Hyderabad's real estate sector has seen it all: from being the most sought place for developers to a long period of lull, owing to political turmoil. Now, it is again on a comeback trail. The United Progressive Alliance government's decision to carve out Telangana and make Hyderabad a joint capital for 10 years can be seen favouring the property market of this metropolis once again.
Interestingly, the residential capital values in Hyderabad are comparatively lower than of other metropolitan cities. However, with the rapid infrastructure development and resurgence in corporate investments, there is considerable scope for growth.
Kondapur, located in the Cyberabad Information Technology zone, has rapidly grown into a modern business hub. Being close to the bustling business districts of Hitec City and Gachibowli, this micro-market has turned into one of the most preferred locations for residential projects. Buyers prefer this, as it is close to the prime office areas and yet away from city rush.
Kondapur's location has been one of its biggest selling points. Many reputed developers have projects in this region, and there is steady demand from both end-users and investors for homes that are relatively affordable and close to prime locations such as Jubilee Hills. While supply of new residential projects is low at the moment, there is a good stock of residential apartments listed on the resale market. The property values for residential projects here range between Rs 2,800 and 4,800 per sq ft, and year-on-year appreciation has been 5-10 per cent.
The author is associate director - research & real estate intelligence service, JLL India
