, the Wadhwa Group.
Amid Covid chaos, NRIs rush to buy homes in IndiaWhile NRIs have always invested in the Indian property market, completion delays and consumer activism over the last few years dented their enthusiasm. But a stronger regulatory framework has given them the confidence to reach out for their cheque books.

This trend is expected to gain greater momentum with the launch of innovative real estate offerings, such as branded land. According to Chaturvedi, with a completely digitized buying process, investing in branded plots has been attracting investors, ensuring transparency on approvals and paperwork.

For NRIs, even registration of land is done remotely, giving them a hassle-free experience and a possibility of price appreciation.

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