The real estate sector Essay Example for Free

The touchable country sector try outACKNOWLEDGEMENTA project is never an individual effort of a soulfulness whose name has appe ard on the cover page. A successful project requires proper guidance, proper time, energy, efforts, patience and knowledge.First of solely I am deeply grateful to Dr. Manjula Shastri whose help, valuable suggestions, encouragement and guidance helped me in preparation and writing of the report. I want to thank the staff of Piyush Group who spends their valuable time to give me the important data regarding my project. I would excessively bid to express my gratitude to eachone who gave me the possibility to complete my summer internship report.This travail has given me an insight of the truly estate of the realm Industry and the competition between different unfeigned Estate Group. The completion of the Project has do me aw ar of the Research Procedures and the complexities that burn arose during the process.EXECUTIVE SUMMARYIn India, palpa ble Estate pipeline is believed to be a sale and purchase of the airscrew on the market with the assistance of authorizedly terra firma brokers/agents. tho with the entrant of large square Estate Groups corresponding PIYUSH, RPS INFINIA, DLF, ANSALS, SIKKA, OMAXE, SUPERTECH etc. the scenario has completely changed. The sector has now wrench well organized with the groups perfor bitg well in the sector. They are well set up somatic who confine backefficient marketing strategy for facing changing democratic and environmental scenario. Liberalization has given the real estate sector a very take outive approach for enthronisation and growth. Moreover government has dedicate up the path to FDI and Public Private Partnership (PPP) for major(ip) infrastructural and using projects in NCR. The NCR alone are the warmheartedness of major real estate activity in India.Although foot has been hit by rising gossip cost and delayed approvals, assest prices for residential rea l estate take recovered and grown over the previous(prenominal)(a) both eld. The join on in residential assest prices maintain given to a prospective fizz, causing doldrums over the past two quarters. Various real estate players have the business strategy of capturing major market through their different commercial and residential projects in NCR (areas surrounding Delhi). Therefore cities like Faridabad, Noida and Gurgaon are the best place to live or to invest in it.TABLE OF CONTENTPARTICULARSDeclaration present Acknowledgement Executive Summary accusing and Scope of the StudyResearch MethodologyIntroduction fellowship ProfileCurrent Scenario of documentary Estate worryGrowth Prospect of Real Estate subscriber line in NCRThe Major Players of Real Estate Business in NCRCompetitive AnalysisConclusionBibliography target area OF THE fieldThe aim of this summer internship project is the study of Real Estate Sectorin NCR with germ to technical and Residential Projects and what is its over wholly impact on the changing Indian frugality .This project will in any case put light on a changing trend and spick-and-span area comeing for realtors in NCR region with their price components both launching and pre launching price of the property.Objective 1To study the current project of Piyush GroupObjective 2To study the growth prospects of Real Estate Business in NCR. Objective 3To understand how one should go about selecting the Real Estate Projects. Objective 4To study and do the competitive analysis of Piyush GroupSCOPE OF THE STUDYThis look into is important to prospective real estate investor, students, entrepreneurs and developers who are having stakes in different handsome and mid size project in NCR. This may be of special interest to marketing students who would like to know more about the practical step- by- step side of marketing world, rather than only the suppositious aspects taught in business schoolsResearch MethodologyThe methodology which was opted for the project is as follows1. Description of the ResearchThis research on will consist of exploratory research as well as conclusive research. It begins with a hypothesis, and to arrive at a conclusion, which includes secondary data as well as information from circumstance data and questionnaire.2. Data Collection MethodsThe Sources of secondary data that are used areLibraries resource bear onInternet SitesBooks, News papers, Magazines JournalTrade promotion council OrganizationThe method of primary data accrual isQuestionnaires acquit Interviews3. Field workThe fieldwork in this project consisted of data collection through taking the interviews and get the questionnaires filled up.4. Analysis vertical stabiliserally interpretation will be drawn from the analysis of the information collectPrimary DataSecondary DataAnalysis and Findings of DataINTRODUCTIONReal Estate is often inaccurately taken as a profession. However Real Estate is a business, not a profe ssion. Profession applies science, act or learning to the use of others, the profit to the professor or person applying it cosmos incidental while business is engaged in making profit and the profit is to the one who is engaged in the business. But whether real estate is a business or a profession has no connection at all with the body of ethics governing it. Every business can be conducted upon a plane ethically as last as the ideals of any profession, and the men who have been conspicuously successful in the real estate business have attained success because they have utilise to their business the highest ideals of commercial fair dealing. This does not mean that on that point is any ethical requirement for the vendor or the purchaser to give away anything which belongs to him, or for either one to disclose to the other his sine qua non for selling or his requirements for buying but the bargain having been made, it is absolutely necessary that it be lived up to by both par ties, according to its intent and, if there be any doubt of the intent of the bargain as it is expressed in writing, that the spirit of the transaction be gondola carried out rather than that the catch words of a written instrument should govern.Cases arefrequent of men who to their own detriment perform the thing which they have promised to do although not legally obligated, and the bigger and more successful the universe who crops the promise the more for certain will it be carried out. Important obligations are often incurred upon the mere promise of a well-known man to sell an important piece of property at a definite price, although no legal and enforceable obligation exist and the promise is always save if it is made by a man who knows the business, and it is redeemed not merely from altruistic motives, but too for virtuously business reasons. Divisions of the business.the principal divisions of the real estate business are coronation, operation and agency. These diffe r from one another according to the aims of the persons engaging in them and the methods by which those persons expect to make their gains.To conduct either of the first two divisions of the business, investment or operation, actual currency capital is required. The most important capital in the agency business is the good will of its customers, and that can be marketed, increased and made very valuable for investment. Investment is the enjoyment of capital in the learnedness of real estate or interests therein for permanent ownership or actual use of the person acquiring it. Operation is the employment of capital in the acquisition or improvement of real estate or interests therein for commercial operations. Agency is dealing in or with real estate on behalf of others. Investment in real estate is generally made for either of two purposes (a) To derive an income,(b) To entertain for resale in expectancy of an increase in value. Investment for income may be for one of two purpos es,(1) The filiation of rentalthat is, the direct return for the use of real property for definite periods, or (2) The obtaining of income through others upon cash lent on the security of real property.COMPANY PROFILEPiyush group has judged into a wide stray of aspects of Real Estate and construction. In the Indian real estate state of affairs, Piyush Group is indulged in development of Integrated Township, Group lodging Projects, and mercantile Mall.In the world of Piyush Group people get to bonk the Harmony of Nature, the culture and the people together.Piyush Group is a diversified group with a major carriage in real estate development, construction and financial values. This group, has over two decades of experience, a strong technological base and financial standing was accorded the ISO 9001 2000 certification. A recognition of its focus on international standards. Time recoil releasey and top aim tonus is synonymous with this group which has a projected turnover o f US $ 450 million.From integrated housing projects to commercial projects to business parks, Piyush group has ventured into various facets of real estate and construction. In the Indian real estate scenario, Piyush Group is involved in development of Integrated Township, Group hold Projects, Commercial mall cum Multiplexes, Educational Institutions, Corporate and IT Projects.In Piyush Group, where the vistas are endless, we stands beacon like, leading the way and in the process make an effort to change the way people dream about their homes and establishments.Piyush Group visualizes a project in every major city of the National Capital Region (NCR). Residential Projects on the anvil include Integrated Townships in Palwal and Bhiwadi and a world class Group lodgment Project (Piyush Heights) is under speed development get around over 17.5 acres (approx.) located at Sec 89, Faridabad. Commercial projects including Upcoming Business putting green Global i world knowing by the renowned architect Hafeez Contractor located on Mathura Road, Faridabad. With plenty more in the offering Piyush Group stands for its motto To deliver flavor beyond ones expectations.Core StrengthThe core military posture of Piyush Group is its experience professionals who bring in unique mix together of business and technology skills that help the groupto know business issues and opportunities and to procure measurable output. In a very short period Piyush Group has made a mark. This attainment that Piyush Group has achieved is actually the sources of inspiration which keeps them going. The motto of their growth is to deliver quality beyond ones expectations and consider in keeping intact the essence of life as growth.Professionalism and awareness to detail, right from planning to implementation is an in-built quality of the entire team of qualified professionals that make up the most valuable resource of Piyush Group. Efficiency and unity is the keystone of this organizatio n where energy of youth rubs shoulders with wealth of experience reflecting the creativity and progressiveness of the organization.The main strength of Piyush Group is their highly qualified and seasoned professionals, experts and advisors. They have an approach to volunteer real estate solutions sterns from pure professionalism, through knowledge of market trends, technical knows-how, utilization of world class construction methods and equipment. Piyush Group wealth is a rich vault of experience which grows with each spick-and-span project implemented. Dedicated to details the gtoup covers every inch from planning to implementation to after sales. And periodically invest in research and development to keep updating the knowledge of consumer insight, technology and construction for an unmatched leverage in forecasting and planning for the emerging with hallmarked quality projects that meet expectations in proposes, amenities and convenience.The efforts have earned the group reco gnition for international standards, globally. imagination MissionVISIONPiyush Group foresees to transform dreams into reality. Its vision is to create residential and commercial establishments across all stratum of society and eventually facilitate to excel in the essence of life The endeavor is to develop the lives and aspirations of people and enhance their quality of life and work.MISSIONTo regenerate the essence of lifeTo provide to customers involve of today and to percieve and provide for tomorrows necessarily. To provide value for money high returns on investment.To focus on strategical growth through existing and forthcoming projects. To stick on to internationally accepted benchmarks in real estate development and constructionPrinciples GuidelinesThe Essence of Life The core fundamental principle that governs our endeavors. And which simply delimit translates into following To formulate a cohesive effort in improving and inspiration of people. To provide to the need s of today to predict and provide for the needs of tomorrow. To give value for money high returns on investment.To sustenance the virtues of transparency in dealings, honesty and integrity. To build long lasting relationship with business partners, clients and customer. To generate modernistic real estate projects via a unique blend of business acumen, technology skills. To deliver the epitome of high quality on a timely basis.To our customers before our projects and not vice versa.Piyush Group ProjectsGroup Housing Piyush HeightsCommercial Piyush Business Park, Piyush Global I, Piyush Mahendra Metropolitan Mall Group HousingGroup Housing1) Piyush HeightsOverviewEnvisaged as an amalgam of world class infrastructure and aesthetic environs this Group Housing project spread over 17.5 Acres (approx.) located at Sec 89, Faridabad offers a combination of 1086 apartments. Facilities like a fully equipped gymnasium, clubhouse, swimming pool, etc. are luxuries that come with the offeri ng. This residential complex promises relaxation of mind with its hi-tech security, power backup and stock-still parking space.Salient FeaturesBeing designed by leading architect M/S R.K AssociatesGreen AreaExotic Landscaping and open areaProvision for visitors Car parkingSurrounded by Prominent Educational and Health concern institutes Building Design for earthquake resistanceParking in stills and openWhy to invest single of the most talked about project in Faridabad.It is situated in the Heart of Greater Faridabad only 5 proceedings drive from proposed Noida express way. Nearly 8 kms from South DelhiBest of the amenities being provided at a very competitive price Bank loan facility availableLot of corporate houses employs have also invested in our projectBank Loan facility Available from Can Fin Homes Ltd (sponsored by canara bank), Duestsche Bank, DHFLCommercial Projects1) Piyush Global IOverviewA symbol of dynamism and growth, Globai I is a maiden IT Project at Faridabad. F rom an incredible architectural style to the breathtaking views outside, working here in intend for people who seek to be associated with a vibrant community of like-minded individuals. Its hi-tech offices exude worldliness and elegance, and provide a fitting ambience for those who enjoy being in the midst of all the action. stick ahead of competition. Work better. Meet deadlines earlier. Make smooth transactions a daily routine. And to its end, Global I offers varied infrastructure which makes all this easily possible.Salient Features modify Air conditioning (Bluestar)12% insure return on investmentStrategically located at the Main NH-2Total area of 3, 50, 000 sq.ft. (Approx) knowing by the renowned architect, Hafeez ContractorProximity to the upcoming metro station .Only 20 minutes from the proposed Noida Expressway25 minutes drive from Delhi*Hassel-free working environmentHealth Club SpaCafeteriaCentralised RO water supply3 level basement parking intentional on the pattern of e nvironment friendly green building NH-2 going to six lane soonIMT Faridabad is just 5 min driveApprox. 1km drive from Commercial sector -12ATM2) Piyush Mahendra Metropolitan Mall (Commercial Project)OverviewA Joint venture with Sh. Mahendra Pratap Singh (Cabinet Minister Haryana Govt.) The world of fashion brands cuisines beckons you, now bigger and better. Piyush group presents a magnificent investment hazard in the industrial city of Faridabad, The MetropolitanMall.Designed to be the finest corporate and retail destination, The Metropolitan Mall is staring(a) for those who wish to invest in this roaring real estate marketSalient FeaturesCentrally treatElectrical dismission System- Remote ControlledHeat reflective glass to reduce air conditioning costsSpecifications as per international standardsDesigned as per Vaastu Feng Shui24X7 security systems with CCTVTwo level basement parking terminate Detection protection system.An ambience of multi specialty Cuisine Food Court .P iyush Mall is surrounded by artfully landscaped natural green environment. Situated in heart of Residential area rattling good location as NIT and other residential area is nearyby3) Piyush Business ParkOverviewA parvenu era in the Business World , Piyush Business Park is being designed by the world-renowned room decorator Hafeez Contractor. Piyush Business Park has architectural marvel in glass and steel will be spread over an area of 2 lakhs sq. ft (approx.). and will be located on the Main Mathura Road, NH-2, Faridabad as figured in the road map displayed below. This business location promises to be the destination of corporate and business houses and will bean amalgam of serenity and modernity.Piyush Business Park, a new ultra modern design of architecture consists of eight floors surrounded by artfully landscaped greenery with common basement two level parking for nearly three hundred vehicles. It will house MNCs like Insurance, Banking, FMCG, Consutling IT/ITES etc. The plat forms and infrastructure supporting services are being carefully engineered and designed to provide the best quality of service at the highest levels of availability and in harmony with customer expectations and global standards. Quality construction material is being used which includes tiled floor finishes, stone countertops throughout the area. Piyush Business Parks will thus provide the most extensive and comprehensive portfolio of structured connectivity solutions available in the market today.Salient FeaturesElectrical Lighting System- Remote Controlled.Heat reflective glass to reduce air conditioning costs.Specifications as per international standards.Designed as per Vaastu feng Shui .Hi-Tech commercial arena and world class futuristic amenities. 24X7 security systems with CCTV.Two level basement parking.Fire Detection protection system.An ambience of multi speciality Cuisine Food Court.Business Park Surrounded by artfully landscaped natural green environment. Dedicated spa ce for auto car showroomProposed Metro connectivityNH-2 going to six lane soonCurrent Scenario of Real Estate BusinessThe crucial sector of our economy is the real estate sector as it has huge multiplier launch on the economy and therefore it is known as the big driver for economic growth. After agriculture, real estate sector is the second largest employment generating sector. It is growing at a rate of about 20%per annum and this sector has been contributing about 5-6% to Indias GDP. Apart from generating a high level of direct employment the sector also stimulates the demand in over 250 ancillary industries such as cement, steel, paint, brick, building materials, consumer consumer durables and so on. Since 2005, the Indian real estate industry has been on a roller coaster ride. There has been a boom in investment and developmental activities after the governments policy of allowing Foreign Direct Investment (FDI) in real estate sector.The sector has witnessed the entry of many n ew domestic real property players and also the arrival of many foreign real estate investment companies including private equity funds, aid funds and development companies entered the sector lured by the high returns on investments. The real estate sector has also been through many highs and lows. The industry achieved new heights during 2007 and early 2008. In beginning of 2007, there was terrible growth in demand, substantial development and increased foreign investments. However, by mid 2008, industry took a U turn due to the global economic slowdown and inflow of FDI into real estate dropped importantly which at one point of time was seen as one of the most promising markets for foreign investments experience a downturn.Financial Support to the SectorFDIs attracted by the housing and real estate sector in the Financial Years 2007-08, 2008-09 and 2009-10 are 8.9%, 10.3% and 11% respectively, of the total FDI in India. However the financial year 2010-11 there was sheer 6% FDI in the sector. In the year 2010 the Indian real estate sector regained its magic spell after the darkness and recessionary pressures experienced in the year of global downturn. With the aim of focussing on affordable housing the sector has crunched the financial downturn it has experienced. The sector still has the huge potential to attract FDI in its various segments.The focus on affordable housing helped the sector tide over the financial crunch it had witnessed. There is no doubt that the sector holds huge potential to attract FDI in its various segments. The real estate sector requires joint support from both industrial sector and the Government to make further progress. On the one hand, the industry should work towards increased transparency, agnise land titles, improved talking to and project execution while on the other hand the Government must provide pecuniaryincentives to developers to build low cost and affordable housing for the masses and also review the existing FD I guidelines for investment and development in Indian real estate so that there can be an increase in the flow of foreign capital into the sector.Challenges faced by the Real Estate IndustryThe challenges that are faced by Indian real estate industry are as follows Lack of clear land titles,Absence of title insurance,Absence of industry status,Lack of adequate sources of finance,Shortage of labour,Rising hands and material costs,Approvals and procedural difficulties.Traditionally Real Estate sector was unorganized nowa days it is slowly evolving into a more organised one as the sector has started embracing professional standards and transparency with open arms. The Indian Real Estate sector has both majorly established domestic players and international players. Some of the examples of the major established domestic players in the sector are DLF, Unitech, Hiranandani Constructions, Tata Housing, Godrej Properties, Omaxe, Parsvanath, Raheja Developers, Ansal Properties and Infrastru cture and Mahindra Lifespace Developers Ltd to name a few. International players like Hines, Tishman Speyer, Emaar Properties, Ascendas, Capitaland, Portman Holdings and Homex have made a name for themselves in India.The Road AheadSince real estate reaching a point of saturation in developed countries and the demand and prices falling, global real estate players are face at emerging economies such as India for tapping opportunities in real estate. Therefore Indian Real Estate Sector has a huge potential of consistent FDIs. As India has strong economic fundamentals and demographic factors so Indian real estate will stay attractive and also there is a high level of global uncertainty looming over the developed and developing nations of the world.Developed economies are still struggling to regain their growth momentumwhich will allow developing countries including India and China to grow at a reasonably high rate. The opportunities in Real Estate sector in coming years will also help to attract global players to India and hence will assist the industry to board become more transparent, improve management and adopt advanced construction techniques (Link 1).Growth prospect of Real Estate Business in NCRReal Estate business in NCR which is witnessing a setback these days will regain its lost momentum with the boost in the economy. Government is taking measures to capitalize on the capabilities of the real estate and infrastructure sector by supporting the private public partnership (PPP) puzzle not only to boost the infrastructural activities in NCR also to bring back growth and to deliver to its citizens. The strategy involves contributions from public and private sector which will revamp the citys environs. NCR is seemed popular as an investment destination as the destinations like Connaught place is emerged as the fourth costliest commercial office market in the world. Moreover the rental values in central business district (CBD) rose by 20 percent in one year mainly due to lack of availability of quality space, no new supply prevailing high demand.Commercial activity apart from Delhi CBD is mainly concentrated in the prominent locations of NCR (mainly in Faridabad, Noida and Gurgaon) enjoys superiority as a choice of business destinations. In addition to above, the new and the upcoming corridors along Gurgaon and Noida like Yamuna Expressway, Noida Expressway, Dwarka Expressway have led to tremendous increase in the Real Estate Projects both commercial and residential from all major real estate groups in the past few months and will continue to attract more players of real estate. The other major corridors like Faridabad-Noida-Gurgaon (FNG) Expressway, grey Peripheral Road and Kundli-Manesar-Palwal Expressway are seeing prominent real estate projects developments and their popularity will also lead to more investment in NCR.Capital value of the residential realty market has also increased due to factors like amenities, travel time to c ommercial districts, connectivity to various parts of the city and quality of public transport and infrastructure. There has been 14 to 29 percent appreciation in residential property market of South-East Delhi, South-Central, Gurgaon and Faridabad ina year. Rent is also showing stability across all markets in the last quarter (Link 2). Why Faridabad has a Greater Scope for Realty developmentFaridabad, an industrial hub of Haryana, is now considered one of the best bets for safe living in the NCR. With improving infrastructure, Faridabad has transformed into a booming economic warehouse, and, a recent study has projected this old industrial city as the countrys city of the decade 2011-21 (Link 3).Bibliography(1) http//www.ficci.com/sector/59/Project_docs/real-eastate-profile.pdf (2)http//articles.economictimes.indiatimes.com/2013-04-05/news/38306514_1_realty-market-noida-expressway-dwarka-expressway (3)http//articles.economictimes.indiatimes.com/2012-09-01/news/33535418_1_ncr-citie s-service-industries-medium-and-large-industries