Hyderabad Property News
Introduction :
Hyderabad is well known as the city of Pearls and Minars. Hyderabad is continued to be a leading player in the property market in South India with a total absorption of 4 million sq. ft in FY2007. Hyderabad real estate is showing an upward trend in residential and commercial sector due to more demand from IT & ITES, Bio-Tech, Telecom, Pharmaceutical, Healthcare, Retailing, Engineering and Banking Financial and Insurance Service.
Hyderabad property market has undergone a major transformation over a period of time. The projected 30% CAGR in IT/ITES over next 2-3 years will show a tremendous potential in Hyderabad property market. The foremost factor for India growth is real estate and its contributing more to India’s GDP. In the same way, Hyderabad real estate is also a great contributor to India’s GDP due to high market growth trend from IT and ITES segment. Meanwhile, the prices of Hyderabad properties are cheaper in comparison to other metropolitan cities. This is considered to be a critical success factor for investors and buyers to prefer Hyderabad for their property needs and requirements. And also, Hyderabad real estate is also witnessing an upward trend in capital and rental values.
Growth drivers
The key growth drivers of Hyderabad Property market are:
Hyderabad has grown to be the most preferred residential real estate investment hub. The growth of SEZs, industrial parks and international airport are favoring the residential real estate market in the city. Hyderabad residential property values are growing at a rate of 10 per cent. Source: Incubate Professional Services.
The prime Hyderabad residential areas are Banjara Hills, Jubilee Hills and Hi-Tech City and developing ones are Gachibowli, Madhapur, Kondapur, Kukatpally, Miyapur, Medchal, White Fields and Kondapur.
Property values
Source: Brix Research
Commercial Real Estate
The growth of large number of IT/ITES companies boosts the commercial real estate sector in the city. A huge chunk of land availability, high disposable incomes, higher affordability, favorable policies and government support make Hyderabad an emerging and attractive destination for commercial real estate development in recent years. During FY2008 and FY 2009, there will be a requirement of about 5 million sq.ft. Thus, Hyderabad commercial realty has a huge potential to grow and offers above average return on investment to both the investors and buyers.
Road Ahead
There is a huge growth from various industries like Bio-Tech, Retail, Entertainment and Hospitality industries has created a more demand for residential and commercial spaces in the city.
It has 40 IT SEZs and is expected to reach US$ 7 billion during 2008 -09. Hyderabad is expected to occupy about 21 million sq.ft i.e. 30 per cent of the total expected office space in India. There are plans for a mass rapid transit system, malls and multiplexes construction which makes Hyderabad property market to be the hottest among other cities in India.