bhubaneshwar 2014 real estate heroes

Real Estate Market Overview

BHUBANESWAR 2014

Contact: BM Poonacha Real Estate Heroes

287, 1st main, Defence Colony, Indiranagar, BANGALORE 560 008 INDIA

+91 9449073566 [email protected]

3/28/2014

REAL ESTATE HEROES

Bhubaneswar 2014

CONTENTS

1. City Overview ................................

2. Infrastructure ................................

3. Real Estate Business ................................

4. Urban Transformation ................................

5. Residential ................................

6. Retail ................................................................

7. Commercial ................................

8. Hospitality ................................

9. Land ................................................................

Annexure: Significant Projects ................................


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Bhubaneswar 2014

1. CITY OVERVIEW Bhubaneswar is the capital city of the Indian state of Odisha. It is the state's largest city, and a centre of economic and religious importance. Bhubaneswar, categorised as a Tier-II city, is often referred to as a Temple City of India, and together with Puri and Konark, it forms the Swarna Tribhuja (Golden Triangle); one of the most visited destinations in eastern part of India. Bhubaneswar and Cuttack are often commonly referred to as the twin-cities of Odisha.

The State Capital of Orissa formed in 1948. 2nd Planned City of India it was planned for 80% Residential Use by German architect Otto Königsberger. Total Area under BDA is 393.57 sq.kms and population is 8,57,406 (Sex Ratio: Male 56%, Female 44%).


of India it was planned for 80%

Bhubaneswar 2014

The comprehensive development plan for Bhubanthat about 3 Million people need to be accommodated in the city by 2030 as against 1.3 Million existing. Bhubaneswar is also a knowledge hub in the east with Educational Institutions: IIT, NSIER, AIIMS, Vedanta, Utkal, NIPER, XIMB. The key economic drivers in this region has been IT, Steel, Aluminium, Tourism, Health and Education.

2. INFRASTRUCTURE

Significant Highways making Bhubaneswar accessible are NH5, NH203, SH 13, SHGovernment planned the city’s second airport in Mulipada, 40 km away from Bnhubaneswar, to facilitate international operations.

The Odisha government is planning to develop a regional municipal solid waste (MSW) processing and landfill facility for Bhubaneswar and Cuttack. It will be developed in a public(PPP) mode and Industrial Infrastructure Development Corporation (IDCO) is the transaction adviser.

Odisha government is engaging the Centre for Environmental Planning University, Ahmedabad, to prepare a fresh detailed project report (DPR) of Bus Rapid Transit System (BRTS) project in Bhubaneswar.


The comprehensive development plan for Bhubaneswar prepared by IIT Kharagpur which envisages that about 3 Million people need to be accommodated in the city by 2030 as against 1.3 Million existing. Bhubaneswar is also a knowledge hub in the east with Educational Institutions: IIT, NSIER,

ta, Utkal, NIPER, XIMB. The key economic drivers in this region has been IT, Steel, Aluminium, Tourism, Health and Education.

NFRASTRUCTURE Significant Highways making Bhubaneswar accessible are NH5, NH203, SH 13, SH Government planned the city’s second airport in Mulipada, 40 km away from Bnhubaneswar, to

The Odisha government is planning to develop a regional municipal solid waste (MSW) processing lity for Bhubaneswar and Cuttack. It will be developed in a public-private partnership

(PPP) mode and Industrial Infrastructure Development Corporation (IDCO) is the transaction adviser.

Odisha government is engaging the Centre for Environmental Planning and Technology (CEPT) University, Ahmedabad, to prepare a fresh detailed project report (DPR) of Bus Rapid Transit System

eswar prepared by IIT Kharagpur which envisages that about 3 Million people need to be accommodated in the city by 2030 as against 1.3 Million existing. Bhubaneswar is also a knowledge hub in the east with Educational Institutions: IIT, NSIER,

ta, Utkal, NIPER, XIMB. The key economic drivers in this region has been IT, Steel,

27. The State Government planned the city’s second airport in Mulipada, 40 km away from Bnhubaneswar, to

The Odisha government is planning to develop a regional municipal solid waste (MSW) processing private partnership

(PPP) mode and Industrial Infrastructure Development Corporation (IDCO) is the transaction adviser.

and Technology (CEPT) University, Ahmedabad, to prepare a fresh detailed project report (DPR) of Bus Rapid Transit System

Bhubaneswar 2014

AAI Airport, Bhubaneswar

PERSPECTIVE MAP OF BReal Estate Market Overview

PERSPECTIVE MAP OF BBSR-CUTTACK URBAN

Bhubaneswar 2014

3. REAL ESTATE BUSINESS

Leading developers in the region include Utkal builders, Z- Estates. SJ, Metro, TSL. Large Business houses like OSL which has interests in ports and mining has also co-invested in Real Estate Ventures. The city has attracted Pan India Players like: DLF, Unitech, Assotech, Vipul, Ashiana, Tata Housing, Trident while Forum, JJ, Mani and Space Group are Kolkata Based.

There are 2 Distinct Membership Forums: CREDAI & REDA with no common members among them.

CRISIL STAR RATED PROJETCS IN BHUBANESWAR

Project Name

Location

Acropolis Gothapatna, Bhubaneswar

Regal Dove Patia, Bhubaneswar

EY has had relationships with BDA, IDCO and BMC since long. Currently JLL is also engaged as an empaneled advisor with the State Government, followed by C&W which has limited presence.


USINESS


CRISIL STAR RATED PROJETCS IN BHUBANESWAR

Developer Name Star Rating

Acrux Realcon Pvt Ltd 5 Star

Sonsy Engineers & Constructions (P) Limited

4 Star


Star Rating

5 Star

4 Star

Bhubaneswar 2014

4. URBAN TRANSFORMATION

Growth Corridors:

• Cuttack Road

• Nandankanan Road

• Chandaka-Janla

• Sundarpada

• Tankapani

New Areas of Development Clustering: Khandagiri, Chandrasekharpur, Patia, Laxmisagar.

Forthcoming Areas: Sundarpada, Gangapada, Jatni Road, Janla, Pahal, Dumduma Tamando, Sundarpur, Chandka, Hanspal, Nakhra.

The city's real estate market has initially seencity's growing population and the increasing disposable incomes of its residents. Currently the market is in a state of inactivity due to an artificial oversupply caused by Investor Exit pressures.


RANSFORMATION


Forthcoming Areas: Sundarpada, Gangapada, Jatni Road, Janla, Pahal, Dumduma Tamando, Sundarpur, Chandka, Hanspal, Nakhra.

The city's real estate market has initially seen a steady rise in demand primarily on account of the city's growing population and the increasing disposable incomes of its residents. Currently the market is in a state of inactivity due to an artificial oversupply caused by Investor Exit pressures.


Forthcoming Areas: Sundarpada, Gangapada, Jatni Road, Janla, Pahal, Dumduma Tamando,

a steady rise in demand primarily on account of the city's growing population and the increasing disposable incomes of its residents. Currently the market is in a state of inactivity due to an artificial oversupply caused by Investor Exit pressures.

Bhubaneswar 2014


Bhubaneswar 2014

5. RESIDENTIAL

The residential market of Bhubaneswar is static since the last two years with prices averaging in the range of +/- INR 3000 per sft. High end residential market is already saturated and is in the state of over supply.

Prime Residential Asset Class Capital Values Trend

Currently not much movement in the market. Growth Rate slowed since 2011.

0

500

1000

1500

2000

2500

3000

3500

2013 2012 2011


The residential market of Bhubaneswar is static since the last two years with prices averaging in the INR 3000 per sft. High end residential market is already saturated and is in the state of

t Class Capital Values Trend

Currently not much movement in the market. Growth Rate slowed since 2011.

2010 2009 2008 2007

Capital Values

The residential market of Bhubaneswar is static since the last two years with prices averaging in the INR 3000 per sft. High end residential market is already saturated and is in the state of

Capital Values

Bhubaneswar 2014

6. RETAIL

Currently four malls are operational in Bhubaneswar: Forum Mart at Kharvella, Pal Heights at Jaydev Vihar Bhawani Mall at Shahid Nagar and Maruti Mall at Patia. Focus area of retailers are still on high street. Shahid Nagar and Janpath are major retail zones of the area. In assumption of future IT growth, some retailers came here earlier but due to stagnancy interest among retailers diminished.

The city currently has all major retail Brands: Reebok, Arrow, US Polo, Dominoes, Blackberry, Café Coffee Day, Reliance Retail, Big Bazar, Tommy Hillfiger, Levis, Pepe, Pizza Hut etc. All Major Car Brand are present like Audi, BMW, Toyota, Ford etc.

Prime Retail Rentals

Corridors

Janpath

Jayadev Vihar

Nandankanan Road

Rasulgarh to Acharya Vihar Road

Jayadev Bihar to Baramunda Road


Currently four malls are operational in Bhubaneswar: Forum Mart at Kharvella, Pal Heights at Jaydev Nagar and

Maruti Mall at Patia. Focus area of retailers are still on high street. Shahid Nagar and Janpath are major retail zones of the area. In assumption of future IT growth, some retailers came here earlier but due to stagnancy interest among

The city currently has all major retail Brands: Reebok, Arrow, US Polo, Dominoes, Blackberry, Café Coffee Day, Reliance Retail, Big Bazar, Tommy Hillfiger, Levis, Pepe, Pizza Hut etc. All Major Car Brand are

Ford etc.

Rental (INR/Sq.Ft./p.m.)

100

80

70

70

75

Currently four malls are operational in Bhubaneswar: Forum Mart at Kharvella, Pal Heights at Jaydev

Reliance Retail, Big Bazar, Tommy Hillfiger, Levis, Pepe, Pizza Hut etc. All Major Car Brand are

Rental (INR/Sq.Ft./p.m.)

Bhubaneswar 2014

7. COMMERCIAL

Janpath Road, Nandankanan Road and IRC Village are the 3 major Office Micromarkets of Bhubaneswar. IT&ITeS has been the key demand driver in the office market so far.

Office space demand in Bhubaneswar is currently low. Barring IT generic sectors have yet to take a steep rise. Unitech and upcoming Forum are offering a few office spaces, however, major industries have yet not invaded to create the ground for sharp demand increase. Growth is gradual but slow, which might augment future prospect.

Some Major Commercial Projects are:

• IDCO SEZ – Knowledge Park

• IDCO 250 Acres Info Valley

• Mind Tree – 350 Acres

• DLF 54 Acres INFOPARK at Chandaka

• Unitech Infospace

• Mancheswar Industrial Estate

Prime Lease and Outright Rates:

Corridors Lease (INR/sft/pm)

Janpath Road 100

Nandankanan Road 60

IRC Village 45


Road and IRC Village are the 3 major Office Micromarkets of Bhubaneswar. IT&ITeS has been the key demand driver in the office market so far.

Office space demand in Bhubaneswar is currently low. Barring IT generic sectors have

itech and upcoming Forum are offering a few office spaces, however, major industries have yet not invaded to create the ground for sharp demand increase. Growth is gradual but slow, which might augment

Some Major Commercial Projects are:

Knowledge Park

IDCO 250 Acres Info Valley

DLF 54 Acres INFOPARK at Chandaka

Mancheswar Industrial Estate

Lease (INR/sft/pm) Outright (INR)

100 6000

60 3000

45 2500

to create the ground for sharp demand increase. Growth is gradual but slow, which might augment

Bhubaneswar 2014

8. HOSPITALITY

Leading Hotels are Mayfair Lagoon, Trident and Swosti clustered in Jaydev Vihar area. There are budget hotels also in the core city area like Swosti, Empires, Grand Central, OTDC Crown which are not upto the mark in quality and upkeep.

A number of leading players are entering the market as per the list below:

Name of the Hotel

Trident Hilton (Oberoi Group)

Mayfair Lagoon

Hotel Sishmo

Swosti

Hotel Kalinga Ashok

Hotel Kesari

New Marrion

Hotel Swosti Premium

Hotel Ginger

Hotel Hindustan International

Crown

Hotel Pal Heights

Total

Upcoming Hotel

Radisson (by Assotech)

Cabana Hotels Pvt Ltd ( Best Western Group)

Hyatt Regency

Sarovar Hotels(by Vipul)


Leading Hotels are Mayfair Lagoon, Trident and Swosti clustered in Jaydev Vihar area. There are budget hotels also in the core city area like Swosti, Empires, Grand Central, OTDC Panthanivas and Crown which are not upto the mark in quality and upkeep.

A number of leading players are entering the market as per the list below:

Category No of Rooms

5 Star Delux 62

5 Star Delux 64

3 Star 65

3 Star 57

3 Star 36

3 Star 55

3 Star 60

3 Star 147

3 Star 101

3 Star 102

3 Star 68

3 Star 74

891

Category No of Rooms

5 Star 200

Cabana Hotels Pvt Ltd ( Best Western Group) 3 Star 100

5 Star >200

4 Star 150

Leading Hotels are Mayfair Lagoon, Trident and Swosti clustered in Jaydev Vihar area. There are Panthanivas and

No of Rooms

No of Rooms

Bhubaneswar 2014

9. LAND

Land acquisition is a big concern as approximately 80.0% land is in the hand of the state government. It is difficult to get clear, hassle free land from rest of the private property. However, government is open to provide land on leasing to investors and Partnership ( PPP) model.


Land acquisition is a big concern as approximately 80.0% land is in the hand of the state government. It is difficult to get clear, hassle free land from rest of the private property. However, government is open to provide land on leasing to investors and some developments are there under Public Private

Land acquisition is a big concern as approximately 80.0% land is in the hand of the state government. It is difficult to get clear, hassle free land from rest of the private property. However, government is

some developments are there under Public Private

Bhubaneswar 2014

ANNEXURE: SIGNIFICANT

DLF Cybercity

Unitech One at Chandrasekharpur


IGNIFICANT PROJECTS

Bhubaneswar 2014

Symphony Mall at Rasulgarh by Trident Properties

Trident Galaxy


Symphony Mall at Rasulgarh by Trident Properties

Bhubaneswar 2014

Utkal Heights

Mani Tirumala, Nandankanan Road


Mani Tirumala, Nandankanan Road

Bhubaneswar 2014

Trident Galaxy, Jayadev Vihar

Vipul Gardens, Kalinga Nagar


Bhubaneswar 2014

Vipul Greens, Ranasinghpur

Assotech Cosmopolis


Bhubaneswar 2014

TSL Spring City, Kantabada

Z1 at Patia


Bhubaneswar 2014

SJ Developers Royal Lagoon on Nandankana Road

Mahaveer Galaxy, Pahala


SJ Developers Royal Lagoon on Nandankana Road

Bhubaneswar 2014

Falcon, Sampur

Tata Ariana
