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A T i m e s o f I n d i a P r e s e n t a t i o n , P U N E , M AY 1 7, 2 0 1 4 T I M E S P R O P E RT Y mixedbagMost PE funds in this region, are gradually buying developed commercial assets for rental yields and capital appreciation[FAST FACT]

■ HINJEWADI WITNESSESAN ANNUAL ABSORPTIONIN THE RANGE OF 1.75-2MILLION SQ FT. THE NEXTTHREE YEARS WILL SEE ASIMILAR ABSORPTIONRATE

Section 33 of the Ma-harashtra Coopera-tive Society Act 1960,

aims to safeguard the in-terest of the creditors andmembers of a society inliquidation and inciden-tally, helps maintain theinterest of the members inthe functioning of a soci-ety.In S S Sakhar K Sataravs Naik, the court held thata bylaw contravening theprovisions of Section 33could not be enforcedagainst past members ofthe society. Accordingly,subject to the provision ofSub-Section (2), the liabil-ity of the past member orof the estate of a deceasedmember of a society, forthe debt of the society asthey stood;●● In the case of a pastmember, on the date onwhich he ceased to be amember; and,●● In the case of a de-

ceased member, on thedate of his death, shall,continue for a period oftwo years from such date. ●● Where a society is or-dered to be wound up un-der any provision of thisAct, the liability of a pastmember or of the estate ofa deceased member, whoceased to be member ordied within two years im-mediately preceding thedate of the order of wind-ing up, shall continue un-til the entire liquidationproceedings are complet-ed but such liability shallextend only to the debts ofthe society, as they stoodon the date of his ceasingto be member or death, asthe case may be.

(The writer is an inde-pendent legal counsel

who heads a voluntarysocial initiative, Draft-

Craft Connect)

The emerging micro-market of Hinjewadi, whichlies on the high-profile Expressway, connecting thecity of Pune to Mumbai and Bengaluru, is wit-

nessing significant commercial and residential devel-opment. "It is no secret that the year 2013 was not a verygood one for the Indian real estate sector. The economicslowdown, coupled with political uncertainty, led to adownward trend in the property market. On the resi-dential property front, high property prices and homeloan interest rates, kept a large number of buyers wait-ing on the side-lines, across most Indian markets. How-ever, despite the overall slowdown in the sector, the prop-erty market in Pune maintains a steady momentum thattends to define all stable real estate markets," says San-jay Bajaj, managing director-Pune, JLL India.

Meanwhile, Pune's real estate market is showinghealthy growth across most asset segments. "Consider-ing the concentration of population that is profession-ally active in the IT and manufacturing industries, thereis now a greater demand for multi-storeyed apartments.The residential micro-markets, like Pimple Saudagarand Wakad in west Pune, are seeing a lot of residentialdevelopment, driven by good connectivity with the keycentres of the city and the presence of good social in-frastructure like schools, hospitals, malls and enter-tainment centres," adds Bajaj.

According to Shrinivas Rao, CEO-Asia Pacific, Vest-ian, Hinjewadi has emerged as one of the most popularIT/ITeS hubs in Pune, owing to its proximity to Mum-bai. Originally an established industrial location, thisregion witnessed spectacular growth when the Maha-rashtra Industrial Development Corporation (MIDC) pro-moted the development of Rajiv Gandhi Info Tech Park(RGIT) during 1998. By far the biggest IT Park in Pune,the RGIT at Hinjewadi, is being developed in phases ofwhich Phase 1 and 2 are already operational. RGIT Phase3 is currently being developed while a fourth phase of988 acres, has been proposed due to the proliferation ofthe IT/ITeS sector.

Vestian's research estimates reveal that the total work-ing population in Hinjewadi is presently around 80,000people. Some eminent companies present in this micro-

market include, Emerson Innovation Centre, FulcrumWorldwide, CRISIL, Mahindra Engineering, Idea Cel-lular, Credit Suisse, etc. While Infosys and Wipro housecaptive SEZs in Hinjewadi; other IT majors, such asIBM India, Hexaware Technologies, AtoS, SynechronTechnologies, Cognizant, MindTree, Honeywell, TataTechnologies and Tata Consultancy Services, present-ly only hold expansive facilities.

As per Vestian estimates, Hinjewadi witnesses anannual absorption in the range of 1.75-2 million sq ft.The next three years will see a similar absorption rate,owing to the availability of land, presence of Grade Acommercial developments and the rental advantage.

The city is gradually expanding across the key sec-tors, like the manufacturing, automobile, InformationTechnology (IT) and biotechnology and the pharma-ceutical industry. Conducive government regulationsand the availability of expansive large land parcelsalong with Hinjewadi's tantalising proximity to theMumbai-Pune Expressway, adds to the region's popu-larity amongst investors. As per the department of reg-istration and stamps, the government of Maharash-tra, currently the guidance value in Hinjewadi for de-velopment of commercial land is Rs 15,390 per sq me-ter and for residential land, it is Rs 12,820 per sq me-tre. The prevailing land price is anticipated to be inthe range of Rs 8-12 crores per acre.

With key companies expanding in this micro-mar-ket, residential sectors around Hinjewadi are expect-ed to witness healthy demand in the short-to-mediumterm. Most PE funds in this region are gradually buy-ing developed commercial assets for rental yields, aswell as capital appreciation. Most investors are typi-cally keen on developed properties and/or renting com-mercial spaces with 8-10 year lease period. Pune alsohouses the key government and private sector researchinstitutes, and educational, management and traininginstitutes that attract migrants, students and profes-sionals, not only from India but also from the SouthEast Asia, Middle East and African countries. Origi-

nally an industrial region in Pune, Hinjewadi did notfeature high amongst the residential neighbourhoodsin the city. However, this northern micro-market hasascended the charts, with an annual appreciation inthe range of 12-18 per cent, post the growth of theIT/ITeS industry.

●● RESIDENTIAL DEVELOPMENTWith over 3-5 lakh professionals travelling to the IT

Park at Hinjewadi daily, the key concern in this mi-cro-market remains of the traffic congestion that hasresulted due to the entailing construction and infra-structure development. To ease the traffic snarl, heavymotor vehicles are prohibited and companies resortto car-pooling activities. "The influx of IT profession-als to the Rajiv Gandhi Infotech Park has led to rapiddevelopment of townships in Hinjewadi. These pro-fessionals hail from established cities, like Mumbai,Bengaluru, Hyderabad and are mostly well-educated,well-travelled, accustomed to good social and retail in-frastructure; prefer integrated townships that harbourall these facilities.

Aware of these essential requirements, most of thedevelopers in Pune are constructing integrated town-ships in Hinjewadi that house schools, health care fa-cilities, restaurants, shopping areas and entertain-ment options on their premises," adds Rao.

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The liability of a past member or estateof a deceased member, shall continueuntil the liquidation proceedings are

complete, saysGAJANAN KHERGAMKER

HINJEWADI ROUND-UP◗◗ Good connectivity.◗◗ Availability of housing to meet needs of budget,mid-segment and high-end users.◗◗ Social infrastructure like retail outlets, stadiums,schools and hospitals.◗◗ Surrounded by hills and away from pollution ofthe core city areas.

◗◗ IT workforce in Hinjewadi makes it an upcomingmicro-market.◗◗ Various formats of realty development.◗◗ Commercial realty development in the form ofSEZs.◗◗ Residential realty in Hinjewadi and surroundingareas like Baner, Wakad, Balewadi, to cater to theworking population in the IT SEZs.◗◗ Further scope for development in the form ofbetter social infrastructure.

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■ CONSIDERING THECONCENTRATION OFPOPULATION THAT ISPROFESSIONALLY ACTIVEIN THE IT ANDMANUFACTURINGINDUSTRIES, THERE ISNOW A GREATER DEMANDFOR MULTI-STOREYEDAPARTMENTS. THERESIDENTIAL MICRO-MARKETS, LIKE PIMPLESAUDAGAR AND WAKAD INWEST PUNE, ARE SEEING ALOT OF RESIDENTIALDEVELOPMENT, DRIVEN BYGOOD CONNECTIVITYWITH THE KEY CENTRESOF THE CITY AND THEPRESENCE OF GOODSOCIAL INFRASTRUCTURELIKE SCHOOLS,HOSPITALS, MALLS ANDENTERTAINMENT CENTRES.

DEEPTI GANAPATHY takes a look at the commercial and residential prospects of the upcoming micromarket of Hinjewadi in Pune

AREA IN FOCUS: HINJEWADI

PHOTO USED FOR REPRESENTATIONAL PURPOSES ONLY