A single-window clearance system can help speed up the execution of projects
Real Estate

A single-window clearance system can help speed up the execution of projects

Across the landscape of Bengaluru, Hyderabad and five other Indian cities, the Salarpuria Sattva Group is a name that’s made its indelible mark. With the Union Budget 2020 being announced tomorrow, Bijay Agarwal, Managing Director, Salarpuria Sattva Group, shares his expectations on the Budget:

“Last year, Modi 2.0 was extremely supportive of the real estate sector and the budget was instrumental in introducing various schemes, policies and guidelines, which were beneficial for both, developers and consumers – whether it was rate cut of housing interest, NHB guidelines or affordable housing schemes. 

The primary concern that needs to be addressed is the significant funding crisis. The budget should ease norms to ensure steady flow of investments. Although benefits for affordable housing have been provided, developers are unable to receive funding from major banks and NBFCs at lower interest rates. 

As we are aware, due to the lending market being cautious, mainly NBFC sector and banks, purchase of land has become very difficult since the last one and half years. The real estate developer can still use an alternate source of acquisition of property, which is Joint Development Arrangement with the landlord, to avoid large capital commitment. But due to lack of clarity on GST, even this alternative source has been totally ineffective and causing huge delay in proper supply of land for developers to carry out the development work. Thus, the impact on other industry employment will also be required to be kept in mind. Hence, few changes in GST can provide a huge positive impact in the real estate industry for all sectors, ie, residential, commercial, retail, IT offices, affordable housing, warehousing, etc: 

a) Waiver on applicability on GST (if intended to be applicable) on Transfer Development Right (TDR) on Joint Development Arrangement.
b) Allowing of input of commercial GST during construction period against the rent receivables.  

Both of the above changes in the nature of clarification or amendment would bring huge positivity and clarity for the real estate industry and the impact can be visibly seen in a short period in the form of commencement of number of projects across the cities.

Industry status to the real estate sector will further boost the increasing of low-cost funds, cut capital costs and make land acquisition easier, passing the benefits to consumers. A single-window clearance system can help to speed up the execution of projects. We also expect the implementation of land reforms and increased liquidity to NBFCs will lead to investors. If real estate industry gets a boost, it will automatically have a positive impact and will accelerate the economic growth of the country and in turn the GDP.”

Across the landscape of Bengaluru, Hyderabad and five other Indian cities, the Salarpuria Sattva Group is a name that’s made its indelible mark. With the Union Budget 2020 being announced tomorrow, Bijay Agarwal, Managing Director, Salarpuria Sattva Group, shares his expectations on the Budget:“Last year, Modi 2.0 was extremely supportive of the real estate sector and the budget was instrumental in introducing various schemes, policies and guidelines, which were beneficial for both, developers and consumers – whether it was rate cut of housing interest, NHB guidelines or affordable housing schemes. The primary concern that needs to be addressed is the significant funding crisis. The budget should ease norms to ensure steady flow of investments. Although benefits for affordable housing have been provided, developers are unable to receive funding from major banks and NBFCs at lower interest rates. As we are aware, due to the lending market being cautious, mainly NBFC sector and banks, purchase of land has become very difficult since the last one and half years. The real estate developer can still use an alternate source of acquisition of property, which is Joint Development Arrangement with the landlord, to avoid large capital commitment. But due to lack of clarity on GST, even this alternative source has been totally ineffective and causing huge delay in proper supply of land for developers to carry out the development work. Thus, the impact on other industry employment will also be required to be kept in mind. Hence, few changes in GST can provide a huge positive impact in the real estate industry for all sectors, ie, residential, commercial, retail, IT offices, affordable housing, warehousing, etc: a) Waiver on applicability on GST (if intended to be applicable) on Transfer Development Right (TDR) on Joint Development Arrangement.b) Allowing of input of commercial GST during construction period against the rent receivables.  Both of the above changes in the nature of clarification or amendment would bring huge positivity and clarity for the real estate industry and the impact can be visibly seen in a short period in the form of commencement of number of projects across the cities.Industry status to the real estate sector will further boost the increasing of low-cost funds, cut capital costs and make land acquisition easier, passing the benefits to consumers. A single-window clearance system can help to speed up the execution of projects. We also expect the implementation of land reforms and increased liquidity to NBFCs will lead to investors. If real estate industry gets a boost, it will automatically have a positive impact and will accelerate the economic growth of the country and in turn the GDP.”

Next Story
Infrastructure Urban

InsideFPV Delivers ₹10 Crore Kamikaze Drone Order Under MoD’s EPR Route

InsideFPV, a Surat-based drone technology manufacturer, has successfully executed a ₹10 crore defence contract to supply indigenous kamikaze drones under the Ministry of Defence’s Emergency Procurement Route (EPR). The company completed the delivery of hundreds of FPV kamikaze drone platforms within a rapid two-month timeframe, highlighting its ability to meet urgent military procurement timelines.The supply orders were fulfilled under the emergency procurement mechanism, which is aimed at fast-tracking acquisitions for immediate operational needs. InsideFPV’s quick execution reflects it..

Next Story
Infrastructure Energy

Vedanta Resources Secures Fitch Upgrade to ‘BB-’, Best Rating Since 2015

Vedanta Resources Limited (VRL), a global player in metals, oil & gas, critical minerals, power and technology, has received a credit rating upgrade from Fitch Ratings, marking its strongest bond rating in over a decade.Fitch has raised Vedanta Resources’ Long-Term Foreign-Currency Issuer Default Rating (IDR) to ‘BB-’ from ‘B+’, while maintaining a Stable Outlook. The agency also upgraded VRL’s senior unsecured rating, along with the ratings of US dollar-denominated bonds issued by Vedanta Resources Finance II Plc and guaranteed by VRL, to ‘BB-’.The upgrade represents Vedan..

Next Story
Real Estate

NAREDCO NextGen NCR Chapter Launched

The NAREDCO NextGen NCR Chapter was recently launched at Excelerate 2026 in Mumbai, marking a key step towards integrating emerging real estate leaders from the National Capital Region with the national platform. The initiative aims to promote sustainable and responsible urban development through collaboration and knowledge exchange.The event brought together young developers, entrepreneurs, and professionals from across NCR, including Noida, Gurugram, Ghaziabad, Faridabad, Bhiwadi, and Meerut. Discussions focused on urban development, finance, sustainability, innovation, and policy, emphasisi..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement