Entry of Donald Trump in Mumbai’s residential real estate sector

Wednesday, February 16, 2011 ·

There are rumors in real estate sector that US billionaire and real estate magnet and owner of biggest casino of world Donald Trump is entering in real estate business in India. He is planning to build 60 story tower in South Mumbai. It will have super luxury 45 duplex apartments.

We at RealEstateDealStreet.com after hearing this thought about this one social event in our mind, it seems this is going to similar to that event. In 1999 before the tech bust or you may say peak of tech boom. That time Australian business tycoon and person who ushered limited over and day & night cricket concept Kerry Packer bought stake in Vinay Maloo and Nahata owned HFCL. Ketan Parikh stock broker before caught in 2000 stock scam was the host of that party. Nahata is same one who is also named in 3G scam. He sold his telecom identity’s stake to Videocon. Kerry Packer’s son James Packer came with his better half. He bought the stake in HFCL at around Rs.2000 per share. Once security scam happened share went below par also.
RealEstateDealStreet.Com agrees that Donald Trump is much smarter then Packer. He is hard nosed tough negotiator. He has good track record of making money through his real estate investment. There is one thing that he hasn’t accustomed to is that Indian politicians and bureaucrats. These two things can make or break any investment in real estate.
As per research by RealEstateDealStreet.com that market in south Mumbai is going to underperform by good margin. South Mumbai is going to have time pain also. Things are not going to be as rosy as they appear. We think that the way World Trade Centre (commercial center at Cuffe Parade) is now totally isolated from rest of Mumbai. One day people will feel same for South Mumbai. Nariman Point was once top commercial center of Mumbai alone but Asia also. Now occupancy is around 60%. New Centers like Worli, Lower Parel , Bandra Kurla Complex even suburbs Andheri , Malad, Kandivali and New Bombay will give tough fight. People have good holding power that is way it is managing at these levels. Once open a time due to RBI, Stock exchanges etc. you need to be close to workplace but due to internet now not all the offices need to be close to main business centre. In South Mumbai good amount of buildings are not well maintained and have perennial problem of parking. These buildings don’t have amenities like Gym, swimming pool etc. RealEstateDealStreet.com thinks due to these issues real estate investment is going to face major challenges going ahead. Any way welcome to Mr. Trump. Your feed back is important to us.


Post a Comment