visakha vision issue-2/ jun-jul, 2019 - credai), visakhapatnam

19th NatcoN 2019

FOR PRIVATE CIRCULATION ONLY

Vol-

8 Iss

ue-2

/ Jun

-Jul, 2

019

pg

28

Looking back at72 years of Independence

pg

VISAKHA VISION

10

Authorised Distributor:

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CREDAI VISAKHAPATNAM (Regd. No. 231of2010)

EDITORIAL BOARD K.S. Chandran, LAYOUT, DESIGN & PRINTED AT SATHYAM OffSET IMPRINTS, Brindavan,

#49-28-5, Madhuranagar, Visakhapatnam. Mob : 984 999 6538. PUBLISHED BY CREDAI VISAKHAPATNAM,

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Mob : 98488 54448, 99120 54448 E-mail : [email protected], [email protected].

Website : www.credaivisakhapatnam.org

All the Members are requested to get their address updated with the association in order to ensure timely

delivery of magazine also your email ID for speedy communication. If you are not receiving a copy of magazine

of CREDAI, VISAKHAPATNAM chapter, Please contact @ 9848854448

Dear Readers,

Greetings & Good wishes

We are entering a new era of our construction

industry with generous support from state and

central governments, in the form of booster doses

from finance ministry and introduction of new sand

policy by state government. There may be some

teething problem, but we have to move in positive

direction.

Entire country is under stress due to unsold inventory

which makes the industry limping. There is slow

down of economy world over, Visakhapatnam always

stands as an exception in present and past. The

reason for this is a known factor. All he stakeholders

move with full responsibility, vision and transparency.

Dear Readers,

Greetings & Good wishes

Editorial

Our Nat con is providing many opportunities,

guidance and exposure .It is our duty to grab such

chances directly or thro’ knowledge of sharing

An important area which requires specific attention

is towards safety while construction ans post

construction. Every project should be provided all

facilities for future maintenance of services and

proper transitional support to building societies.

Let us live in healthy and peaceful environment

K.S. Chandran

Bulletin Editor

5 | CREDAI VISAKHA VISION | 2019

Never overlook the power of simplicity, which is the ultimate sophistication

Dear member,

Warm greetings,

I start my message……..

Invoking the blessings of Lord Ganesha

to all of you, on the occasion Vinayaka

Chaturdhi .

As you must be aware, there has

been talk of economic slowdown in

the country, impacting all sectors of

economy, and as the second largest

employer of labor, realty sector is no

exception to it.

But the happy news is that, as far as

builders in these parts are concerned,

the negative impact of economic

slowdown is minimal.

Now I come to the core issues of our

community.

Change is the law of nature. In

its course, there would be new

opportunities to grab and new

problems to face. Realty sector had

also been completely transformed,

throwing up new opportunities and

new problems. The government had

enacted certain laws to meet the

changed situation. The most important

law that is enacted to deal with realty

sector is RERA, followed by GST, aimed

at completely changing and reforming

taxation structure. Apprehensions have

initially been expressed about these

laws and their possible impact. But let

us have a positive look at these laws,

meant to reform the system, and follow

the provisions meticulously.

Let me recall that, many of the

provisions in the RERA, aimed at

protecting customers’ interests, are part

of our association’s Code of Conduct,

and we have been implementing those

provisions voluntarily since long. The

only difference is that they have now

become mandatory

When new laws are enacted, teething

problems are bound to arise. As times

pass, everything would be in place.

On our part, let us follow all provision

of laws and do our business honestly,

profits and prosperity would follow.

To keep you abreast of latest

developments in various fields

connected with our sector, the

association had been organizing

awareness programs and lectures

by subject experts like CAs, officials

of National Academy of Customs,

Indirect Taxes& Narcotics (NACIN) at

association’s regular meetings.

I am happy to inform you that the

association had relentlessly been

following these issues with all concerned

including the ministers concerned.

In this regard, Hon’ble, MP, Sri MVV

Satyanarayana, a dynamic person from

our own fraternity, has been of great

help. He has been taking personal

interest in solving our problems. He had

also brought the burning problem of

sand to the notice of the Chief Minister

President’smessage


You don’t have to be great to start, but you have to start to be great.

Off

ice

Bear

ers

ChairmanK. Rama Krishna [email protected]

PresidentB. Srinivasa Rao [email protected]

Vice-Presidents: Chilukuri [email protected]

E. Ashok [email protected]

N. Srinivasa [email protected]

Hon. Secretary:V. [email protected]

Joint-Secretaries:K.V.R. Raju (Ramesh)[email protected]

A. [email protected]

V. [email protected]

Treasurer:Ch. Govinda [email protected]

Committee Members:V. Murali [email protected]

Azizulla [email protected]

N. Vamsi [email protected]

K. [email protected]

P. [email protected]

N. Ravi [email protected]

Youth Wing Co-ordinator:J. Kumar [email protected]

through which the brand image of the

association could be projected and

enhanced. It would also be the event to

which potential customers will visit and

may select their dream homes or sites.

It is an opportunity for all of us to put

in our best efforts and impress people,

especially potential customers, which

is the ultimate target of any builder.

So let us work right from now and

make it a grand success. Members of

CYW have a crucial role to play in this

aspect and I strongly appeal all, to be

pro-active, put in your best efforts and

ensure that the Property Show this year

is a memorable one.

I realize the task is tough.

But, remember the adage that when

the going gets tough, the tough

gets going!

Before I close, I once again invoke

Lord Vinayaka, to shower his choicest

blessing on you and ensure a hurdle-

free, hassle-free business environment

and happy and harmonious domestic

ambience.

Warm Regards,

B. Srinivasa Rao,

President,

and I am glad to inform you that sooner

than later, I would be able to inform to

you very positive results, concerning all

our issues mentioned above.

Now, I wish to share my experiences

with the recently organised CREDAI

Nation’s NATCON19 tour to Tel Aviv,

capital of Israel. This important annual

gathering of CREDAI National is

attended by nearly 1200 top realtors

in the country. From CREDAI-VSP

also, 25 members had attended.The

theme of NATCON19 is “Resilience to

Excellence”

It was both educative and enjoyable.

Interacting with top realtors, including

office bearers of CREDAI National,

rubbing shoulders with VVIPs and other

prominent persons, who had attended

to deliver lectures on important subjects

during technical sessions, has been a

unique experience that gets etched in

the memory of participants for a long

time. If this is educative, the add-on

tour to Jordan and other important

places that followed, had been quite

enjoyable.

I strongly recommend that every

member of CREDAI-VSP should make

it a point to attend NATCON in future.

You are aware that the dates of

association’s Property Expo 2019

December 20th 21st and 22nd are fast

approaching. It is the most important

event of our association, where

products required for construction

of houses would be on display and


You don’t have to be great to start, but you have to start to be great.


It is not the “length” but the “strength” that matters.

CREDAINational PresidentS r i S a t i s h M a g a r ’ sVision for India’s realtysector and his task list.

Immediate Task:

The first task is to create an organizational structure

which will facilitate smooth functioning of CREDAI.

For this, we will create five different zones. Each

zone will have a zonal secretary. I have proposed to

form a council for the past presidents of CREDAI, so

that, their knowledge and experience can be utilized

more effectively for the benefit of the sector.

Plans for increasing CREDAI’s presence in the

country.

CREDAI is present in at least 200 cities in 23 states.

During my tenure we will aim to add 100 more cities

to this list, where in the focus of attention will be

more on tier 2 and tier 3 cities. Initially, we will look at

increasing our foot print in the southern parts India.

Priority for the Realty Sector.

The two key areas that are on top of my priority list

include—building a stronger ecosystem and impart

specialized skill training.

After a comprehensive

analysis, a road map

has been chalked which

includes training workshops

for construction laborers and

on-job training. We aim to train

at least one lakh construction

laborers in the next two years.

The team will collaborate with

bodies like RERA, Building and

Other Construction Workers

(BOCW) and welfare boards for

exploring further opportunities

and growth areas. The customized

industry partnered skilling programs

will be launched to create a pool of

skilled laborer’s for the real estate

sector. Environmental sustainability

is also among the key areas of work

for CREDAI. Being en environmentally

conscious organization we wish to plant

five lakh trees across India in the next

two years.


The world is changed by your example, not by your opinion.


Your smile is your logo and your personality your business card.

Looking back at

72of Independence

years

Amid the dual challenges of liquidity crisis and stuck projects that hang like persistent thunderclouds over the sector, we nevertheless inch closer to the ultimate goal of Housing for All by 2022.

From the viewpoint of stuck and delayed projects, the freedom to buy homes has turned into shackles for many. Over 1.74 lakh homes in 220 projects across the top seven cities are completely stalled. Housing worth over Rs 1.77 lakh crore is in limbo with zero construction activity.

The affected buyers exercised their freedom of choice – only to see their hard-earned money imprisoned with scarce prospects of parole until recently.

Nevertheless, this state of affairs is not unilateral and countless more Indians have indeed successfully achieved freedom from rent. Though not nearly as fast as can be hoped for, housing sales are picking up. In sharp contrast to earlier years, the government has now given affordable housing a distinct identity and several valuable incentives.

2019 also saw rental housing being given its first tangible push. After decades of languishing in the dungeons of obsolescence, India’s rental

As India embarks on another year of

independence, the country’s real estate

sector has a lot to be grateful for, a lot to

hope for – and still a lot to worry about.

laws are being unfettered with an upgrade in the Draft Model Tenancy Act, 2019. Finally, the trust deficit between tenants and landlords can be bridged and both parties’ rights and obligations are being clearly defined.

The most recent Consumer Protection Bill, 2019 promises to unleash a brand-new level of freedom to consumers – the freedom from misleading promotions. RERA had already clearly defined the acceptable from the unacceptable when it comes to real estate promotions, and this bill adds further muscle to consumer rights.

The era of misleading and/or inaccurate promotion of housing projects – including by celebrities – without fear of legal backlash is finally coming to an end.

And, finally, buying real estate in Jammu & Kashmir is actually something people from outside this long-disputed region will be at liberty to consider – once the dust of change settles.

However, for all the silver lining, the thunderclouds that overshadow the real estate sector on India’s 72nd Independence Day cannot be dispelled by mere positive thinking. Real solutions are called for.


No beauty shines brighter than that of a good heart.

A way out of the liquidity crisis?

The NBFC crisis in late 2018 hit the already-ailing realty sector hard and brought whatever optimism and growth the residential segment was beginning to see to a screeching halt once more.

With minimal customer advances, the construction of several projects got stalled. Despite developers having all necessary approvals as well as the will to complete them, lack of funds held the entire situation hostage. End of the line? Not quite.

The government is taking a series of steps to bail out the NBFCs. Union Budget 2019 made several announcements in support of financially sound NBFCs, few as they may be, in these turbulent times:

To purchase high-rated pooled assets of financially sound NBFCs, amounting to a total of Rs 1 lakh crore during the current financial year, the government will provide one time six months’ partial credit guarantee to Public Sector Banks for first loss of up to 10 per cent.

• To allow NBFCs to raise funds in public issues, the government has done away with the requirement of creating a Debt Redemption Reserve (DRR), which is currently applicable for only public issues (private placements are exempt).

• The Finance Ministry announced that the National Housing Bank (NHB) will infuse an additional Rs 10,000 crore in NBFCs to improve funds inflow.

• In its monetary policy, the RBI has gone the extra mile to revive confidence in well-functioning NBFC entities. The single-borrower exposure limit for bank lending to NBFCs has been increased to 20 per cent of the lender’s capital (as compared to 15 per cent earlier). The RBI will also recognise bank lending to registered NBFCs for select purposes as priority sector lending.

The law awakens to homebuyers’ plight

Freedom without judiciary support is meaningless –

citizens of a free country have the right to expect the law of the land to intervene on their behalf.

The Supreme Court verdict on the Amrapali Group case, cancelling the RERA registration of the group, was such an intervention. Appointing the National Buildings Construction Corporation (NBCC) to complete the group’s stalled projects, the Supreme Court revived the hopes of thousands of homebuyers.

It is certainly not a ‘template law’ which can be slapped on all and every defaulting developer, and every case of stuck or delayed projects will need to be judged by its unique circumstances. However, this landmark judgement sets a precedent for developers to complete delayed projects and also cough up compensation for delays.

A house over every Indian’s head – how close are we?

In previous years, strong political will was often highlighted as the most necessary catalyst for change in a country like India. It has arrived – Modi 2.0 has displayed a single-minded focus on many fronts, and not least of all in its promotion of affordable housing. There is little reason to second-guess this government’s will to see its goals to fruition.

Nevertheless, developers face several roadblocks to adopting the affordable housing mantra wholeheartedly. Where will the necessary land in central urban areas come from? When will the basic infrastructure necessary to make the cheaper peripheral areas viable for affordable housing be built?

These are real challenges. Not surprisingly, of the total housing supply of 139,490 units in the top seven cities in H1 2019, merely 39,840 units qualify for the government’s incentives for affordable housing.

Pradhan Mantri Awas Yojana (PMAY) has set hard targets for the next two years. As per government’s estimates, a total of 1.54 crore rural homes have been completed in the last five years. In the second phase of PMAY-G, during 2019-20 to 2021-22, 1.95 crore

houses are to be provided to eligible beneficiaries.

With a fresh batch of over one lakh houses being sanctioned under the scheme, the cumulative number of houses sanctioned under PMAY-Urban has crossed 85 lakh.

A series of policy reforms and schemes have pushed both supply and demand for affordable housing. With a total of 1.54 crore rural homes completed in the last few years, we may be a lot closer to the Government’s target than it seems.

If RERA is implemented nationwide and the liquidity crisis is resolved, a lot more housing inventory will hit the market. However, the on-ground realisation of the government’s Housing for All by 2022 vision actually hinges only on three main factors:

• The release of government-held land in urban areas (recognition and delineation of non-essential land currently held by government bodies such as Department of Heavy Industries, Indian Railways, Ministry of Public Enterprises and Port Trusts. The unlocking of such lands for affordable housing will also bring down prices)

• The rapid development of support infrastructure (roads, water and electricity, sanitation and sewerage) in peripheral areas connecting them to cities’ main workplace centres, and

• Streamlining the housing projects approval process (single-window clearance, relooking at development control, amending Land Acquisition Rehabilitation Act, 2013.)

The Model Tenancy Act, 2019 – taking rental housing out of the ICU

When it comes to making Housing for All by 2022 a reality, rental housing can go a considerable way in bridging a deficit that homeownership cannot. The Model Tenancy Act 2019 is a major step in that direction.

Even after over seven decades of independence, India’s rental housing market was stuck in a legislative rut that made tenant-landlord conflicts


It is very simple to be happy, but it is very difficult to be simple

the order of the day. The Model Tenancy Act aims to salvage this situation by establishing a Rent Court and Rent Tribunal to hear appeals for matters connected to rental housing.

Ultimately, the increased attractiveness of rental housing will boost its stock and help students and white and blue-collar workers find homes in cities where they cannot afford to buy them. It will also bring investors – key players when it comes to rental housing – back to the market.

However, it remains to be seen how effective this key Act is on the ground. With land remaining a state subject, it is up to individual states to adopt the Central rules without too much dilution.

The RERA effect

It was not the magic wand it was hoped to be. However, over the past two years, the Real Estate Regulatory Act (RERA) has brought more sanity – and the return of consumer power – than seemed possible in such a short time. The real estate sector is still struggling with it and the Act is very much work-in-progress in many states, but RERA nevertheless hangs like a sword of Damocles over a previously unregulated industry. Eventual compliance across the board seems inevitable.

According to the latest readings on the Ministry of Housing and Urban Affairs (MoUHA) website:

43,208 real estate projects and 34,182 real estate agents have registered under RERA across the country.

The incumbent government has envisioned India’s real estate sector as attaining international standards of transparency and accountability. With political will not being a matter of debate anymore, the question is not ‘if’ but rather ‘by when’ real estate buyers and developers can expect to deal with the other with complete confidence, anywhere in a country where no corner of the market is left unregulated.

The Consumer Protection Bill, 2019 to end misleading promotions

This critical piece of legislature can strengthen the


Respect is for those who deserve it not for those who demand it.

rights of homebuyers considerably. Among various favourable provisions, the bill – when it becomes law – will enable harassed homebuyers to file complaints with the District Consumer Commission or State Consumer Commission from anywhere. Earlier, complaints were very much jurisdiction-bound and could only be filed at the place of purchase or where sellers have registered offices.

Under the Bill, celebrities endorsing misleading real estate advertisements and promotions are also liable for legal action, as well. In a free country, consumers must be considered intelligent enough to know that celebrity endorsements have absolutely no bearing on a product’s inherent worth. They are only indicative of how much money was spent on costly endorsements

Such funds are far better spent on improving projects, building the faster, and on intelligent marketing aimed at intelligent consumers. Developed nations already have strong laws protecting consumers from fraudulent advertising. It is high time that Indian consumers are given the same benefit.

Is Kashmir’s real estate market opening up?

The government’s recent decision to revoke Article 370 and Article 35(A) is expected to have a positive impact on Jammu & Kashmir’s overall real estate market, which has been quite dismal so far. Property prices in Srinagar, for instance, still hover between Rs 2,200-4,000 per sq ft – significantly low for Tier-II and Tier-III cities in the country.

On the one hand, locals will finally see an increase in the value of their properties. On the other, the really exciting prospect is the opening up of opportunities for Indians from outside J&K to finally invest in immovable property here. In fact, in his recent address to the nation, the Prime Minister categorically invited various industries – including Bollywood – to make investments across the entire region.

That said, it is still too early to gauge the real impact of this move on Kashmir’s real estate market – as of now, it is still a highly sensitive region and security concerns may keep property buyers at bay. Once

it stabilises, it will need the benefits of RERA-level regulation.

Since Jammu & Kashmir will now, for all practical and legal purposes, be viewed like any other state/UT in India, all rules and regulations of the Central government will apply there as well. As for RERA regulations, the region will have to formulate its own policies, which may not be similar to other hill states that have their own respective laws.

RERA will make a difference here only when real estate activity picks up and people come forward to deal in property. Like in all other states, here too RERA must give an equal footing to both buyers and builders and prevent unregulated real estate activity.

If rules are in place from the very beginning, there will be little scope for manipulations later on. Moreover, transparent transactions will help build confidence of investors and buyers. Meanwhile, Ladakh – a major tourist hotspot which attracts scores of tourists all year round – will very likely see an uptick in hospitality sector activity over the coming months.

Endnote

Despite the challenges that remain, the Indian real estate sector – and the consumers that patronise it – have much to be upbeat about on our 72nd year of independence. For all that remains to be achieved, we repose our faith in a strong and determined government that has proved beyond all doubt that it means business.

We have already crossed several important milestones that seemed unachievable in previous years. There is every reason to believe that we will cross the ones that remain. Jai Hind!

About the Author:

Anuj Puri is Chairman at ANAROCK Property Consultants.

***


If we master of thoughts we master lives.

Realtors apex body CREDAI in its budget wish list

has demanded that banks should fund developers

to buy land for development of affordable housing

projects. It has also stated that the definition of

affordable housing should be same across all the

legislation.

“Land as a value of the project cost, comprises 40

percent of the overall project cost. With the advent

of RERA, one cannot sell until all approvals are

received which means that one needs funding either

by way of promoter equity or private equity,” CREDAI

said in its budget memorandum.

Land funding is typically done by NBFCs or private

equities, it said, but added that cost to developers

are as high as 25 percent.

“The support of the banking system is needed to

bridge this gap. Funding of land by commercial

banks was permitted by RBI until 2008 and should

be resumed at the earliest for affordable housing,”

CREDAI said.

The association, which has over 10,000 developers

as members, also pitched for uniform definition of

affordable housing.

“Currently, Section 80 IBA of Income Tax Act, GST

Act, DEA Notification dated 14.11.2017, Ministry of

Housing and Urban Affairs in respect of CLSS and

RBI adopt definitions of affordable housing which

vary among themselves,” CREDAI said.

It suggested that affordable housing definition drawn

from CLSS (Credit Linked Subsidy Scheme) should

be made universally applicable across all agencies

of the government.

Under the CLSS, affordable housing comprises

units with a carpet area not

exceeding 60 square metres within the cities of

Chennai, Delhi, Kolkata and Mumbai, and 120

square metres elsewhere.

CREDAI also demanded that income tax rebate

should be enhanced for payment of principal and

interest on home loan.

Source: Economic Times, Delhi/NCR

CREDAI seeks bank funding for developers to buy land for affordable housing projects

BANK


Knowledge is not power until it is applied.

MahaRera Suggestsappointing multiple agenciesto drive OCs to projects

• Move to help avoid monopoly of single person holding up project’s OC

• More than 700 projects have got delayed OC although developers ap-plied for OC on time.

Speaking at CREDAI’s Event ‘YouthCon-19’ held In New Delhi on February 13-14, 2019, Gautam Chatterjee, Chairman, MahaRera,opined that multiple agencies should be given the task of granting Occupancy Certificates to housing projects in order to break the monopoly of a single officer on whom the onus is put at present. He informed that there were 700 projects in Maharashtra alone where developers had submitted all documents and applied for OC well in time but all their efforts were stonewalled by a single officer who had the authority to grant the OC. Although the approvals had been given by the same planning authority, Gautam Chatterjee stated that he failed to understand why the officer representing the same planning authority took so much time for granting the OC to the project which had been built in accordance to the Commencement Certificate. He suggested the mechanism of outsourcing the process of granting Occupancy Certificates to multiple agencies having a panel of planners and architects to check and grant OCs to projects

so as to break the monopoly of the single officer who had power to delay the OC without any reason due to his lack lustre attitude.

Chatterjee educated about RERA along with Rajive Kumar, Uttar Pradesh RERA Chief; Anthony De Sa, Madhya Pradesh Chief; and KK Khandelval, Haryana RERA Chief; who were present at the event.

The MahaRera Chairman gave this opinion on the query by Nayan Shah, President, CREDAI-MCHI, who opined that developers are looking for the day when the approval authorities could come under the ambit of RERA.

CREDAI-MCHI is an apex body of developers, which is recognised by Government of Maharashtra and helps in meeting their objectives of providing housing, which is sought after human necessity/requirement. With a strong membership of over 1,800+ leading developers in Mumbai, CREDAI-MCHI has expanded across MMR, having its own units in Thane, Kalyan-Dombivli, Mira-Virar, Raigad and Navi Mumbai. Members of CREDAI-MCHI account for 80 per cent of the organised development of new residential and commercial properties in Mumbai and MMR area.

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Common sense is a flower that does not grow in every garden

WantedSkilled Workers!The Indian construction sector is the second highest contributor

to the GDP after agriculture, yet, faces the challenge of a colossal

skill gap. The formally skilled workforce in the country is only about

4 per cent, which is abysmal. Developers need to partner with the

Government and also proactively initiate training and development

for construction workers to bridge this enormous skill gap. For its

part, the Government has initiated the India Skills Mission and, in

2013, established the Construction Skill Development Council of

India (CSDC) that works with the industry and training partners. It

encourages associations and developer members to partake in the

initiative to achieve skilling numbers for the sector.

Skill development is a need Contrary to popular perception, skill

development in the industry is not an additional feature or mere

CSR, it is a pressing need. In the absence of adequate skilled

workers, it will be a challenge for crucial government initiatives such

as ‘Housing for All by 2022’ to be accomplished.

Some key factors to emphasise

on the need for skill development

are:

• Shortage of human resource:

Although the construction sector

employs about 33 million people at

present, steadfast economic growth

and ambitious infrastructure projects

coupled with the Government’s vision

for the housing segment will require

4 million additional people per year

over the next five years.

• Technology and mechanisation:

Technology is fast overtaking all

tasks in construction and is expected

to further increase in India. With the

advent of modular structures and

prefabricated and precast parts,

mechanisation has become an

integral part of the industry. With

this increase in technology and

mechanisation, the proportion of

unskilled labour is expected to

reduce (though absolute numbers

will rise owing to increased projects).

• Consumer centricity leading to

increase in facilities: Consumers

are at the heart of residential projects

and are increasingly expecting

additional services to be provided at

an added cost. Security, plumbing,

gas pipe and electrical services

will create the need for additional

personnel equipped with required

skills.


find a reason to smile every day.

• Improving the lives of construction

workers: Skill development and training

increase the wages of construction workers, to

about 100 per cent in many cases. This enables

them to achieve a better lifestyle and greater

employment opportunities. Through CREDAI’s

skilling initiatives, we’ve been fortunate enough

to bring about this change in their lives and

view the resultant shift in perspective first hand.

Moreover, CREDAI also encourages participation

in the National and World Skills Competitions for

trained workers; many have excelled at these

platforms, boosting their opportunities.

Ways to bridge the skill gap

The fraternity needs to unite to see a tangible

difference in the volume of skilled labour and, by

extension, quality long-lasting structures.

• Onus of developers: Developers need to take

greater onus of skilling construction workers as it

builds a platform for finesse in construction and

long-lasting structures. Moreover, developers

can effect a change in mindset by helping

workers imbibe the fact that training is important.

• Effective use of the government cess: Of

the construction cess collected for the welfare

of construction workers, only 10-15 per cent is

utilised. There is a huge opportunity to utilise

these funds and impact construction workers’

lives for the better.

• Utilise existing platforms: The Government

aims to make India the skill capital of the

world and various ministries are undertaking

initiatives to this end. Many programs have been

conceptualised, executed and monitored by

various organisations, working closely with the

Government, such as CREDAI, CII, FICCI, etc.

Further, initiatives and committees like Pradhan

Mantri Kaushal Vikas Yojana (PMKVY), National Rural

Livelihood Mission – Ajeevika Skills, National Skill

Development Agency (NSDA) and the National Skill

Development Corporation (NSDC) are overseen by the

ministries of Labour Welfare and Skill Development.

• Indeed, it is a collective struggle to bridge the skill

gap in our sector and all industry stakeholders must

come together to address the necessary concerns. It

should no longer be a choice but a sustainable duty and

responsibility to train our workers.

About the author:

Vishal Gupta is Chairman-Labour, Laws and Skill

Development, CREDAI National, and Managing Director,

Ashiana Housing. At CREDAI, he has spearheaded

skill development initiatives and been instrumental in

the training of 1 lakh workers under CREDAI’s skilling

programme.

Chairman Sri K.Ramakrishna Rao addressing 3rd regular meeting. He was flanked by President Sri B.Srinivasa Rao and Hon Secretary Sri V.Dharmender.

CA, Sri Ramakrishna Sangu, receiving a sapling from former Chairman, CREDAI-VSP Sri B.Raja Srinivas, at the 3rd regular meeting.

CA, Sri Ramakrishna Sangu, responding to the queries from President Sri B.Srinivasa Rao, Chairman Sri K.Ramakrishna Rao and Hon secretary Sri V.Dharmender on various issues connected with GST at the 3rd regular meeting.

Sri MVV Satyanarayana, first time signing CREDAI-VSP members register, as Member of Parliament at the 3rd regular meeting.

Hon’ble MP Sri MVV Satyanarayana, CREDAI-AP Chairman Sri K.Subba Raju, Former Chairman CREDAI-VSP Sri K.S.Chandran, and Sri GVV Satayanarayana, at the 3rd regular meeting.

Members of ELMOT, Alternators Pvt. Ltd. team offering a bouquet to Hon’ble MP, Sri MVV Satyanarayana at the 3rd regular meeting.

Photo Gallery |


There is no bigger happiness than the joy of giving.

President Sri B.Srinivasa Rao, addressing a meeting, arranged to felicitate Hon’ble MP Sri MVV Satyanarayana at the 3rd regular meeting. (From left)Former Chairmen Sri B.Raja Srinivas and Sri K.S.Chandran, CREDAI-AP Chairman Sri K.Subba Raju, Hon’ble MP Sri MVV Satyanarayana, Chairman Sri K.Ramakrishna Rao, former Chairman CREDAI-VSP Sri GVVS Narayana and Hon Secretary Sri V.Dharmender are also seen on the dais.

Hon’ble MP Sri MVV Satyanarayana being presented the felicitation plaque at the 3rd regular meeting of the CREDAI-VSP.President Sri B.Srinivasa Rao (with mike in hand), Chairman Sri K.Ramakrishna Rao, former Chairmen Sri B.Raja Srinivasa and Sri K.S.Chandran, Hon’ble MP, Sri MVV Satyanarayana, CREDAI-AP Chairman Sri K.Subba Raju, Hon’be MLA Sri Tippala Nagi Reddy…..former Chairman Sri GVVS Narayana and Hon Secretary Sri V.Dharmender are also seen.

Hon’ble MP, Sri MVV Satyanarayana was felicitated with a mega garland at the CREDAI-VSP’s regular meeting.

Hon’ble MP Sri MVV Satyanarayana was being felicitated by offering a bouquet by the office bearers of CREDAI-Kakinada at the CREDAI-VSP’s regular meeting.

Hon’ble MP Sri MVV Satyanarayana is being presented with a memento by members of CREDAI Vizianagaram Chapter, at the 3rd regular meeting of the CREDAI-VSP.

Hon’ble MP Sri MVV Satyanarayana is being offered a bouquet by the office bearers of CREDAI Srikakulam Chapter, Srikakulam, at the CEDAI-VSP’s regular meeting.

Photo Gallery |


Accept both compliments and criticism. It takes both sun and rain for a flower to grow.

Chairman, Sri K.Ramakrihna Rao, congratulating, Sri KVR Raju (Ramesh) for successful completion of his tenure as CYW Coordinator for the years 2018-19 at the 4th regular meeting on 1st July. President Sri B.Srinivasa Rao and Hon Secretary Sri V.Dharmender, had joined in congratulating Sri Ramesh.

President Sri B.Srinivasa Rao, presenting a memento and sapling to Sri G.Kartik who had successfully completed his tenure as Convener of CYW for the years 2018-19.

Vice President, Sri N.Srinivasa Rao, presenting a memento to Sri P.Subhash, Secretary, CYW on his successful completion of his tenure for the years 2018-19.

CYW Committee member Sri.B.V.Sreedhar, receiving a memento from Vice President Sri Ch.Srinivas at the 4th regular meeting.

On completion of their term of office, Office bearers of CYW for the years 2018-19 were extended a warm send off at the 4th regular meeting on 1st July.

EC member Sri K.Srinivas, welcoming new CYW Coordinator, Sri J.Kumar Nandan and CYW Secretary Sri B.Suman, for the years 2019-20 at the 4th regular meeting held on 1st July 2019 at the KSR Function Plaza.

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Believing in your self is the first secret of success.

Minister for MA&UD, Sri Botsa Satyanarayana, being felicitated by office bearers of CREDAI-Visakhapatnam, at a get together event in Vijayawada on26/07/2019.CREDAI-VSP President Sri B.Srinivasa Rao Hon secretary, Sri V.Dharmender are seen in the picture.

Minister Sri Muttamsetti Srinivasa Rao, responding to his felicitation by CREDAI-VSP at its regular meeting. (From right)CREDAI-VSP Chairman Sri K.Ramakrishna Rao, Hon’ble MP Sri MVV Satyanarayana, Hon secretary Sri V.Dharmender and President Sri B.Srinivasa Rao are seen in the picture.

Former Chairman, CREDAI-AP, Sri K. Subba Raju, is being presented a memento by CREDAI-VSP members, at the felicitation ceremony in Bheemavaram on 19/07/2019.CREDAI-VSP President, Sri B.Srinivasa Rao, Hon secretary, Sri V.Dharmender, Treasurer Sri Ch.Govinda Raju, Joint Secretary, KVR Raju and former Chairman Sri B.Raja Srinivas, are also seen in the picture.

Hon’ble Minister, Sri Muttamsetti Srinivasa Rao, has been extended a grand felicitation by the CREDAI-VSP at its regular meeting on 2nd August 2019. To Minister’s left is Hon’ble MP Sri MVV Satyanarayana. Senior members of CREDAI-VSP are also seen in the picture.

Minister Sri Muttamasetti Srinivasa Rao, releasing CREDAI-VSP’s bi-monthly Bulletin “VISAKHA VISION” at the regular meeting on 2nd August 2019. (From left) Hon secretary Sri V.Dharmender, President Sri B.Srinivasa Rao, Hon’ble MP Sri MVV Satyanarayna and Chairman sri K.ramakrishna Rao are seen showing copies of the magazine.

C.N. Ananta Narayanan, AD of National Academy of Customs, Indirect Taxes &Narcotics (NACIN), delivering an awareness lecture on “Sector Specific Training, Construction Services, GST at the regular meeting of the CREDAI-VSP on 2nd August 2019 at the KSR Function Plaza.

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Money is the worst discovery of human life, but it is the most trusted material to test human nature.

Will Visakhapatnamget a secondAirport?

D e s p i t e

the Jet Airways

crises, India is still

positioned as one of the

fastest growing domestic

aviation markets in the world.

That said, reports indicate that the

Civil Aviation Ministry is planning on

offering additional options for travelers with

talks on for a second airport to be planned

and developed in India.

According to reports, India and China will account

for almost half of the world’s air passenger growth

in the next two decades. With this, major Indian

cities would definitely require second airports. With

Mumba i

and Delhi ready to

get a second airport, talks are

on for Visakhapatnam, Kolkata, Chennai,

and Pune, among other cities.

As reported, the Airports Authority of India (AAI)

Chief raised concerns on the rising demand

for air travel in the country and the need for

a second airport in Indian cities. It is known

that AAI is operating 125 airports, including11

international aerodromes. The challenges lies

in land acquisition as the AAI Chief has been

reportedly cited stating that the construction of

an airport requires at least 2,000 acre, and that

AAI along with the Ministry of Civil Aviation has

been writing to state governments to reserve

land for a second airport.


Lesser the traffic of words in your mind…easier the journey in life.

Infrastructure should precede residential development and not the other way round.

Building affordable housing in far-flung areas with scanty connectivity and social infrastructure is not desirable as the target segment may not like to displace themselves and move to such a place. The solution is to fuel the infrastructure of metros connecting the far-flung areas through an efficient mass transport system, which would ensure that an increasing amount of landis made available in the market for development. Infrastructure should precede residential development and not the other way round. Approval timelines have remained a challenge for the real-estate sector. Single-window clearance with defined timelines will surely help the viability of the business and ensure more supplies are infused in the market.How do you view growth in affordable housing in the coming five years? Joyville is catering to the mid-income segment, which is important in the overall growth story for the next five years in India. We are present in four metros in India so far and would like to focus on getting into other job-creating metros like Bengaluruand Hyderabad, apart from expanding in Mumbai, Pune and Delhi (NCR).

Sriram Mahadevan, Managing Director, JoyvilleShapoorji Housing, shares more on the potential of affordable housing in India and the company’s focus going forward with SHRIYAL SETHUMADHAVAN.How do you view the availability of funds for project execution? For corporate developers, availability of funds has never been a challenge. The situation has not changed much, even during the current liquidity crunch witnessed overall in the financial market.How do you view the construction opportunities in the sector for the next five years?Demand for affordable housing has always been there; this lends itself to huge construction opportunities. The healthy pipeline of construction activities in the affordable segment will keep generating employment opportunities that, in turn, will fuel the GDP growth rate going forward. Thus, construction of affordable housing will surely contribute positively to the overall growth of the economy.Any recommendations to give a further fillip to the sector?


A few nice words can help a person a lot more than you think.

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Nowadays, people know the price of everything and value of nothing.

NATCON19The latest edition of CREDAI’s NATCON19, held on September 5,6 and 7, in Tel Aviv, the capital city of Israel, has been a mega success. As many as 1200 top realtors from all parts of the country attended the annual mega event of CREDAI. This is a record. A special feature of this important event this time is, it has been jointly organized by Andhra Pradesh and Telangana chaptees and delegates from small and medium towns had also participated. More than 350 delegates attended from both states.

The theme of this year’s NATCON was “resilience to excellence”. A number of issues connected with realty sector,like liquidity, rates of interest on housing loans have been thoroughly discussed. Sessions on latest technologies, innovations, human resources and their use in realty sector have also been discussed.

Israel is a country of technology and innovations and it helped greatly. Israel had developed technology to desalinate sea water into useful water. It recycles 80 per cent of used water. These are some inspiring aspects. Their best practices could be replicated where ever and whenever is possible.

Prime Minister of Israel Sri Nathanyahu had addressed the conference through video.

The mega convention was educative and the add-on tour for the participants of CREDAI-VSP Chapter was enjoyable. Israel is hub of technology and innovations. These could be used to reduce cost of construction. Participants had also the opportunity of rubbing shoulders with top realtors in the country as also with the VVIPs and VIPs who had delivered inspiring lectures at the sessions. This would be etched in their memories for a long time. The add on tour to important countries like Jordan and other places had been quite enjoyable.

th

20192019

The visit was worth its time and money.

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Welcome to New Members into CREDAI-VSP Family

Loving nature is equivalent to worshipping god….Swamy Vivekananda.

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