Omaxe Ltd, the Delhi-based real estate developer, is planning to restart its land-buying process from April to take advantage of the distress sales.
NEW DELHI: Omaxe Ltd, the Delhi-based real estate developer, is planning to restart its land-buying process from April to take advantage of the distress sales as it expects land prices to go down further.
The company currently has a land bank of 4,000 acres, but did not provide details on how much more it wants to buy.
“No one is buying land currently and even if I want sell, no one will buy and same goes for us as we are also not looking to buy land. But with current positive triggers by the government, we will start buying by April,” Omaxe chairman and managing director Rohtas Goel told DNA Money. Goel expects land prices to further correct by 20-30% in the next six months.
Recently, the government announced fiscal benefits for housing loans up to Rs 20 lakh to pep up demand in the affordable housing sector and non-metro locations and more fiscal packages are expected in the future.
Another Delhi-based realtor, Parsvnath Developers, has frozen all its land acquisition plans and is concentrating on executing current projects. However, the company expects margins to become better in the coming quarters.
“I expect margins to be stronger than the last quarter as various costs, including input costs, are expected to come down. It will take time as it has a trickle-down effect,” Parsvnath chairman Pradeep Jain said.
The second largest realtor Unitech Ltd has started selling its commercial assets instead of leasing it out to get cash for reducing its mounting debt faster. Even Omaxe is expecting margins to stay at its current levels.
“I think margins will definitely not go down, but for it to go up would be little difficult to assume as demand for properties is severely impacted in today’s market,” Omaxe’s executive director Vipin Agarwal said earlier.
vivek_s@dnaindia.net
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
)
){kind=small}
){kind=small}
)
)
)
)
)
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}