CHENNAI: In the past year, Suresh of S Promoters has sold about 80 per cent of his properties in North Chennai. However, his South Chennai properties still remain unsold. “Today, there is an oversupply in the South Chennai market. But in the northern part of the city, the ratio of availability and demand is at par. Also, in North Chennai, people can buy flats at two-third of the rates of South Chennai,” he says.
Epithets such as underdeveloped and unsophisticated that once defined the northern part of the city, no more holds true. Owing to the spate of civic and infrastructure projects such as upcoming metro connectivity, Outer Ring Road (ORR) project and upgrading of the Chennai-Ennore Port connectivity project, North Chennai is expected to get a facelift.
Azeem Ahmed of Property Care concurs, “Earlier, people were apprehensive about buying a house here. But with the metro line soon to pass this area, buyers have started considering this part of the city as a potential option for investment.”
Another reason for this is that South Chennai, housing major IT hubs, has also become unaffordable. “As the prices are going up due to demand from the IT sector, people are focusing on North Chennai because of affordability,” says Sohail Saroshi of Chennai Real Estate Agents Association.
Even developers are eying North Chennai. As per data on MagicBricks.com, about twelve projects are under construction in the area. Some of the developers coming up with their projects are Pavani Group, SP Homes Private Limited, Sree Strinivas Construction, Hallmark Infrastructure Pvt Ltd, among many others. These projects are in the price band of Rs 40-50 lakh.
“North Chennai witnessed significant real estate activity last year because of its connectivity to the South through the ORR. Some pockets around Ennore Port such as Red Hills and Madavaram witnessed decent residential demand,” informs Ranjeeth Rathod, director, DRA Projects Pvt Ltd. Other localities such as Perambur, Avadi, Kolathur, Tondiarpet, among others, are witnessing an upward trend in property values. In most of these areas, there is an abundance of budget homes.