BANGALORE: With the drop in rupee value and foreign currency getting stronger, many NRIs are evincing interest in picking up residential property in the city. Bangalore is being viewed as a luxury market destination and ticks many of the boxes that work in favour of a good city to invest in.
A healthy investment climate, consistently expanding job market, upgraded civic infrastructure, a wide variety of premium residential options to choose from and a good lifestyle quotient make it an attractive destination.
Premium residential locations
While several old neighbourhoods still retain their premium tag, several newer locations are also being bracketed in this category, offering a lifestyle comparable to that abroad with good social infrastructure.
Zahed Mahmood, Director, Silverline Realty, lists out some premium locations that NRIs are looking at. “Most of the focus is on locations in the north and east. Older upscale neighbourhoods in the north such as Jayamahal, Sadashivanagar, RMV IInd Stage, Dollars Colony, RT Nagar, to some extent, HBR and HRBR layouts, along with new layouts in Jakkur, Bellary Road and Hennur Road are fairly good areas for NRIs.”
In the east, NRIs are still bullish on Whitefield, with enquiries coming in and many moving in here. Indiranagar continues to remain a preferred location. “Areas looking good are locations around Whitefield, Hennur Road, Thanisandra Road and around the two prominent tech parks as there are several premium housing projects taking off around here,” he adds.
Lifestyle and conveniences
According to Zahed, Whitefield is attractive mainly because several new launches have taken place here with many good product offerings. It also offers a rich business environment with several large facilities located here with good established and upcoming retail infrastructure with large format malls.
Conveniences such as the presence of reputed international schools, easy entry and exit to the airport and to workplaces, superior quality finish typical of projects in this price segment, and the lifestyle aspect add up. Spaces for children to play, and locations and projects where friends buy property are deciding factors.
Considerable appreciation potential
Om Ahuja, CEO – Residential Services, JLL India, points out, “Considering the limited supply, both now and in the foreseeable future, Vittal Mallya Road, Richmond Road, Ulsoor Road, Sadashivanagar, Cunningham Road, Indiranagar and Koramangala are extremely high premium locations with no supply overhang whatsoever.
As a result, the capital appreciation potential is considerable. While a luxury apartment cost ranging between Rs 6 and 30 crores may seem very high, they are in fact very reasonable when compared to the rates going in premium locations of established cities such as Delhi and Mumbai.”
Preferences in options
According to Zahed, around 75 percent of the demand is end-user driven. “Demand is predominantly for the Rs 2-5 crores segment, with a preference for gated communities, villas or large apartment complexes.”
“We see a lot of investor activity reflected in the price escalation in north Bangalore, specifically around Hebbal and Yelahanka, where the action is high. However, considering the predominantly healthy market characteristics and the superior offerings involved, these areas and their adjacent locations are still reasonably priced, offer a generous lifestyle and rank very high in capital value appreciation,” Ahuja says.