National

Daily News Tracking Report

Thursday, April 22, 2021

CREDAI NEWS
‘Not many migrant workers have left, starting vaccination drive
for eligible laborers soon’
https://indianexpress.com/article/cities/pune/not-many-migrant-
workers-have-left-starting-vaccination-drive-for-eligible-labourers-
soon-7283639/

As Maharashtra braces for another round of complete lockdown, the real

estate sector has a feeling of deja vu. With migrant workers leaving for
their home states and unsteady supply of raw material, the sector has
expressed fears of a delay in the handover of ongoing projects. Credai
Pune Metro and its members are working round-the-clock trying to keep
the sites functioning normally. Due to lockdown supply chain disruption,
however, prices of certain commodities have skyrocketed, such as steel,
as they need oxygen to keep factories running. We are keeping labourers
on site but if lockdown continues they may leave.
No exodus of migrant laborers from city
https://www.thehindu.com/news/cities/bangalore/no-exodus-of-
migrant-labourers-from-city/article34379250.ece

Unlike in Delhi and Mumbai, migrant labourers in the city seem to be

adopting a wait-and-watch approach and desisting from a panic-stricken
exodus despite severe restrictions and the weekend lockdown imposed
in the State. However, having learned from past experience, the
government has ensured that this time around the construction sector,
markets and industry remain largely unaffected. “We have been working
on confidence-building measures with labourers and have informed
them that we will take care, even in the event of a lockdown. This has
stood us in good stead this time,” said Suresh Hari, chairman, CREDAI-
Bengaluru.
INDUSTRY NEWS
Housing prices increase by only 1.4% in first 3 quarters of FY21:
Report
https://www.moneycontrol.com/news/business/real-estate/housing-
prices-increase-by-only-1-4-in-first-half-of-fy-2021-report-
6798511.html

Housing prices have shown an increase of just 1.4% in the first three
quarters of the financial year 2021 after growing by CAGR of 5.6% in the
specified period of five years compared to GDP growth of 6.7%, an
analysis by CARE Ratings has said. On the demand side, consumer
response contracted owing to Covid-19 restrictions and on the supply
side, developers began offering promotional discounts in order to
offload the excess unsold inventory, which together led to a 1.4% rise
only, the analysis said.

Real estate has a healthy demand outlook, but some hiccups

remain
https://www.business-standard.com/article/economy-policy/real-
estate-has-a-healthy-demand-outlook-but-some-hiccups-remain-
121042200085_1.html

In the last few years, the real estate sector has battled a number of
headwinds from disruptive policy reforms (though good for the long
term), margin compression, tight liquidity, and Covid-19. This has caused
a massive consolidation, driving many developers out of business, while
rewarding the survivors with higher market share. Accompanied by tight
availability of credit in the sector, this consolidation will also help keep
the oversupply risk in check in the coming years
Home-buying budgets rose post-pandemic, says survey
https://www.thehindu.com/business/home-buying-budgets-rose-post-
pandemic-survey/article34379419.ece

A majority of homebuyers have increased their budgets post the

pandemic, as per a survey conducted by NoBroker.com, a real estate
brokerage-free technology platform. The survey was conducted among
100 developers. As many as 57% of the respondents said homebuyers
had increased their budgets, 84% affirmed that the second half of 2020
registered better sales figures than the year-earlier period. Asked if they
offered discounts on property prices to stimulate investor activity, three-
fourths (75%) of the respondents replied in the affirmative.

Real estate, construction jobs witness slow but steady recovery:

Report
https://www.outlookindia.com/newsscroll/real-estate-construction-
jobs-witness-slow-but-steady-recovery-report/2068835

Even as there was huge impact on the hiring activities in the real estate
and construction sectors during initial months of lockdown last year,
there has been gradual improvement since the easing of restrictions that
resulted in slow and steady recovery in the sectors, according to a report.
The real estate and construction sectors, which are mass employers and
prime indicators of the country''s growth and development, were
brought to a halt by lockdowns. However, the recent GDP data, released
by the National Statistical Office (NSO) for the third quarter of 2020-21,
indicated recovery in the sectors, thus reflecting a boost in hiring
opportunities, according to a report by global job site Indeed. Indeed''s
data revealed that interests for real estate jobs jumped 22 per cent while
postings for these jobs also increased by 3 per cent in March 2020-March
2021.
Gurugram contributes 25% of new launches in Delhi NCR in Q1,
2021: JLL
https://www.financialexpress.com/money/gurugram-contributes-25-
of-new-launches-in-delhi-ncr-in-q1-2021-jll/2237216/

Residential market in Delhi NCR gained further momentum in Q1 2021

(Jan-March, 2021) with an increase in new launches as well as sales. New
launches in Q1 2021 more than doubled on a sequential basis. Majority
(55%) of the launches were witnessed in Noida with launches by reputed
developers. Gurugram contributed 25% of the new launches. These were
mainly concentrated in Golf Course Extension Road and Dwarka
Expressway. In this quarter, most of the new launches were in the upper
mid (Rs 10-15 million) and high-end (> Rs 15 million) price segments with
projects in premium locations gaining traction.

Homebuyers want discounts, spacious homes: survey

https://www.livemint.com/industry/infrastructure/homebuyers-want-
discounts-spacious-homes-survey-11618988767649.html

Discounts offered to homebuyers generated better sales in the second

half of 2020, a majority of builders said, according to a new survey by
real estate portal NoBroker.com. Around 100 builders participated in the
survey to map the latest property purchase trends and sentiments in the
country. Around 84% of the respondents said sales improved last year
compared to the corresponding period in the preceding year and a
majority (87%) claiming that offering discounts attracted homebuyers
and resulted in sales.
Residential sales in top seven cities recovers to over 90% in Q1
2021: JLL
https://realty.economictimes.indiatimes.com/news/residential/residen
tial-sales-in-top-seven-cities-recovers-to-over-90-in-q1-2021-
jll/82179560

Residential sales in Jan-March 2021 recovered to more than 90% of the

volumes witnessed in Q1 2020 across the top seven cities, according
to JLL India. The cities including Chennai, Hyderabad, Kolkata,
and Pune surpassed the sales volumes of Q1 2020. The markets of Delhi
NCR and Chennai witnessed a substantial increase in launch activity
during the quarter. New launches are still at 84% when compared to the
pre-Covid levels of Q1 2020. Developers across the markets under review
remain focused on the completion of under construction projects and
clearing their existing inventory.

ECLGS: How Modi govt’s Rs 3-lakh-crore credit scheme put

Covid-hit MSMEs back on recovery track
https://www.financialexpress.com/industry/sme/msme-fin-eclgs-how-
modi-govts-rs-3-lakh-crore-credit-scheme-put-covid-hit-msmes-back-
on-recovery-track/2237449/

Working capital term loans secured by Covid-hit micro, small, and

medium enterprises (MSMEs) under the Rs 3-lakh-crore Emergency
Credit Line Guarantee Scheme (ECLGS) have been able to help
beneficiaries meet their operational liabilities and resume businesses.
MSMEs, which were staring at shutdown post lockdown in March last
year with a runway of not more than three-four months for a majority of
them, have been able to extend it by at least the end of 2020 through
credit via ECLGS, according to experts Financial Express Online spoke to.
Surge in steel price opens up room for companies to increase
rates
https://www.business-standard.com/article/companies/surge-in-steel-
price-opens-up-room-for-companies-to-increase-rates-
121042101315_1.html

The rally in steel prices in the global market has widened the gap
between global and domestic prices beyond the peak levels of 2008,
leaving headroom for further hikes. Prices started rallying from March
after the Chinese New Year holiday. In India, it was felt in the trade
segment from about the third week of March and then mills increased
prices beginning April. But the gap has widened further due to a surge in
global prices.

Creating Demand For Steel, Cement But Industry Indulging In

Cartelisation: Gadkari
http://www.businessworld.in/article/Creating-Demand-For-Steel-
Cement-But-Industry-Indulging-In-Cartelisation-Gadkari/21-04-2021-
387186/

Union Road Transport and MSME Minister Nitin Gadkari on Tuesday said
huge demand is being created for steel and cement companies on
account of rapid construction of road infrastructure but the industry is
indulging in cartelisation and exploiting people. The minister said that
they are now looking for some alternative for steel and cement, and he
is working hard on it. Road construction has touched 37 km per day and
huge road infrastructure is being created, he said at a webinar.

Prepared by
PR Team CREDAI National