REALTY BOOM IN MEERUT
The Times Of India
Low realty costs,availability of large land parcels and government incentives for development in Tier I and Tier II cities have inspired a Meerut chalo movement,says A K TIWARY
Meerut,about 71km from Delhi and with a population of around 4 million,is set to witness a boom in the real estate market with prominent developers like Supertech Group,MSX Developers,Era Group,Antriksh,Majestic Properties,Ansal Housing & Construction,Parsvnath,DLF and Omaxe planning new projects here.
The steady rise in prices and the connectivity projects in the pipeline linking the city to the main suburban areas of the nearby NCR areas like Palam Vihar,Noida,Indirapuram,Kaushambi,Vaishali and Gurgaon in the last couple of years forced these companies to hunt for ideal spots in the city to start their projects.R K Arora,MD of Supertech Group,believes that Meeruts proximity to Delhi is a matter of major convenience.An officially approved expressway via Ghaziabad,when built,is expected to reduce the travel time between the two cities to only 45 minutes and provide further impetus to the development of Meerut.
Low realty costs,availability of large land parcels and government incentives to initiate constructions in Tier I and Tier II cities have inspired the Meerut chalo movement.And,as elementary economics confirms,Meerut too has started experiencing an upswing in real estate prices owing to the presence of so many leading firms keen to purchase land and raise buildings.
The prices have,it is said,trebled in the last two years.The main part of this large town are highly congested and infested with problems of infrastructure and crime.Hence,there is great demand for quality housing on the outskirts,complete with benefits of good infrastructure,sound planning and high-grade security.The favoured location is along the Meerut bypass.The Hapur Road and the Cantonment Road,which lead to Roorkee,are also attracting a lot of development.Of late,commercial and residential complexes are coming up on Mawana Road and Modipuram on the Muzaffarnagar highway.
Rakesh Yadav,managing director of Antriksh Group,says that while the suburban spots like Gurgaon and Noida were earlier considered to be value-formoney alternatives to posh residential areas in Delhi,the growing demand and popularity of these locations has led to a sharp increase in capital values.
While local demand here is less than in the Delhi NCR region,things are getting better by the day with new colonies coming up.People with high disposable incomes are getting more and more conscious about their lifestyle,which in turn is contributing to the realty boom here.The prices here have appreciated by 70% over the last two years.Commercial property prices have seen a somewhat steeper hike than residential property.
The upward spiral is a consequence of the competition among the developers from Delhi.The prices may move further north within a year, Yadav adds.
Vijay Jindal,CMD of SVP Group,says: Within a span of one year,the price of land has increased from Rs 2,200 per sq yard to Rs 5,000 per sq yard.Meerut is also the sixth biggest city in UP.The finance minister has announced that the Metro line will soon reach Meerut.For those people who cannot afford to buy a decent flat in Delhi and still want to be near the capital city,Meerut will provide the ultimate solution.
Ansals Landmark Holdings (Ansal API,in collaboration with Landmark Holdings,a real estate investment vehicle of Dalmia Group) are coming up with a 300-acre signature township called Sushant City.Strategically located on the Meerut bypass,just outside the main city,it would offer a mix of seven types of housing in built-up units on individual plots.
The township would offer a wide range of options like built-up houses,independent floors,bungalows and villas to cater to the housing needs of about 5,000 families.The facility offers jogging tracks,a well-equipped gym,clubhouse,and badminton and tennis courts.
Apart from Ansal API,a good number of builders have invested in Meerut in the recent past.Supertech Group is also going to complete its ambitious Sports City and Green Village project.
R K Arora,MD of Supertech Group,says: Sports City is the first Integrated Township project of Meerut and it is being built over 51 acres.Under this project all facilities like schools,a 200-bed hospital,malls,restaurants,a pub,banks,swimming pools,a golf course and a railway reservation counter,among other things,will be available.In addition,a spots club (over 12 acres) will also be built for end users.
According to sources,the prices of Meerut Development Authority colonies (MDA) are going through the roof.In the last one year,the MDA has revised the prices of these colonies thrice.Vedvyaspuri and Pandav Nagar are two places where prices have been affected the most.
The main reason being with more builders bringing in projects in Vedvyaspuri,there is a large-scale influx of people into these areas,which is pushing up prices rapidly.Similarly Pandav Nagar,being at the centre of Meerut city,is the centre of attraction.