Realty bites builders as fewer sales force them to cut prices

India’s Vijender Singh celebrates after wining the WBO Asia-Pacific Super Middleweight title against Australia’s Kerry Hope in New Delhi, on Saturday.

With the real estate sector witnessing a slowdown, resulting in very few sales, builders have finally started to reduce prices of apartments across the city. Many builders have also stopped charging on floor rise and offering free parking spaces to woo customers.

While Oyster Builders has launched a project in Kandivali (West) where the price is Rs7,000 a square feet, a prominent builder has slashed rates by Rs3,000 a square feet for a premium project in Sewri.

“In this period of slowdown, we are getting good response with the low pricing. We are able to sell,” said Tejas Vyas, CEO, Oyster Builders, adding that the price cuts have ensured cash flow.

Ekta Builders has got rid of floor rise premium for its Virar project and has come up with an assured delivery scheme, under which the insurance company pays interest to the buyer in case of a delay in possession.

Shraddha Lifescapes, at its IC Colony, Borivli, project — D Palazo — is not charging floor rise premium and also offering cash discounts. “We analyse how genuine is the buyer and offer discounts accordingly. The sales have slowed down considerably and hence we are being flexible in our deals,” said Bhavesh Sanghrajka, CEO, Shraddha Lifescapes.

AP PHOTO