Project: Lotus Boulevard, NoidaDeveloper: 3C’s Group

Date of Visit: Sept 01, 2009

3C’s Group has recently launched a Green housing project in sector 100, Noida. The project is in collaboration with Red Fort Capital, international real estate private equity fund with an allocation of over $400 Million to the Indian Real Estate Market. Spread across 40 acres of land, the project will consist of a total of 15,000 units (approx) of 2, 3, and 4 BHK apartments. Based on our visit to the property site, we have the following observations:

Project Location:

It took us 15 minutes from Noida Sect-18 market via Taj Expressway by car to reach the site location. The site is located next to the Unitech’s Grande project.

The area around the site currently consists of Noida Development Authority flats on North and East sides and green land from other two sides. No commercial and organized retail establishments are present in the vicinity.

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Project Highlights:

Presently phase 1 consisting of 7 towers G+11, phase 2 consisting of 5 towers G+26 and phase 3 consisting of 6 towers G+21 are launched as highlighted in the image below. Phase 1 and 2 are sold out, bookings are currently open only for phase 3 towers. The construction has started in July, 2009 and the builder proposes to give possession of phase 1 by Sept 2011, phase 2 by June 2012 and phase 3 by Sept 2012.

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Phase 1

Phase 2

Phase 3

Lotus Boulevard has been registered for the IGBC (Indian Green building Council) Green Homes LEED (Leadership in energy and environmental Design) Certification Programme.

Green Buildings are aesthetically built and are relatively inexpensive to operate and convert to their next use, as human needs inevitably evolve. One time construction cost can be 8-10% higher than conventional building but the operational cost is lower. The extra cost can be recovered in 2-7 years time. Their mechanical systems are small and well designed, or better still, eliminated by design. Green Buildings last for 60-100 years.

The design and construction of these ‘High performance buildings’ is sustainable i.e. efficient use of land and energy, water conservation, improved indoor air quality, and resource conservation, primarily by using recycled & regional materials.

Green Buildings are 25-30% more energy efficient, consumes 20-30% less water, and produces 50% less waste. The green building process results in a high quality product that maximizes the owner’s return on investment.

Being a green project, it has provision for insulated roofs and walls, solar lighting systems, en-ergy efficient mechanical & electrical equipment, Waste Segregation System, naturally light apartments, sensor lights in common areas and rain water harvesting.

The project houses a 1,25,000 sq. ft. facility named ‘Planet Lotier’ for recreational activities which houses the following facilities for the residents -

Sports & Leisure: Outdoor Pool, Wave Pool, Indoor Heated Pool, Kiddie's Pool, Indoor glass-en-cased Squash Courts, Indoor Badminton Courts, Volley Ball and Basket Ball Courts, Cricket Academy, Cards Room, Kids Entertainment Zone, and Play Area (sand pits)

Health: Sauna & Steam Bath, Yoga Room, Gymnasium, and Beauty Salon

Education and Learning: Creche for infants and toddlers, Pre Nursery Lotus Valley School, and Dance Rooms for Classical and Western Styles, Music Room and Arts Room

Multifacilities: Business Centre with state-of-the-art convention facilities, Exhibition Centre for commercial displays and otherwise, Amphitheatre for exclusive screenings, Food Court, Spe-cialty Restaurant, Deluxe Bar, Banquet Hall, and Party Lawns

There are no hospitals or nursing homes in the area at the moment; the nearest one is in Sector 18 market (8 kms from the project). The nearest school is Lotus Valley School at sector 126 (3 kms from the project). The builder also proposes to provide exclusive Shuttle Bus services from the estate to nearby key locations.

The project has accessibility to the following: DND Flyover - 8 kms (15 min drive) Sector 18 – 8 kms (15 min drive) Sec 37 Golf Course – 5 kms (10 min drive) Connaught Place – 15 kms (30 min drive) Proposed Metro Station – 4 kms (5 min drive) Lotus Valley International School – 3 kms (5 min drive)

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Project Details:The details of the project are tabulated below:

*Apartment layouts are given in Annexure 1 below

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Rate per sq ft 2925/- Rates revised from 10-Aug-09. Earlier it was 2825/-

Size of Apartment (2 BHK) 987 sq ft saleable area-760 sq ft carpet area(approx)Size of Apartment (2 BHK+Servant Toilet)

1075 sq ft saleable area-825 sq ft carpet area (approx)

Size of Apartment(2 BHK+Study+Servant Toilet)

1267 sq ft saleable area- 975 sq ft carpet area (approx)

Size of Apartment (3 BHK+Servant+Servant Toilet)

1464 sq ft saleable area–1125 sq ft carpet area (approx)

Size of Apartment (3BHK+Study+Servant+Servant Toilet)

1790 sq ft saleable area – 1375 sq ft carpet area

Construction Status Construction startedPhase wise completion:Phase 1Phase 2Phase 3

Sept 2011June 2012Sept 2012

Project Approval Status Approved from major financial institutions like Axis, HDFC Bank.For ICICI, it is under process at the moment.

Type 2BHK 2BHK+ST 2BHK+Std.+ST 3BHK+S+ST 3BHK+Std.+S+STSuper Built up

Area 987 1075 1267 1464 1790Basic Cost(BSP) A Rs. 2886975 3144375 3705975 4282200 5235750

OTHER CHARGES Lease RentCar Parking

Electric Substation Charges (ESC)Fire Fighting

Charges (FFC)Power Backup

ChargesClub MembershipInterest Free Main-tenance Security

(IFMS)

B

100 98700 107500 126700 146400 179000 200000 200000 200000 200000 200000

40 39480 43000 50680 58560 71600

40 39480 43000 50680 58560 71600

40 39480 43000 50680 58560 71600 125000 125000 125000 125000 125000

50 49350 53750 63350 73200 89500

Other Charges Total 591490 615250 667090 720280 808300

Net Flat Cost

(Const. Linked Plan)

A+B 3478465 3759625 4373065 5002480 6044050

Down Payment Discount 10% on BSPBasic Cost A1 2598278 2829938 3335378 3853980 4712175

Net Flat Cost A1+B 3189768 3445188 4002468 4574260 5520475

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Preferential location charges (PLC): Landscape facing- Rs.50/sq.ft, G.F- Rs.100/sq.ft, G.F + Landscape facing- Rs.150/sq.ft, 1st, 2nd, and 3rd Floor- Rs.75/sq.ft, and 1st, 2nd, and 3rd Floor + Landscape facing- Rs.125/sq.ft

Our Viewpoint

The product offered by 3C’s is marketed as “Affordable Luxury” by the builder. These ‘GREEN’ homes costing Rs.35 Lacs and above cater to a target group whose monthly household income is Rs.65, 000 and above. It seems to be a luxury project at the rate of any normal project in this area which is presently in the range of Rs.2850~3200 per sq ft. Also the proximity to Taj Expressway and the proposed metro station makes the deal even more attractive.

Overall it could be said that the project presents an opportunity for customers in the Higher Income Group category, to experience the benefits of a ‘GREEN’ home at affordable prices.

As per the current norms, the builder is not getting any extra benefits such as tax benefits etc. for making a green project. The only advantage is that he can sell his project at a premium, but the developer has claimed which he is not resorting to in this project. The main advantage lies with the customers in terms of reduced energy bills. The housing society can also apply for Carbon credits which are tradable.

ANNEXURE 1

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BUILDER’S PROFILE

Three C Universal Developers Pvt Ltd has developed IT Parks, IT SEZ's, Commercial, and Educa-tional Institutes and has delivered 12 Million Sq. Ft. of development. Their main focus is in NCR, primarily confined in Noida.

The portfolio of 3C includes WIPRO and PATNI CAMPUS at Gurgaon and Noida, respectively, which have been awarded as the PLATINUM rated LEED (Leadership in Energy and Environ-mental Design) certified Green Buildings. Other developments include projects such as Tech Boulevard (IT Park), 3C’s Oxygen SEZ etc. Lotus Boulevard is their 1st Residential project.

Three C Universal Developers Pvt Ltd is promoted by Mr. Vidur Bharadwaj, Mr. Surpreet Suri and Mr. Nirmal Singh. 3C works on an integrated business model to provide an end to end solu-tion to its clients. They have in-house teams- Architecture, Engineering, Project Management, Interior Designing and Facility Management, that also works as independent profit units.

Web: http://www.the3c.in/

DISCLAIMER

This document is being communicated to you solely for the purposes of providing our views on current market trends. This document is being communicated to you on a confidential basis and does not carry any right of publication or disclosure to any third party. By accepting delivery of this document each recipient undertakes not to reproduce or distribute this presentation in whole or in part, nor to disclose any of its contents (except to its professional advisers) without the prior written consent of ICICI HFC, who the recipient agrees has the benefit of this undertaking. The recipient and its professional advisers will keep permanently confidential information contained herein and not already in the public domain. This document is not an offer, invitation or solicitation of any kind to buy or sell any security and is not intended to create any rights or obligations. Nothing in this document is intended to constitute legal, tax, securities or investment advice, or opinion regarding the appropriateness of any investment, or a solicitation for any product or service. The use of any information set out in this document is entirely at the recipient's own risk.

The information set out in this document has been prepared by ICICI HFC based upon projections which have been determined in good faith by ICICI HFC. There can be no assurance that such projections will prove to be accurate. ICICI HFC does not accept any responsibility for any errors whether caused by negligence or otherwise or for any loss or damage incurred by anyone in reliance on anything set out in this document. The information in this document reflects prevailing conditions and our views as of this date, all of which are subject to change. In preparing this document we have relied upon and assumed, without independent verification, the accuracy and completeness of all information available from public sources or which was provided to us or which was otherwise reviewed by us. Past performance cannot be a guide to future performance. No reliance may be placed for any purpose whatsoever on the information contained in this document or on its completeness. The information set out herein may be subject to updating, completion, revision, verification and amendment and such information may change materially.

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