NEW DELHI: National Real Estate Development Council (NAREDCO) – an apex body, formed under the aegis of Ministry of Housing and Urban Affairs, Government of India, today said that innovative funding solutions, alignment with the newly emerged segments and construction technology upgrade will propel the sector’s revival.
Mr Niranjan Hiranandani, President, Mr. Rajeev Talwar Chairman, & Mr. Parveen Jain Vice Chairman NAREDCO at the press meet to announce 15th National convention 2019
The apex body has also announced its 15th annual edition of National Convention, themed on ‘Housing for All 2022’ – Real Estate Inflection Point: Readying for Future. National Convention planned on 19th August will act as a platform to initiate a series of dialogues to review the cascading effect of economic policy reforms and discover an innovative growth solution for the quick revival of Indian real estate.
The sector is facing major challenges on liquidity squeeze, ease of doing business, land acquisition, lack of skilled workforce, and higher development rates which shall be positively addressed by government in tandem with apex bodies with cumulative corrective steps.
On the occasion, the Apex Body said, as per estimates, an investment of USD 2 trillion till 2022 is required to meet the housing shortfall of 110 million housing units. Therefore, it is imperative that government considers bringing in innovative funding mechanism to speed up the construction and offer help on deliveries.
Dr Niranjan Hiranandani, National President, NAREDCO voiced out that, “Indian real estate is correctly grappling with challenges as an outcome of consecutive policy reforms which needs to be addressed on priority to revive health of Indian economy. “Being a major contributor for employment and thriving sector for allied 268 industries it is bound to grow at the CAGR of 35%which shall be a game changer for India to keep the tag of fastest growing economy of the world at projected 7.6% growth rate” he added on a positive note. The National Convention will table issues and brainstorm innovative ways to resurrect sluggish Real Estate sector for now”, he added.
The body added, though these disruptions have affected the market, there are new avenues for the sector to participate. Segments such as the logistics & warehousing sector, co-living and co-working, senior living, educational institutions and special economic zones offer these development opportunities to developers in real estate.
“However, to be an active player in these segments, it is imperative that the development firms are supported with ease in regulations and simplified rules governing these segments. We welcome the measures brought in by the government so far in this respect. For example, awarding the infrastructure status to logistics and warehousing sector, the recent announcement in the Union Budget concerning the promotion of rental housing sector promises new growth areas for developers,” said Rajeev Talwar, Chairman, NAREDCO.
The Union Budget 2019-20 has highlighted the importance of reduced construction cycles and the importance of technology. It said the time taken to complete a house had been reduced from 314 days in 2015-16 to 114 days in 2017-18 using technology and the direct benefits transfer platform. In this light, NAREDCO has urged the government to create an atmosphere in the country for faster adoption of new age modern construction technologies of world repute. “This will help in faster deliveries and will eventually help homebuyers. The disruption brought on by the technology upgrade will boost efficiency and will help the sector to perform,” said Mr. Parveen Jain, Vice Chairman, NAREDCO.
The sessions of the Convention will bring to light on: Housing for all 2022: next steps for enabling affordable housing, Solutions to liquidity challenge faced by real estate sector in India, National urban rental housing policy: ensuring Housing for All, RERA empowered: stakeholder’s convergence for expedited gains, Ease of doing business: enabling growth through interventions, Integrated real estate infrastructure development: a symbiotic model for Development, Emerging construction technologies in real estate project delivery & Disruptions in real estate– the game changers.
Along with the National Convention, an exhibition to display new technologies, products and materials for the benefit of the participants will also be organised at the same venue.
NAREDCO and its state chapters work in close co-ordination with central and various state governments to achieve its objectives, that is, promotion of housing and real estate sector in India and inculcate transparency and accountability for the benefit of the customers.