HYDERABAD: The city's real estate segment witnessed the lowest capital value appreciation of 14% in the mid-segment and 16% in the high-end segment as compared to other metros over the last three years, revealed the latest report from global real estate consultant Cushman & Wakefield on Monday.
"Hyderabad ranked last among the top seven cities in terms of capital value appreciation, primarily due to subdued demand for residential units given the political uncertainty in the state during the last few years. However, considering that this uncertainty has now been cleared with the formation of two separate states, the overall city outlook remains positive," the report said.
In the high-end segment, locations such as Himayathnagar, West & East Marredpally and Jubilee Hills witnessed the highest capital value appreciation in the range of 21-23% since 2011, while in the mid-segment, locations such as Madhapur-Gachibowli and Miyapur-Nizampet witnessed healthy capital value appreciation of 31% and 25% respectively over the last three years, the report said.
The capital value appreciation in these areas was attributed to demand from IT-ITeS professionals and development of physical and social infrastructure in these areas.
Even realtors are of the view that the real estate prices in the city have remained subdued and have hit 'rock bottom' in the past few years due to uncertainty over the bifurcation of the state. However, prices are expected to move northwards in the next five to six months, Confederation of Real Estate Developers' Associations of India (Credai) had stated recently.