​Union Budget 2017

Jointly hosted by CREDAI-MCHI &Times Network’s Magic Bricks Now
For the second year, CREDAI – MCHI and Times Network’s Magic Bricks Now, collaborated for the Live Coverage of the Union Budget 2017 at Grand Salon, Hotel Sofitel on February 1, 2017.

For this event, all stake holders, including CREDAI-MCHI Members, along with bankers, IPC Heads, HFC Heads & other stake – holders came together to discuss the Budget 2017 in real time in front of the national Live Television audience. The program began with Pre – Budget Panel discussion moderated by Faye D’Souza Managing Editor, Magic Bricks Now, with elite panellists comprising of industry stalwarts representing IPC Heads, Taxation Experts, Legal Experts & HFC heads. The event involved two panel discussions, with the panels comprising of the top names in the Real Estate and peripheral sectors. The panellists on the first Panel discussion, started with expectations of Real – Estate industry from Budget 2017.

The pre-budget panel discussed: Expectations & Impact of Budget 2017 on Real - Estate

1. Shri Dharmesh Jain, President, CREDAI - MCHI
2. Shri Mayur Shah, President - Elect, CREDAI - MCHI
3. Shri Anuj Puri, Chairman & Country Head, JLL
4. Shri Jayesh Kariya, Tax Expert, KPMG
5. Shri Kamal Bulchandani, Advocate, Notary, Solicitor & Tax Expert

Panellists discussion covered key pointers like:

1. Big expectation lined up from budget from last two months since monetization.
2. What can FM do to make housing market gain steam particularly when real estate sector has been facing slow down after demonetization?
3. Will this bring in more money in the hands of consumer?
4. Will the expectation be met of the developers and the buyers?
5. Affordable housing should be what middle class could buy is that going to happen?
6. ill middle class be less burden on the tax front?

Post – Budget Panel Session started at 1 PM which discussed at the length the following: 

Key takeaways - Big impact announcements for Real Estate industry for the budget

1. Shri Nayan Shah, Vice-President, CREDAI - MCHI
2. Shri Deepak Goradia, Vice - President, CREDAI - MCHI
3. Shri Anuj Puri, Chairman & Country Head, JLL
4. Shri Anil Harish, Partner, D M Harish & Co.
5. Shri Govind Sankarnarayanan, COO, Retail Business & Housing Finance

Panel II discussed the announcements made by Hon’ble FM Shri Arun Jaitely in the Union Budget like

1. Will budget measures would bring in enough liquidity at the hands of home buyers?
2. How would granting infrastructure status to affordable housing help?
3. Opinion on the kinder view of Government towards in Real Estate this budget
4. Has this budget lifted the sentiments of the real estate industry?
5. Will Public Private Partnership model the only way forward in achieving the mission of 1 crore houses by 2022​?
6. ​Will you call 60 Sq.Mtrs. area in Mumbai an MMR affordable at present cost? ​

Real – Estate Industry stalwarts react on Budget:
Dharmesh Jain, President, CREDAI-MCHI
Budget 2017 is a very good growth oriented budget. Affordable housing is re-defined in this budget. Infra status for affordable housing is an excellent move and is welcomed by all the developers. Infra status would attract more funding in the sector. Increasing the limit of affordable housing to 30 and 60 metres carpet in non-metro area is great and developers would request the CM to extend it further to metro areas as well.

Smaller companies and also the corporate tax benefits are again going to benefit large number of companies across the country. Over all great efforts have been put into infrastructure which will boost economic activity. Budget will favour the economy in the upcoming months of this year. Cost of capital on affordable housing will come down and affordable housing will have access to long term funding which is critical in the current situation benefitting the customers.

Mayur Shah, President – Elect, CREDAI - MCHI
The time limit has been revised from 3 years to 5 years in affordable housing, so in case of delay in the approvals, it becomes difficult to complete a project in 3 years. Now with this extension of 5 years, many developers will come forward and take the advantage of the Affordable Housing scheme. The change in capital gains taxes which had 3 years of holding period in investment in the housing project, has been brought down to 2 years. This will really drive more investment in the housing sector and more houses would be available in the market. So these are the very important changes in this budget. It is good budget. We can expect that close to Rs. 3 lakhs crore is invested in the infrastructure projects, which will generate lot of employment and lead to good growth. The economy is poised to really revive back to and reach double digit in the next year.