Rental Values in Sopan Baug hit an all time high
One of the traditional purposes for investment in luxury properties is for end-use, however, the rental market of Sopan Baug in Pune has taken on a different path. The locality that is popular among the luxury home buyers, has witnessed a welcome rise in rental values in the last quarter.
Titled after the orchard fruit found in abundance in the locality,Sopan Baug has emerged as a preferable destination for dwelling, for the elite population in Pune. Affluent buyers, who crave for a quiet life and be far from city commotion, Sopan Baug offers it all. Although secluded from the main city, the area offers easy access to prime locations such as Camp, Koregaon park, MG Road and Boat Club Road.
What triggered the rise in rental values?
Albeit, the area ranks in the list of premium localities of Pune, the on-going rental values in the region are still affordable in comparison to Kalyani Nagar and Koregaon Park. As per market reports, the present rate in Sopan Baug kicks-off with Rs 21000 per months, while in Kalyani Nagar and Koregaon Park properties are offered on rent at an average range of Rs 25000-Rs 60000 per month.
Primarily, 2 and 3 BHK properties in Sopan Baug are in demand. Good connectivity and social fabrics are the crown jewels of the locality. The area offers easy connectivity to railway station (at 4km) and the international airport (at 9.5 km) via the Princes of Wales Road. Hot spots such as Kalyani Nagar, Koregaon Park and Viman Nagar are situated at a just 5-9km from the locality.
What is driving the demand?
Rise in the number of HNIs (high net worth individuals) in Pune has what driven the demand for luxury units in Sopan Baug. Increase in the net income of the professionals employed in the manufacturing and IT sector jacked up the investment in luxury apartments. Add to it, the increase in the number of investors from its neighbouring city-Mumbai, because of its close proximity and open space.
Presence of social and civic infrastructure like shopping complex, schools, hospitals, banks etc. in the region adds to its overall credentials and meets the requirements of potential buyers and investors. This led the rental values in the area rise above the cliff. A 1000 sq ft apartment in the Sopan Baug, which was available at a rent of Rs 19000 per month in the 3Q 2013, is now offered at Rs 21000 per month. This clearly indicates a 10% rise in the rental values of the properties(in the last quarter) available in Sopan Baug.
