Report on Real Estate Regulation Bill tabled in Rajya Sabha; realty stocks soar

NEW DELHI: Stocks of real estate developers surged up to 20 per cent in intraday trade as a 21-member committee tabled a report on Real Estate (Regulation and Development) Bill, 2013, in the upper house (Rajya Sabha) today.

The Bill was referred by Rajya Sabha to the committee headed by BJP member Anil Madhav Dave on May 6 for its examination.

The BSE Realty index ended the day 3.48 per cent up and was the top sectoral index on the BSE. Unitech closed 18.24 per cent up. Index heavyweight DLF climbed about 8%. HDIL gained about 5 per cent.

Other real estate stocks including Oberoi Realty, DV realty, Prestige, Godrej Properties and Indiabulls Realty gained up to two per cent.

The BSE Realty index has fallen 14 per cent so far this calendar and is down nearly 91 per cent from its all-time high of 13,848.09, it hit on January 8, 2008.

The Real Estate Bill seeks to establish the Real Estate Regulatory Authority for regulation and promotion of the real estate sector.

It also seeks to ensure sale of plot, apartment or building in an efficient and transparent manner, to protect the interest of consumers in the real estate sector. In addition, it seeks to establish an Appellate Tribunal to hear appeals from the decisions, directions or orders of the authority.

(With inputs from PTI)