PANJIM: As the president of the Goa unit of Credai, Desh Prabhudessai takes an overview of the industry in an interaction with the Herald. He discussed emerging trends and the problems faced by the industry.
Herald: What do you think the government should be doing to help the construction industry in Goa?
Desh Prabhudessai: We have highlighted the issues of concern to Chief Minister, Manohar Parrikar. And under his leadership many of them have been resolved. We are sure that his efforts in resolving these issues have allowed us to be more proactive in providing affordable housing to the common man. It’s high time that the government introduced single-window clearance, to expedite project clearances, including environment and height clearances, and avoid multiple departments to be approached.
Herald: Builders in cities like Delhi, Pune sell real estate by carpet area, but it is yet to happen in Goa. This makes prospective buyers extremely cautious of Goan real estate market, have you faced such problems with your projects?
DP: There is always a confusion about carpet and super built-up area. Carpet area is the area one occupies in the flat, now the question is as who will own the common passages, lift and staircase. So to give ownership of these areas total area is divided and added to the carpet area of thus a super built-up area is derived. In Goa we sell the units on carpet area but we also mention the super built-up area.
Herald: Many big builders are opting for massive commercial building projects.
DP: The main reason builders are trying to build commercial complexes is because it is the basic need of the hour. The main purpose anybody feels like moving into quality office space is because of high quality physical infrastructure and keeping in mind the array of basic facilities like electricity, water, gas, roads, telecom and broadband. Further, today, modern hi-tech office spaces inculcate integrated townships, an entertainment zone, hotels, a convention centre, shopping malls, stock exchanges and service units.
Goa is witnessing many such developments hence, the percentage of builders moving into such complexes is increasing at a faster pace. Every good developer in this market is trying to bring in innovation in some way or the other. A branded developer is more concerned with innovation. Therefore, the customer has a realistic choice now while opting for a novel project from a branded developer. The developer today is using brink technology to serve more customised and modern-age facilities to the customers. There is also the trend of serviced apartments so that you have 5-star hotels running these projects and also tying up with the top hospitals to provide 24-hour medical support to the property buyers.
Herald: What are the emerging trends you have noticed in the Goan realty market which will
become big in the near future?
DP: Firstly, Goa’s real estate market has always given very high returns on the investment and therefore investors from all over the world do not hesitate to invest in Goa.
Then there has always been a vigorous demand for the built-up property. To add to the same is the value appreciation of the asset. There also exists a great potential for rental income ie long term rentals and short rentals like for holidays. Since there has always been an immense shortage of hotel rooms during the peak season plus the increase in its tariff the demand for holiday villas, guest houses, service apartments have been elevated in Goa.
However, in the next six months, the condition of the real estate market will not deteriorate, feel developers. There is an evident optimism for the residential sector and the office market. Notwithstanding the economic risks associated post election, stakeholders expect an economic expansion during the next six months. We are positive about the economic scenario and expect an improvement in the next six months.
