June 7, 2017

Real estate was long perceived as a traditional and conservative sector when it came to innovation – Rakesh Reddy

By RealtyMyths, Writer, RealtyMyths

Rakesh Reddy, Director, Aparna Constructions & Estates is a brand explorer promoting and maintaining Aparna’s brand. He is primarily involved in developing strategies and executing tactics for the projects across Telangana & Andhra. He is also responsible for leveraging technology helping bring efficiencies in management. He closely works with the managing director and looking for verticals the company can expand into. Apart from being associated with Aparna Constructions, he is also invested in start-ups in the education and IT space. Prior to Aparna Constructions, he was responsible for spearheading Astoria’s penetration into the Global Marine Oil & Gas industries. Team RM had an insightful session with Rakesh, here are the excerpts of the conversation

RM Correspondent: Share your journey in real estate market. How has the market evolved since you started?

Our journey began 20 years ago and so far it has been exciting and extremely gratifying.  In our early history, our mission was about delivering quality homes with great value, a goal we had mostly achieved by the middle of the last decade. We then moved on to redefine real estate as the city and the industry had seen. TO LEAD THE FUTURE.

Real estate was long perceived as a traditional and conservative sector when it came to innovation. More so, buying a home for us (Indians) was more an emotional decision and an area confined within the four walls meant the whole world to us. The emotional quotient is still there, but that has evolved now. Over the last 10-15 years, people have also started looking at real estate as an investment option. And that has brought innovation and technology to the sector which was once just about land, cement, steel, and bricks. Now, proactive policy/regulatory changes would make real estate sector more transparent and responsible. I am sure the evolving Internet of Things (IoT), which we are trying to incorporate in our new projects, and new positive energy in the housing sector will take realty growth to new levels in the coming years.

RM Correspondent: What do think is a promising market for investment?

I believe retail asset segment will be much in demand in the years to come. India has a steadily growing urban population and an expanding economy. Combine these with a more prosperous middle class and you have a perfect outlook for consumption boom. Last year alone, we saw some of the major global retailers such as Armani Exchange, Muji, Cole Haan and Kate Spade marking their entry into the Indian market to tap the potential. It will only grow further.

RM Correspondent: After Demonetization, RERA & GST, do you think the market is unstable?

Not really. While there will be some teething issues initially, the regulatory and tax changes are a net positive for the sector, will bring in the much-needed transparency to the industry and will boost the demand for properties in the medium to long term.

RM Correspondent: Share the vision of your company and the way forward

Our vision is to offer a sustainable balance between affordability and luxury with global standards of house construction and environmental responsibility. With a team of solid industry veterans – who have never compromised on quality and follow a strict code of ethics – at the helm, I am sure Aparna Constructions will continue to set the highest standards and deliver value through excellence every time.

RM Correspondent: How have the outskirts of the Hyderabad market performed

The growth of northwest Hyderabad has been phenomenal, indeed. Areas surrounding Chandanagar and Nallagandla still have a lot of value to be unlocked, given their proximity to some of the best educational institutes in Hyderabad as well as offices of major IT and other companies. In terms of property appreciation, this region will continue to outperform other areas of the city.

RM Correspondent: If not at work, where do you often hang out?

The thing I cherish most is to spend quality time with my daughter, reading her books and going for walks together.

RM Correspondent: Suggestions to the newcomers and start-ups in this category?

Several real estate start-ups have brought the much-needed disruption to an otherwise staid and old industry especially in the areas of purchasing properties by bringing property online. The emergence of e-commerce in real estate has been instrumental for both new and established players in identifying the needs of the buyer better and coming up with a solution quickly. The industry is still ripe for disruption in the areas of customer service and even construction itself ( with the excess reliance on manpower which is getting expensive and scarce) and if young minds can focus on these areas the industry will benefit immensely and develop further.

RM Correspondent: What in your opinion is a brilliant piece of architecture?

Historian Nikolaus Pevsner famously declared that “a bicycle shed is a building; Lincoln Cathedral is a piece of architecture.” It has to stand the test of time both functionally and aesthetically.

RM Correspondent: Is the government taking the measures to make this sector transparent?

Yes. I think 2016 will be remembered as the landmark year in the history of Indian real estate industry. Along with demonetization, Real Estate (Regulation and Development) Act 2016 (RERA), and GST will go a long way in reforming the sector.

RM Correspondent: Rate your company out of 10. Mention why?

As a company, it is our stated policy that we have to continually learn and improve our products and services and the focus should be solely on the customer. Given this background, I would be extremely self-critical and say we are at a 6 or 7. There is always much to learn and improve and thinking you are perfect will only make you complacent. Once complacency sets in that’s the death knell for any business.