Belapur realty prices on the upswing

Abandoned plots, held-back construction and unoccupied buildings has been the usual scene in Belapur (Navi Mumbai)since the mid-90s.

Almost two decades back, development of Navi Mumbai was planned as a counter-magnet to decongest Nariman Point. While other areas in Navi Mumbai reaped the development benefits, Belapur remained a laggard.

But the realty scene has gone for a major change now. Since the beginning of 2005, Belapur is seeing a substantial construction boom and property rates have started rising. The area is now catching up fast with other areas in Navi Mumbai which have shown a relatively higher growth.

"Construction in Belapur has risen sharply in the last one year. It is definite that property prices, especially the commercial ones, are going to experience a steep rise by next year," said Anil Bagadia, realty agent in Navi Mumbai.

Since 2000, property prices have risen in areas such as Vashi, Nerul, Panvel and Kharghar, giving a complete miss to Belapur.

According to Bagadia, nearly four years back, commercial property was available in Vashi at around Rs 4,000 per sq ft, in Belapur at Rs 1,000 , in Kharghar at Rs 700 , in Nerul at Rs 1,600 and in Panvel at Rs 1,700.

Now the rates have almost doubled to Rs 2,000-2,500 in Belapur. It is expected to rise further to Rs 5,000-6000 by next year, said the agent.

Most of the plots, termed as commercial, were earlier allotted by the City and Industrial Development Corporation (Cidco), the development agency. However, these plots found no takers till the last year and remained vacant.

"Builders have been asking Cidco to convert these commercial plots into commercial-cum-residential ones. Showing some flexibility, Cidco later agreed, which proved to be a boon for the builders," said Rajesh Prajapati of Prajapati Construction and president of Builders Association of Navi Mumbai.

Due to poor response and crashing prices earlier, most of the projects in Belapur were not completed. The delay invited penalty from Cidco. But later, the penalty was reduced so as to kickstart construction in the area.

"The penalty imposed by Cidco has been reduced substantially and the property tax too has been cut. These positive measures indeed have helped builders in Belapur in a big way," said Prajapati.

But why has Belapur witnessed such a huge surge in construction activities since the last year?

According to Prajapati, "With Palm Beach Marg giving direct and easy access to Belapur from Vashi, the travelling time has come down considerably. Belapur is fast turning into a desirable destination."

Other builders and agents pointed out that the Sewri-Uran sea link has its entry point at Belapur, and it has attracted corporate interest.

Out of the 21 sectors developed in Belapur, 5 are solely meant for commercial purposes. There are 86 buildings in those 5 sectors with an occupancy rate of 30 per cent. Another 24 new commercial complexes are also coming up which are expected to be completed by the next year.

Apart from 1,400 residential complexes with an occupancy rate of 80 per cent, another 100 are under construction now. These new complexes will be commercial-cum-residential ones.