Thergaon Is The New Star On The Pune Real Estate Map

Anil Pharande

Thergaon in the Pimpri Chinchwad area is the latest rising star in Pune real estate. Now that most of the urban areas within the city have reached saturation point, it is the suburbia and outlying localities that are receiving increasing attention. Thergaon is amongst the most favored destinations for property buyers from Pimpri Chinchwad as well as from central Pune.

Pune Property

Location Advantages

The fact that Thergaon is now known as both the Aundh Annexe and Chinchwad Annexe is significant. Both Aundh and Chinchwad are highly developed in both the residential and commercial sense. In fact, the Pimpri Chinchwad area has a very large industrial presence in its own right. Wakad and the Hinjewadi Software Technology Park lie at approximately the same convenient distance from Thergaon along the Pune-Mumbai Highway, bestowing their various benefits as well.

The general location of suburban Aundh is favored for many reasons. All of these reasons are of great importance in the Pune property market context. Being relatively unsaturated and congestion-free, localities like Wakad, Baner, Pimple Saudagar, Pimple Nilakh and Thergaon still offer relatively clean environment, spacious living conditions and affordable land rates while retaining the advantages of modern, developed Aundh.

This is a ‘have-your-cake-and–eat-it-too’ situation that is not available often on the Pune property market. Moreover, town planning authorities have taken it upon themselves to avoid the more obvious mistakes committed in the over-development of Aundh – the pace of development in the above-mentioned areas is carefully controlled. Only residential and commercial projects that fit well into the overall master plan are encouraged. From both an investment and home-buying angle, localities like Thergaon make eminent economic and aesthetic real estate sense.

Great Connectivity

Pimpri Chinchwad features some of the nation’s most prominent industrial entities, and is home to the redoubtable Maharashtra Industrial Development Corporation belt. As such, it provides innumerable opportunities for employment and entrepreneurship, and counts among the most prosperous and progressive areas in the country.  Similarly, Aundh has proliferated in leaps and bounds over the past few years.

The Hinjewadi Software Technology Park is a byword of Pune’s IT Revolution, having attracted major corporations active in this vast and progressive field. Thergaon is readily accessible from these areas and at the same time remains peaceful, free of development excesses and very affordable. Since these advantages came to light, some significant additions have been made to the landscape at Thergaon.

The Aditya Birla Hospital is a major coup for the future of Thergaon’s standing on the property market. The establishment of this deluxe medical facility there had been proposed in response to the quiet environment and convenient accessibility to Pune’s more centralized parts. As a medical establishment, it rivals the most prominent and respected in Pune and has attracted a lot of attention. In addition, it provides a significant amount of employment and commercial advantages to the immediate area.

It is also no accident that the Pimpri Chinchwad Municipal Corporation (PCMC) has decided to launch its ambitious Sunny Water Sports Centre in Thergaon. The basic functions of this establishment, designed along international guidelines, is to train and discipline youngsters with potential in the refined water sports of canoeing, kayaking and rowing, under highly qualified training instructors and in a carefully monitored environment. The organizing committee for this undertaking found the Pawna River that flows along Thergaon to be the ideal venue.

Apart from a professional training establishment, the SWSC will also serves as a deluxe recreational facility for water sports enthusiasts interested in speedboats, water scooters and so on.

On the industrial front, the well-known Padamjee Paper Mills have contributed in no uncertain way to Thergaon’s overall economy. This sizable organization provides for the blue collar sector what Hinjewadi does for the white collars – adequate employment, steady commercial status and additional interest in the area as a suitable residential abode.

In short, things are definitely looking up at Thergaon. Numerous notable builders are taking an active interest in establishing projects there, and the future of this charming little locality is as bright as that of Wakad, Pimple Nilakh and other outlying areas of Pune.

Anil-PharandeAnil Pharande is Vice President of CREDAI Pune Metro and Chairman of Pharande  Spaces, a leading construction and development firm that develops township properties in the PCMC area of Pune, India.

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Pune Real Estate Is High And Still Rising

Anil Pharande

It has taken the Indian property market quite a while to realize the immense potential of our very own Punya Nagari – or Pune, in short – but its eyes have finally opened. No longer can this little city be ignored or dismissed as a ‘Pensioner’s Paradise.’ One tends to wonder why it took so long for its star to rise, considering the many advantages it has to offer.

Pune Property

If location is the lodestone in real estate, Pune is truly blessed. Nestled in the Western ghats of the Sahyadri mountains, it features climactic conditions that are the envy of most other cities in the state of Maharashtra and beyond. In fact, the weather and natural ambience come so close to actual ‘hill station’ conditions for most of the year that Pune is becoming quite a tourist destination in its own right.

What really matters, however, is the fact that there is a steady influx of home-buyers from all over India. This is evident by its growing population, which includes many that have made Pune their home only in recent years. In real estate terms, this is what defines a ‘boom’, and Pune is certainly experiencing one.


There are various other reasons, apart from location, for Pune’s sudden rise in real estate fortunes. The ‘Oxford of the East’, as it is also known, is home to a number of prestigious educational and training institutions that cover every aspect of academics – including astrophysics, advanced computation, medicine in every discipline, journalism, film making, law, every aspect of engineering, sociology and so on.

By any standards, it is quite unusual to find such a diverse treasure of knowledge and learning within the borders of a single city – and a pretty small one at that. With the increasing accent on educational excellence for the past couple of generations, this makes Pune a natural choice for people who want their offspring to benefit from the city’s academic infrastructure. It is not by accident that Pune is home to an astronomical number of foreign and out-of-state students.

Pune also boasts of other attractions to non-city people. For instance, it offers a full-fledged horseracing infrastructure that intercity gamblers and racing enthusiasts find impossible to resist. The annual racing season is a major event and attracts big spenders from all over the country. Serious enthusiasts invariably opt to settle down in Pune rather than travel long distances every year. The real estate avenues that this phenomenon has opened up on the real estate market are considerable and far-reaching.

However, educational facilities and horse races alone would probably not have sufficed to make Pune’s stars rise and shine so brightly in the real estate skies. The icing on the cake was yet to follow…


Ironically, it was not the city of Pune itself but its outlying localities that are attracting major attention. Areas like Hinjewadi, Kharadi, Hadapsar, Aundh and Wakad are very much under the spotlight since the first multinational IT giants began expressing serious interest in them.

To understand this interest, one must first understand the specific needs of such companies and their employees. A large-scale, high-tech software facility requires self-contained infrastructures wherein development of intricate and highly specialized products can take place without hitches caused by the ‘outside world’. This calls for considerable spaces of land away from day-to-day civilization. At the same time, such a company is still dependent on supplies of basic materials, so the location cannot be entirely secluded. Success in large scale IT activities calls for fluidity of people and supplies.

If the company’s actual location is an isolated one, these must be imported from other, more developed areas. At the same time, appropriate housing for company employees has to be made available as close to the workplace as possible. Since IT professionals generally fall in a high-income bracket, such residential facilities must be a cut above the commonplace. In other words, they must offer a high level of luxury, comfort, security and privacy.

Considered collectively, these conditions are extremely hard to meet in a developing city. However, the ‘discovery’ of Pune’s above-mentioned localities caused IT giants like Wipro, Satyam, Msource and others to wake up to the potential inherent in Pune’s outskirts. Everything fit the basic needs of an Infotech development infrastructure – including the proximity of Mumbai via the Expressway and the Silicon Valley of India – Bangalore – via the Bangalore-Pune Highway.

The areas were uncluttered and ideal for undisturbed research and development, land rates were cheap, and there was plenty available. The necessities of manufacture and daily living were readily available from central Pune, with more specific supplies easily procurable from out of town.


It did not take long for this potential to be exploited. Builders and developers who had gone to sleep with the notion that the property market in Pune had reached terminal stagnation point suddenly woke up to the promise of international megabucks. However, it soon became apparent that contemporary ideas of what constitutes a luxury home would have to be drastically revised.

The new breed of affluent and discerning IT professionals was settling for nothing less than topnotch amenities, the very best of location, and expedience in viewing and purchase. As a result, the old norms on which Pune’s real estate market operated went out of the window. New architectural techniques and concepts evolved. In addition, home loan availability became an easy and hassle-free process.

The trends that such builders were setting forced others to upgrade their act, as well. The development that was taking place in the above-mentioned areas increased their worth on the market exponentially and soon almost every builder worth his salt was scrambling to get a piece of the action. Owning a residential project in or around the Hinjewadi Infotech Park or Magarpatta Cybercity became an issue of prestige and assured prosperity.

The Expansion Effect spread, causing the revival of further and further localities and putting them on the developer’s drawing board. Chief among these was the Pradhikaran area of the Pimpri Chinchwad Municipal Corporation. In fact, Pradhikaran real estate in general and the township properties there in particular became a term that spelled ultimate convenience for home buyers and assured returns on investment for Pune property investors. Along with an increasing number of industries and the ultra-modern residential complexes and residential townships in Pimpri Chinchwad, the commercial retail sector naturally also got a significant shot in the arm.

Today, the erstwhile ‘Pensioner’s Paradise’ of Pune is a transformed and revitalized entity. The demand for homes in this city has risen astronomically, and continues to climb steadily. Considering that Pune still has immense tracts of prime locality land to offer to major industries, retail magnates and home seekers alike, it is safe to state that this century will assuredly see the city’s name in the Real Estate Hall of Fame.

Anil-PharandeAnil Pharande is Vice President of CREDAI Pune Metro and Chairman of Pharande  Spaces, a leading construction and development firm that develops township properties in the PCMC area of Pune, India.

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Tips On Freebies And Discounts On Pune Properties During Diwali

Anil Pharande

In Maharashtra, Diwali is definitely the time of choice for property buyers to invest in their dream home. The Pune real estate market is no exception. In fact, Pune property buyers look forward to this festival to sign the papers on their homes because this city cherishes this traditional time of investing in the future.

Obviously, builders also respond to the vastly improved market sentiments and do all they can to sustain them. During the Diwali period, Pune property buyers can expect to see various value-added offers which developers introduce to boost sales during the festival.

freeThe Diwali period in 2011 will see a lot of such activity, because Pune property developers are eager to create sufficient interest in their projects. The Pune property market has seen slackness over the last six to seven months, and Diwali is the time that developers have been looking forward to as much as property buyers.

The question here is – do such ‘freebies’ constitute real value for property buyers? The answer to this does not depend solely on what is being offered. It is a normal market phenomenon for incentives to be offered during the festive season, but property buyers should consider the actual value of the property.

Buyers should be cautious about extravagant freebies and take a close look at the factors that add or reduce value in the case of real estate. If the project is by a developer known for sub-standard construction, or if it is located in a ‘blind spot’ of the local real estate market, no amount of freebies can compensate. The property itself will not represent a good investment, and the buyer will not benefit in the long run.

Another aspect to watch out for is freebies being offered for properties in over-priced projects. At a time when Pune property buyers seek the best options for their money, getting a free car along with an overpriced flat does not make sense. If the flats in this project are not affordable, freebies will not improve the situation. If a buyer wants to buy a flat in such a project, it is best to negotiate for a better price than to accept freebies.

Property buyers should remember that as a rule, the freebie offers on flats do not translate into rates that are lower than the developer’s base cost, which includes the cost of land and construction.

Pune home buyers should especially beware of freebies being offered by investors who have put their money into properties in locations that are known to be ‘overheated’ (in other words, where rates have been artificially inflated by excessive investor activity). In such cases, freebies are meant to act as psychological encouragements to make an unwise property purchase. It is always safer to buy directly from reputed developers with a sound market standing.

There are certain incentives that Pune property buyers can definitely take seriously. These are not in the form of cars or vacations, but represent actual savings to them. Such incentives include:

  • Reduced down-payments to book flats, with balance payable on possession, resulting in an extension of the period between booking and full payment. Normally, buyers would have to pay the balance as the building progresses
  • A waiver on stamp duty charges
  • Free or significantly reduced clubhouse memberships
  • Free parking, furnishing, air-conditioning and enhanced security features
  • Reduction of waiver on premium for floor-rise

Anil-PharandeAnil Pharande is Vice President of CREDAI Pune Metro and Chairman of Pharande  Spaces, a leading construction and development firm that develops township properties in the PCMC area of Pune, India.

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Where Are India’s Budget Homes?

Anil Pharande

The concept of affordable housing in India sounds simple enough, but nothing could be more complex than this subject. We all know that India needs more budget homes, but where are they?

Trends come and go. Developers’ business agendas change along with the dynamics of the real estate market. However, the dire need for compassionately priced homes remains. Of course, there are quite a few developers who are addressing the demand for affordable housing. Nevertheless, if we consider the sheer vastness of the demand, their offerings don’t make even make a dent in it.

Pune PropertySoon after the real estate market revival after the Lehman-induced global financial crash, it did seem as though the Indian developers had finally woken up. A huge number of them focused squarely on developing affordable housing projects. The inflexible demand for such homes in our larger cities and their further suburbs meant was their ticket out of financial trouble.

And then the economy revived, and it kept on reviving. Suddenly, home buyers with lower incomes were no longer in fear of their jobs. The stock market revived, and capital began to flow into the real estate sector again. This was good news for the real estate market in general, but bad news for the affordable housing sector. Greed took over again, and the focus of developers once again shifted to higher-priced premium housing.

Premium homes were an attractive segment for developers in 2006-07, and there were many project launches aimed squarely at India’s more affluent classes. The global economic downturn put a brake on this trend only through the worst period of 2008 and 2009. In this period, it did seem as though affordable housing was going to get its due share of attention at last. However, they did not take long to concentrate on premium housing again.

So – where does the common man stand today? What has happened to affordable housing? Was it no more than a passing trend to tide developers over during the leaner economic period? Budget home launches have reduced a lot. In fact, even mid-income homes in many of our cities have become so expensive that demand for them has slowed down.

It cannot be said that nothing at all is happening in terms of budget homes in India. There are commendable efforts still being made by conscientious, smart developers to cater to the housing needs of the lower-income groups. However, it is not enough. The shortage in this segment is still huge. The Government has come out with special schemes for affordable housing for builders, but most of them are not taking up the opportunities.

We are now faced with an escalating problem. More and more people who can be classified as slum dwellers are obtaining good jobs, and are able to afford homes in the bracket of Rs. 7-12 lakh. It is only because there is no supply of homes in this bracket that they continue to live in slums and run-down chawls. The affordable rental housing projects that were announced earlier with so much fanfare are not happening in the required numbers.

This means that India now has vast numbers of people who could live in better conditions, but are unable to. Because of the continued demand for accommodation in slums, it is harder than ever to eradicate them. Slum redevelopment can only take place on a significant scale if the resistance to it decreases.

Anil-PharandeAnil Pharande is President of CREDAI PCMC and Chairman of Pharande  Spaces, a leading construction and development firm that develops township properties in the PCMC area of Pune, India.

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PCMC gets defence land for widening Aundh Road

(Times of India, Sept. 10, 2011)

pune PropertyPUNE: The work of widening the Aundh-Ravet Road near Aundh commenced on Friday after a gap of nearly a year. The Pimpri Chinchwad Municipal Corporation has begun the work as it has received written permission from the defence authorities. The road-widening work had been stalled as the defence authorities had earlier objected to the work.

Municipal commissioner Ashish Sharma said the defence authorities on Thursday granted the permission to the PCMC. He said the PCMC had earlier paid Rs 18 crore to the defence authorities for the land.

The widening work will be from the Aundh Chest Hospital up to Y junction. The work will reduce traffic congestion on the narrow road near the hospital, he added. The widening work on the 14.4-km Aundh-Ravet Road is being done for developing a BRT corridor. For early completion of the work, the road has been divided into seven sections for which contracts have been given. The work on widening the four-km stretch from Rajiv Gandhi bridge in Aundh to Sai chowk in New Sangvi could not be completed due to the delay in getting the defence land.

The narrow stretch of the road is a bottleneck and witnesses daily traffic snarls during the peak morning and evening hours and causes inconvenience to hundreds of motorists.

Dilip Kudale, coordinator, engineering department, PCMC, said, the road is being widened from 15 to 45 metres. The PCMC will complete the work in the next six months.

The Real Estate Evolution Of Nagar Road

Nagar Road is a lot more than just a stretch of highway. In fact, it has become symbolic of industrial and commercial progress in Pune. Some of the most economically thriving areas in the city are situated along Nagar Road. Kalyani Nagar, Vadgaon Sheri, Chandan Nagar, Viman Nagar and Kharadi are the ones that come immediately to mind.

Pune PropertyThe development taking place in these has given Nagar Road an entirely different image, and the name is gaining national and even international prominence. Let us examine Nagar Road’s real estate hot-spots according to the intensity of development as well as physical and social infrastructure.


Kalyani Nagar is named after Dr. Neelkanth  Kalyani – owner of various notable companies like Bharat Forge and Optronica. It has emerged one of the most prominent and established commercial real estate destinations on the Eastern Corridor of Pune. Its strategic location between Koregaon Park and Viman Nagar and its close proximity to the airport, railway station and other commercial areas like Kharadi and Hadapsar makes it an ideal destination for IT/ITES companies.

Kharadi has also emerged as one of the most upmarket residential destinations in Pune. It is home to many luxury hotels and boasts of a golf course as well as prestigious social establishments such as the Connoisseur’s Club, Ganga Retreat and the Royal Connaught Club.

The IT and ITES-BPO segment have completely reinvented Kharadi’s landscape. High grade residential options have sprung up all over. Amongst all the above-mentioned localities, Kalyani Nagar’s rate of development is by far the fastest. The Pune-Mumbai Expressway has been a major contributing factor.

The Government responded to this potential by constructing the Kalyani Nagar-Koregaon Park connecting bridge, thereby linking these two progressive and vibrant localities. The ease of transport and commuting has resulted in even higher industrial and retail activity and boosted the residential sector, as well.


Named for its proximity to the Lohegaon Airport, Viman Nagar is located approximately 10 km from Pune City. It is still relatively affordable and offers excellent connectivity by virtue of regular bus routes and a much-improved road network. Since it is the first major locality one reaches from the vibrant Dhole-Patil Road, it is far from isolated in spite of the distance from the central city. It can be easily reached from the airport as well as the railway station, and this is one of its most powerful selling points. Also, with the Air Force and Army camps hemming it in from three different sides, Viman Nagar is one of the safest residential and commercial localities in Pune.

Viman Nagar owes importance on the real estate market to its proximity to Kalyani Nagar. However, it does boast of a better residential infrastructure, and is still the preferred area of residence for immigrant software professionals.


Situated along the Kharadi- Hadapsar Bypass, Kharadi has the unique distinction of being accessible from three focal points of commercial importance, namely Nagar Road, Sholapur Road and Mundhwa/Koregaon Park. In addition, it is bookended by the industrial zones of Sanaswadi, Ranjangaon, Hadapsar and Parner. Since it also houses a telephone exchange building, it definitely had all the makings of significant commercial and industrial presence.

Today, Kharadi has been earmarked for a lot of IT development because of its excellent road network, the MIDC-promoted Info Tech Park as well as EON SEZ and other IT Parks in the neighbouring Kalyani Nagar. Though it is now a prominent IT/ITES destination, it has yet to evolve as a significant force on the residential property market.


Wagholi has emerged as a preferred residential destination primarily due to the competitive price that the area offers compared to other residential catchments along Nagar Road, such as Kharadi, Viman Nagar and Kalyani Nagar. Apart from being affordable, Wagholi is the most convenient location for people working in the Ranjangaon and Sanaswadi industrial areas as well as in the Kharadi-Magarpatta belt. Today, Wagholi is well-connected by the completed six-lane Nagar Road – making commuting to and from this area, which was once considered an obscure outlying location, very convenient.


Another distinct beneficiary of the Kalyani Nagar-Koregaon Park bridge, Mundhwa began as an Armed Forces area and has enjoyed a disciplined approach to overall development for this reason. It is located squarely on the Nagar-Sholapur Highway. Since it is immediately adjacent to Koregaon Park, it has earned itself the rather enviable label of Koregaon Park Extension. Considering KP’s rate of development and general upper-crust aura, this is extremely significant. The area is poised for rapid development because of its close proximity to extremely successful Magarpatta township that transformed the real estate landscape of the Eastern Corridor of Pune.


Vadgaon Sheri has still not completely risen from obscurity, but nevertheless has the same potential as all other localities along Nagar Road. At the present time, Vadgaon Sheri awaits coming into its own as the neighbouring Kalyani Nagar and Viman Nagar eventually share their glamour and development fallout. One of the most attractive features of this area today is its cheap land rates.


This is another area of intense industrial activity along Nagar Road. It is mainly known as an MIDC entity, but is now seeing the entry of residential projects that cater to the workforce of this industrial catchment. It has also been earmarked as the venue for the new International Airport.

Despite the great potential it offers, Nagar Road itself is surprisingly under-developed as a road conduit for all the real estate goldmines along it. Connectivity remains a significant issue, and it is hard to understand why the authorities have not taken greater interest in it. Lack of planning has always been the bane of real estate development in Pune, and Nagar Road is a good – if sad – example of this fact.

Anil Pharande is President of CREDAI PCMC and Chairman of Pharande  Spaces, a leading construction and development firm that develops township properties in the PCMC area of Pune, India.

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Pune Property – The Advent Of Transparent Real Estate Deals

Pune PropertyAnna Hazare and his fight against corruption were all over the news for the better part of the month. There was a lot of food for thought for everyone, including property market stakeholders. While there was no direct reference to the immense amounts of black money in real estate, Anna Hazare obviously addressed this aspect in his crusade, as well.

In this context, it is pertinent to note a recent testimonial by a senior representative of a leading international property consultancy here in Pune.  His statement was in response to a request for his views on the subject of corruption and black money in the Indian real estate sector.

He pointed out that the subject of corruption in real estate is bound to crop up again and again, especially in light of the scams that rocked the news bulletins just a few months ago. However, he also correctly pointed out that stricter scrutiny for and measures against the movement of black money in the sector are already being enforced. Nevertheless, he stated, we are still in the early days of our battle against corruption in various business segments, and that it will take time to completely subdue its effects.

Anna Hazare himself would not dispute this fact. The rot of corruption has set in over a number of years, and has therefore sunk rather deeply into it at various levels. To weed it out completely will take time, but the sanitation process can be accelerated with greater consumer awareness. After all, corruption in real estate is fed both at the supplier and consumer ends. Thankfully, this syndrome is already on the decline because of increasing awareness among Indian property buyers.

The traditional viewpoint of black money driving Indian real estate is obsolete in many ways by now. In Pune, property buyers should be aware of the fact that many of today’s larger, reputed developers are already offering completely transparent deals. The prevalence of such developers is, in fact, higher in Pune than in neighbouring Mumbai. Pune property buyers have the option of patronizing such developers.

The times when Pune property buyers were completely at the mercy of corrupt small-time developers are long over. Those looking for homes in Pune are no longer limited in their options. The more prominent developers in Pune have long since recognized the need for greater transparency in the system. After all, the largest component of Pune residential property buyers is made up by the salaried class, who do not have large cash reserves and often need 100% funding on home loans.

However, there are also larger reasons why Pune real estate is becoming more transparent. The Pune property market is a focal point for foreign investors who are attracted by the immense potential it presents. Residential developments around the Hinjewadi and Kharadi IT hubs as well as the integrated townships of Primpri-Chinchwad are drawing massive investments from from domestic and international investors. With the exposure to global funds, the sector has matured rapidly and transparency is becoming a norm.

In addressing the issue of corruption in Indian real estate, it is important to note that there will always be supply where there is demand. A corrupt system holds illegal advantages for both the buyer and the seller. If more and more sellers are willing to offer clean deals, it is to be hoped that more and more buyers will opt for such deals. only then will we be truly on the way to a corruption-free real estate market.

pharande spaces logoPharande  Spaces is a leading construction and development firm that develops township properties in the PCMC area of Pune, India.

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Posted by: K. D. Nagarkar

Pimpri Chinchwad civic body picks 6,720 people for EWS housing




Anil Pharande, CMD – Pharande Spaces

(DNA, Aug 24, 2011)

The Pimpri Chinchwad Municipal Corporation (PCMC) on Tuesday identified 6,720 beneficiaries through draw of lots for its housing scheme for people falling in the economically weaker section (EWS).

The draw of lots took place at Ankush Landge auditorium in Bhosari. The PCMC has uploaded the list of beneficiaries on its website,

The PCMC is constructing 13,250 houses under the Jawaharlal Nehru national urban renewal mission (JNNURM) scheme for people in the EWS category.

In the first phase, 6,720 dwellings are supposed to be handed over. The first phase of the project is being implemented on a plot of 75 acres in Sectors 17 and 19 given by the Pimpri-Chinchwad New Township Development Authority (PCNTDA).

The PCMC had received 14,032 applications for the dwellings in Phase I. Pimpri-Chinchwad municipal commissioner, Ashish Sharma, said the 6,720 beneficiaries have to pay Rs50,000 within 45 days as the first installment.

The initial cost of each flat under the scheme was Rs 1.5 lakh, but later went up to Rs3.76 lakh due to cost escalation.

“The civic officials will verify whether beneficiaries possess any properties and if found, the names of such beneficiaries will be withdrawn from the list,” he said.

The beneficiaries will be allotted any of the flats in the EWS scheme. After the hand-over of the flats, a society will be formed.

In 2007, the Union government gave primary approval to the PCMC proposal to implement the EWS housing scheme for JNNURM, estimated to cost Rs449.7 crore.

Affordable Housing In Pune

I recently attended the 2nd Annual Affordable Housing Conference in Kuala Lumpur from July 25–27, 2011. As a Pune developer, this conference was an eye-opener for me. More than anything else, the experience reaffirmed my belief that the affordable housing projects coming up in the PCMC area are a major step forward for Pune real estate.


Experts from various real estate and housing finance verticals attended the affordable housing conference, and there was a notable representation from India as well. Of course, we all know that there is a shortage of affordable housing in India. However, I had no idea of large the national housing deficit actually is till I heard some of the facts and figures.

During the course of discussions, it became clear to me that we are still very far from the final ideal – a home for every Indian. The shortfall in housing is far too large. The estimated housing shortage from 2007-2012 in India’s urban areas is 26.5 million units, and in rural areas it is 47.4 million units. Altogether, the total housing shortage in India stands at 73.9 million units.

Let us ask ourselves some basic questions. Do we have the land, construction material and labour required to build affordable housing? We obviously do, otherwise even the costlier homes that are coming up everywhere in our cities would not be possible. The need is not for housing in remote, inaccessible areas. In today’s economic scenario, everyone – regardless of social and income grade – needs to live as close as possible to their place of work.

Everyone needs to be able to get to work and earn an income, so that they can sustain their families and contribute to the overall development of his or her city. However, affordable housing is mostly coming up in remote locations. These locations lack the kind of connectivity and infrastructure that make living there feasible and dignified. Even middle-income families are challenged to find homes within budgets of Rs. 25-40 lakh.

Obviously, attaining the dream of a home for every family is still far in the future for many cities of India. Thankfully, the nation is moving ahead rapidly in all respects. The affordable housing conference also outlined the fact that we now have newer concepts and technologies at our disposal that can indeed help us close at least a part of the existing gap.

In cities like Pune, there is an ever-increasing responsibility on planned real estate development areas like Pimpri-Chinchwad. While many of the other areas which are adding housing stock still lack the necessary infrastructure, PCMC has all the advantages of a regulated real estate market – including rational residential property rates. The integrated townships coming up here are the perfect blend of social and civic infrastructure as well as affordable prices.

Since Pimpri-Chinchwad also has a sizeable manufacturing belt, there is no shortage of employment opportunities. Here, then, is the only possibility for affordable housing for the mid-income sector that Pune has at its disposal. More than ever, I am convinced that this is where the action of the Pune real estate market is headed. Affordably priced residential property is and will remain the most important real estate sector in India.

Anil Pharande is President of CREDAI PCMC and Chairman of Pharande  Spaces, a leading construction and development firm that develops township properties in the PCMC area of Pune, India.

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Ready Possession Versus Under-Construction Property Purchase

It is human nature to prefer a finished product. One can apply this truth to various areas in life. We lack the faith to trust that something in the process may be of greater benefit than something we can see in the full glory of completion. This fact is also the basis of many counter-productive real estate purchases.

The ‘Finished Property Product’ Syndrome

It is certainly tempting to purchase a residential property that is in a state of total completion. All that needs to be done is the signing of a cheque. The thought of investing in a property that is still under construction clashes with our need for instant gratification.


The above term is a cunningly devised advertising tool that appeals to something we all share – the desire to possess. Instantly. No waiting, no effort involved, just sign the dotted line and show off your acquisition to envious friends and associates the very next day.

By giving in to it, we place ourselves at the mercy of the builder. We are forced to agree with his idea of aesthetics, colour schemes, brand of fittings, layout and his idea of a fair purchase price. Buying a ‘ready possession’ property may make sense if it is required for immediate occupancy, but it is rarely a wise move from the point of view of investment.


This term appears to be a less promising one. It implies a state of incompleteness, which translates into ‘No Instant Gratification’. The desire to ‘possess’ will have to be toned down. You will feel less inclined to invite your friends to view an untidy site strewn with construction rubble… where is the glamour?

This is a classic example of tunnel vision. We fail to see the forest for the trees and do not take the long view. The inherent benefits of investing in an ‘under construction’ property far outweigh those of ‘ready possession’. Let’s look at some of them:


Every builder knows that a home buyer has to exercise restraint and patience while investing in an incomplete property. This knowledge reflects in the property rates the builder quotes. ‘Under construction’ properties cost significantly less than finished ones.


With a little vision and imagination, you can see precisely which flat will best suit your needs. In an ‘under construction’ scheme, you will have lots to choose from. Direction of sunlight, best view, ‘Vaastu’ parameters, general ambience and ‘feel’… these are factors you can choose for yourself.


A property under development is not an immediately marketable asset. Builders can only hope to dictate inflexible payment schedules in the case of ‘ready possession’ properties. On the other hand, they are invariably open to negotiation at the ‘under construction’ phase. In other words, you can often ask for payment schedule that best suit your needs.


There isn’t much you can do to change the physical characteristics of a finished flat or shop. The walls are in place, the choice of windows and bathroom fittings has already been made, and no space provisions for that extra Sintex tank may exist. In an ‘under construction’ flat, you can give specific instructions for modification without incurring extra expenses.


Apart from the lower property rates, easier payment terms allow you to plan a more effective investment strategy. Also, the ability to choose specifications helps you to value-add to the property. This translates into better returns on completion.


You can optimize space and layout for future convenience. For example, lofts and storage space can be included at this stage.

There will still be many circumstances that warrant the purchase a ‘readymade’ property, but consider the above pros and cons before doing so.

Pharande Spaces is the most established and respected construction company in Pradhikaran, the potential-laden boom sector of Pune’s PCMC area. Specialists in quality residential projects, Pharande Spaces also have township properties in the choicest parts of Pimpri-Chinchwad Business District. Two ongoing projects that are generating a huge amount of interest are the integrated townships Woodsville at Moshi and Celestial City at Ravet.