‘Housing market set for positive growth in city’

Exhibitors explaining about housing project to visitors at CREDAI property fair in Tiruchi on Friday. Photo: A. Muralitharan

Although the economic slowdown has resulted in poor demand for housing properties in the city last year, there are signs that the market is on the road to revival, say members of the Tiruchi chapter of Confederation of Real Estate Developers (CREDAI).

“It is true that demand was lukewarm last year due to the overall economic slowdown. But there have been good enquiries of late, which we expect will translate into positive growth for the sector during 2014,” says T.V.Murali, president, CREDAI, Tiruchi.

CREDAI is seeking to give a push to the market hosting an exhibition of housing properties, Fairpro-2014, for the first time in the city. Fairpro exhibitions were so far organised only in Chennai and Coimbatore and the Tiruchi Chapter of CREDAI plans to make it an annual event henceforth.

A tier-II city with good connectivity, adequate drinking water sources, and good educational infrastructure, Tiruchi, however, has largely been free from speculations and hence land prices have held steady over the past couple of years. “Tiruchi is not an investor’s destination, but largely a market for end-users. There is a good demand for affordable housing in the range of Rs.40 to Rs.50 lakhs. Currently properties are being developed at a total investment of about Rs.500 crore in the city,” observes Mr.Murali.

About 30 property developers, apart from banks, are participating in the expo, providing a bird’s eye view on over 75 on-going and upcoming projects in the city. Those seeking to purchase house properties can get comprehensive information on properties ranging from Rs.15 lakhs to Rs.2 crore. Developers are offering two to three per cent discounts at the expo, according to the organisers. “We are expecting enquiries from genuine prospective buyers to convert into bookings over the next six months. Although there was a slowdown in the market forcing promoters to reduce supply, there are indications that demand would pick up over the next few months,” said B.Senthil Kumar, Secretary, CREDAI, Tiruchi.

The expo, which was declared open on Friday by Corporation Commissioner V.P.Thandapani, will be open from 10 a.m. to 8 p.m. at Hotel Sangam till Sunday.