Omaxe cuts some prices, other realty cos hold firm

NEW DELHI, Nov 21 (Reuters) - Real-estate firm Omaxe Ltd (OMAX.BO: Quote, Profile, Research) has cut prices of some of its properties for some customers by up to 5 percent, its chairman said on Friday.

Rohtas Goel, who is also the president of the National Real Estate Development Council, said the council had recommended similar cuts to its members.

But member firms said they were not considering any cuts for now.

Demand for real estate in India has slumped on high costs of home loans and on weakening economic activity. Analysts say prices have to come down before demand revives.

"There is a 1-5 percent discount on the basic sale price ... from today, depending on the project and location," Goel said. "It is not in all projects."

The cuts will be for customers who pay on the basis of the progress of construction at the project, he said. Goel declined to say what percentage of their projects would be sold at the lower rates.

NAREDCO counts among its members India's top listed realty DLF (DLF.BO: Quote, Profile, Research), Unitech (UNTE.BO: Quote, Profile, Research), Omaxe, Parsvnath Developers (PARV.BO: Quote, Profile, Research) and Ansal Properties and Infrastructure Ltd (ANSP.BO: Quote, Profile, Research).

A DLF spokesman said prices could come down further only if input costs fell.

Parsvnath Chairman Pradeep Jain said he had not received any letter from the council and was not mulling price cuts. "It is a little difficult to say as a forum to any developer to cut prices," he said over the telephone.

Ansal's Chief Executive Anil Kumar said the firm had not taken a decision yet. "We may consider it for new projects," he said over the telephone. (Reporting by C.J. Kuncheria; editing by Sunil Nair)