VISAKHAPATNAM: True to its name, VIP Road is turning out to be one of the most sought after addresses for commercial and residential properties in the Port City. At least five commercial and residential properties are under various stages of construction along the nearly 1 km long stretch that is already home to several restaurants, an eye hospital, a two-wheeler showroom and several other commercial offices.
According to realtors, the demand for property on VIP road has been gaining traction in the last few months, with rates of commercial properties there almost at par with those in major business hubs such as Asilmetta Junction, Siripuram and Sampath Vinayaka Temple Road.
Sources said that the price for residential property on VIP Road is going at around Rs 5,000 per sft, whereas commercial rentals are hovering around the Rs 100 per sft mark. The commercial rentals in Siripuram range from Rs 80 to Rs 100 per sqft, that in Sampath Vinayaka Temple Road between Rs 100 to 120 per sqft, Dwarakanagar around Rs 80 to 100 per sqft and Asilmetta Junction at Rs 80 to Rs 110 per sqft.
A realty source said that one of the buildings under construction on VIP Road, which will have 14 floors with 11 floors for residential and three floors from the ground for commercial activities, has already been sold out. "As per our information, one of the floors is going to be taken up for a showroom by a Japanese-based electronics giant. The building has been sold out even while the construction is still going on," he said. Referring to the prospects of properties on VIP Road, another realtor said, "It will be a fantastic place for business in the next two years." Pointing out that an Indian lifestyle retail giant is eyeing one of the commercial properties on the road for huge store, he said: "While some of the other properties are yet to be taken up, we are sure that even they will be snapped up in the next few months," he added. "The new rates for commercial property rentals will be around Rs 100 to 110 per sqft on par with other properties located in the city."
Sources said that along with the 14-storeyed building coming up on the road, other properties include a four-storeyed commercial complex and an eight-storeyed building among others. "The space around VIP Road is just in the neighbourhood of other upmarket shopping hubs like Siripuram and Sampath Vinayaka Temple Road. More importantly, it is very near to the RTC Complex and also not far away from Maddilapalem, which is another important junction. Topping it up is the fact that such a huge space for developing properties with clean land records can be rarely found in either Siripuram or Sampath Vinayaka Temple Road. This will make it an exciting place in the coming days," a leading realtor developing residential apartments in Madhurawada said.
"This is actually a welcome development because the realty sector has not being too great in the last couple of years due to the economic slowdown. We hope this will give a boost to the market."