Tamil Nadu Government appoints Shiv Das Meena as RERA Chairman

Tamil Nadu govt on Sunday appointed chief secretary Shiv Das Meena as chairman of Tamil Nadu Real Estate Regulatory Authority (TN RERA). Chief minister's secretary 1 N Muruganandam would replace Meena as chief secretary. The official order on Muruganandam replacing Meena is expected on Monday, sources said. The position of RERA chairperson had been vacant for six months, after K Gnanadesikan completed his tenure on Feb 10. The housing and urban development department, in an order issued Sunday, said the selection committee recommended eligible candidates for appointment to the post of chairperson. DMK govt had retained Murugananadam to lead the industries department initially assigned to him by the previous Edappadi K Palaniswami regime. He served as finance secretary as well in the DMK regime. In the Union Ministry of Ports, Shipping, and Waterways, he had served as director general of the lighthouses and lightships. "Muruganandam is the only officer from Tamil Nadu in the senior rank as others moved to Central deputation. He is a fine officer to steer the administration," said an official source, privy to the developments. One of the frontrunners for the next chief minister's secretary I post is K Phanindra Reddy, who is currently transport secretary.
 

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Puducherry CM hikes subsidy given to Kamaraj Housing Scheme beneficiaries 

Chief Minister N Rangasamy announced in the assembly on Tuesday that the subsidy given to beneficiaries of the Kamaraj Housing scheme has been hiked to Rs 5 lakh. While wrapping up the debate on the demands for grants to departments looked after by him, he said that the beneficiaries would also get 5 lakh additiobnally under a central government housing scheme. In all, each beneficiary would get Rs 10 lakh. The purpose of granting the subsidy is to replace huts with concrete structures. The scheme is named after former chief minister of Tamil Nadu K Kamaraj. The chief minister also announced that the monthly assistance given to retired reporters would be increased from the present Rs 10,000 to Rs 15,000, and that presspersons currently working would be issued free laptops. House sites would also be distributed to journalists who are have not been covered under the scheme so far. He said a few more reporters have applied for monthly pension and this would be sanctioned soon.
 

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Axis AMC and Tishman Speyer acquries 1.5 acres plot in Fintech City, Chennai 

Axis Asset Management Company (Axis AMC) and Tishman Speyer said that Axis Commercial Real Estate Fund, a category II AIF, has acquired 1.5 acre plot in Fintech City, Nadambakkam, Chennai. The acquisition was made through a bid cum e-auction process conducted by the Tamil Nadu Industrial Development Corporation (TIDCO).  The plot will be transformed into a four lakh sq ft Grade A office building within the next three years. In June 2024, the fund concluded its fundraising with a corpus of around Rs 550 crore. Over the last seven years Axis AMC has raised Rs 6,000 crore across its PMS and AIF businesses while Tishman Speyer has acquired, developed, and operated 557 properties, totaling 226 million sq ft, with a combined value of over $128 billion. 

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NCLT approves Oberoi Constructions acquisition of Nirmal Lifestyle Realty

The National Company Law Tribunal (NCLT) has approved the resolution plan proposed by an affiliate of listed property developer Oberoi Realty to acquire real estate development firm Nirmal Lifestyle Realty. The resolution plan of Oberoi Constructions involves paying around Rs 273 crore to financial, operational, and other creditors. The company was admitted into the corporate insolvency resolution process (CIRP) in December 2021 with claims amounting to over Rs 748 crore. 
The NCLT has also mandated that the scheme of arrangement and amalgamation between Nirmal Lifestyle Realty and Oberoi Constructions be filed separately for formal approval. Although elements of this scheme are incorporated into the resolution plan, it must undergo distinct procedural scrutiny. The ruling also includes provisions for the transfer of records and documents to Oberoi Constructions and the continuation of the monitoring committee. The committee will oversee the resolution process to ensure compliance and smooth transition during the takeover period. This decision by the NCLT not only addresses the immediate financial distress faced by Nirmal Lifestyle Realty but also sets a precedent for corporate restructuring under the Insolvency and Bankruptcy Code (IBC). By approving the resolution plan, the tribunal emphasises the importance of regulatory adherence and structured resolution processes in managing corporate insolvency.
 

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India Cements posts rs 58.47 crore profit in Q1 FY25

India Cements Ltd on Friday reported a consolidated net profit of rs 58.47 crore in June 2024 quarter even though its sales volume declined 26 per cent as capacity utilisation was severely hit due to continuous liquidity crunch. The Chennai-based company sold its grinding unit at Parli, Maharashtra in April and included the gain of Rs 240.68 crore from the sold unit as an exceptional item in the quarterly profit. Before the exceptional items and tax, India Cements Ltd (ICL) had a loss of Rs 147.97 crore in the quarter under review. The company, in which the promoters are selling their stake to rival Aditya Birla group firm UltraTech Cement, had reported a net loss of 87.40 crore during the April-June quarter a year ago. Its revenue from operations was down 28.53 per cent to Rs 1,026.76 crore during the period under review as against Rs 1,436.74 crore in the corresponding quarter, according to a regulatory filing from ICL.  
The N Srinivasan-led company could not take advantage of the reduced fuel cost as operating margins further shrunk on account of low volume. Cement and clinker volume for the quarter was 19.61 lakh tonnes as compared to 26.66 lakh tonnes in the same quarter of the previous year with a drop of more than 26 per cent, it added. ICL's total income in the June quarter was down 27.81 per cent to Rs 1,042.27 crore. Shares of India Cements on Friday settled 0.34 per cent lower at Rs 366.90 apiece on the BSE. 
 

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Tender released for TIDEL park constructions in Madurai

TIDEL Park Limited has released a tender for the construction of an IT park at Mattuthavani in Madurai on Wednesday. According to the tender, the project will include a ground floor, 12 additional floors and a terrace, along with civil construction, interior finishing work, and other allied development tasks. The deadline for the online submission of tender documents is September 7, 2024. In a significant development for the proposed TIDEL park in Madurai, the Madurai Corporation Council passed a resolution on June 28 to lease 5.6 acres of land to TIDEL Park Ltd for a period of 45 years. The lease facilitates the construction of the Rs 600crore TIDEL park, which was announced by the state government in the 2022 budget. The district administration and the Madurai Corporation have jointly set the land price at Rs 89 crore. According to the lease agreement, 50% of this amount will be paid as lease rent over a 45-year period. The TIDEL park project announced by chief minister M K Stalin aims at transforming Madurai into a technology hub. The project is expected to generate 10,000 jobs, significantly boosting the local economy. MP Su Venkatesan expressed his gratitude on X on Wednesday. He thanked the state government and Stalin for their efforts in establishing the TIDEL park in Madurai.
 

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The Phoenix Mills acquries 9.03 acres land in Coimbatore for rs 370.17 crore

Astrea Real Estate Developers (Astrea), a subsidiary of The Phoenix Mills (PML) has acquired 9.03 acres land in Coimbatore through a mix of share purchases and direct land acquisitions for Rs 370.17 crore. PML holds 67.1% equity stake in Astrea.  This mall will be our second retail development in Tamil Nadu, following the success of our first development in Chennai, namely Phoenix MarketCity and Palladium Chennai." In the regulatory filing, the company informed that Astrea has completed the acquisition of 100% equity share capital of Dhanalakshmi Engineering (DEPL), Pulankinar Investment and Finance (PIFPL), Coimbatore Sameera Investments (CSIPL), Shanthi Chandran Enterprises (SCEPL), Shanthi Chandran Investments Coimbatore (SCICPL) and Sheela Traders (STPL). Accordingly, these entities have become wholly-owned subsidiaries of Astrea and stepdown subsidiaries of the company with effect from August 07, 2024.  The entities are land owning companies and collectively hold 7.08 acres of land in Coimbatore. Astrea has acquired the said land of 7.08 acres and has also directly acquired 1.95 acres of land from certain individuals. Thus, Astrea has in aggregate acquired 9.03 acre land parcel. Subsequent to the completion of the investment, PML and Reco hold 67.10% and 32.90% respectively in the paid up equity share capital of Astrea.
 

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Government gives option to calculate LTCG tax on propeties pay lower tax

The government on Tuesday proposed significant relief for individuals who bought houses before July 23, 2024, by giving them the option to choose between two tax rates for long-term capital gains (LTCG) tax. The Budget 2024-25 had proposed to lower the LTCG from 20 per cent to 12.5 per cent but removed the indexation benefits. The new rates have come into effect from July 23, 2024. The indexation benefit allowed taxpayers to compute gains arising out of the sale of capital assets after adjusting for inflation. Tax experts had said that the proposed changes in the Budget would raise the LTCG tax burden. As per the amendments to Finance Bill, 2024, circulated to the Lok Sabha members on Tuesday, individuals or HuF who bought house before July 23, 2024, can compute his/her taxes under the new scheme Taxpayers can choose the more beneficial regime and should not be worse off because of change in law. Concerns around taxation of inflationary gains in respect of immovable property acquired prior to a change in the law have been addressed," Puri added.
 

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Mahindra Lifespace, Actis form Joint venture to build industrial and Logistics park in Chennai

Realty firm Mahindra Lifespace Developers Ltd and Actis have formed a joint venture platform 'Ample Parks' for the development of industrial and logistics parks and will build their first 70-acre project in Chennai. Actis, a leading global investor in sustainable infrastructure, and Mahindra Lifespace have formally launched a joint venture Ample Parks, an indian industrial and logistics real estate developer and operator, according to a company statement. The joint venture (JV) Ample Parks aims to acquire and develop about 1.5 million square metres of greenfield and brownfield sites in key markets across India over the next few years. The JV aims to establish itself as a leading industrial and logistics real estate solutions provider to global and local corporations. Actis holds a majority stake in the joint venture, with Mahindra Lifespaces owning a significant minority stake. The platform has been set up with a highly experienced management team, with Chief Executive Officer Akash Rastogi appointed to lead the company. The business has completed its first acquisition, a prime 70-acre  industrial land parcel within Mahindra World City, Chennai, to develop an integrated industrial and logistics park with institutional-grade buildings, the statement said. Mahindra Lifespace's development footprint spans 37.95 million square feet of completed, ongoing and forthcoming residential projects across seven Indian cities. It has over 5,000-acre of ongoing and forthcoming rojects under development/management at its integrated developments/industrial clusters across four locations.
 

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UltraTech's open offer for India Cements shares to open on September 19

UltraTech Cement’s open offer for shareholders of India Cements is likely to open on September 19, and close on October 3. The mandatory open offer by UltraTech follows the company acquiring more than 55% stake in the Chennai-based cement-maker in the last two months. UltraTech will buy 26% in India Cements, or up to 8,05,73,273 shares of UltraTech will buy 26% in India Cements, or up to 8,05,73,273 shares of the company at Rs 390 a piece. The detailed public statement for the offer was issued on Friday, and UltraTech can increase the offer price for shares of India Cements latest by September 17, details from an advertisement by UltraTech showed. These timelines are tentative, the company said. The country’s largest producer of cement had acquired a non-controlling near-23% financial stake in India Cements from investor Radhakishan Damani in June, following it up with the stake buy of another 32.72% stake from the company’s promoters and its associates in July. UltraTech’s 55.49% stake has, consequently, triggered an open offer as per regulations of the Securities and Exchange Board of India. The company will spend a maximum of Rs 3,142 crore for acquiring 26% through the pen offer. This is at a significant premium to the stake it bought from Radhakishan Damani at around Rs 268 a piece. Shareholders holding shares, either in the physical or dematerialized format, can tender shares by intimating their stockbrokers within trading hours for the secondary market within the tendering period. A separate acquisition window will be provided by the exchanges to facilitate placing these orders. On Friday, shares of India Cements closed at Rs 372.04 on the NSE, up more than 2% from the previous close. The shares have surged nearly 82% since the start of June.

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Aptus Value Housing Finances reports consolidated profits of rs 171.74 crore on Q1 FY25

Housing finance company Aptus Value has said that it earned a consolidated profit after tax of rs 171.74 crore for the April-June 2024 quarter, on the back of businees growth, stable assest quality and higher productivity. The company's PAT was 142.25 crore in the corresponding quarter last year. For the year ending March 31, 2024 the consolidated profits were at Rs 61,189.56 crore. The consolidated total income during the quarter under review surged to Rs 404.62 crore, compared to Rs 315.37 crore in the same period last year. For the year ending March 31, 2024 the consolidated total income was at Rs 1,416.84 crore.Commenting on the financial performance, Aptus Value Housing Finance India Ltd Managing Director P Balaji said, "I am pleased to report a solid performance for the first quarter of FY25. The company posted a 21 per cent year-on-year increase in net profit at Rs 172 crore in the first quarter of FY25 supported by business growth, stable asset quality and continued focus on higher productivity." "We sustained consistent growth and achieved an AUM (Assets Under Management) growth of 27 per cent year-on-year supported by branch addition of 36 over June 2023 both in existing and new states. We are confident to pursue an AUM growth of about 30 per cent in the coming quarters/years," he said in a statement. He said that as of June 30, 2024, the company has maintained liquidity of Rs 907 crore, including undrawn sanctions of Rs 520 crore from various banks, which is sufficient. The company is well capitalised with a net worth of over Rs 3,818 crore. 

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Mumbai Mhada gives offers letters to 158 residents of cassed buildings waives NOC fee

Mhada's Mumbai board on Tuesday granted offer letters to 158 eligible applicants from the master list of old cessed buildings who had won through a computerised lottery held on Dec 28, 2023. State housing and OBC welfare minister Atul Save, who distributed the letters, announced the waiver of the NOC fee of Rs 70,500 for each of them. The function was held at the housing agency's headquarters in Bandra East. Mhada said applicants must fulfill the conditions mentioned in the cancellation of the allocation without prior notice, and their rights on the master list will be terminated. Minister Save said, "To ensure the allocation of flats to the 265 eligible tenants/ residents from the master list of old cess buildings, the Board conducted its first computerised lottery on Dec 28, 2023. There were 444 flats available for this lottery. Following requests for re-verification of the documents of winners, Mhada re-verified and found 212 out of the 265 applicants eligible. Allotment letters were issued to 158 of them, and they submitted acceptance letters. Document verification of the remaining 53 is in progress. And the rest of the 54 were asked to submit acceptance letters." Mhada's Mumbai Board will soon conduct a lottery for the sale of 2,000 flats in prime locations of the city.
 

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