-
“When you put a lion in the cage, even a mouse dares to take a
bite at it”...
Well, it’s indeed isn’t lock-down philosophy as by now the
lock-down is just in rule books of some govt agency, is the scene on
the roads. And another sign of lock-down getting over is the tongues which
started wagging all around & what better than real estate to hit as this
industry has become a punching bag for many so called big names in corporate as
well social & political fields & the media loves such bashing for their
TRP & common man too loves it because like the remix of some popular
Bollywood song, the words are different but tune is same! Well, this happens
only when you are run out of new creative ideas & no wonder looking at all
the names which has been singing the tune of advising to real estate, most of
them have run out of ideas long back!
First Mr Gadkari (though I respect him personally), then Mr
Tata, then Mr Parekh, followed by none other than Union Minister of Commerce Mr
P Goyal & latest entrant in the orchestra is Mr Kotak! And if you have wise enough (well
there are few yet in real estate) then you will observe every time when some
big political name sings first line of this "Save Real Estate" song,
then immediately few big names from corporate or social or finance fields joins
the chorus, and these names are always from Mumbai or Delhi! Rather keeping due respect for
every such name, that’s how you become big in this country is what sometime I
feel along with your intelligence! Except one Mr Bajaj or some Narayn Murthy,
no other big name has guts to sing a different tune than the govt puppet
singing is the irony of this country actually! And then media also likes it, as on
one side media wants revenue from real estate (read as builders) and when its
strengthening real estate industry, it’s the media which damages it most by
promoting such fool’s advice which has no value nor any real feelings! And I am
not saying to any media don’t promote or don’t print wrong doings of real
estate people but this is not wrong doing its just pelting stones at caged
lion! As none of these names has any
sympathy for real estate industry as whole i.e. neither with the builders nor
with the home buyers or they would have come with some concrete proposal for
finding solution in these hard business times than giving age old Grandma’s
solution of reduce the rates!
What I meant is like whenever its cold or cough or headache or
stomach pain, the old lady in home which mostly is our loving grandma used to
give a peculiar medicine from her “Batuwa” i.e. pouch. For ages that medicine
is same, powder of some herbs & you have to drink it with milk & that’s
all. Same way all these so called successful business corporate gurus’ give
same advice; reduce the rates in difficult times for real estate, reduce flat
rates, work on less profits & sometimes they coat the words with
philosophical touch like, “drive not looking in rear mirror but drive looking
front on road” types! Wonderful & appreciated but guys the main difference
between Grandma & you all is, her medicine may be same & age old but
it’s her love towards us which was genuine & you all are giving us
(builders) dosages looking at your own products & prospect! For e.g. Mr Parekh & Mr Kotak
are finance guys & giving people loan & make money on the interest which
the people pays, is their core business! And Mr Tata is in many businesses
& knows our Indian mentality that for most people a home is first priority
& is a costliest product not because of the builders but because of every
segment associated with it including govt. And if all the money of a
family gets burnt in buying a home then who will buy many other commodities
like a dream car, even if it’s available in Rs 1 lakh
Well, my culture is not to hit other people on their weaknesses
or insult them by advicing in such a way that the medicine will give more pain
than the wound i.e. “jakhm pe namak chidakna”; so I won’t comment or say things
about all these people’s businesses or the way do it but then respect is a two
way road, isn’t it? I
have nothing to say about any political names & what they say about not
just real estate but any aspect of life as a profession where while election
you speak all ill & throw dirt on your opposition & post election you
make the same opposition allies; lesser we speak about such profession &
men in it! But when the so called professional, intellectual, wise (supposedly)
& fellow men speaks in the same fashion of politicians then it’s time to remind
them some dosage of their own medicine!
First of all have any businessmen have guts to tell the govt
(read as rulers) that it has messed up urbanization of this country especially
the big cities! As well it’s the disturbed balance of entire country’s
population which makes people leave their native places & rush for few big
cities for survival eventually toppling civic balance of these cities also.
Take example of Maharashtra, our population is 11.50 cr with area 3 lakhs sq km
& look at respective population of Mumbai is nearly 1.90 cr, Thane (region)
is 1 cr & Pune region is 1 cr which combinely makes 4 cr & this doesn’t
includes New Mumbai & Nashik. Add it all & collectively half of the
State’s population is living over just 1/20th of land of entire
State & you still think land will be cheap here, which is raw material for
the real estate. Then whatever homes are needed are being build in this region
only as jobs are here & education is here & obviously the basic
material needed for building these homes is in demand here only. For e.g. sand
or metal (khadi) may be available in ample near Chandrapur or Akola but how to
get that material to Pune, have you thought that! So the builders (read as real
estate) has to buy every such material along with land as whatever rates it’s
been offered, so gentlemen can you guide any solution to keep control on these
materials rates? By the way Tata Sir, your steel is best in quality but
costliest in rates in compare to Jalana steel, will you ask your distributors
to match the rates with Jalana steel for coming three years for Pune –Mumbai
region at least?
If this is about land rates & materials rates then same mess
is about making policies about land as well planning issues in Pune region (as
I am not familiar with Mumbai rules). Right from slum development to use of TDR
to generation of TDR to Metro FSI to TDR on 6 meter wide road to ULC affected
societies the list of pending policies will beat Hanumanji ki Punch actually
& all this, does affects the costing of the product which isn’t the case in
any other industry as unlike other industries here every new project is like
setting a new industry actually! On top of it applying any policy with
retrospective effect is a favorite game which govt like to play with real
estate, imagine Tata sir, if Bahart 2 or 3 (does it matters anyway) comes in
2020 & they asks you to make the necessary kits to be fitted in all the
cars you produced since 1990 at you cost, what will be your reaction then, will
like to know! This happens with real estate every day from road hand over
premiums to Vat & Service tax, everything time travels to & fro here!
And why none of you people suggested govt to reduce its premiums or development
charges which are being taken even without doing any development around most of
our projects?
And if this all is not enough then there is finance front &
here also we have advice givers from the field which are never known to say
anything about reducing interest on loans of project finance or easing
processing things. Here every Banker deals with a developer (read as most
developers) like they are beggars & asks for collateral security equivalent
to the loan amount, however low sale rate we work out viability of the project
& mortgages entire project even for 25% finance is being done of the
project cost! I am no
financial expert like you guys but like a house wife need not have to be a
finance guru to run her home, I at least know how to run my little business
& I face these hurdles every day so I am asking you, wise minds! As well
housing finance rates also if you can curtail by few percent at least for
coming three/ four years, it will be big help to the home buyers
& yes think of removing that processing fees also, that's hardly 1%!
Lastly, we (read as builders) are not asking you for any help or
advice so why all of you are so keen on guiding us, is something I will like to
ask! At the same time there are many other businesses as well entrepreneurs in
our country & in rural or remote areas of MP, UP, Bihar, Vidarbha; can you
please share your wisdom for those people also as they too want to survive,
same way we the builders want! Awaiting to hear from all of you guys about it
& oh yes all the best for your businesses also, sure you too will need some
good wishes, Dilse!!
Btw, remembered a small story from Panchatantra about this
entire advice issue, sharing along, do read & share if liked; you all may
use it for your next advice sessions...cheers!
--
The Story.
A hungry wolf was once drinking water at a stream. He
caught sight of a lamb drinking water far down. He wanted to eat
it up. He ran up to it and said very angrily, “Why are you making the water
muddy? Don’t you see that I am drinking it?”
The poor little lamb began to tremble and said,
“Please, sir, the water is flowing from you to me. So I am not at all making it
dirty for you.” “But why did you call me names last year?” thundered the wolf.
“You are mistaken, sir,” replied the lamb. “I was not even born
last year.” “Then it must have been your elder brother. And you must
now suffer for his fully.” So saying he jumped upon the
unfortunate lamb and tore it into pieces.
Moral. Any excuse is good enough for an evildoer.
--
Sanjay Deshpande
Sanjeevani Dev.
Please view my sharing about real estate in Pune at U-Tube link below..
Please do visit my blogs to know about our philosophy at
Sanjeevani ! (Click the links below)
Creating Togetherness; team Sanjeevani Way(Click link below)
https://www.flickr.com/photos/65629150@N06/albums/72157627904681345
For any of your complaints about city, log in at link below
www.punecorporation.org
Take your
issues to Hon PM at link below..
Think Green, Think Life
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