A fair weather chance

B.S.Malik

After facing dismal sales and poor real estate growth for around four years, prices in the region located between Sonepat and Delhi borde have stabilised during the past 5-6 months. The main reason for this wave of stability is the hope of a revival in realty market in the area. 

Though the initial optimism about the prospects of  Kundli-Sonepat region is no longer there, market watcher are yet to write off the area completely. :There are several big-ticket projects that are taking shape here and the industrial belt is also established. Thus, once the economic scenario improves and the realty market consolidates a bit this area will grow very fast”, says Dharmendra Malik, a city-based property consultant. Those investing here at this point of time should have realistic expectations and investors should maintain a horizon of at least three to four years in order to realise a decent return on investment, he added. 

Harbingers of hope

Some developments have taken place in the recent past to fuel the positive sentiment about investment in real estate here. The accelerated pace of development of the Kundli-Manesar-Palwal (KMP) and Kundli-Ghaziabad-Palwal (KGP) expressways have started attracting buyers to the Kundli area in the district. 

Many other projects, including the opening of  SRM and Ashoka Universities and National Institute of Fashion Technology, Entrepreneurship and Management (NIFTEM) and the proposed law university at the Rajiv Gandhi Education City are bound to attract more investment in residential and commercial projects. “The construction of International Terminal Market for Fruits, Vegetables, Flowers and Dairy Products on GT road near Gannaur will also add momentum to commercial activities in the region”, says Naresh Mahlan, another property dealer operating in the region.

Market watchers also pointed out that a boom in demand for property was being witnessed after the implementation of 6th Pay Commission in 2007-08 and it had continued for the next three to four years. Now with the 7th Pay Commission investment in real estate is likely to increase once again.  

Price points

According to market trends, it is only the Kundli area in the district which has witnessed an increase in real estate prices in the current fiscal. In TDI City the plots measuring 250 square yard are available in price range of Rs 30 to Rs 41 lakh depending upon the location. Similarly, one get a 350 square yard plots by investing Rs 40 to Rs 46 lakh.  

Plot prices in Parsvnath Developers' Divine City sites are ranging between Rs 18000 and Rs 20,000 per square yard; Rs 15,000 to Rs 20,000 per square yard at Omaxe; Rs 30,000 to Rs 35,000 at Ansal Properties and Rs 30,000 to Rs 40,000 at the sites of sectors 6,7 and 8 located between GT road and Sonepat town. 

As far as the residential apartments are concerned, on an average, there has been 30 to 40 per cent appreciation in apartment rates since 2007-08. The prices of the multi-storey apartments of 2 BHK are ranging around Rs 35 lakh, 3 BHK is Rs 40 to 42 lakh and of 4 BHK in around Rs 1 crore.  

With the expectation of a boom in the residential market and increased scope for commercial activities in Kundli area in particular and the GT road belt from Kundli to Murthal in general, had an appreciation of around 50 per cent and is likely to maintain growth but at a slow pace in future also.

From future investment perspective, Kundli-Murthal-Sonepat region will continue to remain promising due to proximity to Delhi. Home buyers looking for affordable options can explore Kundli. “If government shows serious commitment towards the proposed infrastructure development initiatives, the real estate market can certainly get moving”, says Rajroop Singh,  a local property consultant.