The Government has special plans for Vizag development. It is even preparing a special master plan for city’s development There is a shift in the focus of investors from Amaravati to Visakhapatnam Realty sector prices in and around Visakhapatnam are affordable now. The prices will shoot up once city becomes AP’s capital Complexes with thousands of apartments are very rare in Visakhapatnam Businessmen keen to invest in realty even in far away places like Bhogapuram
Visakhapatnam : The National Real Estate Development Council (NAREDCO) Vizag chapter Chairman Narasimha Raju has observed real estate in and around Visakhapatnam is witnessing a boom on account of investors – both the locals and NRIs – are keen on investing in realty sector here. Instead of Amaravati, they have been evincing more interest in Visakhapatnam, which is billed as AP’s capital, and surrounding areas, he explained. He observed that the time is ripe to invest in the realty sector in and around Visakhapatnam. The steel city is able to attract investors because the realty prices – house-sites and apartments – are affordable. Therefore, many investors are making a beeline to Visakhapatnam instead of Amaravati leading to phenomenal development in the realty sector in the region, he said.
Speaking to Real Estate Guru, Narasimha Raju, who traced the realty sector trends and possible growth in and around Vizag, said that the suburbs of the city like Yendada, Madhurawada, Kommadi, Anandapuram would emerge as hot locations and favorite destinations for investors provided the capital is located in the city. Picturesque beaches and accessibility to the national highway are some of the factors that weigh heavily in favor of investors investing in the realty sector here. Generally speaking, those who are employed in and around Visakhapatnam, those who are settled in the USA or the UK or the Gulf countries would have a tendency to invest in the real estate sector here. Similarly, businessmen from places like Rajamandry and Kakinada have shifted their focus from Amaravati to Visakhapatnam and are coming forward to buy plots in Bheemili, Tagarapuvalasa, Bhogapuram and so on.
Demand and supply
Annually, 5000-6000 house sites are sold in and around the city. In fact, over 10 gated community projects are under development here. At several places, many stand alone apartments are coming up. Truly speaking, there is demand-supply match in the Visakhapatnam realty sector. In the Bakkannapalem area, the size of the house sites is very small. That is why the developers here build only 10-unit complexes. Going by the demand and supply of properties in the Vizag area, the apartments are being sold in just six months to one year. By chance, if gated communities are developed in areas where there is development of apartment complexes, there would be no problem at all. The gated communities are coming up in site areas measuring 4 to 5 acres only. Unlike other metropolitan cities, development of huge apartment complexes with thousands of units is rare here. Therefore, the supply is always less than the demand.
The price factor
In Yendada, the realtors are selling apartments at a cost of Rs 6000 per sft. Of course, there are some gated community projects that sell at a higher price. In Madhurawada, the per sq.ft price of apartments varies between Rs 4000 and Rs 5000. The construction activity is high here. Tagarapuvalasa, near here, has emerged as the favorite destination for pharma employees as the per sft cost is comparatively less. Regarding layouts, the realtors are quoting Rs 15000 to Rs 20,000 per square yard in Bheemili and surrounding areas. In Bhogapuram, they quote Rs 7000-8000 per square yard, while the house sites in Kapuluppada are priced between Rs 20,000 and Rs 25,000 per square yard, he said comparing the prices.
Narasimha Raju said that he has been active in the Vizag realty sector for more than 15 years. He built over 1000 flats. In fact, there are many plans on the drawing board to execute many more projects. In case, Visakhapatnam becomes the state capital, the realty sector prices go up further. In fact, the city is not only beautiful but also developing very fast. The government has special plans for development of the region. It is even preparing to bring out a separate master plan for the city. The scope for development of the region is very high.
He concluded by saying,“ I can say with confidence that the time is ripe for choosing Vizag either for residential purposes or for investment,” he said.
