The past year has been nothing less than a roller coaster ride. On the contrary, the real estate markets in North Hyderabad have managed to flourish during a time when a large number of sectors were struggling to cope with declining sales.
Bestowed with an amalgamation of different cultures, the rising boom of IT/ITES companies, and an influx of a number of manufacturing companies, Hyderabad - the city of Nizams has come a long way. The city is close to overtaking Bengaluru in terms of population growth, per capita income, real estate developments, and GSDP.
Hyderabad has witnessed a resilient real estate market despite the nationwide lockdown in the year 2020,. Not just that, it is considered a preferred investment destination of the country, which is why the western part of Hyderabad has been saturated to a greater extent. This, in turn, paved way for a significant real estate investment spur in North Hyderabad.
Here’s a closer look at some emerging localities of North Hyderabad
Price Trends in the Year 2020
|Localities||Per Sq. Ft. Values (₹)||% change in capital values in 2020|
Residential Spaces Supply - As per Property Type in the Year 2020
North Hyderabad witnessed a higher supply of independent floors in comparison to villas, apartments, plots, and builder floors.
Supply of Residential Spaces - As Per Budget in the Year 2020
The trend suggests that most of the builders launched affordable projects in the price range of ₹30 to 60 Lakhs. This shows that homebuyers have shown an inclination towards budget properties in comparison to high-end properties.
Supply of Residential Spaces - According to the BHK-Type in the Year 2020
The above graph suggests that demand for 2 BHK properties witnessed a significant spike in the past year.
Out of all new developer launches, 35% of the launches happened in North Hyderabad in the year 2020.
Here, we have chalked out the possible factors behind realtors’ growing inclination towards North Hyderabad.
Upcoming Construction Projects
Chief Minister K Chandrashekhar Rao hinted at the possibility of an airport construction in Shamirpet heralding the beginning of a transformation in the real estate investment scenario. This resulted in a major spur in development and land prices in Siddipet.
The construction of Ranganayak Sagar, Mallanna Sagar, and Kondpochamma irrigation projects - one of the possible reasons behind the spike in land prices in Siddipet.
With the number of employees rapidly increasing in the pharma city, residential and commercial spaces attract massive investments in Genome Valley around Shamirpet.
Genome Valley 2.0
The proposed plan of Genome Valley 2.0 includes hundreds of Biotech and Pharma companies. This leads the way for employment opportunities and infrastructure development.
Warehouses of E-Commerce Giants in North Hyderabad
North Hyderabad enjoyed a surge in demand for residential and commercial spaces when Indian Housing Sector was dented with the growing liquidity crunch. E-commerce giants plan to set up their warehouses in Kompally and surrounding areas of Medchal Highway in North Hyderabad. The continued upswing in the demand for warehouses catapulted an appreciation in the land prices during the COVID-induced lockdown.
Uptick in Demand in Peripheral Areas of North Hyderabad
The economic instability caused by the pandemic has made home buyers restrict and reduce their budget. Hence, home buyers are shifting to the peripheral areas of the city in search of spacious living space. The North-Western peripheral areas are widely preferred because of the high employment ratio, infrastructure initiatives, and metro connectivity.
A Flourishing Social Infrastructure
Localities like Kukatapally in North Hyderabad are seamlessly connected to IT Hubs - Madhapur, Gachibowli and Hitec City. The Hyderabad Metro Red Line further enhances the connectivity of Miyapur with Ameerpet. North Hyderabad also enjoys superb rail and road connectivity via JNTU Road, Mumbai Highway and Hitec City MMTS Station.
TS-bPASS and TS-iPASS – The Notable Reforms
The TS-bPASS Act (Telangana State Building Permission Approval and Self Certification System) offers quick approval for buildings in plots ranging between 75 to 600 Square Yards. The building permission copies are given post the self-certification provided by the individuals. This single window reform facilitates easy permission for construction activities. However, TS-iPASS Act (Telangana State Industrial Project Approval and Self Certification System) grants all departments and entrepreneurs the right to clearance with respect to establishing/operating an Enterprise. Developers believe such progressive policies and reforms are like a dream come true. While the real estate sector in Hyderabad has registered an excellent recovery in comparison to other states, the reforms introduced by Telangana Government have definitely paced up the recovery in the real estate sector in Hyderabad,
The vast influx of professionals, the increase in demand, single window reform facilities, a robust social infrastructure and a favourable investment environment have made real estate developers set eyes on North Hyderabad and this growth trend is expected to continue.