Gurgaon, which is slated to become the hub of all real estate activity in the months to come, is going to be the leader in the resurgence of real estate in the country. This is evident from the peaking of the property prices in Gurgaon through 2011 and 2012 right up to the present in 2013. This article traces the rising popularity of Gurgaon as a preferred destination in the north. The main factors that are responsible for the rising popularity have been mentioned below. All in all, this region has a bright future in the present real estate scenario.
The primary factors responsible for the resurgence of this region are its excellent infrastructure, good connectivity and proximity to the national capital, Gurgaon, NCR. The government on its part is also taking steps to promote Gurgaon as the future growth engine of the country. It is resorting to the public private partnership model to announce fresh infrastructure projects in the region and thus improve the quality of life of people staying here. The contribution of both the public and the private sector in the growth of the real estate market in NCR, Gurgaon is slated to create a revolution in the region.
The popularity of NCR as an investment destination can be determined by the emergence of Connaught Place as the fourth costliest commercial office market in the world. The rise in rental values by approximately 20% over the last one year due to lack of availability of quality space both for commercial and residential space is a silent testimony to the growing popularity of this region in the resurgence of the Indian Real Estate Market. Although, vacancy levels have increased just by 24.3%, there is a corresponding increase in rental values by 8-10%. These rental values are expected to remain stable what with new vacancies being created.
However, the new and upcoming growth corridors along Gurgaon and Noida like the Yamuna expressway, Noida expressway, Dwarka expressway have recorded a tremendous increase of residential activity in the past few months. Home sales across the major markets in the country between January and March 2013 rose as compared to the last quarter of 2012. This is despite the slowing down of the demand for new homes for the third consecutive quarter, as per Bank of America Merill Lynch report. However this slowdown had no effect on the prices in the region. This is solely due to the good future potential of this region.