Investors caught in ‘realty’ tangle
Skyrocketing land price sends investors into tizzy
Sep 11, 2014
Source : The Hindu
N. Chandrababu Naidu, Chief Minister


Vijaywada: Investors willing to put their money in the new capital of Andhra Pradesh confront a fresh confusion. The uncertainty over exact location of the capital kept them on the hold for a long time.

Now that Chief Minister N. Chandrababu Naidu has declared that the capital will come up around Vijayawada, aspiring investors are groping in the dark on the exact direction in which Mr. Naidu’s capital plans are headed.

The real estate boom has almost reached a saturation point in the suburban stretches of Agiripalli, Adavinekkalam, Nuzvid, Gollapalli and Hanuman Junction.

“Reports that nearly 20,000 acres of government land is available near Ibrahimpatnam and Kanchikacharla on one side of the Krishna and Amaravathi on the other have sent land prices skyrocketing. Prices of even remote places on these stretches have gone beyond reach,” says Y.V. Ramana Rao, president of Vijayawada Chapter of Confederation of Real Estate Developers’ Association of India (CREDAI).

Mr. Rao says that while big players are all set to launch ventures in the fringe areas, local builders have also formed groups to claim their share of the capital pie by launching mega ventures.

“Local builders are planning high rise buildings and gated communities in Kanuru, Poranki, Gollapudi and Tadigadapa areas in stretches of 2-3 acres of land,” he says.

“Most investors are waiting for land price correction which is likely to take a few months. Wherever you go, people are quoting crores for land, preventing investors to move ahead with their plans,” says K. Pattabhi Ram, President of Andhra Pradesh Hotel Owners’ Association.

As far as hotel industry is concerned, A star hotel is likely to come up near Gannavaram airport and three-four other names are doing the rounds, he informed.

Saturation point

“Because of wild speculation, land prices in this region have reached a saturation point. They will not go any further and will come down,” he says.


Latest Realty News

DLF has lost Gurgaon village land second time
Sep 11, 2014
The fine print of the Punjab and Haryana high court's September 3 order cancelling the auction that saw real estate major DLF being allotted 350 acres of land in Gurgaon has revealed a startling fact
Redevelop all unused plots in industrial areas’
Sep 11, 2014
If all goes according to plan, the civic body may soon convert all defunct industrial plots for commercial or residential use
PMC court orders part demolition of 4 buildings
Sep 11, 2014
The Patna Municipal Corporation (PMC) court on Wednesday ordered demolition of illegal parts of four buildings in the city within a month
Plot owners may get max 5 years to start construction
Sep 11, 2014
Landowners in Greater Noida will be hit hard if the Greater Noida Industrial Development Authority (GNIDA) changes its building bylaws
Govt Keen to Develop Smart Cities, Says Sorake
Sep 11, 2014
The State government on Wednesday held a preliminary meeting with representatives of various IT companies to develop ‘Smart Cities’
Can't Direct Govt to Acquire Land, says High Court
Sep 11, 2014
A High Court division bench headed by Chief Justice D H Waghela has denied permission to a woman who wanted to develop her piece of land near the Srirangapatna fort
City Encroachments Razed Amid Protest
Sep 11, 2014
Amid fierce protest by the locals, civic authorities demolished about 60 permanent structures encroaching on a stretch of road in GGP Colony here on Wednesday
Lens on Artha flat ‘owners’
Sep 11, 2014
The Central Bureau of Investigation (CBI) is now trying to identify influential people, who have taken flats from the Artha Tatwa (AT) group
BDA whip on truant builders
Sep 11, 2014
Real-estate developers engaging in unethical practices and making false promises will find themselves in trouble as the development authority has decided to stop the practice of conditional approval of building plans
Thumbs up to Tata township
Sep 11, 2014
Stakeholders of Jamshedpur today chose industrial township status with Tata Steel as civic guardian over the alternative of Jharkhand taking over the city under a municipality

Latest Realty News Of State

Realty Talk's