Real Estate in National Capital Region: Making new moves | The Financial Express

Real Estate in National Capital Region: Making new moves

As the economy is unshackling itself from the baggage of the pandemic and with India reclaiming its place in the global market, the real estate sector is moving ahead at a rapid pace.

Real Estate in National Capital Region: Making new moves
The gradual opening of the economy post-pandemic has provided a further boost to real estate.

The recent report on private equity (PE) investment in commercial properties, including office spaces, in which NCR has emerged as the No. 1 option in the country, has again brought the focus on this segment. The study by Anarock found that NCR had recorded a 61% rise in investment in the first half of the current financial year, garnering more than 50% of the share compared to the other five cities. These cities include Chennai, Mumbai, Hyderabad, Bangalore and Pune. The NCR alone witnessed a PE investment of 992 million dollars compared to 555 million dollars-worth of combined investment in the other five cities.

With NCR taking such a huge slice of the pie, it is important to analyse the prospects of real estate development in the region.

NCR: Growing bigger and better

NCR or National Capital Region is a huge area pivoted around Delhi. With an urbanisation level of 62.6%, it has a population of over 46,069,000, which is growing at a steady rate and spreading steadily in every direction. As these sub-cities are emerging, often on the peripheries of the existing cities, they are offering newer opportunities both in the residential and commercial segments.

So, while earlier the action focussed on Gurugram and Noida, the focus to a very large extent has now shifted toward Greater Noida (West), Sohna Road, Dwarka Expressway and Yamuna Expressway. The recent announcement by the Noida Authority to establish “New Noida” has opened hitherto a vast stretch of land which has the portents to take NCR into one of the leading residential, industrial, business and commercial hub of India.

Adding momentum to progress

Adding spur to the development is the emphasis on improving connectivity both inter-regional and international. Roads, rail, metro, rapid rail and air connectivity are being implemented. New modes of transportation such as monorails, ropeways and electric corridors are being considered to improve efficiency and bring not only the far-flung suburbs within easy reach of the cities but also to facilitate last-mile connectivity.

Some of the major developments in the vicinity of Noida include Jewar International airport, a rail terminal at Bodaki, a dedicated freight corridor, a film city and industrial as well as a corporate hub at Yamuna Expressway. These are transforming the region in a proportion hitherto unseen. The other important factor providing a massive spur to real estate development, both residential and commercial, is the growing spirit of entrepreneurship. The gradual opening of the economy post-pandemic has provided a further boost to real estate.

Opportunity is now

The prices are still at affordable levels and the opportunities are immense. One key pointer in this direction is provided by PE investments itself. Despite such a massive surge, the figures are yet to touch the pre-pandemic levels. The demand is huge and so are the opportunities, with investment in real estate, as witnessed during the current festival season showing no signs of slowing down, the potential is immense. Moreover, as the economy is unshackling itself from the baggage of the pandemic and with India reclaiming its place in the global market, the real estate sector is moving ahead at a rapid pace.

These can revolutionise both residential and commercial projects in the area. With ample emphasis on a sustainable and integrated lifestyle, once developed it will offer a lifestyle that will not only instil pride but also be at par with global standards.

(By Sumit Agarwal, Director – Sales and Leasing, Grandthum)

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First published on: 04-11-2022 at 09:00 IST