Despite over all sluggishness in the real estate market has improved over the last one year, the demand since then has not seen any significant growth.
Real estate circles had then attributed the fresh interest in Visakhapatnam to the announcement of its development as smart city as soon as it hit the headlines.
“Now the demand for housing has been steady. Maybe it is good for some now and good elsewhere last month,” says a leading builder. He sees it as a local demand with the middle class now moving to the fast developing areas like Endada and Madhurawada.
With the rates shooting through the roof in the city proper the obvious choice for the middle class for affordable housing is the outskirts. Interestingly, he compares it to the scenario a few years ago when the middle class employees’ section has been able to purchase flats in the city.
That speaks for the pressure on the land in the core areas of the city and the purchasing power of the middle class just not able to aspire for properties there.
With real estate appreciating all over the State the big city syndrome that characterised investments till a few years ago seems to have been giving way to local preferences.
That’s how Visakhapatnam, Vijayawada and Hyderabad are seen as investment destinations, says Confederation of Real Estate Developers Associations of India Visakhapatnam Chairman K. Rama Krishna Rao.
But to spur more interest from outside something big has to happen.
“One year after the new government came in and after bifurcation of the State people are cautious.
Though so many new programmes have been announced people in general and investors in particular are looking for visible signs of development of such facilities,” he says.
(Reporting by
G.V. Prasada Sarma)
