Housing finance companies (HFCs) are calling on the government to revitalize the Credit Risk Guarantee Fund Trust for Low Income Housing (CRGFTLIH) by increasing the home loan guarantee cover from INR 75 lakh to INR 1.25 crore. They propose up to 75% guarantees on loans of INR 2.25 crore, aiming to attract a wider low-income demographic across 124 districts. The suggested overhaul includes replacing the current scheme, which has seen little uptake since its inception in 2012, and accommodating loan amounts of up to INR 25 lakh. Recommendations also involve annual guarantee cover fees for mortgage lenders.Read more

CBRE South Asia has forged a strategic alliance with NetApp to provide integrated facilities management services for a vast portfolio of 1.07 million square feet of office space across India. This three-year, USD 3 million contract encompasses NetApp's Bengaluru campus and its sales offices in Bengaluru, Mumbai, and New Delhi. The services include account management, finance and budget management, procurement, transport management, and food and beverage management. Through this collaboration, CBRE aims to optimise operational efficiency and enhance employee experiences, aligning with NetApp's long-term business objectives.Read more

Embassy Office Parks REIT, the largest office REIT in Asia by area, successfully raised INR 2,000 crore through debt issuance, attracting an interest rate of 7.95%. This capital infusion will facilitate the repayment of non-convertible debentures maturing in October 2024. Institutional investors, especially mutual funds and insurance companies, exhibited strong demand, leading to an oversubscription of three times the initial offering. Additionally, Embassy REIT issued INR 900 crore in Series XI NCDs at a 7.87% interest rate. This strategic refinancing not only enhances the company's financial stability but also positions it to effectively seize future opportunities in the capital markets.Read more

Private equity (PE) investment in India's real estate sector increased significantly. It reached USD 3.9 billion (INR 329 billion) from January to September 2024. This growth shows that investors are confident in the real estate market. A recent report from Savills India gives insight into these trends and highlights how different segments of the industry are performing. In the third quarter of 2024, inflows were USD 2.2 billion (INR 186 billion). This represents a remarkable 93% increase from the previous quarter and more than double the investment from the same time last year.Read more

US-based private equity firm Bain Capital and real estate developer Sattva Group are teaming up to create a co-living platform, with a built-to-suit model, backed by an investment of USD 100 million (approximately INR 840 crore). The platform will be managed by Colive, a property management company, marking the largest funding received by an alternative fund for the development of a built-to-suit co-living asset. The platform will be co-owned by Bain Capital and the Bengaluru-based Sattva Group, with Bain Capital holding the majority stake. Colive will oversee the platform's management and operations.Read more

The Securities Appellate Tribunal (SAT) stayed a Securities and Exchange Board of India (SEBI) order barring Omaxe and its top executives from the securities market for two years due to financial misrepresentation. The stay allows Omaxe to raise capital and continue operations. SEBI's initial ruling included a penalty of INR47 lakh for Omaxe and several individuals involved in a fraudulent scheme, which misrepresented financial activities over three fiscal years.Read more

Larsen and Toubro Limited (L&T) has approached the Bombay High Court to contest the bidding process by the Mumbai Metropolitan Region Development Authority (MMRDA) for two major projects valued at INR 16,577 crore. L&T claims the Notice Inviting Tender lacked essential geotechnical data, making it impossible to prepare bids adequately. The firm argues that the rushed timeline is arbitrary, seeking relief for fair consideration in the tendering process.Read more

Gurugram's real estate market has seen a remarkable 76% rise in property prices over the last two years, with a 15.5% quarter-on-quarter increase between July and September 2024, according to Magicbricks' PropIndex Report. This price surge is largely attributed to the completion of key infrastructure projects like the Dwarka Expressway, enhancing the city's connectivity and appeal. Despite moderate demand growth, supply has increased due to new project launches. Emerging sectors, such as Dwarka Expressway, New Gurgaon, and Golf Course Extension, are attracting buyers with relatively affordable rates.Read more

Institutional investments in Indian real estate surged by 45 per cent to nearly USD 1.15 billion during the July to September period, driven by high demand for premium homes and offices, as reported by Colliers. The office segment alone attracted USD 616.3 million, significantly outperforming last year's figures. The residential sector also saw a 40 per cent increase in investments, while the industrial and warehousing sectors faced a sharp decline. Domestic investments remained robust at USD 0.5 billion, with consistent institutional flows indicating strong investor confidence in the market.Read more

Piramal Capital & Housing Finance (PCHFL), a subsidiary of Piramal Enterprises, recently sold its immovable property in Santacruz East, Mumbai, for INR 187 crore to Shoquba Realty. The company also raised USD 150 million through a global bond sale, with a yield of 7.80 per cent due for repayment in 3.32 years. Earlier this week, PCHFL secured USD 300 million from a sustainability bond issuance, achieving a 0.87 per cent improvement in pricing compared to previous bonds issued in July 2024. These moves highlight PCHFL's focus on optimising its asset portfolio and sustainable financing.Read more