Monday, 20 January 2014

New Gurgaon- future in present

Real estate has today become a popular investment avenue for many. However, lack of transparency and regulations means most of us are making investment decisions with limited understanding of the risks involved in parking their hard-earned money in real estate.

While there are risks, there are a few residential destinations that not only secure your investments but also provide a hedge against the risks and economic problems. New Gurgaon is one such location.  As property prices skyrocketed in New Delhi, New Gurgaon exploded with several options.

The Haryana Government too is doing all it can to make the best and brightest of all tier two and three cities within the state. The area in particular is now witnessing developments of some of the tallest residential and commercial buildings, the widest roads, malls and some of the swankiest hotels.

New Gurgaon today holds a greater promise for businesses in addition to best developed residential sectors. The region is now on its way to becoming reality – the government and private investment are already pouring into Gurgaon in millions. We keep hearing about the various alliances between developers and certain private equity firms to develop projects of international repute.

But what makes NewGurgaon the best option for investment? It has much better infrastructure, located in the NCR. Investing in New Gurgaon is a much safer bet compared to Noida or Ghaziabad, where one keeps hearing about frauds and project delays. New Gurgaon has the advantage of being close to the airport, National Highway 8 and offer affordable prices. New sectors in New Gurgaon region are attracting major investments and industry. Despite the recent infrastructural facelift, prices in New Gurgaon are still 20-30 per cent lesser than properties sold in Gurgaon and Delhi. It is likely that area will give healthy appreciation in near future.

On the anticipation of a boom on the residential market and increased scope for commercial activities in the area, commercial properties in New Gurgaon have also witnessed an attractive appreciation of more than 50 per cent over the last two years.

As per reports of market consultants most commercial projects would be ready for possession soon. The area will then have a strong rental market. The current rates for commercial property in the area are upwards of Rs 7,000 per sq ft. It is likely that the rates will rise further.

If your current budget is low, move further into the New Gurgaon and buy cheaper apartments. The current market seems to be weak on account of various problems such as high interest rates, inflation etc. Industry estimates and newspaper reports suggest that there is a countrywide drop in sales. This gives buyers an option to strike a good deal at good rates. If you have money, New Gurgaon is the place to be parking it. 

Next destination of growth

So where would you like to be after you have bought your own house? Where people are moving or where development is moving? It is a difficult question to answer. While development comes at a small premium crowd create cramped spaces.

The national capital region (NCR) has many such residential hotspots where you pay a premium for getting development along with the space. However, at the time of the possession of your property, you find that you get possession along with an overtly populated housing complex. Your developer might have thought of a township project but he might have missed the calculation over the population density. Thus the township you are moving into turns out to be crowded despite spacious apartments.

Very few locations are such where you get ample space with abundant amenities around for each individual. The residential projects in the new upcoming sectors along the National Highway 8 till up to IMT Manesar and those near the Dwarka Expressway offer the mix of both – ample space and abundant amenities. This could be a region well-crafted for urban living.

Christened as New Gurgaon, comprising of 14 sectors, the region along the National Highway 8 offers better infrastructure, wide roads, regular water supply and above all, a number of properties to buy from. The entire region collectively offers more than 21,000 dwelling units across categories. Of these, some are either at the initial stages of construction or some are nearing completion. Very soon the whole region is going to be one of the fully developed areas of the NCR.

In terms of connectivity, the region is Gurgaon is next to the forthcoming metro station and has easy access from NH-8. A number of real estate firms such as DLF Ltd, Unitech Ltd, Ansal API, IREO, Orris Infrastructure, BPTP, Adani Group, Chintels Ltd, Godrej Properties, Sobha Developers, Parsvnath, RahejaDevelopers, M3M, Omaxe, Supertech, Assotech Ltd and Ramprastha are coming up with their projects.

As developers have been allowed to build the sector roads, each of the sectors are well connected with each other and provide ample driving space even when there is little traffic at present. Going by the speed of the construction activity, it is likely that projects will start offering possession of units soon. It is likely that these sectors will witness slight appreciation in near future even when investors and real estate experts are talking about correction in the market. New Gurgaon certainly has a different course of development.

Sunday, 19 January 2014

New Gurgaon still better than Dwarka expressway

While driving past the National Highway 8, one may have seen new buildings coming up after the Hero Honda Chowk in Gurgaon. The developments in this part of Gurgaon give a feeling that the Millenium City is still expanding has an appetite for more! With its quick appreciation potential, Gurgaon and its several parts in the past 5-8 years have been the cynosure of attraction and centre of activity for many investors and homebuyers.

The sectors along the NH-8, popularly called as New Gurgaon, being one of the most desirable destinations for property investment offers a number of options for property investments ranging across categories. In recent years, the attractiveness of the real estate hotspot has increased even more because it fulfills the rising housing demand within the region with better quality properties at affordable rates – a boon for mid-income buyers like us.

The new sectors falling under the New Gurgaon has progressed to become the sign of rapid development and massive commercial growth too in the last few years. Today, New Gurgaon is home to several multinational fortune companies, which have occupied office spaces in some of the upcoming business districts of new sectors between 76 and 113. 

While the construction is new in all these sectors, the only thing that could be a concern for many is the long commute to the area. However, in coming years, the concern will change into a smooth drive with the superb road infrastructure coming up. In terms of similar location or region, only Dwarka Expressway is another region in Gurgaon that offers a number of options and can be compared to New Gurgaon. While the Gurgaon city has a robust rental market, the two regions – New Gurgaon and Dwarka Expressway offer good investment options. But what makes New Gurgaon a notch better than DwarkaExpressway is the affordability quotient.

While Dwarka Expressway offers properties in the average range of Rs 7,500 to 8,500 per sq ft in the resale market, sectors in New Gurgaon offer properties in the average range of Rs 5,000 to 5,500 per sq ft. NewGurgaon still has affordability to boast about.

The prospects of  liveability at these locations depend mostly on the upcoming and enhanced infrastructure, zoning of retail, healthcare and education. But if we compare New Gurgaon and Dwarka Expressway, the later still faces acute shortage of water – one of the basic amenities for livelihood. In contrast, recently sectors in New Gurgaon have received the nod from the Government and the Haryana Urban Development Authority (HUDA) for regular water supply. The water supply line is being extended from the Basai water plant to the Sector 51. The pipeline will bring water to several colonies in NewGurgaon, including DLF Phase V and the boosting station will service the sectors after Sector 43. This would definitely add value to the investment potential of the area.