NASHIK: City builders and developers facing slowdown for the past three-four years have started marketing their projects in view of the Kumbh Mela.
Builders have started putting up hoardings at major locations across the city and along the roads coming to the city to make the most of the Mela.
Speaking to TOI, Jayesh Thakkar, president, Confederation of Real Estate Developers' Association of India (CREDAI), Nashik, said, "There is nothing wrong in marketing real estate projects during this religious congregation.
There will be a large number of pilgrims coming to the city from different parts of the country. The hoardings are especially put up for such pilgrims, who may want to buy a home in Nashik in the future. However, this will create business in the long term."
He further said, "This way, the pilgrims will at least get to know about the real estate projects being constructed in the city. The real estate sector is already passing through recession and there is still no sign of improvement. Hence, builders are focusing on marketing projects to reach the end-customers in hopes of generating business in the next couple of years."
The real estate sector has been facing recession for the past four years. The gap between the demand and supply has increased a lot in the city. The supply is good, but the demand is less. Moreover, the construction cost of projects has also increased by Rs 500 per sq metre due to rise in construction in foot notes of Ready Reckoner rates from Rs 12,000 to Rs 22,000 per sq metre this year.
According to sources from the real estate sector, Nashik is has been facing recession for the past four years. Sources from the sector said, "Sales have reduced at large. There are close to 3,000 ready flats lying unsold due to recession. The number of vacant flats, however, has reduced from 12,000 in 2012 to 3,000 today."