Paradigm Realty: Setting New Trends in Affordable Luxury Housing | CORPORATE ETHOS

Paradigm Realty: Setting New Trends in Affordable Luxury Housing

By: | March 17, 2018
Parth Mehta Image 2 (1)

In housing industry one is more likely to find more of low cost projects or premium luxury projects. However, Paradigm Realty is taking a ‘middle-path’ with its emphasis on affordable luxury projects in Maharashtra. The venture was started three years ago by  Mr Parth Mehta, alumni of SP Jain Centre of Management.  His aim is to deliver 2 million square feet of built up space in its third year of operation after having successfully launched residential projects in suburban locations such as Khar, Santacruz and Borivali. The company has recently launched new projects in Andheri, Oshiwara and Thane.

In an interview to Corporate Ethos, Mr Parth outlines the vision for his start-up realty venture and expansion plans for the future.

 

  1. Recent reports of CREDAI and other agencies have indicated a rebound in India’s realty sector with RERA, GST and other regulatory and taxation reforms bringing more trust and transparency in the business. Do you share this view and what are your expectations for the industry in the next 2 years?

In 2017, realty sector witnessed dynamic changes like RERA, GST, Implementation of PMAY positive effects of which shall be reaped in coming years as the sector has become more organised and serves largely the interest of the end buyer. With RERA now the buyers are willing to convert their lifetime savings in real estate investments resulting in increased traction in demand for residential sales which shall grow multi-fold especially in affordable housing segment with impetus parted by government like concessional GST of 8% and interest subsidy under PMAY.

  1. Real estate industry is also impacted by seasonal and festive trends. How was the Gudi Padwa 2018 season for Maharashtra industry and for Paradigm Realty?

As per the Hindu calendar Gudi Padwa is considered to be an auspicious occasion to invest in property. The most-awaited festive season has undoubtedly brought cheer to the Indian realty segment with the property market being abuzz with a lot of activity happening in terms of sales. Since a large number of property buyers and investors hold a deep emotional connection with the acquisition of property on auspicious festive dates, activity levels on the property sphere upsurge perceptibly around this period. During the festive spirits, the buyer’s mood is upbeat and are very optimistic about property purchase. This positive sentiment is further enhanced by some of the alluring discounts offered around this time. This is a clear sign that the market is drifting towards a positive change.

We at Paradigm Realty are offering an array of benefits in the form of offers and subvention schemes to potential buyers. We are optimistic of receiving a very overwhelming response for all our projects with more and more buyers keen on making real estate investments. At our project Ariana Residency in Borivali East, we are offering an easy subvention scheme at the ratio of 1:94:5. In order to further ease the finance facility for the homebuyers, buyers at Paradigm Realty are required to pay only 1 percent at the time of booking, 94 percent of the amount is to be paid by the bank and 5 percent is paid by the buyer at the time of possession. Further reducing the burden from the buyer’s shoulder, the exemption of pre-EMI is another key benefit as the same will be paid by the builder to the bank on behalf of their customers. Moreover the lowered GST rate of 8 percent instead of 12 percent along with the provision of additional subsidy up to 2.67 lacs under the scheme of Pradhan Mantri  Awas  Yojana will ease the homebuyers decision in a colossal way. Buyers who will be booking before March 18, 2018, will be entitled to receive tangible gifts like 55” LED TV, Honda Activa 125cc and 10 gms of gold. (T & C Apply). Also at our Thane project Zenith at Pushpanjali Residency we are offering affordable homes with specifications of 1 BHK starting at INR 52 Lakhs and 2 BHK at INR 68 Lacs.

  1. Paradigm Realty is catering to ‘Affordable Luxury’ realty segment. Could you define its parameters and what makes it different from the other luxury realty players?

Our Affordable housing project like Ariana Residency primarily caters to Low Income Group (LIG) and Mid Income Group (MIG 1) with carpet areas of under 60 sq.mt which enjoys interest subsidy and concessional GST rates of 8% which though affordable has host of amenities, design & planning at par with luxury projects.

Also we have ANANDA RESIDENCY catering to  MIG-I and MIG-II with carpet areas of less than 120 sq.mt & 150 sq.mt  respectively reckoned one of the largest gated community project of Borivali with world class facilities.

  1. In your view, what are the safeguards to be taken by buyers when choosing affordable luxury apartments?

Purchasing a new home is considered to be an investment of a lifetime for the Indian buyer community. While investing in such properties, it is vital that buyers comprehend the definition, context and meaning of affordable luxury in Indian property segment. Investing in an affordable luxury project should involve the necessity for multiple checks and authentications in any case. They should consider significant factors like will the project be handed over to the buyer on time and should always compare the gross price with the carpet area. Read all the property related documents carefully. One should totally refrain from investing in properties which are under legal scrutiny.  Choose a location and do a proper site visit to understand the various benefits and amenities the property offers. Ensure that the project you plan to invest should be in a good locality which has scope for future growth and developments. The location should be closely connected to railway stations, metro stations, flyovers and airports. Buyers must consider if the property value will increase in the future or not, one must also analyse if there is going to be future growth and developments in the area. Always invest in a location that has a scope of growth. One should properly study all the legal issues pertaining to the property before the purchase itself to avoid problems like late hand over or any other legal problems.

  1. How does volatility in cement, steel and other building material prices affect your project costs and returns?

The cement and steel prices are anticipated to go up slightly. A lot of our real estate and development projects being on-going and many other being in the pipeline, classification of cement in the lower bracket would have facilitated to deliver cost-effective construction rate for such forthcoming projects.

  1. Do you have plans to enter other realty segments such as affordable housing and also expand beyond Maharashtra?

We have collaborated with Ram Developers to launch our project Zenith at Pushpanjali Residency for all those who aspire to have a beautiful home at an inexpensive rate in a place like Thane where the real estate prices are at a peak. With increasing aspirations and changing perspective, buyers today are on a look-out for budget homes brimming with world-class amenities. So, at Zenith we aim at offering the discerning customers with contemporary homes at an inexpensive price value, replete with all modern facilities. We are sure that the project will be one of the finest property developments in the area and we are making every effort to deliver a refined living experience to the dwellers.