Realty Demand in Western Hyderabad to Remain High in 2014
The year 2013 saw the realty market in Hyderabad slump to an all-time low in terms of falling sales and new projects getting launched. However, even during these tough times, the western part of the city was the saving grace in an otherwise gloomy market. With this trend likely to continue even in 2014, it is advisable to invest in the western part of the city to cash in on the lucrative markets in this area.
IT revolution contributes to realty development
The IT revolution has had a major influence on the residential development in the western part of the city. Initially, most of the realty development here was centred around Hitech city and Gachibowli. The impact of this development, subsequently, spread to neighbouring areas like Madhapur, Miyapur and Kondapur. Despite these areas witnessing considerable demand and supply in residential property, they are far from getting saturated. Hence it is expected that these areas would continue to drive the realty market of Hyderabad in 2014.
Gachibowli and Hitech city are expected to be the growth corridors in the western part of the city in 2014. Further, being home to many IT/ITeS companies, these areas are also renowned for being in the proximity of the Outer Ring Road (ORR) as well as the proposed airport. In addition, other factors such as excellent social and physical infrastructure are also likely to spur realty development in these areas. Kondapur, which is situated in the vicinity of Gachibowli, and Madhapur, situated between Kondapur and Jubilee Hills are other areas along the west of the city that are growing at a rapid rate.
Price appreciation in Miyapur and Kondapur
According to data, Gachibowli has recorded a rise in capital values to the tune of about 25% in the last year (between July-Sept, 2012 to July-Sept, 2013. Going by these figures, a house purchased for about Rs.28 lakh in the July-Sept, 2012 period would be currently worth about Rs.35 lakh. It is expected that this trend would continue in 2014 as well. Prices in other areas on the western part of the city like Miyapur and Kondapur have also risen considerably with an appreciation of 12-15% recorded in the last year. As per these figures, a 1,000-sq.ft. house in Kondapur, which had commanded a price of Rs.30 lakh in 2012, would currently be worth Rs.34 lakh.
The presence of the IT industry has ensured that the demand for residential property in these areas remain stable irrespective of other factors. Other than IT sector, several second home buyers and retail companies have also shown interest in investment in western Hyderabad. These second home buyers are mainly from Secunderabad who are interested in buying a second home in this part of the city. Most of the retail spaces that are being developed are also concentrated along this part of the city.
