DELHI: Property prices in NCR’s upcoming residential markets, which real estate experts term ‘residential micro-markets’, have nearly doubled in the last two years. This trend, analysts say, is owing to new options being made available in these micro-markets which has become an attractive proposition for buyers who can’t afford to enter the prime real estate market.
These pockets of realty in Gurgaon and Delhi are defying the general slowdown in NCR market and are now driving it forward. Going by the latest real estate prices, areas like Gurgaon’s Golf Course, Golf Course Extension and Southern Periphery and Dwarka Expressway are witnessing huge property rate hikes, say property experts Jones Lang LaSalle.
In Golf Course Extension, realty is currently priced at Rs 8,000-13,000 per square foot while the corresponding figures two years ago were Rs 6,000-9,000. The real estate firm has witnessed similarly high revision in rates in Southern Periphery and Dwarka Expressway where high demands are being recorded. In Southern Periphery, properties are priced in the range of Rs 6,000-7,000 per sq ft as against price levels of Rs 4,500-5,500 per sq ft a couple of years ago. Properties on Dwarka Expressway are currently selling at Rs 6,000-8,000/sq ft which, the firm says, is an appreciation of over 50% over the corresponding 2011 levels.
Santhosh Kumar, CEO, Operations, Jones Lang LaSalle, who compiled the report, gave the example of the realty market within Gurgaon and at a distance in Southern Periphery.
“Gurgaon has transformed from an investor-driven market to being an end-user driven market—short-term speculators on the lookout for immediate capital gains have ceased to exist in this market. On the other hand, the Southern Periphery essentially remains a hotbed as at the current price points it has the highest magnitude of affordable options,” said Kumar.
He added that the proposed widening of Golf Course Road, construction of the underpass and the proposed expressway will improve connectivity significantly which will further boost sales.
On Golf Course Road, apartments are currently priced in the range of Rs 12,000-16,000 per sq ft as compared with the price range of Rs 8,000-9,000 per sq ft two years ago. On MG Road, the current prices for residential apartments are at Rs 10,000-12,000 per sq ft as against an average of Rs 8,000-9,000 per sq ft in 2011.