New Metro Line to Lift Property Prices
In the coming months if past trends are any indication, real estate prices around the newly commissioned Metro line are expected to rise.
MG Road Baiyappanahalli Metro line, which was commissioned in October 2011, has witnessed a great hike in property rates on either of the side.
In the words of Industry
Prices rose by 60 to 100 per cent in Baiyappanahalli and its surrounding areas in the last two years, according to local real estate consultants. Muniswamy, a local real estate consultant, said, “Properties that were close to the main road were being sold for `4,000 per sq ft and today it costs around `8,000. In the interiors, property prices have escalated from around `2,000 per sq ft before the Metro was commissioned to `4,000 today.”
Though, in the core areas of the city the rate of appreciation was less. Prices have been appreciating by over 25 per cent every year ever since the Metro was commissioned, and a site that used to cost `4,000 per sq ft in Cox Town now costs around `7,500,as said by an Ulsoor real estate agent, V Ravi.
In Jogupalya, the prices of commercial properties have increased from `10,000 to `18,000 per sq ft.He added “Though some people are willing to pay the prevailing market prices, no one is willing to sell their properties.”
Though property prices in developed areas of the city appreciated by around 15 per cent, in some areas of Bangalore East, the escalation was over 30 per cent a year after the MG Road-Baiyappanahalli stretch was commissioned, as informed by the Nagaraja Reddy, president of the Confederation of Real Estate Developers’ Associations of India (CREDAI), Karnataka.
He added, “Property prices in areas that are situated on either side of the recently commissioned Reach 3 and 3A in Bangalore West are likely to appreciate by around 30 per cent in the coming years.”
CommonFloor’s views
Many builders have already started housing projects in these areas to make the most of profits. Commuters can easily reach the core areas of the city within minutes from peripheral areas like Peenya, as Namma Metro provides for hassle-free and speedy travel, said by Vikas Malpani, co-founder of Commonfloor, a real estate web portal.
He added “Therefore, property prices towards Peenya and its adjoining areas are likely to appreciate at a faster pace.”
Source: Indian Express
Bangalore East, CommonFloor, Confederation of Real Estate Developers' Associations of India, Jogupalya, Karnataka, Metro, MG Road Baiyappanahalli, Muniswamy, Nagaraja Reddy, Peenya, Realty News, V Ravi, Vikas Malpani
