Turned out to be an Interesting day today. Was at my uncle’s in the morning when me and him decided to go out around noon to look at apartments.

My uncle liked a project called ‘The Belvedere’ (Beautiful view in Italian) about 2-3 kilometers out from Vandalur. 2/3 BHKs going at 3100 / sq.ft – there were 2 residential blocks, a clubhouse and a commercial block which will house serviced apartments, shopping places etc. (overlooking the road). For something right on GST road – it was worth investing in – my Uncle argued. Here is more on the project.

We also went to look at the Hiranandani Integrated project on OMR called the Upscale – nice stuff – right on the OMR – big spaces, everything developed in typical Hiranandani / Powai style. 2 / 3 BHK apartments going at 4100 / sq.ft (and +40 as you go up each floor level. ‘The view’ the guy said (Pwnage, i say)

The project is pretty big really – 6000 apartments, a school, hospital, tennis, squash, putting greens - what not – commercial space, shopping etc. – my uncle was sceptical – but ive spent loads of time in New Bombay & Powai – i know it is a matter of time and Hiranandani make wonderful flats – they really do.

In raw numbers – a 50 lac Akshaya flat will end up costing 70+ at Hiranandani. But but nearly justified – in my opinion. Read on.

I am planning to buy the apartment myself and pay off EMIs every month and lump sums whenever i can make some one-off money*. In such a case, the usability of the apartment is very important – it will take 2-3 years for the Hiranandani to be as comfy as T Nagar – but it will take maybe 5 maybe 7 or 8 for the Vandalur+ place to get there.

I’d maybe live there, work nearby, and when Leather factories in Chrompet close – so will our warehouse and office – and we’ll be looking for new office space for the other sales guys – and Hiranandani offers seamless growth options there too.

Sort of  like this – put apart 50K every month on Hiranandani – pay off the apartment first – maybe buy small office space in 2 years – keep paying it off. See how it goes. When the apartment is immediately usable – can even get rid of the place in T Nagar in a year or two once that happens and buy office space with that money.etc. and so on.. And in the end, after 10 years 2-3 places at Hiranandani will represent a nice ‘A quality’ asset. Nice no ?

All this, i’ve always considered to be the domain of slightly snootier, older people – but it is becoming increasing more relevant – my folks expect me to get married and all in the coming years. A firm grasp of the ‘assets’ column of one’s personal balance sheet, a good understanding of how to properly deploy one’s monthly salary etc. are of paramount importance. No ?

I’m hoping that a, say, 50k a month fixed obligation on my head every month will make me more focussed, efficient with my taxes and capital deployment AND build up a usable asset base in Madras.

*Um, ive never made big one off money ever. Lets say that this is a hypothetical situation. Easily do-able, i have to say, i just don’t have the need and naturally the motivation right now.