REBI comes out with India's first Property Shops Chain
REBI, the end to end services provider in Real Estate Sector commences its operations in Andhra Pradesh and inaugurates A.P first Master FranchiseeTweet
-- Indian Real Estate industry is going through a transition phase. Most of the Real Estate Sector in our country is still in the unorganized sector. Despite of good growth prospects, it is still highly unrecognized sector, which is also supposed to be one of the most corrupt sectors. It is Unorganized, Unrecognized and where half the transactions go Unreported. Property transaction in India is still extremely complicated, courtesy India’s ubiquitous red-tapism. The Indian Real Estate Industry has more negative adjectives attached to it than any other industry. This high order of anarchy was the insignia of the real estate sector till a few years ago. Not any more says Mr. Lakshmi Narayanan, President and CEO of Bangalore based company Real Estate Bank India addressing a press conference in Hyderabad today on the occasion of inauguration of “Orange Infraa”, A.P’s first Master Franchisee today by Mr. Chandrababu Naidu, former Chief Minister of Andhra Pradesh.
REBI has been the pioneer in offering all under one roof services to make a real estate transactions transparent and easy for both buyers and sellers. This win-win formula comes as whiff of fresh air as REBI has already commenced its operation in Karnataka, Kerala, Tamilnadu. Now expands to Andhra Pradesh and soon would go national. It also commenced its overseas operations in Sri Lanka and soon would like to go to countries like Dubai, UK, USA, Singapore, Malaysia and Australia etc.
The route it has chosen is Franchisee model. In next three years span of time it would like to set up 3000 franchisees all over India. And in Andhra Pradesh alone it is expected to set up 40 franchisee outlets. It has already pumped about Rs 5 crore in this model and expect to chip in another Rs 25 crore in next one year.
REBI envisions to provide a single window services for a customer in real estate industry. The services offered by REBI include Brokerage Services, Financial Services, Database Services and Relocation Services.
Elaborating on the services Mr. Lakshmi Narayanan said under Brokerage services we extend help in buying, selling and leasing property. These services are offered off-line, through an extensive network of franchisees and on-line, through the internet. A Real Estate Helpline is offered Toll Free Service to the customer. Deals are processed through this network are backed by extensive research. Under Database Services, exhaustive information of properties will be showcased to the customer, he informed.
India’s realty segment is the only industry with a track record of 30-35% growth per year in terms of investment. Currently the size of the industry is put at 16 billion US Dollars, expecting to be 25 and 50 billion and 102 US Dollars by 2010 2015 and 2017 respectively. The main growth thrust is coming due to favorable demographics, increasing purchasing power, existence of customer friendly banks & housing finance companies, professionalism in real estate and favorable reforms initiated by the government to attract global investors. Indian real estate has huge potential demand in almost every sector especially commercial, residential, retail, industrial, hospitality, healthcare etc. Commercial office space requirement is led by the burgeoning outsourcing and Information Technology Industry. The leaders of the IT/ITES world have set up or are setting up their centers in India. Estimated demand from IT/ITES sector alone is expected to be 150mn sq.ft. of space across the major cities by 2010. In residential sector there is housing shortage of 19.4 million units out of which 6.7 million are in urban India. The increase in purchasing power and exposure to organized retail formats has redefined the consumption pattern. As a result the country has experienced mushrooming of retail projects across the cities.
Even global majors also wanted to taste the Indian Real Estate pie. Policy changes introduced by the Government in February 2005 allowing 100 per cent foreign investments in construction projects has also fuelled the growth.
Besides the corporate front 77 per cent of individual wealth of this country men is invested in Real Estate industry. The lifetime saving is invested in property. Nobody considered settled unless he/she buys a shelter for their living. But, buying and selling property is very complicated. One needs to deal with multiple people, governmental agencies. There are no trained real estate agents. Most of them are part timers. The rules and regulations governing selling and buying properties vary from state to state. Hence, these all unorganized activities have to converted into organized, then only real value comes. So as real estate business is growing at a phenomenal rate, there are issued related to legality, sourcing, financing, insurance and the like. REBI plans to address these issues and create a system of transparency for all the parties concerned. Our team of experts and professionals deep into the industry to earn the trust of the customer, explained Mr. Lakshmi Narayanan.
Adding further he stated that there are nearly 14000 Real Estate Brokers in Bangalore, 8800 in Twin Cities of Hyderabad and Secunderabad, 27000 in Mumbai and 1,20,000 in three cities like Delhi, Noida and Gurgaon put together. And large chunk of these brokers are unprofessional and work only part time. Only 10 per centage of these brokers are full timers. Hence, the business is generated out of trust and referrals given by customers. And business doesn’t happen on professional basis. REBI is here to change that scenario. So soon we are going to have a four digit NATIONAL TOLL FREE TELEPHONE NUMBER. This will be India’s first Real Estate Toll Free Helpline. We have already finalized the formalities to launch this service, Lakshmi Narayanan informed.
Notes to Editor
A Bangalore-based Professionally Managed Company offering a breakthrough End-to-End Services in Real Estate Sector providing one-stop shop property services by property experts such as brokerage, financial services, database services, relocation services, etc. and others with a presence in India, Sri Lanka and UK