24 Jan 2024

Edelweiss Special Opportunities Fund has reportedly provided a Rs 350 crore debt facility to Shreshta Infra Projects Pvt Ltd, an entity associated with Bengaluru's Adarsh Developers. The financial support will be utilized to repay ongoing loans and complete two under-construction projects. The debt facility comprises listed, secured, and rated non-convertible bonds, featuring a 41-month and 24-day tenor with a 20.5% annual interest rate. Shreshta Infra, a special purpose vehicle of Adarsh Developers, plans to infuse Rs 200 crore through convertible debentures into affiliate companies for debt settlement and allocate the remaining Rs 150 crore for specific projects and general corporate purposes. Acuite Ratings assigned a 'Acuite B Stable' rating to the bonds on December 29, 2023. As of December 31, 2023, Adarsh Group had total sales receivables of Rs 1,034 crore and a cash balance of Rs 54.8 crore.Read more

24 Jan 2024

The Shriram Group is in discussions with Warburg Pincus and Bain Capital for the sale of its housing subsidiary, Shriram Housing Finance Ltd., at an estimated value of Rs 5,000 crore. This move, part of a Chennai-based growth strategy restructuring, involves Shriram Finance holding an 85% stake and engaging reputable investment banks like Barclays, JM Financial, and Avendus Capital. Talks suggest potential deal closure by the end of the upcoming June quarter. The market has responded positively, with bids in the Rs 5,0000-5,500 crore range, indicating high valuation and credibility of potential acquirers. Proceeds from the sale will fortify the group's financial services portfolio and support new ventures.Read more

23 Jan 2024

The Indian real estate market experienced a robust uptick in the October-December 2023 period, with property prices surging by 18.8 percent year-on-year across 13 major cities, according to the Magicbricks PropIndex report. Gurugram, Greater Noida, Noida, and Hyderabad witnessed the highest appreciation in property prices, with Gurugram leading at 32.1 percent year-on-year. Despite a quarter-on-quarter decline in demand due to escalating property prices, the report remains optimistic about the sector's medium to long-term prospects, anticipating a rebound in supply and a moderation in residential prices.Read more

23 Jan 2024

The Adani Group has formalized a Memorandum of Understanding (MoU) with the Maharashtra government during the World Economic Forum in Davos. The agreement outlines a substantial Rs 50,000 crore investment over the next decade to establish a 1 GW capacity hyperscale data center infrastructure. These data centers, set to be located in Pune and Mumbai or Navi Mumbai, will prioritize renewable energy sources. The project aims to generate direct and indirect employment for 20,000 individuals. Adani Group also commits to deemed distribution investment to power the infrastructure, aligning with Maharashtra's recent focus on attracting data center investments.Read more

22 Jan 2024

The Phoenix Mills, a prominent retail-led mixed-use asset developer, plans to expand its commercial offices portfolio by adding 5.1 million square feet of assets across five key Indian cities over the next three years. It aims to increase the operational office projects portfolio to 7 million square feet by 2027. Of the 5.1 million sq.ft, Pune leads with 1.2 million sq.ft., followed by Mumbai (1.1 million sq ft), Bengaluru will see 2 projects of 1.2 million sq ft each, and Chennai (400,000 sq ft). Managing Director Shishir Shrivastava highlighted India's robust economic and social recovery, emphasizing increased demand for quality office spaces. The company is said to rely on internal accruals for this ambitious expansion, reinforcing confidence in India's commercial real estate market.Read more

22 Jan 2024

In 2023, India's real estate investment landscape underwent a significant shift, as per Vestian's report. Institutional investments declined by 12% annually to USD 4.3 billion, while domestic investors doubled contributions, reaching USD 1.5 billion. Domestic confidence surged, with a 120% growth in funds from USD 687 million in 2022 to USD 1.5 billion in 2023, increasing domestic investors' share from 14% to 35%. Conversely, foreign investments fell from 79% in 2022 to 65% (USD 2.73 billion) due to macroeconomic slowdown. Commercial assets dominated foreign investments. RBI data indicated a 38% increase in commercial real estate lending, showcasing sector resilience. Although overall investments hit a five-year low, optimism for a 2024 resurgence prevails, driven by India's economic performance and planned infrastructure developments.Read more

19 Jan 2024

Real Estate Investment Trusts (REITs) and Infrastructure Investment Trusts (InvITs) have become the favored choice for investors, experiencing a remarkable 10-fold rise in fundraising to Rs 11,474 crore in 2023. With 23 registered InvITs and 5 REITs managing assets over Rs 30,000 crore, these investment vehicles gained traction with lower interest rates, government support, and promises of steady returns. Driven by expected rate cuts and investment-friendly policies, investors are anticipating a promising 2024. SEBI's governance enhancements and the government's infrastructure focus further make REITs and InvITs attractive for assured returns and financial visibility.Read more

19 Jan 2024

The tax department of Pimpri Chinchwad Municipal Corporation (PCMC) has taken decisive action against delinquent property taxes, seizing 200 properties from non-compliant owners and cutting water connections to 17 properties between April and December of the current fiscal year. With substantial accumulated tax liabilities, owners will receive a final notification, offering a chance to settle dues. Failure to comply prompts auction proceedings. Of 33,241 notified property owners, only 7,080 settled Rs 73.2 crore, leaving an outstanding liability of Rs 584.4 crore. Phugewadi leads non-compliance with 38 properties. PCMC plans to auction 500 confiscated properties, collaborating with legal experts for a streamlined, legally sound process.Read more

19 Jan 2024

The Reserve Bank of India (RBI) has proposed a meticulous plan, outlined in a draft circular, to bolster regulatory frameworks for housing finance companies (HFCs). The initiative aims to align HFCs more rigorously with non-banking financial companies (NBFCs). The proposal suggests gradually increasing liquid assets for deposit-taking HFCs, raising the target from 13% to 15% of public deposits by March 2025. The RBI recommends a phased approach, starting with a 14% minimum threshold by September 2024. Effective immediately, the revised regulations also shorten the repayment window for public deposits to 60 months. These measures signify the RBI's strategic effort to fortify HFCs' regulatory framework. Stakeholder comments are invited until February 29.Read more

18 Jan 2024

Blackstone-backed Nexus Select Trust is set to acquire three 'Hyderabad Next Galleria Malls' from Larsen & Toubro for $300-350 million, strengthening its retail portfolio. The malls are strategically located near metro stations which cover 1 million sq ft with an 84% occupancy rate. The deal includes e-Galleria, Next Galleria Mall, and Premia. This acquisition will boost Nexus' retail portfolio to 11 million sq ft. Blackstone previously acquired Seawoods mall from L&T in 2017. Nexus Select Trust's retail portfolio's gross asset value was Rs 21,924 crore in September 2023, with a 97% occupancy rate.Read more