 Next, ladies and gentlemen, to address the audience we have with us a seasoned professional with almost two decades of consulting experience across multiple geographies. He's also a key member of the KPMG's Global Building Construction and Real Estate Sector Steering Group. Please help me welcome the partner and head for Asian Corridor and Real Estate Sector, KPMG in India, Mr. Neeraj Bansal. Could we have a huge round of applause, ladies and gentlemen? Thank you very much for this opportunity. Pleasure to be here amongst everyone who's known in the industry as well as for a very important conference as well, from the point of view of two sessions that we're doing today, late in the day, on the affordable housing and the RERA perspective over there. While we get the presentation up, I think we're just setting up a small context in terms of today's discussion. So just summarizing some of the key indicators from a real estate point of view and some trends which are emerging right now and also from the point of view of just a short overview on the residential side of it and then in terms of the commercial reality and that's how we summarize the session around that. So while we get the presentation up there, I think from a driver's perspective, there are three main drivers that are driving the growth from a real estate side of it in India. So when you look at the urbanization trend, which is the biggest and the most important trend across the entire region as well, where they look at South Asia, where they look at India point over there. So when you look at the urbanization side of it, they're almost like in India side of things, almost 12 million people who are getting urbanized on a yearly basis. So we're looking at explosive population growth, supporting the urbanization trend, which is fueling the growth in the urban requirements as well on the real estate side of it. And expectation is that by 2050, we'll have 900 million people versus 400 million people living in the urban centers which are there today. So by 2030, we're looking at about 580 million people and by 2050, we'll test the number of 900 million people. And if you look at the perspective that typically a household size in India is about 4 to 4.2 per person, per family there. So this means a very explosive growth in terms of the housing demand, which will come in from a residential side of it there. And with the young population that we will have with the age of 28 years as a median side of it, so the age of people actually owning a house and wanting to get up a new house as well has fallen drastically to 25, 28 years of age, which means that there is much more demand coming in because of the nuclear housing as well and also individual strand of getting married and moving out to locations which are individual homes over there. This is where the sectors getting benefited or will get benefited in longer run, where we expect that from an employment perspective by 2022, the sector emerges as the largest employer in terms of the people side of it there, which is almost touching 75 million by 2022 over there. In terms of the construction market, we'll be the third largest construction market in the world by again 2024, 2025, where we'll be looking at a market size to get to about a trillion dollars over there, which is a humongous size of from a construction side of it, which is why we feel the fueling of the fact that there are overseas construction firm which are vying for this buy-in market share in India and entering the market as well. While some of the other countries are also experiencing some of these growth factors in the, especially in the South Asian region, India continues to have a dominance from a market share point of view. And all of this will also help in terms of the fact that in the economy, we're looking at that in the next 10 to 12 years to grow by almost five times to become the third largest economy in the world, which would mean that from a real estate side of it as well, there would be a contribution to GDP, which will double to buy 15% over there. So from a macro point of view, economic indicators, there are some good positive indicators are in place at the current time. From a possibilities and real estate side, the government has launched a number of initiatives that all of us are aware of that with the housing for all initiative, with the make an India initiative, with the urban cities in terms of smart cities aspect of it. So there is, at an overall level, there's almost like a $4 trillion of infrastructure requirement, which is there in India right now in terms of next five, seven years if you look at it, and which is what is giving the opportunity across the value chain in real estate. It's not only for developers, it's for people who are engaged in various parts of the construction industry over there. And if you look at just housing for all in terms of the affordable housing side of it, so there is a lot more discussion required, which we would hope that happens also in the next panel, is also the fact that what does affordable housing mean for non real estate companies, with the fact that so much of requirement is going to come from cement industry point of view, from a steel point of view there, and also with changes in technology which is going to happen in terms of fast moving construction that we need to do. So that requires a wider discussion and also involvement of many more participants in the real estate industry, and then what we will say only by developers and private equity let's say, engaged on real estate. If we look at in terms of some of the trends which are coming up, because of these opportunities and also the expansion which is happening, so the operating models from a real estate side, the traditional model is undergoing a lot of change, especially with RERA coming in now, there is a need for having more leaner companies focused on core competencies in terms of development side of it, and also in terms of getting proper ecosystem developed, to see that the projects are conceptualized appropriately and also delivered in time. So we would see that a lot more support getting done by corporatization of the developer companies over there, and which is where we are finding that a lot more M&As, joint ventures, JDAs, and lean development models will come in place as well, and this will also be collaborated with the fact that from a construction technology standpoint, also the changes being witnessed, and also within the companies, the project management offices or the program management offices are trying to shape the shape now, and this would be useful for them to see that there is a very strong oversight on their project delivery, which is of very strong importance. On the regulatory changes been said many much, but all of us have kind of faced it with the almost whether you call it three tsunamis, or whether you call it three R attacks, whichever we look at it, with demonetization, with RERA, GST coming almost in succession of each other, the industry is still adjusting to these requirements, and also especially on the GST side, there are enough complications to kind of understand and comprehend, which is where one is hoping that the government gets more clarity on it, and one is able to comply with those requirements. With the Benami Property Act and the insolvency, especially in this daily region with the insolvency that we've had with one of the developers over there, has been one of the most talking topics right now. On the financing side as well with the changes in the regulation on the lead side of it, there is a strong possibility hope that by next year, we have the first lead coming in from an India perspective there, and there are obviously the filing has happened, so there is a movement which is going to happen around that, and CMVS has also come up as an option for the commercial property developers over there, and in terms of residential side of it, primarily the focus has been shifted towards affordable housing, and also we are seeing some trends in terms of student housing coming up as an important element there, and in office space, especially the co-working spaces is a very exciting point, wherein two or three units have started to come up in a better manner, and this is an emerging space which is exciting, we are finding that the issues like developers as well as the end user point of view as well, there is a lot of interest in this space, and we will continue to see how people use this model to leverage it from the costing point of view, as well as from an operational flexibility perspective there. Moving to some of the very quick thing on the affordable housing perspective there, can we move to the next slide please? This is a very, very ambitious program by the government, with the fact that we are looking at almost 5 crore houses to be prepared and developed already by 2022, in which we are looking at a segment of both rural and urban side of it. In our estimate when we did this study in 2014, with the current shortage, also with the increase in supply required, we estimated that there is a shortage of 11 crore houses, against the government setback of about 5 to 6 crores is what the government is looking at, but that doesn't take care of the new requirements that come up as well. So every year, because of the population increase, there is almost 2.5 to 3 million new houses required in urban areas, and which is a requirement which has to be addressed as well, apart from the shortage which is already existing. So if you keep the government targets of 2 crore urban houses in mind, and 3 crores of Grameen houses in mind over there, and we take the timelines of like a couple of months here and there, we are looking at that we need almost 7.5 lakh houses plus to be built every month, which is the kind of a very, very tall order which the government has got in oneself, and this is only about 5 crore houses, this doesn't take care of the full requirement. So if you take the full requirement into account, you need almost 15-16 lakh houses to be built every month delivered, that's how you can meet the target. So currently, we are facing a lot of challenges. What is typically happening is that the governments come up with many changes. There are improvements which are happening in parts. So while there are changes that have been done, but the full ecosystem has not come up from an affordable housing point of view. So the scarcity of land continues to be there, the challenges on the approval side continues to be there, and the issue is not getting resolved effectively. Recently, last month at a conference, the housing minister had announced the PPP housing scheme over there. So there are eight models which have come up on that, two for the private land in terms of the extension of CLSS, and also on the central assistance part of it, and the six schemes have been done from a public housing point of view there, where the government gives the land and the development happens by the developer. In this, there are only two models, which is where the developer has a direct relationship with the buyer in terms of the seventh and the eighth, wherein the buyer is able to interact directly with the developer. But in this case, what we find is that the potentially, the extension of CLSS model and the central assistance model are the ones which will get favored by the developers more, and maybe the cross-subsidized model, wherein the developers are required to build a certain percentage of housing on the EWS side of it, and also cross-subsidizes based on the housing which has been done on the other part of the land parcel over there. So the higher income housing subsidizing the lower income housing over there, which we believe that out of the eight, the three or four are the ones which will be more favored by the developers there. Lot still need to be done from the point of view of land reform point of view there, because the title of the land continues to be a big challenge. So digitization is happening at a very lower pace right now. That is something which requires a bigger push. On the streamlining of approvals, again, we have seen a tardy progress. We've had in bits and pieces, certain states have moved forward and have rationalized some of the regulations over there. But again, till the time, the affordable housing doesn't get a specific, clear roadmap in terms of approval process. The cost for getting the approval and the time for getting the approval continues to hamper the growth in this segment there. And the development norms, multiple places, one has seen that the development norms are not in line with the requirements for affordable housing, whether it's the parking norms, whether it is the density norms over there. So while we are promoting the affordable housing, if the norms do not change pace with the requirements part of it, the viability of the projects doesn't come through. And that is the reason why you find the developers not focusing on this segment effectively. Government itself in terms of building the institutional capacity in terms of being able to come up with those many projects is not being great. So there are challenges in terms of the capacity of the, you know, the urban local bodies and also with the ministry of people there to see that how they can expand that requirement and make it a very smooth process. So something which was done for, let's say, the power ministry part of it is something which is required from a real estate side of it as well to see that, you know, we have packaged out projects which can be easily understood, the risks under them, also the commercial side of things there and also standardizing designs also from an affordable housing would help to see that there is more offtake of such projects by the private contractors and builders over there. And of course, from the rental housing point of view, there is a, we've been speaking or hearing about it that there is a, you know, the policy will come up sooner on that. That is something which is important because globally ownership is not what is linked to real estate as a primary thing. So in India, we have always that thing that we need to own the house but in most of the geographic countries, there is 35 to 40 to 55% of the housing is in the rental side of it where in one is able to ensure that there is a house to everyone without, let's say, down payment and other issues getting linked to it there. So that is something which needs a stronger push from an India point of view as well. And the, some of the benefits on the affordable housing public-private partnership scheme which has been announced recently, one will see there is one element of rental housing also in that. So one will see that how it pans out in the next few months as it goes forward. On the other side, commercial reality has been a big play. You know, that is something which has been a very, very positive spin to that which has seen a high growth aspect of it. So with 30, 35 million square feet of annual absorption with low vacancies and also, you know, higher supply coming in on the commercial office space. So, you know, that is something that has been a very positive requirement. And also that has attracted a lot of the foreign investors as well from a commercial housing point of view there. So retail space, again, you know, with the higher absorptions with almost three million square feet plus getting added every year in the last four years, that's been an exciting space and expected to continue to do so with GST and, you know, e-commerce and other like drivers fueling the housing stock in India. So when we're seeing that there will be more and more organized warehousing space coming up and that is a very, very important, you know, segment which is emerging in terms of the interest from both domestic and the foreign investors as well. Some quick numbers if I may just kind of go through on the institutional investments part of it. This has been an exciting space. You know, this year particularly has seen a record year of investments announced with the participation of the foreign investors over there. Almost five billion dollars already announced and one would expect about another billion or two getting signed up, you know, in this quarter. So this is a record year. Last year as well, we had almost five billion dollars of investments. So combined, these two years have been, you know, very big from a registered investments point of view from India point of view there, which also reflects the sentiment that, you know, the valuation side of it and also in terms of the growth story, there is an intact there and, you know, the foreign investors are able to see it and also time it accordingly. A lot of these investments have been driven into the office space primarily by the sovereign wealth funds and the pension funds over there. And in terms of deal sizes as well, you know, one has seen that there is almost a doubling of the size. So from 56 million odd deal sizes, this with the new foreign investors which has happened in the office space, the deal size is almost double to about 111 billion per deal in the last four years. So where is this investment, you know, coming from, if you just divide that, you know, we see that the share of the banks, you know, has been really going down. So in terms of the lending by the developers to the bank segment, you know, at the overall four year period, it stands at 37%, which is quite linked to the private equity investment of 38% over there. But if you look at the share at an individual level, then at an individual year level in 2016, the banks investment or banks share of lending has really gone down from 83% in 2013 to 17% over there. So one is, of course, that the market size of investment has increased. At the same time, the banks reluctance to lend to the sector and also with the NPS that our banks are giving through and also with some of the challenges that, you know, sectors kind of face through. So the lending from the banking sector is reduced for the sector significantly. But this has been kind of, you can say, replaced or added more by the, you know, kind of investment done by NBFCs and also with the sovereign wealth funds and pension funds, which have, you know, increasingly looked at Indian real estate as another alternative revenue for them, for the investment side of it there. In terms of where this money is coming from, you know, apart from the money which has come from Netherlands and Hong Kong recently, but if you look at the overall picture, then almost 60% of the investment is coming from three locations, which is in terms of the Canada, Singapore and or rather rooted through these three locations, you know, which is the Canada, Singapore and the USA part of it there, altogether giving us almost 60% of the total investments there. But Hong Kong is kind of increasing more with the Chinese investments coming through the Hong Kong route over there. So which is where we find that, you know, this will be going to be increasingly growth trend from a sector's point of view there. Lastly, in terms of, you know, where is this investment going in, you know, so from the sector sub-segment's point of view, you know, the residential continues to have almost 23% of this entire share, but the change in the investment sizes, if you look at it, in terms of the last year versus the last previous through three years over there, so there is a drop in the residential investment by 15% overall share remains to be 23% of the total investment. Office, you know, share has now 47% of the total investment that has happened in the last four years. And in that the office share investment has grown up as well by 8% over there. So in terms of while the investments are happening across the other sectors as well, sub-segment in terms of the warehouses and retail side of it, but residential and office continue to dominate, you know, the former investment size, which is close to almost 75% over there. So, you know, with this, the investment story continues to be intact, you know, from at least from the office and retail point of view, one will have to watch out and see the space in terms of the fact that because there's always a lag between the supply and the actual requirement, so does office continue to have that requirement coming up, you know, because there's a lot of now supply and plant, supply comes up, will that off-take happen that time? That is where some judicious balancing is required, because we've seen this trend earlier as well, you know, wherein you had a lot more office supply coming in in 2010, 11, 12, you know, where we had to refix those projects and get into the residential side of it. So again, there is a need to pause and reflect to see that how the economy is doing, how the investments are coming up, which area, which locations, and what kind of supply is required and what type of segment that one is trying to attract over there that could determine the investment size from both the investors point of view as well as for developers point of view there. So with this, thank you very much for this time. Thank you so much, Mr. Bansal.