Commercial property buyers, who kept mum over the last couple of months after the division of Andhra Pradesh, are again showing interest in the real estate market of Hyderabad. Taking the evolving scenario into account, several realtors in the city chose plots for sale in Hyderabad in some of the most sought-after areas.
What is Driving this Positive Sentiment
The launch of the metro rail project and the political stability within the city are key contributors to the positive sentiment in the commercial property market of Hyderabad. The growing market buzz has helped gain significant traction over the last few months.
Buyers and investors are becoming increasingly confident about acquiring commercial property in the city and developers are also feeling sanguine about raising prices that can sustain demand.
Where are People Buying?
Most commercial properties showcasing potential growth are located in the western part of the city, close to the financial district as well as the southern stretch adjacent to the Vijayawada Highway. The demand is soon expected to overtake supply, especially along the metro rail corridor. That said, experts believe that developers are slowing down new projects and gaining financial backing through adequate bookings.
With a 16% growth in demand for residential properties in Madhapur and Gachibowli, among other locations closer to the airport, the growth of commercial properties is bound to receive a boost. Take the example of the Hyderabad suburb of Miyapur, which is rapidly developing as an industrial, commercial and transport hub of Hyderabad Simultaneously, the growth in the office space sector is also expected to drive the demands in the housing sector in Hyderabad.
In a period of just 9 months, the city experienced an 84% growth in the net commercial space absorption. Furthermore, the average commercial space size went up by 28% to 18,400 square feet.
Currently, rates in Hyderabad are 35% lower than the neighbouring cities of Bangalore and Chennai. This too, is playing a significant role in influencing growth in sales.
IT in Hyderabad
Who does not know of HiTech City or the Hyderabad Information Technology Engineering Consultancy City? In addition to being home to some of the largest businesses in India, Hyderabad as an IT hub is expected to offer great real estate opportunities. Some of the leading developers of India, such as DLF, are setting up projects of all kinds and sizes to establish themselves in this part of the city, which is experiencing high demand.