Monday, 11 February 2013

Residential market grows in Guduvanchery-Thiruporur Road, Chennai


Strategically located on the Grand South Trunk Road (GST), Guduvanchery has always been a preferred a residential location in Chennai owing to its excellent connectivity and immediacy to SEZz. However, the buyers’ focus is now shifting towards the road stretching from Guduvanchery to Thiruporur. This is a result of escalating residential values in the locality owing to increased guideline values along the GST road. Thus, Guduvanchery, once considered amongst the affordable locations of Chennai suburbs, has become relatively expensive now.

The Guducanchery-Thiruporur stretch has been brimming with real estate activity for quite sometime now with pace of construction and sales picking up in the last six months. “Several developers have completed their projects here while others are under construction,” says Abdul Kasim Tariq of Smart Choice Realty, a city based firm. “Nearly 2000 apartments,” continues Tariq, “have come up on this road of which about 1000 are completed while the remaining would be given possession in another 2-3 months.” Some of the developers to have set base here include Lancor Developers, DVS Developers and Sriram Shankari Developers among others.

Demand on this stretch is being driven by the two SEZs. Guduvanchery falls between the Mahindra World City and MEPZ, both located 13-15 km away. “The maximum demand exists for 2BHKs followed by 3BHK units which are available for a price range of Rs 2,400- 3,000 per sq ft,” informs Tariq.

At present the Guduvanchery-Thiruporur road is generating a lot of interest from the investors. Talking about this Tariq says, “Nearly 60 per cent buyers are investors who either invest for long term returns or for rental returns. Only about 30-40 per cent demand comes from the end users.” The stretch has seen an average appreciation of nearly 40 per cent in capital values of projects in the last 2 years thus promising good return on investments. There is also a huge demand for rented units from the professionals working in the SEZs. The rental values vary between Rs 8000-9000 per month for a 2BHK units and it ranges from Rs 10000-12000 per month.