Apartment culture in Chennai is growing
Chennai is a well developed centre for industries like automobile, software and manufacturing units. With its rapid commercial and industrial demand it is attracting migration from all over Tamil nadu. Hence there arises a constant demand for residential buildings to accommodate the population. Since the start of this year, there has been a consistent increase in the demand from this January.
A common trend of the south Indian cities was an obsession with spacious , Independent homes. But the demand has shifted from this type of residential buildings to apartments. The question still lies around if Chennai is capable of adapting to apartment life?
Current Demand:
The apartment demand has been increasing every seasonal quarter constantly in Chennai. The Jan-March quarter saw a 33% demand which increased to 37 % demand in April-Jun 2013. It had increased over 40% in the successive quarter. This means 40 % of real estate dealers are looking to buy apartments against a 28% of plotted developments and 18% of independent homes.
Recently apartments have been attracting the interests of buyers. It has been also observed there’s a decrease in demand over individual residential buildings. The last seasonal quarters shows demand decrease of about 3-5%.
Reason for the demand:
The main reasons for this is the constant increase is the steadily increasing prices of land, construction materials, labour charges and also the cost of living in the city. People who live in the centre of the city refuse to move to the suburbs since they are used to the city life. They are ready to instead to adapt to the apartment life instead of suburban life where everything is accessible easily. People prefer apartments where there’s no hassle of bearing the ever increasing construction costs and time consuming construction process. The buyers who are mostly MNC company workers have a mind-set for apartment life rather than a suburban residential life. Even though people who seek residential homes move towards suburbs much people prefer apartment life.
Reader’s take:
Developers are concentrating on building more apartments and yet the supply doesn’t meet the demand due to the lack of land. But its certain the apartment culture is growing and is on a development phase. It would take a while for the supply to meet demand yet.
