Integrated township and smart cities

About Integrated Tourism

Integrated Townships typically comprises of residential, commercial, recreational and other elements necessary to create a conducive environment for living Concept of walk to work Integrated Township means a self contained township planned and developed through a licensed developer/ Firm/ company/ SPV/ development company Together with work place and places of residence with all attendant facilities and amenities in such township and in accordance with rules Most companies across India are planning such large scale, integrated townships, using IT as their peg

Indias top township cities

Some of the top 10 Integrated Township destination cities in India as per (Property Samachar- India Real Estate News). The top integrated township destination cities of India are:
Bangalore Delhi- NCR Mumbai Lucknow Kolkata

Jaipur

Chandigarh

Chennai

Pune

Requirements of integrated township

Infrastructural requirements
Water supply Drainage and Garbage Disposal Power

Social infrastructure
School Medicare Recreation Community Centre Infrastructure and Services Road Network Communication Infrastructure Infrastructure maintenance Security Shopping and Entertainment Food Courts

Merits of integrated township

Is self sufficient
Provide solutions to increasing pressure on existing urban infrastructure and rapid urbanization Provide better standard of living to all sections of the society Gives developer an advantage of lower land cost Offer prospects of higher appreciation Has low risk investment due to its diversification It provides a lot of employment to both unskilled and skilled Add to available housing stock

Demerits of an integrated township

Multiple clearances
Financing Entry Barrier Maintenance cost is high Face delays in delivery

Issues/ changes
Financial Risk
Municipal Compliances Legal compliances Maintenance and Continuing operation of infrastructure. Regulator is required to develop laws related to redevelopment, land acquisition, price determination etc.

Norms
The minimum area to be developed should be 100 acres
subject to local rules. In absence of local rules and bye laws at least 2000 dwelling units for a population of 10000 needs to be built. The minimum area notified 100 acres shall be contiguous, unbroken and uninterrupted and in any case shall not include the area under the following :
Forest, water bodies like river, creek canal, reservoir, lands falling within the belt of 500 mt. from the major lakes, dams and irrigation projects or any restricted area Land falling within the belt of 200 mt. from the historical monuments and places of archeological importance, archeological monuments, heritage places Eco-sensitive zone, wildlife corridors and biospheres reserves Defense areas, cantonment areas, notified area of SEZ, designated port/ Harbor areas, designated Airport areas, quarry zone

Norms contd
Ideal size of Integrated Township can vary b/w 100 acres to as large as

3000 acres or more all depends on a developers ability to buy land and the rate at which he gets it. Developers are required to submit an Urban Design plan specifying the characteristics of the building envelope such as height, ground coverage, margins etc for all the buildings proposed in the township. A minimum proportion of built up area is to be allocated to the proposed economic activity. Townships greater than 1000 acres must provide college facility as well. Roads shall be developed by the developer as per IRC standards and roads widths as follows:
Internal roads - a minimum width to of mts Main roads a minimum width of mts Ring Roads and major access roads four lane with a minimum of 33 mts & a median for road safety. Foot Paths minimum of 5 mts on either side Space for avenue trees minimum of 3 mts on either side

Other special regulations

In every Special township proposal the structural designer of
developer has to submit declaration with project report to Collector/ Planning Authority about construction of building. The following shall not be included in covered area for built up area and F.S.I. calculations: Area covered by the staircase rooms for stair flights of width 0.75 m. &above, in case of row housing & pent houses and duplexes, 1 mt. in case of residential building, 1.2 mt. & above in case of commercial (mercantile)buildings, 2.00 mt. & above in the case of public & semi-public building, subject to payment of premium in consultation with Town Planning &Valuation Department. Area covered by lift room for a building with height up to 16 mt. Stilt floor space (exclusively for parking space) constructed under building of maximum cleared height 2.4 mt. and which shall be open at least from three sides

Regulations continued
In every Special township proposal the structural designer of
developer has to submit declaration with project report to Collector/ Planning Authority about construction of building. The following shall not be included in covered area for built up area and F.S.I. calculations: Area covered by the staircase rooms for stair flights of width 0.75 m. &above, in case of row housing & pent houses and duplexes, 1 mt. in case of residential building, 1.2 mt. & above in case of commercial (mercantile)buildings, 2.00 mt. & above in the case of public & semi-public building, subject to payment of premium in consultation with Town Planning &Valuation Department. Area covered by lift room for a building with height up to 16 mt. Stilt floor space (exclusively for parking space) constructed under building of maximum cleared height 2.4 mt. and which shall be open at least from three sides Balcony or balconies of a minimum width of one mt. may be permitted free of F.S.I at any upper floor, subject to maximum of 1/3rd length of perimeter of building and such balcony projection shall be subject to the following conditions : No balcony shall be allowed on ground floor. Balcony or balconies shall be permitted to project in the marginal open space of not less than 3 mt. in width. Notwithstanding anything contained in any other laws, rules, regulations or bye-laws in force, a balcony shall not be permitted to be enclosed

Regulations continued
In special Township schemes at the rate of minimum 150 trees per ha. And 400 trees per hectare .respectively shall be planted and maintained by the developer The township shall provide at least 15% of the total area as park/ garden/ playground with proper landscaping. The open spaces designated in the Township shall be duly developed and maintained by the developer and handed over to the BMRDA/LPA free of cost after full development of the township This amenity shall be open to general public without any restriction or discrimination. In the Economic infrastructure Zone/ Residential Zone and No Development Zone, trees at the rate of a minimum 150 Nos. and 400 Nos. per hectare shall be planted and maintained by the developer

Project Financing Options

Domestic Financing Options a) Commercial Banks, PSUs b) Alternative Financing Mechanisms ; primary alternative financing mechanisms include domestic capital market, foreign investments, Bilateral and multi lateral financial agencies ; institutions such as World Bank and Asian Development Bank. Private sector participation; the government of India has been trying to harness the private sectors efficiencies in meeting the infrastructure needs of the country through public private partnership. Domestic Capital Market : The corporate bond market is of immense significance for financing infrastructure development. Foreign Investments : Two main instruments used to acquire funds by builders and developers for Township Development are as follows; a) ECBs (External Commercial Borrowings) b) FDI (Foreign Direct Investment)

EXTERNAL COMMERCIAL BORROWINGS (ECBS)

Eligible borrowers can raise ECB from internationally recognized sources such as; i. International Banks ii. International Capital Markets iii. Multilateral Financial institutions (such as IFC, ADB, CDC) iv. Export credit agencies v. Suppliers of equipment vi. Foreign Collaborators vii. Foreign equity holders (other than erstwhile Overseas Corporate Bodies) Indian Companies registered under Companies Act 1956 are permitted to raise ECBs up to US $ 500 million from reputed lenders in any one financial year. Financial intermediaries like banks, financial institutions, housing finance companies, NBFCs, Trusts, Non Profit making Organizations (NPOs), Proprietorship/ Partnership Concern and Individuals are not eligible to raise ECBs under automatic route. RBI allows ECBs in real estate projects involving integrated townships of 100 acres or more.

Foreign Direct Investment (FDI)

FDI in India is allowed through four basic routes namely i. Financial collaborations ii. Technical collaborations iii. Joint Ventures iv. Capital Markets via Euro issues, and private placements or preferential allotments. The foreign company intending to invest, shall be registered as an Indian company under Companies Act 1956. The core business of the company seeking to make investment should be integrated township development with a record of successful execution of such projects. Should complete 50% of the integrated project within five years from the date of obtaining all the clearances. Do not repatriate original investment before three years from completion of minimum capitalization. Early exits requires prior approval of Foreign investment and promotion board.

Policies for special townships

SPECIAL TOWNSHIP POLICY Government of India has announced its policy to permit 100% FDI for development of integrated township. In order to encourage private investment the following incentives will be available for projects under special township area;
I. II. III. IV. V. VI. VII. VIII. IX. Non agriculture permission will be automatic Exemption from Urban Land (Ceiling and Regulation ) Act, 1976 Government Land falling under township area shall be leased out to the developer at the current market rate. The condition that only agriculturist will be eligible to buy agricultural land shall not be applicable in Special Township Area. There shall be no ceiling limit for holding agriculture land to be purchased by the owner/ developer for such project. There will be floating FSI in the township. Unused FSI of one plot can be used anywhere in the whole township. The stamp duty rates applicable in the Special Township area shall be 50% of the prevailing rates. A special township project shall be partially exempted from payment of scrutiny fee for processing the development proposal. 50% concession in payment of development charge.

Procedure for development

Development Procedure for Special Township
1. 2. 3. 4. Location Clearance: Letter Of Intent: Layout and building: Final Approval:

Every application shall be accompanied byI. II. III. Ownership Document Extent An authenticated copy of location clearance and letter of intent environment clearance is applicable.
I. II. III. Development of basic infrastructure & amenity shall be completed by the developer as per phases of scheme. No building in the scheme is permitted to be occupied in any manner unless occupancy certificate is issued by collector. Application for occupation certificate or final completion certificate shall be submitted along with a declaration and undertaking by the developer and his structural consultant.

Implementation & Completion

Environmental Clearances
Validity of EC - 5 years for completion of construction (extendable by another 5 years) Half-yearly compliance report (to EC conditions) to be submitted to regulatory authority (1st June and Dec 1st) Compliance reports to be Public documents On application Website of regulatory authority

Land Acquisition
Land is one of the biggest resources of any country. The Government has to acquire land from the private individuals for setting up various infrastructure and other public purpose projects as well as developmental activities. land and its management is under the State List, Acquisition and requisitioning of property falls under the Concurrent List. To deal with the issues related to land acquisition and determining the amount of compensation in lieu of the land acquired by the Government, The Land Acquisition Act was promulgated on the first day of March, 1894. With changing scenario of industrialization, liberalization, urbanization and new economic policy, there is an immense pressure on land With the increased activity of land acquisition for public purposes as well as for setting up industries, the issues related to land acquisition and rehabilitation of the affected persons have been the matter of debate recently. There are two types of land acquistion which are as follows :
Pre Land Acquition Post Land Acquisition

Procedure for Land Acquisition

Investigation Objection & Confirmation Claim & Award Compensation is also payable when Part of the property is proposed for acquisition in such a manner that the remainder depreciates in value. When the land notified for acquisition has standing crops or trees. If the person interested has to change his place of residence or business then the excess rent payable for the new premises is also considered for compensation.

Pitfall in terms of Land Acquisition

Matters which are not taken into consideration for the purpose of land acquisition are: The degree of urgency which has led to the acquisition Any disinclination of the person interested to part with the land. Any increase in the land value likely to accrue from the use to which it will be put when acquired. After necessary inquiries the collector declares his award showing true area of the land, total amount of compensation payable and apportionment of compensation if there are more than one owners or claimants.

Potential for integrated development

Demand for housing is estimated to the tune of 22 million homes (source : FICCI). Scope exists for 400 township projects spread across 30-35 cities in the next 5 yrs. Off Shoring phenomenon has boosted the corporate space requirements. The CAGR in office property demand is expected to be 14.5% in future. Organized retail market is also growing at 20-25% per annum. Positive outlook of Indian Government. Easier access to bank loans and higher earnings Presence of large number of reputed companies demanding office space. Relaxed FDI guidelines for investment in Real Estate the revised guidelines allow 100% FDI, ownership of land by foreigners and dropped the min. size of development from 100 to 25 acres. Banks have also relaxed lending norms for hospital and office space developers.

Most famous townships in India

Some of the integrated township projects in India :
Wave Infratech gets Noida Authoritys nod for Rs 10,000 crore township Sahara launches 10 township projects across Tier-2 and 3 cities Eldeco launches integrated township in Jalandhar Puranik Builders to develop integrated township on 300 acres near Mumbai Supertech to invest Rs 2,250 cr on housing project in Noida Gurgaon : Golf Course Road - Extension An emerging epicentre Unitech coming up with Office cum Retail Complex in Gurgaon Godrej Properties launches fourth phase of Ahmedabad township project SARE launches Integrated Township Project Springview Floors in Ghaziabad

Source : blog.propertynice.com/tag/integrated-township/

SMART CITIES

Smart Cities
Smart Planning + Smart Integration = Smart Cities A smart city, also called a digital city or a connected city, is a concept that has been defined as embedding intelligence in objects and then filling a town or city with those intelligent, connected objects: cars, parking meters, parking lots, police equipment, smart cards for public services, alternative energy sources, smart electric grids and intelligent networked telecommunications equipment. A city that monitors and integrates conditions of all of its critical infrastructures, including roads, bridges, tunnels, rails, subways, airports, seaports, communications, water, power, even major buildings, can better optimize its resources, plan its preventive maintenance activities, and monitor security aspects while maximizing services to its citizens. [ The term smart city is understood as a certain ability of a city and not focusing on single aspects. A Smart City is a city well performing in a forward-looking way in these six categories such as smart economy, environment, governance, lifestyle, transportation and community.

Levels of city smartness

Why invest in Smart Cities

Smart city opens up to a world of opportunities and facilitates success through a thoughtful environment an intelligent infrastructure with advanced support systems. Smart cities create a global network of self-sustained business townships to help improve the knowledge economy. Smart cities establishes a multi national foothold for the business concerning knowledge and also opens new areas and markets where they can expand. You can have easy access to different markets and talent pools, by networking and partnership opportunities with businesses in other Smart City destinations, you can improve yours. Smart city will have extensive expertise in developing knowledgebased clusters, State-of-the-art facilities for Information and Communications Technology as well as urban infrastructure

Sustainable Development
Sustainability is seen as a major strategic component of smart cities.
Social Sustainability e-participation techniques such as online consultation. Environmental Sustainability- cities are increasingly basing their development and wealth on tourism and natural resources Sustainable Urban Development

Problems
The main arguments against the superficial use of this concept in the policy arena are:
A bias in strategic interest may lead to ignoring alternative avenues of promising urban development. The focus of the concept of smart city may lead to an underestimation of the possible negative effects of the development of the new technological and networked infrastructures needed for a city to be smart.

How does it going to impact the future Scenario

Development and utilization of a networked hard and soft infrastructures. Support of open information and stimulation of the knowledge economy. Tracking and development of innovative and creative capacity. Stimulation of enterprise and entrepreneurship for growth and competitiveness. Development of participatory governance and enhanced democracy. Attainment of environmental, social, and economic sustainability.

Power Generation will be optimum or not

Since smart cities have smart grids, these power grids have centralized and distributed production, plus bidirectional energy flows, depend on large-scale information and communications technology to supply power reliably. This also applies to the intelligent energy management of smart cities, which will involve providing electric power and integrating and coordinating of all other grids (water, wastewater, communications and mobility) that use electric power. Moreover, some non-electrical grids and systems can provide energy storage that can be used for comprehensive energy management.

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