Faering Capital has infused $30 million into Vastu Housing Finance Corporation (Vastu), a significant boost for the housing finance sector. This investment involves a secondary sale with funds managed by Multiples Alternate Asset Management and other shareholders. Vastu, a digital retail affordable housing finance company, manages around $900 million in assets across 15 Indian states and over 200 markets. It boasts advanced technology, including the PULSE platform, and an expansion into vehicle and MSME finance through Vastu Finserve. Vastu focuses on lending to the low-middle-income segment, holding top-tier ratings and strong relationships with over 40 banks. Faering Capital anticipates substantial progress in affordable housing finance.Read more

Supreet Sachdev, a partner at BSR & Co LLP, has been hit with a significant penalty of Rs 5 lakh by the National Financial Reporting Authority (NFRA) for professional misconduct and errors in the audit of Sobha Ltd for the fiscal years 2017–18 and 2018–19. In May 2021, the Securities and Exchange Board of India (SEBI) expressed concerns, which led to this action. Sachdev was hit with this hefty fine because he neglected to disclose doubts about unsecured land advances and to adhere to auditing norms. The steps taken by the NFRA highlight how crucial it is to keep India's financial transparency and auditing standards at the highest level.Read more

MLC Satyajeet Tambe led a delegation of Nashik's industrial leaders in discussions with Municipal Commissioner Ashok Karanjkar to address local industry concerns. Karanjkar agreed to enforce government guidelines for property tax collection within the industrial category. Industrial property tax rates are set to commence on April 1, 2024, primarily impacting industries in the Ambad and Satpur industrial estates under MIDC. The delegation also highlighted issues concerning poor road conditions and drainage infrastructure, receiving assurances of forthcoming road repairs, and the inclusion of drainage projects in Kumbh Mela preparations. The President of AIMA, Nikhil Panchal, was also part of the delegation.Read more

Six years after launching a Geographic Information System-based building reassessment drive, the Greater Chennai Corporation (GCC) has assessed only a fraction of buildings with deviations. Out of 310,139 identified buildings, only 30,000 have been reassessed and added to property tax records, leading to a revenue loss of Rs 250–300 crore. Revenue officials attribute the delay to various tasks, such as addressing Covid-19, elections, and welfare schemes. Universities, marriage halls, and commercial buildings are among the major violators. A dedicated team and expedited reassessment are proposed solutions. Deputy Commissioner R. Lalitha pledges to resume the drive.Read more

PropShare Capital, a SEBI-registered Category II AIF manager, is launching PropShare Real Estate Fund II (PREF II) as the sequel to their successful PREF I commercial office fund. PREF I has fully allocated its resources to four prime office properties in Bangalore and Mumbai, leased to top-tier tenants like LG, Tata Finance, and 24/7 AI. PREF II will continue its focus on fully developed Class A commercial real estate, catering to multinational and blue-chip tenants in India's tech hubs. It targets to raise Rs. 500 crores with an additional Rs. 200 crores as a green shoe option. The fund's minimum investment is Rs. 1 crore in line with AIF regulations.Read more

Despite global economic jitters, India's commercial real estate is booming. CBRE reports an anticipated 165 million sq. ft. of new office space by 2025, outdoing the previous three years by over 20 million sq. ft. Bengaluru and Hyderabad lead the charge, contributing nearly 50% of this growth in office space. India’s competitive advantage in cost and scale would drive global corporations to establish more Global Capability Centres (GCCs) across various sectors. As global firms reduce office sizes, India's resilient leasing activity and tech investments solidify its position as the 'office of the world'.Read more

The Asian Development Bank (ADB) has approved a $181 million loan for the Ahmedabad Peri-urban Liveability Improvement Project in Gujarat, India. The initiative focuses on enhancing urban liveability and mobility in Ahmedabad's peri-urban areas. Key components include the construction of a 166 km water distribution network, 126 km climate-resilient stormwater drainage, 300 km sewerage systems, and four sewage treatment plants. Additionally, the project supports 10 junction improvements along the Sardar Patel Ring Road for better connectivity. ADB aims to strengthen technology-based urban planning, emphasizing climate resilience, gender equality, and social inclusion. The initiative can serve as a model for controlling urban sprawl in a rapidly urbanizing India.Read more

The Gujarat State Goods and Services Tax (GST) department has issued 20,000 notices to taxpayers, including real estate developers, for the financial year 2017-18. Notices were sent due to concerns about potential tax evasion, focusing on developers who operated under the 12% GST regime with Input Tax Credit (ITC) options. Developers suspected of using fake invoices to claim higher ITC were asked to explain or pay necessary taxes. This move reflects the government's commitment to curbing tax evasion, ensuring GST transparency, and maintaining tax compliance, emphasising the need for businesses to adhere to regulations and cooperate with authorities.Read more

Shriram Housing Finance (SHFL), an affordable housing finance company, has entered into a co-lending agreement with Punjab and Sind Bank (PSB) to provide business loans to self-employed individuals seeking affordable homes. This partnership aligns with the Reserve Bank of India's co-lending model (CLM) framework and aims to address the credit needs of self-employed customers in India. SHFL will take on the responsibility of originating, processing, and servicing these loans, making the lending process customer-centric and efficient. As affordable housing demand continues to rise in India, this collaboration is set to make a significant impact, particularly for self-employed individuals facing hurdles in accessing housing finance.Read more

The government is considering issuing B Khatas to owners of unauthorized properties in tier-2 and tier-3 cities, with an estimated revenue boost of Rs 2,000 crore. A cabinet sub-committee, headed by Forest Minister Eshwar Khandre, aims to recommend provisional certificates for these property owners. Although BBMP in Bengaluru already employs the B khata system, misconceptions arise among property owners, who believe tax payment regularizes their properties. The urgency lies in securing reliable revenue sources for cash-strapped urban local bodies in non-Bengaluru cities. To address fairness, the committee contemplates doubling the tax on unauthorized properties compared to their legal counterparts.Read more