Jaipur– a lucrative option for property investment
Jaipur is proving to be one of the most lucrative options for property investment among Tier II cities. It is scoring on the back of factors such as proximity to Delhi, affordable rates, infrastructure development, good returns and several reputed builders having projects there. Experts believe that property rates are expected to rise in the future owing to the infrastructure development planned in addition to many high-rise buildings also coming up in the city.
Infrastructure projects that are likely to boost the capital values in the city include metro rail, Ring Road and NH11 construction. Local realtor Alok Dusad of Raghav Realties says, “Jaipur is an end-user driven market but has slowed down after Diwali because of sharp appreciation in the past one year.” Alok Dusad said that because of the Phase I of the metro project, localities such as Shyam Nagar, Mansarovar and Vivek Vihar have seen an increase of about 50 per cent in capital values in the past one year.
There are very few investors interested in the market so far. Local buyers are investing in G+2 building as these projects are available within the city and they do not want to stay far from the city. High-rise buildings are primarily developing in the outer locations.
According to M S Poul of Mainstream Properties Pvt Ltd, “Ready-to-move properties are more in demand than under-construction properties in Jaipur. The main development is concentrated around NH11 in Jaipur and that is where the buyers should invest.”
Some of the leading groups in the city include RIPL, Ansal, Omaxe, Vatika, Mahima, UDB, UB, Vardhman, Okay Plus, Mangalam, Anukampa, Emaar MGF, Mahima Group, Upasana Colonizers, Aradhana Buildtech, Harbinger Real Estate, Trimurty Colonizers and ARG Group, among others. Rohit Jain of Paras Associates says, “The overall property market has picked up in the past one year in the city and is likely to grow further.”
The metro project is taking place in two phases. The first one is from Mansarovar to Chandpole Bazaar. This phase is expected to complete by mid-2013, according to Rohit Jain. Mansarovar is one of the biggest residential colonies and Shyam Nagar is another locality that will benefit once this phase completes as it falls on this stretch. Second phase of the metro will cover Sitapur to Ambabari, which is a 27-30 km stretch.
Another infrastructure activity that is in the pipeline is Ring Road which is a radius of 147 kms. This will divert the outside traffic from maneuvering in the city. Residential development is booming while commercial is not doing too well in Jaipur. Flyovers are also under progress on the outer periphery of Jaipur.
Alok Dusad pointed out that the development of this project has been slow yet; expectations are that once the construction is on full swing, the traffic flow and congestion will definitely improve. Dusad believes that Sikar Road and NH 11 are two areas where property investment will be concentrated in future due to the social infrastructure planned in these locations. Jaipur Development Authority (JDA) is expected to launch a residential housing scheme on Sikar Road. Other emerging localities are Ajmer Road, Sirsi Road, JLN Marg. Ajmer Road will soon witness the launch of Mahindra SEZ.
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