CRISIL will evaluate key factors like the quality of legal documentation, construction related risks, financial flexibility or viability of the project besides the background and track record of the project sponsor, for the ratings.
Ratings agency CRISIL has launched 'CRISIL Real Estate Star Ratings', which will provide a city specific all round assessment of real estate projects and help buyers benchmark and identify quality projects within a city.
"Most homebuyers look within a city to identify potential properties for purchase. In response to this specific need, CRISIL Real Estate Star Ratings will benchmark real estate projects within each city and thus provide meaningful information to buyers on a city specific basis," said Roopa Kudva, managing director and chief executive, CRISIL.
CRISIL Real Estate Star Ratings will address two critical needs in the realty sector: improved transparency and objective benchmarking of projects. According a recent survey, conducted by the ratings agency around 70% of respondents expressed preference for rated projects over unrated ones, while 50% expressed willingness to pay a higher price for rated projects.
CRISIL said the key factors which would be evaluated in the rating process would include the quality of legal documentation, construction related risks, financial flexibility or viability of the project besides the background and track record of the project sponsor. The rating will be specific to each city- from 'City 7-Star', the highest, to 'City 1-Star'.
"We would update our ratings according to the progress of the construction and the next set of rating would be from the northern region", said Akash Deep Jyoti, head, CRISIL Ratings.
CRISIL is announcing Real Estate Star Ratings for 21 real estate projects from Bengaluru, Chennai, Coimbatore, Hyderabad, Kochi, Kolkata, Mumbai, Pune, and Visakhapatnam.
A report on each project with insights on statutory approval status, construction progress and rating drivers will be available on www.star-ratings.crisil.com, CRISIL said.
Mumbai-based Varun Shipping Company Ltd registered a net profit of Rs23.5 crore for the 30 June 2010 quarter as compared to Rs1.9 crore in the same quarter a year ago. During the June 2010 quarter, the company's total revenue increased to Rs240.6 crore from Rs222.2 crore in June 2009 quarter, it said in a regulatory filing.
On Thursday, Varun Shipping shares increased 16.4% to Rs47 on the BSE, while the benchmark Sensex closed 0.2% down at 18,172 points.
Birla Sun Life Insurance Co Ltd said it appointed Jayant Dua as its managing director
Prior to Birla Sun Life Insurance, Mr Dua spearheaded Aditya Birla Insulators (ABI) in the capacity of president and chief executive officer (CEO), the company, a unit of Aditya Birla Nuvo Ltd, said in a release.
On Thursday, Aditya Birla Nuvo shares ended 0.06% higher at Rs814 on the BSE, while the benchmark Sensex closed 0.2% down at 18,172 points.