Illegal Construction in Bengaluru's Buffer Zones, Warn Expert.

In Bengaluru, experts have declared construction in buffer zones as illegal, sounding the alarm over ongoing projects that threaten these vital green spaces.

Environmentalists and urban planners have been vocal in their concerns about the encroachment on these ecologically sensitive areas.

As the Real Estate Bengaluru city continues to expand, the protection of buffer zones is critical to maintaining a healthy and sustainable urban environment.

The construction activities in Bengaluru's buffer zones have raised legal and environmental issues, prompting local authorities to revisit existing regulations and zoning laws.

This controversy highlights the urgent need for stricter enforcement of land use policies and the preservation of green spaces in the city.

The consequences of unregulated development in buffer zones can have far-reaching impacts on biodiversity, water resources, and overall urban well-being.

Bengaluru Development Authority BDA to launch 322 luxury villas in the Bengaluru city

322 opulent villas will be made available in the city by the Bengaluru Development Authority

At the Puneeth Rajkumar Housing Complex in Hunigere, which is part of Bangalore North Taluka, the Bengaluru Development Authority (BDA) is close to finishing construction on 322 villas.

For between Rs 75 lakh and Rs 1.1 crore, around 170 4BHK and 152 3BHK villas would be auctioned. According to BDA officials, the carpeting in the villas would be between 1,500 and 2,300 square feet. 

The sale will start soon, and customers can make online reservations via the BDA website.

When the villas are ready for sale, according to officials, their prices may increase by 10% over the original price. In the neighborhood, BDA has also built an apartment building with 320 1BHK flats.

BDA site owners not allowed to build houses even after two decades

BENGALURU: The massive hurdles faced by the Bangalore Development Authority (BDA) site allottees to construct house on plots allotted to them two decades ago in Banashankari VI stage came to the fore during a public grievances meet on Wednesday. The owners said the Forest Department was not permitting them to go ahead with the construction as the Turahalli forest is in its vicinity.

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A  of 2006 sites, allotted in 2003-04, have run into trouble with the Forest Department. Giving details, a senior BDA official said the sites were handed over two decades ago. “In 2009, the Forest Department said that a good chuck of the land fell within its limits and it has taken its possession. They fenced the land with a wall too. So, 849 sites were lost in this,” the official said. This includes sites in 3rd, 5th, 4B block and 4 H blocks.

Meanwhile, a few among the remaining allottees had attempted to build houses on their land. However, two years ago, the Forest Department said that many sites fell within 100 metres of its border, which the department calls a buffer zone, and stopped the construction. “A total of 1,157 sites including two civic amenity sites are impacted. The allottees are not being allowed to build houses by the Forest Department whenever they attempt to do so,” he added.

Asked about it, BDA Commissioner Kumar G Naik said the BDA has sent a proposal to the government to ensure the Forest Department fixes the buffer at 30 metres.

Team Houseliv Realty  

Understanding which type of real estate is a better investment: Commercial vs. Residential Property in India

The  Indian Real Estate  sector has always been an attractive avenue for investors seeking long-term wealth appreciation and stable returns. With the country’s rapid urbanization, burgeoning population, and increasing disposable incomes, the demand for both commercial and residential properties has witnessed significant growth.

However, the question that lingers in the minds of many prospective investors is whether commercial or residential properties present a better investment option in the current scenario. To ascertain the best choice, let’s explore the dynamics of both segments.

Residential Real Estate: Stability and Growth

Investing in residential real estate has been the traditional route for many Indian investors. Residential properties provide a sense of security and serve as a primary need, making them less susceptible to market fluctuations. Additionally, the Government’s various initiatives, such as affordable housing schemes and tax benefits, have further fueled demand in this segment.

One of the key advantages of investing in residential properties is the potential for capital appreciation over time. As cities continue to expand, the demand for housing will persist, leading to price escalation, especially in prime locations. Moreover, rental income from residential properties can supplement the investor’s cash flow, providing a steady stream of income.

However, the residential real estate sector is not without challenges. The market can experience periods of stagnation, and regulatory changes can impact the industry. Also, it may take a longer time to find tenants in certain localities or during economic downturns, affecting rental income.

Commercial Real Estate: Higher Returns and Diversification

In recent years, the commercial real estate segment has gained traction among investors seeking higher returns and diversification. Commercial properties, including office spaces, retail spaces, and warehouses, offer several advantages in the current scenario.

Firstly, the potential for rental yields in commercial properties is usually higher than residential properties. Businesses, especially in the retail and office sectors, are willing to pay a premium for well-located spaces that offer visibility and accessibility. With the rise of startups and multinational corporations setting up operations in India, the demand for quality commercial spaces is on the rise.

Secondly, investing in commercial real estate provides diversification, reducing the overall risk in an investor’s portfolio. Unlike residential properties, which are often influenced by macroeconomic factors and individual preferences, commercial real estate is more closely tied to the performance of businesses and industries, making it less susceptible to individual financial woes.

However, commercial real estate also comes with its challenges. The initial investment required for commercial properties is typically higher than that for residential properties. Additionally, finding the right tenant and managing the property can be more demanding, requiring specialized knowledge and professional support.

Current Scenario: Striking the Right Balance

In the current Indian real estate scenario, both residential and commercial properties offer viable investment options, each with its unique pros and cons. As the market continues to evolve, a well-balanced investment approach may prove to be the most prudent strategy.

Investors  must consider their risk tolerance, investment horizon, and financial goals when choosing between commercial and residential properties. For those seeking stable and long-term wealth creation, residential properties can serve as a solid foundation. Conversely, investors looking for higher rental yields and potential for faster growth may find commercial properties more appealing.

The Indian real estate sector presents a promising landscape for both commercial and residential investments. While residential properties offer stability and long-term appreciation potential, commercial properties offer higher returns and diversification benefits. Ultimately, the decision to invest in either segment depends on the investor’s individual preferences and financial objectives.

As the Market dynamics continue to evolve, investors must stay informed about the latest trends and regulations in the real estate sector. A well-researched and balanced approach, backed by expert advice, will help investors navigate through the complexities of the Indian real estate market and make prudent investment decisions that align with their financial goals.

Officers participating in the unauthorised road building on Hosakerehalli lake Bengaluru are to be suspended, under DKS's directive to the BBMP.

Real Estate Bengaluru

D K Shivakumar, the minister for development in Bengaluru and the deputy chief minister of Karnataka, has given BBMP Chief Commissioner Tushar Girinath instructions to suspend the officers and engineers responsible for the erroneous construction of a road on Hoskerehalli lake.

Residents had voiced opposition to the project in March of this year, claiming that the road's construction would make it easier to link to an apartment complex near the lake. It was merely a temporary mud road constructed to desilt the lake, according to the Bruhat Bengaluru Mahanagara Palike (BBMP), who had stated such at the time.

The operation was authorised to assist a powerful apartment complex owner, according to a minister's office press statement.

HOUSELIV REALTY

Homebuyer appeals to Lokayukta to take action against Housing Department for failing to respond to RERA complaints

A homebuyers has requested that the Lokayukta take action against the Housing Department for failing to respond to RERA complaints.

Shailesh Charati stated in his complaint that despite being notified by the authorities, the secretary, deputy secretary, and undersecretary of the Housing Department, in addition to the RERA member secretary, had not taken the necessary action to prevent illegal construction and sale of apartment units.

Charati explained that he had notified the RERA of an illegal apartment development in JP Nagar in April 2021. On the RERA website, he had stated that the promoter had misrepresented the building as a separate project but had withheld information about the litigation. He approached the department secretary to initiate action under Section 26 of the RERA Act after his complaint was disregarded by RERA.

In his objection to the Lokayukta, that's what charati expressed, notwithstanding five updates and over seven months after his grievance, the Lodging Division had neglected to make a move. " "This lack of action is assisting the chairman and K-RERA members in continuing their work without regard for the law and denying homebuyers justice," he added.

HOUSELIV REALTY

Rental hike hits Bengaluru home seekers houseliv Realty

 If you are looking to rent a property in Bengaluru this year, brace yourself for an unprecedented rental surge. After making a consistent recovery from the pandemic slump since March 2022, rents in the city are leaping forward. 

“I have seen a property at HRBR Layout in Kalyan Nagar, worth Rs 20,000 in rent being rented out at Rs 40,000,” said a RERA-licensed broker, who did not wish to be identified, adding that this is not an isolated case. “Landlords are greedy. It doesn’t mean properties are improving but demand is high and landlords are hiking rents,” he pointed out. 

A tenant from Whitefield who also wished to stay anonymous, agreed. When his two-year tenancy contract expired this year, he was faced with a 57% jump in his rent from Rs 14,000 to Rs 22,000, for his 1BHK home. Unable to afford it, he was compelled to seek refuge elsewhere in the area. 

“People who already paid a higher rent last year will not see this kind of 30-40% jump this year. People who are coming now, moving into a property which was either not occupied or occupied at lower rent will see a jump.

The Covid-19 pandemic exacerbated a demand-supply mismatch of housing units in India’s Silicon Valley, as restricted mobility disturbed construction cycles by six-eight months. On the other hand, with companies calling employees back to offices, demand for rental housing continues to grow, giving landlords the upper hand.

“In the last five years, demand has been way ahead of supply in the case of Bengaluru,” said Vivek Rathi, who heads research at property consultancy Knight Frank India. 

“The highest demand-supply mismatch is in Bengaluru and that is why the highest rent increase is also in here. Now, with offices opening up, people are returning to town leading to a greater tenancy demand, while supply has not kept up,” Garg argued.

A landlords’ market

From demanding resumes to income records, besides enormous deposits, email approvals for guests to stay over and other stringent curbs - Bengaluru’s landlords have turned rather infamous. 

To add to tenant woes, home owners are now blatantly demanding higher-than-listed rents, alongside listing different rental prices on multiple property tech platforms after receiving queries from interested tenants.

“Properties I went to look at within a day or two of being listed on online brokerage platforms were already booked. Landlords then openly proposed that I pay more to rent the property,” attested Harsh Vitra, an engineer from Mumbai who moved into the city last month. “I was also grilled with multiple questions on topics ranging from my religion to caste, eating habits and if I planned on bringing female companions home,” he added.

Any end in sight?

Industry veterans gauge it could be three to four years before supply begins to inch closer to demand levels, thereby cooling rent inflation for residential properties in the city. 

While construction costs are moderating, interest rates remain elevated, which is prompting both parties - developers and buyers - to adopt a cautious approach, explained Rathi. Furthermore, any project undertaken today must navigate an average construction cycle of three to five years before completion, he added. 

Team Houseliv