India : Top 10 Residential Real Estate Investment Cities

India : Top 10 Residential Real Estate Investment Cities , Chennai 6th Place 

1. Gurgaon :

 ^    Massive infusion of commercial office &  retail space (Now 2.2 crore square feet office space expected to grow to 4 crore square feet by 2012)

^   Substantial rationalization of prices (Correction of above 20 to 30% across markets)

^   Wide breadth of projects across price ranges &  geographies (Downturn has opened new geographies at much rationalized prices)

^  Shortening absorption period (Increased absorption rates leads to reducing houses to be sold)

^  Water, power and connectivity continue to be areas of concern (Metro expected to improve connectivity)

^ Quality developers &  developments (Tier I developers & good quality developments)

  

2. Mumbai:

    *  High income demographics (High investment activity levels across price bands)

    *  Massive infusion of commercial office &  retail space

    * Relative affordability in suburban markets (Most of the markets within the city unaffordable. Affordability in Eastern Suburbs, Thane & Navi Mumbai)

    * Infrastructure can not keep pace with growth of city. Infrastructure developments to boost residential demand in Mumbai suburbs.

3. Noida:

   *  Affordable markets (Reasonable - low cost -  price range has led to increased absorption momentum)

    * Excellent connectivity - Connectivity through existing road infrastructure & metro.

    * Commercial office space (Addition of another 1.2 crore squae feet of office space in the next 2 to 3 years)

    * Residential demand primarily linked to IT / ITES sector

4. Pune :

    * Proximity to Mumbai   

     * Huge supply of office space - Addition of another 2 crore square feet of office space in the next 2 to 3 years

    * Affordable markets close to the Pune city

    * Oversupply in select markets only

   

 5. Bangaluru :

    * Shifting geographies of commercial office development

   *  Most of the markets highly affordable (low cost)

   *  Residential demand linked to growth of IT / ITES sector.

    * Bangalure city has attained a critical size of IT occupiers which shall help attract more IT occupiers.

    * Infrastructure has not kept pace with the growth of the city

6. Chennai :

    * Diversified migrant population working in industrial, logistics and IT & ITES sector

    * Prices have rationalized across markets

    * Properties along OMR benefits from excellent connectivity & proximity to IT hubs

    * Absorption rate yet to pick up

7. Hyderabad:

   *  High affordability inHitecCityand Gachibowli

   * Oversupply in HitecCity - Gachibowli; other markets having low activity

   * Residential demand linked to growth of IT / ITES sector

8. Kolkata :

   *  Absorption rate has picked up in Rajarhat

   * Highly affordable markets

   * Growth in office take up projected to be low

9. Ahmedabad:

   *  Newest metropolitan city with population of more than 40 crore

    * Absorption rate has picked up in affordable markets closer to the city

    * Highly affordable markets

    * Pharmaceuticals, logistics & automotive sector to drive population growth in the suburban markets

    Poor IT / ITES presence.

    * Short term growth of commercial activity uncertain

10. Kochi :

   *  Diversified economy with growing IT / ITES presence

   * Highly affordable markets

   *  Huge Non-Resident Keralite demand drives residential real estate

   *  Markets of Edapally & Kakkanad highly dependent on IT / ITES                    

Share: