- Keshav Morab
Property has always been a fine option for investment since long, the next option being only the gold. Both property i.e., lands and buildings and gold prices have appreciated considerably in the past few years. The gold price has since reached almost its peak and perhaps also saturation point. Now, property is the main option or only attraction for investment. Properties in some areas attract more and more investors, particularly the non residents Indians(NRI).The NRIs are showing more and more interest in the immovable properties ie lands and buildings. This has attracted many property developers to the realty market in major cities and metros.
For the past two to three years the property market in Bangalore has shown quite an upward trend. With the entry of property developers from other cities to Bangalore, the demand for land has gone up tremendously. Various new projects are launched and are being launched, almost on regular basis giving a boost to the land prices all around Bangalore. The Demand for residential space has gone up immensely, particularly in the neighborhood,of IT industries in the north and south Bangalore. Consequently the level land prices and apartments have gone up in those areas.
The demand for medium class spaces like for 2 BHK (Bedroom- Hall –Kitchen) flats is said to be quite high. The present pricing however of such flats seems to be very high and the builders are indifferent towards the buyers of such medium class spaces. The abnormal prices of developed flats is keeping the people away who look for such accommodation. The developers have been taking up more and more high end projects eyeing mostly NRIs. The cost of flats in such projects starts from a crore and goes beyond 5.6 Crores.
Number of property developers are now coming up with projects for development of plots for independent bungalows and villas on the outskirts of Bangalore all along the outer ring road. The plots and villas developers are said to be with all possible luxuries and costing crores of rupees . It seems there is no limit for luxuries and the price. With all such new projects coming up all over, the skyline of Bangalore is changing totally. The greenery that was seen once is now almost lost and it is replaced with the multi story building and bunglows. The city has grown beyond imagination of planners, unfortunately the infrastructure that is necessary has not been developed simultaneously and the basic needs like proper roads, water supply, street lighting and public transport etc are denied to the areas where huge Layouts, Shopping complexes, commercial and residential spaces are coming up.
With the rapid growth in population of the city due to large scale migration and lack of proper and adequate connectivity people are living in far off places and have to depend on their own vehicles for commuting resulting in increase of vehicles population, now stated to be around Five millon. If no action is taken to develop the infrastructure projects, proper connectivity and required public transport, the situation will further worsen in the next few years beyond one’s imagination.
So far as the real estate market of Bangalore is concerued, there is a great demand for commercial and residential spaces, particularly the middle class people are interested in buying spaces for residential purposes. The property developers may have to consider coming up with more projects, with one and two BHK flats or row houses to meet the demand, which is ever increasing for residential accommodation in particular.