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Pharande Spaces Launching Vaarivana – Pune’s Largest First Home Villa Community at Urse Central

The Maharashtra State Road Development Corporation (MSRDC) has plans to sell or lease out 1,000 acres along the Mumbai-Pune Expressway. The land is valued around Rs 12,000 crore. This is planned to be done in nine or ten years to partly repay loans of around Rs 28,000 crore to nine banks which are funding the upcoming 701-km Mumbai-Nagpur super-communication highway, dubbed the state’s prosperity corridor.

The project plan envisages developing land parcels flanking 2 kms on either side of the Expressway. Back in 2008, the MSRDC had carried out a study through a private consultant regarding commercial exploitation of land parcels adjoining the Mumbai-Pune Expressway. The study had recommended amusement park, townships, educational institutions, agriculture research centre, food park, golf course, truck terminal, luxury villas, IT Special Economic Zone, weekend destinations, snow park, and so on could be created.

According to the report prepared by consultant Darashaw, 23 plots were identified along the stretch on the Expressway and the immediate plan was to commercially exploit nine of them. Urse is on top of this list.

Urse has a unique locational advantage. It is at the hub of major infrastructural development projects in the vicinity – the PMRDA Ring Road, the Expressway, Pune Metro and the Virgin Hyper Loop test station all converge at Urse.

Proximity to Industrial Hubs

Urse has an additional advantage of being very near to the industrial belt of PCMC, Maval, Chakan and IT/BT park of Hinjewadi. Urse is a short drive to all these business hubs making it extremely feasible for daily travel. It is estimated that more than 2 Lac people are working in the companies located in the Technology parks in Hinjewadi and its surrounding areas. Companies across various sectors like – IT, Automobile, Pharmaceutical, Engineering, floriculture have a footprint here and giants in all these sectors are making it a big market to bank on. Phase 1 of Talegaon has seen companies like General Motors, Volkswagen, Siemens, JCB, Finolex Cables, Bajaj, Land Rover, KPIT and many others set up base. A large number of people are travelling from Pune and adjoining areas. With Foxxcon, a leading contract electronic manufacturer and a key supplier to Apple Inc., setting up a base at Talegaon, it is estimated that a massive workforce of 50,000 people will be required by just this one organisation. Phase 2 has also generated equal if not more interest, it will see a sharp rise in employment opportunities too.

Education Infrastructure

The fast-growing hub has good English medium schools, finest colleges for undergraduate and post graduate courses in almost all the fields. These schools not only promote learning through an advanced curriculum but also stress on sports and physical activity for the all-round development of the child. Some of the schools are B.K. Birla Center of Education, Heritage School, Great Eastern Academy and Mount Saint Ann Convent High School.

Be it engineering or medical education and research, there are enough options like Sinhagad Institute and Indira Institute for students to opt for after completing their 10+2. The renowned Maharashtra Institute of Medical Educational and Research is also located in the vicinity.

The sweet spot continues: Urse is exactly at the midpoint between Pimpri-Chinchwad and Lonavala. The drive time is a mere 20 minutes either way. Urse also serves as a connecting junction or as a bypass for the northeast-southeast corridors connecting the Industrial areas of Chakan, Talegaon with Hinjewadi. The proposed Navi Mumbai International airport at Panvel is merely at a distance of 83 kms.

2110_SIT Urse-Image 14-01

High Growth Potential

All in all, this area has grown at a fast pace and is poised for an exponential growth in the future. This excites the real estate developers to make more and more investment in projects in the region that are sure to yield them heavy returns. Since the location is at quite a feasible distance from Pune, people have started shifting to this area to avoid the city’s hustle-bustle and experience nature very close to them.

Biggest Development at Urse

One of the biggest real estate investments in recent times has been by Pune’s leading developer Pharande Spaces. They have acquired a 250-acre prime land parcel at Urse Central with the hills of Dongarwadi as a backdrop. What is unique about their project is that it will be a horizontal-development with no high-rise buildings and will exclusively be a community of Villa Homes. This is certainly not only the biggest only-villa project in Pune but maybe across Maharashtra as well. Pharande has named this upcoming project as ‘Vaarivana’, meaning a forest of clouds.

Prospective buyers at Vaarivana also get to own the free-hold land that their villa or bungalow stands on. An investment in land provides better appreciation as compared to an investment in an apartment. Pharande Spaces’ Vaarivana has received all approvals under the Maharashtra Special Townships Act. The project has been registered with MahaRERA number: P52100018391 | Phase A-1; P52100018252 | Phase C and D as well. A key feature at Vaarivana is that 90% of the plot is a green area. Vaarivana will host a 6-hole golf course and a 50,000 sq. ft. club house.

Vaarivana is at the heart of Urse Central and all locational advantages of Urse Central hold true. In addition, a road is being constructed by PCNTDA that would connect Vaarivana to Nigdi via Appu Ghar. This distance would be covered in just 10 minutes. A proposed 30 m wide RP road will connect Vaarivana to the Rajiv Gandhi Infotech Park, Hinjewadi. The distance from Vaarivana to Hinjewadi is 19.5 kms and the drive a breezy 16 minutes.

Vaarivana Altitude

Urse Central is blessed with a pleasant climate all year round and boasts of green hills, picture perfect natural surroundings where the clouds gather. The difference in the altitudes at Urse Central (2021 ft. above mean sea level) and Lonavala (2047 ft. above mean sea level) is a mere 25 feet. It enables one to a hill station vacation experience every day. Khandala, incidentally is at an altitude which is 200 feet lower than Vaarivana.

Vaarivana is a great opportunity to invest for the future.

Why 2018 Was A Hard Year for Pune Real Estate

A year of struggle, change – and renewed hope

Anil-PharandeAnil Pharande, Chairman – Pharande Spaces

Without a doubt, 2018 was a very difficult year for the Indian real estate industry, and even the normally resilient Pune market did not escape trouble.

Among the policy interventions that hit the market hardest, RERA and GST certainly dealt the severest blows.

A majority of Pune’s real estate developers suffered business setbacks even as they struggled to adjust to the new regulations.

Elimination of Shady Builders

RERA has caused many of Pune’s smaller developers to reconsider their long-term plans for staying in the real estate business. More specifically, builders who depended on lack of regulation to conduct their businesses in questionable ways.

These underhanded ways included soft-launching projects with no real intention of completing them, diverting capital collected from the market, not obtaining all the required clearances, building on non-approved land parcels, cutting corners on construction quality and short-changing customers on the promised flat sizes and project-level amenities and facilities.

RERA, which the Maharashtra Government implemented with higher determination than in any other state, proved to be the downfall of many smaller developers in Pune.

No one questioned the need for this long-overdue regulation which finally made the customer king again. However, only Pune’s larger, organized developers could endorse RERA with honesty because they are the only players who could adapt to it.

Massive Capital Crunch

One of the hallmark features of RERA is that it closed the door on informal soft launches. For a pre-launch to be legal under RERA, the developer must formally register his project and thereby make a legal commitment to complete it as per promised schedule.

Obviously, this eliminates developers who were only in the business to syphon cash from the market with no intention of delivering.

2018 also saw the full implications of GST on the real estate market become evident. While it replaced multiple other taxes which applied to real estate purchase, it increased the overall tax burden on buying into incomplete projects.

Only ready-to-move projects with completion certificates became exempt, which caused most buyers in Pune to look only at ready-to-move projects.

While RERA and GST were launched in 2017, 2018 saw the full force of both these landmark regulations come into play. There was a massive realignment of buyer sentiment towards bigger organized developers.

The NBFC Crisis – The Final Straw

If this impact on smaller developers was not hard enough, the crisis that hit non-banking finance companies (NBFCs) in the last quarter of 2018 was, in many ways, the final straw.

Already financially struggling developers in Pune who could not raise capital from the market anymore and depended on NBFCs to get their projects going were struck hard. Again, only stronger and adequately capitalized developers could survive this impact.

Two Important Positives

There is no gain without pain, though 2018 brought a lot more pain than gain for Pune’s real estate market.

Nevertheless, the Pune property industry benefited in two very important ways.

  1. 2018 empowered Pune’s homebuyers

2018 empowered Pune’s homebuyers more than ever before. This one year brought more clarity and confidence for customers than several preceding decades put together.

Property prices in the city reached their lowest point, with many areas and projects correcting by as much as 15%. Simultaneously, there was lots of supply of ready-to-move properties, which gave customers not only a way around GST but also the comfort of knowing exactly what they are paying for.

  1. 2018 resulted in a much healthier property market

Despite the pain, or rather because of it, the massive shakeup among Pune’s real estate developers in 2018 resulted in a much healthier property market. The year signed the death warrant on unscrupulous players who were crippling the market.

The inherent strength of reputed developers became evident, with many of the smaller builders selling their incomplete projects or land holdings to stronger developers.

With this process of consolidation came the assurance that projects which had no chance of being completed would now be delivered under reputable banners.

Pune’s real estate developers will remember 2018 as the year that they either came into their full strength or exited the market with no chance of further survival.

As such, 2018 will go down in the history of Pune’s real estate market as a year of genuine, long-lasting change – a change which will ultimately benefit all stakeholders.

About the author:

Anil Pharande is CMD of Pharande Spaces, a leading real estate construction and development firm famous for its township properties in West Pune. Pharande Promoters & Builders, the flagship company of Pharande Spaces and an ISO 9001-2000 certified company, is a pioneer of townships in West Pune. Anil Pharande is also Vice President – CREDAI (Pune Metro) and a MahaRERA conciliation forum member.  

Indian Millennial Homebuyers: The Times Are Changing

millennial

Anil Pharande, Chairman – Pharande Spaces

Everything that your parents may have communicated to you about owning a home may be incorrect if you are a millennial under the age of 35. However, don’t blame yourself for this – your parents operated by a rigid set of values that they have simply passed on to you. It was a simple enough formula – get a good education, get married, have kids and buy a big flat in the city. This is – or was – the quintessential Indian middle-class dream.

This dream – and the formula – may continue to have relevance to quite a few younger people in India, but the way life works for today’s millennials in India is no longer so cut and dried as it was for their parents. In the first place, we have a rapidly evolving and increasingly competitive job market in India.

The career charts of Indian millennials are no longer as predictable as those of their parents were – nor does a sound college education mean that one can actually get the best jobs anymore. Also, millennials are the ‘job hopping’ generation which wants to sample different lines of work and also different companies with varied work cultures before they ‘settle down.’ This is one reason why many Indian millennials initially prefer to rent rather than buy their homes.

Secondly, because their careers are no longer cast in the concrete of limited options like engineer, doctor, lawyer, banker or ‘Government job, young Indians today are marrying later and are not necessarily in a hurry to have children once they do, either. When they do decide on having children, having one child is, more often than not, enough. The typical millennial family of today is essentially nuclear and does not subscribe to the values that drove the much larger and much more complex joint family package.

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They are more flexible and value their freedom, so they are not overly invested in making heavy financial commitments as soon as they are able to (making such commitments was a defining factor of the previous generations of Indians).

What does this mean in terms of their home purchase decisions? For one thing, it means that a smaller flat – even for a dual-income household – is perfectly adequate to begin with. What increasingly matters for the young, smart socially conscious Indian nuclear family of today is not necessarily size, but:

  • Value for money (banks and developers should understand by now that dual income does not equal dual gullibility)
  • Being able to get to and from work conveniently (not because getting to work fast matters most, but because getting home faster leads to better work-life balance)
  • Good public transport connectivity (because using public transport is good for the family budget as well as the environment)
  • Two car parking spaces (because two earning members may need to be as mobile as possible)
  • Fast broadband + Wi-Fi connectivity and other smart home features (because many Indian millennials can and do work from home, or from home as well as an office)
  • Environmental sustainability of the project (because most Indian millennials do believe that the world can become a better place)

Upgrading to larger homes should be an option, but it is by no means the only acceptable path for the Indian millennial to follow. For the previous generations, the ‘upgradation’ route was more or less socially enforced – but that trend is now history.

Strangely, many residential developers in cities like Pune have not caught on to the reasons why their projects are not selling as fast as they used to. They choose to believe that it is because ‘market conditions’ are currently ‘slow’. That may be true, but the larger fact is that housing projects that appealed to their parents may not have the same attractiveness for today’s millennials.

Projects that do not meet the requirements of today’s younger generation of working professionals are not going to work for this buyer segment, regardless of the market conditions.

One truth about the real estate market has not changed, even for millennials – while it is not all about ‘location, location, location’ for them, location is still certainly very important. It’s just that ‘central location’ is no longer the Golden Rule – Indian millennials are far more inclined to purchase their first homes in the suburbs, not in the city centre.

They are also far more likely to buy homes in organized townships with stand-alone infrastructure and their own schools, healthcare and shopping / entertainment facilities. Townships with their own office complexes offering potential walk-to-work or cycle-to-work possibilities and those close to major employment hubs such as IT parks and manufacturing belts are the most preferred.

About The Author:

Anil PharandeAnil Pharande is Chairman of Pharande Spaces, a leading construction and development firm that develops township properties in West Pune. Pharande Promoters & Builders, the flagship company of Pharande Spaces and an ISO 9001-2000 certified company, is a pioneer in the PCMC area offering a diverse range of real estate products catering especially to the 42 sectors of Pradhikaran. The luxury township Puneville at Punavale in West Pune is among the company’s latest premium offerings. Woodsville in Moshi is another highly successful PCMC-based township by Pharande Spaces which is now in its 3rd phase.

Infrastructure And its Correlation to Home Buying

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Anil Pharande, Chairman – Pharande Spaces

In India, as in other countries, it is a simple fact that localities which are as close as possible to important workplace areas will be most consistently sought out by people looking to buy homes. Therefore, projects with great connectivity by railway and road, see the highest demand for residential properties.

Property investment is always driven by the infrastructure in and around a locality. From sufficient roads to reliable water supply and drainage, infrastructure includes all the physical characteristics which contribute towards creating sustainable communities. Unsurprisingly, property costs close to infrastructure including airports, railway stations and roads are higher than in other regions.

If a location does not offer reliable electricity and water supply, connectivity, public transportation stops and sanitation by ways of good sewerage and waste disposal, it will not work as a residential destination regardless of what else it offers. All these are services that nobody living in a modern Indian city is prepared to live without.

From a property marketplace outlook, sufficient infrastructure in an area includes everything that leads to an easier, convenient lifestyle which does not have to contend with any kind of shortages, service outages and breakdown of public facilities.

Well-planned roads and public transport

Roads are required to make transport quicker and simpler. They are important right from the time when basic infrastructure and initial real estate development are being put in place, as raw materials and labour has to be able to reach the location. Once the area is established, roads let people travel to and from work, for kids to get to and from school and for access to shopping and entertainment.

Proper planning of road, rail and public transport nodes is very important. The key factor to be kept in mind during this planning is that people do not want to too close to bus depots, railway stations, shopping areas and industries businesses – but neither will they wish to be too far away from them.

Reliable supply of essential utilities

In a developing country like India, there are still many towns and suburbs of cities that do not enjoy reliable water and electricity supply, garbage management and public security features. With the income of typical Indian families constantly growing, today’s urban homeowners are willing to spend more to get access to seamless water and electricity, and adequate security.

Naturally, residential complexes that provide 24×7 water and electricity supply and round-the-clock security are far now highly favored. This is what has led to the growing momentum of township development in Pune and even more so in PCMC. Housing projects in places that don’t have reliable utilities and where security is a concern do find takers – but these are usually exceptionally budget-strung buyers who resign themselves to having to wait for everything to fall in place at some stage.

Sanitation infrastructure

In India, there has been rising awareness of the minimum levels of sanitation that a household should have access to. A new location will only start attracting real demand from homebuyers if it offers appropriate measures of sanitation such as municipal road cleaning, trash removal, sewage and waste water disposal, and other related services. Without these services, life becomes unhealthy and intolerable. A location’s score on the sanitation front is a very important criterion for homebuyers who are shortlisting housing projects in which to buy a property.

Social infrastructure: Schools, hospitals, shopping and recreation

Indian families put great onus on the availability of schools in a residential neighbourhood. This is why areas with good schools in the vicinity fetch higher property rates than most others. This is not only a question of convenience for Indian parents, but also of the safety for their children. Because of life’s uncertainties and the rise in road and domestic accidents, hospitals are another component in an area’s social infrastructure that is of critical concern for homebuyers. They expect quick access to medical facilities –  this is non-negotiable.

Recreational open spaces such as parks are also consistently in favour from city dwellers that wish to experience nature to some extent, and thereby be able to find some refuge from the urban madness that rules most of their days. A locality that offers water bodies, gardens, parks and playgrounds in the vicinity are considered premium.

Developers of large integrated townships are aware of how important the availability of good social infrastructure has become, which is why they include gardens and artificial lakes as well as schools, shopping and entertainment inside the project premises for their residents.

Infrastructure in all its facets is therefore hugely important in today’s residential property scenario, and it directly influences the buying behavior of Indians scouting around for homes. The degree to which social and civic infrastructure is available in a neighbourhood dictates how successful a residential destination is today.

This is why integrated townships have become the most important trend on the Indian property market today. Townships are not dependent on how proactive the municipality and private sector players in deploying social and physical infrastructure. They deploy it themselves in perfectly-contained microcosms that not only include residential projects but also office and retail complexes as well as educational and healthcare facilities.

Integrated townships ensure that their residents have everything they need for a modern comfortable and secure lifestyle accessible within easy reach, for instant use. The high demand for township properties in rapidly urbanizing cities like Pune and PCMC vouchsafes the fact that homebuyers are no longer willing to compromise on the advantages of sufficient infrastructure in their neighbourhoods.

About The Author:

Anil PharandeAnil Pharande is Chairman of Pharande Spaces, a leading construction and development firm that develops township properties in West Pune. Pharande Promoters & Builders, the flagship company of Pharande Spaces and an ISO 9001-2000 certified company, is a pioneer in the PCMC area offering a diverse range of real estate products catering especially to the 42 sectors of Pradhikaran. The luxury township Puneville at Punavale in West Pune is among the company’s latest premium offerings. Woodsville in Moshi is another highly successful PCMC-based township by Pharande Spaces which is now in its 3rd phase.

Rainwater Harvesting: Not Just an Option but A Necessity

Anil Pharande, Chairman – Pharande Spaces

In a land-locked city like Pune, the value of water is inescapable. Factors such as climactic changes happening at a national and global level are causing water levels to fall. Overpopulation has resulted in more and more acquisition and development of land – and, even worse, for landfills, cutting back on water bodies that were once available and accessible.

Deforestation has further compounded the deficiency of water, as this causes regional rain to eventually become unpredictable. Several areas are critically affected by a dearth of usable water – a city like Pune is, actually, a prime example of the happening throughout India.

More and more of the world’s burgeoning populations will be moving to urban areas in the years to come. As a result of accelerated property development in our cities, the greatest requirement for critical resources such as water is focused in urban areas. As a consequence, multistory residential complexes are being constructed at an extremely rapid speed.

The earth’s surface is 70% water; yet, very little of this is actually usable or drinkable by humans. It is very likely that we will shortly reach a stage when the quantity of useable water present on the earth’s surface isn’t sufficient to satisfy all of the requirements of the development occurring to accommodate the growing population.

Rainwater harvesting is the solitary realistic option to counter the growing menace of rapid water depletion – and this real and present option is definitely catching on in our cities. Rainwater harvesting involves accumulating, filtering and storing rainwater to be utilized for assorted industrial and residential purposes.

Rainwater is a clean, free source of potable water. Rainwater harvesting used in residential properties, which involves trapping rainwater from roofs and directing it into underground storage tanks or cisterns, can satisfy 50% of a regular family’s water needs.

The truth is, rainwater harvesting isn’t just a strategy to make maximum use of the natural resource – it also has minimal environmental impact. Naturally, it leads to substantial price savings on recurring water charges in residential buildings. In a city like Pune, a huge number of residential societies are dependent on expensive water tankers which extract ‘hard’ water from borewells – a process which further depletes ground water levels and causes all kinds of associated problems to the environment.

Urban water supply calls for pumping stations in addition to putting up treatment plants and supply conduits. With the rate of increase in urban population, city planning authorities cannot match utilities in the majority of Indian cities. Engineers and geologists are constantly fighting to discover new sources of water.

With borewell shafts going deeper as the hunt for more water continues in cities like Pune, water supply can actually be significantly supplemented by rainwater and decrease the pressure on the usual water supply.

When rainwater is harnessed in a housing complex, it can be utilized for assorted non-drinking functions that call for substantial volumes of water. Because rainwater can complement the traditional water supply system, this means considerably reduced utility bills.

Rainwater harvesting is equally appropriate for large manufacturing units that use up substantial amounts of water. Such industries can reduce the pressure on groundwater by making use of rainwater for all their requirements.

A perfect fallback position

Climate change has caused significant disruptions in the weather patterns in lots of Indian cities, resulting is decreased rainfall. Rainwater can be collected, stored and used during drought seasons to complement the ordinary water supply. In cities like Mumbai and Pune, the dreaded bane of rationing and water shortage is mitigated with rainwater harvesting, which also reduces the dependence on dams and water reservoirs.

When rainwater harvesting systems are used by a sufficient saturation of residential buildings in a city, there is a substantial drop in pressure on drainage systems, thereby reducing the possibility of floods, soil erosion, and surface run-offs. Rainwater harvesting is a perfect solution especially in low-lying regions, which are usually prone to floods due to over-taxed drainage systems.

The use of rainwater harvesting systems allows groundwater levels to recharge, which in turn aids in enhancing urban greenery; in fact, this is actually the sole dependable means of having green places without leeching away from the direly needed water supplies within urban areas.

Simple to set up and use

Rainwater harvesting systems are simple to put up and operate. There is absolutely no requirement for the complicated purifying systems which need to be applied to cleanse groundwater, since rainwater is pure. Rainwater collection systems use modern yet extremely simple technology, and their care simply involves occasional cleaning of pipes and the storage tanks to ensure the rainwater gathered is not contaminated.

Actually, rainwater harvesting can be used by anyone. Installation of gutters is step one for buildings that lack them, together with a filtration system to make certain that any other sort of debris or leaves will not find their way into the storage tanks. Safety precautions include having locking bars or lids to stop the breeding of mosquitoes or other forms of pollution of the stored water. Catchment areas in a city may comprise paved regions for example roads and car parks, where water may be picked for several non-drinking purposes.

Need for more government support

Most of the municipality areas of cities like Pune have a huge number of housing projects which don’t have the required rainwater pits. In quite a few cases, the lack of space and the overall design of the project may not make rainwater harvesting pits feasible at all – but where it is possible, no effort should be spared to create them and put rainwater harvesting systems in place. New apartment projects must, of course, be engineered from the world ‘go’ to incorporate rainwater harvesting systems.

While all such measures have been implemented in the more progressive PCMC (Pimpri-Chinchwad Municipal Corporation) of Pune, the speed at which the Pune Municipal Corporation is moving on this front leaves a lot to be desired. Rainwater harvesting is a standard feature in PCMC’s large integrated townships.

As rain is becoming noticeably scantier, the government has already begun undertaking measures to encourage residential societies, educational institutions, and similar buildings to optimize water use and exercise better principles of water economy.

The rapid, yet necessary proliferation of paved areas and roads in our cities is preventing the proper percolation of rainwater into the ground, and causing water bottlenecks on the outskirts. Establishing regularly spaced rainwater harvesting pits in urban localities is definitely the way to go, and must be implemented in cities like Pune without further delay. Additionally, the city authorities must put in greater efforts to educate citizens about the benefits and implementation of rainwater harvesting.

About The Author:

Anil Pharande is Chairman of Pharande Spaces, a leading construction and development firm that develops township properties in West Pune. Pharande Promoters & Builders, the flagship company of Pharande Spaces and an ISO 9001-2000 certified company, is a pioneer in the PCMC area offering a diverse range of real estate products catering especially to the 42 sectors of Pradhikaran. The luxury township Puneville at Punavale in West Pune is among the company’s latest premium offerings. Woodsville in Moshi is another highly successful PCMC-based township by Pharande Spaces which is now in its 3rd phase.