In the bustling landscape of India’s real estate industry, two critical issues have long plagued investors: a deficit of trust and a lack of transparency.
These concerns have cast a shadow of uncertainty over real estate investments, hindering potential growth and progress. Integrow AMC invented a revolutionary proptech platform, Arjava, to solve these essential issues and pave the way for innovative solutions to help the industry and in turn deliver alpha.
Identifying the Crux of the Problem
The uncertainty surrounding real estate investments stems from various factors: fluctuating capital goods prices, ever-evolving regulations, and the prolonged duration of projects. These complexities have eroded trust, leaving investors wary and hesitant to dive into this lucrative yet unpredictable sector. Moreover, the lack of transparency in developers’ actions further exacerbates these concerns, leaving stakeholders in the dark about crucial project developments.
While existing processes aim to monitor and regulate the industry, the call for more effective solutions persists. How can technology be leveraged to instil trust and transparency, in turn revitalising real estate investments?
Enter Property Technology, aka Proptech
With the entrance of digital platforms offering virtual property viewings, AI-driven analytics for predictive trends, and blockchain for transparent transactions, the industry is experiencing a transformative shift. Property technology streamlines processes, from property search to transactions, enhancing efficiency and reducing complexities.
This is why cumulative proptech investments in India crossed $4 Billion in 2023. Noticing the potential in proptech, Integrow AMC created a tool that would help address the fundamental problems in real estate investment.
What is Arjava? – In the Simplest Words
Ram Yadav, The CEO of Integrow AMC, explained the essence of what Arjava does in a simple analogy. In the past, developers would ask investors for money by talking about their merits, expecting funds just like you expect cash from an ATM. But if you put your card in an ATM with no balance, what do you normally do? You ask someone like your sibling or father to put money in your account and then withdraw it.
This is how Arjava acts like an ATM.
It does that job for the financial industry by helping out when there’s a need for support or transparency between developers and investors.
Transforming Real Estate with Cutting-Edge Tech
So what does Arjava do exactly? At the heart of Integrow AMC’s commitment to reinvent real estate investing lies Arjava – a proprietary technological platform. The very meaning of the word Arjava is “as transparent as water,” which embodies the core mission: restoring transparency and trust in an opaque industry. As Mehul Naik, Head of Asset Management at Integrow AMC, said “Our aim was to use this technology to make things transparent not only for us but also for our investors.”
Arjava is a blockchain-based product that harnesses market intelligence to revolutionise real estate investing.
This platform empowers stakeholders by providing comprehensive insights within minutes, facilitating informed investment decisions. It mitigates uncertainty by offering clear project comparisons, enabling swift and confident decisions. Beyond comparison, it excels in asset monitoring, ensuring transparency throughout the investment lifecycle. And lastly, developers benefit by streamlining processes, optimising their strategies with data-backed insights.
How Does it Benefit Homebuyers?
1. Data-Driven Insights
Leveraging AI, Integrow AMC empowers developers with predictive analytics, enabling them to foresee market trends, analyse demographics, and optimise pricing strategies. This data-driven approach minimises project risks, enhances investment strategies, and ensures high-quality projects for homebuyers’ satisfaction.
2. Cost Optimisation
Integrow AMC’s platform utilises AI’s predictive capabilities to forecast potential cost overruns, allowing developers to allocate resources efficiently. This leads to reduced expenses, streamlined construction processes, and projects that remain within budget, directly benefiting homebuyers with cost-effective properties.
3. Project Design Efficiency
AI aids in project design optimisation by generating layouts, saving time and resources during planning. This automated design process ensures effective resource utilisation, adherence to project timelines, and superior quality end products, meeting homebuyers’ expectations.
How Does it Benefit Other Stakeholders?
Active Asset Management
- Cost Reduction: Leveraging this platform optimally facilitates efficient management of budget and significantly reduces construction expenses.
- Real-time Site Monitoring: Ensuring projects finish on time is a key benefit facilitated by Arjava.
- Alerts and Notices: IoT sensors integrated into the platform spot potential problems at an early stage, averting costly disruptions and delays.
- KPI Tracking: Constant monitoring of KPIs enables immediate adjustments to maintain schedules and budgets.
- Creating Alpha by time-bound forecasting of risks: Arjava allows for the prediction of potential risks within specified time frames, giving investors an edge in anticipating and mitigating threats to their investments before they materialise.
- Direct Disbursement to vendors: Arjava manages payments seamlessly, preventing supply chain interruptions and ensuring consistent material flow.
- 100% transaction tracking: Arjava offers complete visibility and traceability of all financial transactions within the real estate ecosystem, ensuring accountability and transparency throughout the process.
- Understanding developer’s behaviour from metadata: The platform’s predictive analytics empower managers to forecast delays and proactively manage risks.
- Fortnightly performance reports: Arjava generates comprehensive performance reports every two weeks, providing stakeholders with regular updates on project progress, allowing for timely interventions and adjustments as needed.
- Centralised communication: The platform facilitates centralised communication, fostering seamless interaction among stakeholders, ensuring everyone is aligned and informed throughout the evaluation process.
- Data Gathering: Its robust data gathering capabilities efficiently collect and analyse diverse information, empowering informed decision-making based on comprehensive insights.
- Risk-based cash flow scenarios: Arjava’s risk-based cash flow scenarios provide a nuanced understanding of potential risks, enabling investors to anticipate and strategize for varying financial outcomes.
- Document exchange: Through secure document exchange, Arjava ensures a streamlined and transparent process for sharing and accessing crucial project-related documents among involved parties.
- Pricing engine: The platform’s pricing engine utilises sophisticated algorithms, offering accurate and dynamic pricing models, enhancing precision in investment evaluation.
- Secondary check on data: Serving as a secondary check on data integrity, Arjava provides an added layer of verification, ensuring the reliability and accuracy of information used in the evaluation process.
Paving the Future for Real Estate Investments
As India’s real estate investment landscape evolves, the marriage of technology and innovation through Arjava stands as a testament to the transformative power of progress. With trust and transparency at its core, the stage is set for a reinvigorated era of real estate investing, paving the way for unprecedented growth and opportunity.