HYDERABAD: In an attempt to boost residential sector in the city, developers are tapping into the non-resident Indian (NRI) market as they feel that it is a lucrative area to attract more investments. Affordable pricing, superior infrastructure and enhancement of the IT industry make Hyderabad an ideal destination for NRI investors, the realtors opine.
“NRIs want cheaper prices when they want to invest and Hyderabad is offering that. Now the commercial office space is improving in the city and in the next six months, office space occupancy will increase and with that investments for residential sector will also increase,” observed Jaiveer Reddy, managing director, Ashoka Developers and Builders.
Developers are also pleased with the steps taken by the state government and feels that a proactive approach from the government will further boost investments in Hyderabad.
“This government is encouraging industry, IT and pharma sectors. They are also focused on generating more power in the next two years.
So far we have about 5,000 MW (MegaWatts), but in the next two years, it is going to increase to 11,000 MW.
If there is no power shortage, more people will be interested to invest in Hyderabad,’’ Jaiveer Reddy reasoned.
Builders opine that the IT sector is encouraging a lot of NRI movement in the city and will further boost the residential sector in the coming months.
“Developers are looking at the NRI market as an attractive area as it is the ideal time for them to invest especially now when the current prices are very low. The prices are going to increase very soon so NRIs can multiply their investments,” expressed Ram Reddy, chairman and managing director, Ram Ark Builders. With global companies like IKEA and Amazon agreeing to set up offices in Hyderabad, realtors predict a surge in the prices.
“IKEA has purchased land for `19.21 crore per acre, a total investment of `500 crore. Nobody has spent such a staggering amount in Hyderabad before, and Amazon is also going to come to Hyderabad. Many other such investments will be coming to the city and this will have an immensely positive impact on the residential sector as well,” Ram Reddy added.
Emphasising on the fact that it is the ideal time for NRIs seeking to invest in the city, realtors cautioned home-buyers not to expect immediate results.
“There has been a 20 per cent increase in prices after the formation of Telangana government, and prices are further expected to increase by another 20 per cent. If they start now, the result will be seen after three years. So this is the perfect time to start purchasing,” added Jaiveer Reddy.
Advantages for NRIs
Affordable prices in residential sector in Hyd
City headed for an IT boom which will have a positive impact on the real estate sector
20 pc rise in prices expected in the next 12 months
Commercial office space has improved, which will have a positive impact on residential sector in the next six months
Global companies IKEA Group and Amazon to set up offices in Hyderabad, which augurs well for the real estate industry