IFC unites with realty players to form consortium

World Bank Group member IFC will collaborate with domestic realty majors to form a Sustainable Housing Leadership Consortium to drive eco-friendly practices, with a particular focus on the affordable housing sector.

“The consortium has been formed with the support of realty firms, including Godrej Properties, Mahindra Lifespace Developers Limited, Shapoorji Pallonji Real Estate, Tata Housing Development Company and VBHC Value Homes,” IFC said in a statement.

The effort is part of IFC's eco-cities program, supported by the European Union.

“IFC will leverage private sector investments to facilitate greater uptake of certified green buildings, facilitate policy dialogue between the private sector and the government, evaluate technology levers, share best practices, raise public awareness, and identify strategic actions for implementation,” said Johann Hesse, Head of Co-operation of the European Union in India.

Buildings contribute to about 30-40 per cent of energy consumption in many Indian cities and about 22 per cent of the country’s annual greenhouse gas emissions. The founding members of the consortium have committed to make 100 per cent of their housing portfolio sustainable by 2017 through appropriate green-building certifications and achieve 20 per cent reduction in incremental variable costs.

“The consortium will also provide leadership and advocacy for broader industry and government policy actions to make 20 per cent of India’s new housing construction sustainable by 2022,” the release said.

SARE Homes offers 10 pc annual return in two housing projects

To boost sales in a slowing market, FDI-funded realty firm SARE Homes will offer 10 per cent guaranteed annual return till possession relating to its two housing projects in Gurgaon and Chennai.

SARE Homes, which has been in operation in India since 2006, is an offshore fund promoted by the London-based Duet Group focused on developing residential real estate in India.

The company is developing seven integrated townships in India.

The real estate sector is facing demand slowdown for the last 3-4 years. This has resulted in a huge delay of up to 7-8 years in deliveries of projects and unsold inventories of nearly 7 lakh in eight big cities of the country.

SARE Homes, in a statement, said it has introduced a new investment plan for its project ‘Sports ParC’ at SARE Crescent ParC Township, Gurgaon, and Expandable Villas at SARE Crescent ParC at OMR and GST, Chennai.

The company is launching about 200 units in the Gurgaon project and 300 in Chennai, SARE Homes MD Vineet Relia said.

“Earning robust returns after investment is a cause for great concern among buyers. With this plan, there is an implicit assurance of timely possession of homes because we are offering buyers 10 per cent guaranteed annual return from the time of booking until possession,” he added.

Relia said the interest will be quarterly to the buyers of units in these projects.

With assets in India valued at Rs4,100 crore, SARE's equity is held by global institutional investors such as Forum Partners and Goldman Sachs Principal Strategy Asia.

Tata Housing in talks to enter Noida

Realty firm Tata Housing is looking to enter Noida property market and is in discussions with four local builders, including Logix group and Lotus Greens, to form a joint venture for the development of a housing project.

Last month, Godrej Properties had announced foray into the Noida market by partnering Lotus Greens to develop a group housing project within ‘Lotus Greens Sports City’ in Sector 150, Noida.

According to sources, Tata Housing, the real estate arm of the Tata group, is planning to expand its presence in the national capital region’s market.

The company is already developing four projects in Gurgaon and is now actively looking at Noida market.

Sources said the company is in discussions with at least four companies, including Logix group and Lotus Greens, for possible tie-up.

Lotus Greens is developing a 300-acre integrated sports city township. Logix group also has huge land bank in Noida.

With land prices skyrocketing across the country, many developers are entering into joint development agreements with land owners.

Out of Tata Housing’s total portfolio, about 70-75 per cent projects are in partnership with local developers and land owners.

— Agencies