Tamilnadu
is located in the most Southern part of India. The coastal area of this
state is surrounded by two water bodies. In the east of this state, there is
The Bay of Bengal and towards the South, there is The Indian ocean. This is
the only state in India, which receives rain during the Winter season. The
capital city of Tamilnadu is Chennai. Other major cities and towns of
Tamilnadu are Coimbatore, Erode, Hosur, Kanchipuram, Karaikal, Madurai,
Ooty, Nilgiris, Vellore, Tiruvallu, Perambalur, Shivaganga, Salem,
Tiruchirapalli etc.
Real estate scenario
The real estate industry of Tamilnadu is flourishing in the eve of upcoming
developments and foray of new real estate builders in the state market.
Different type of new industries both from domestic market and foreign
market either have started their businesses in this state or are going to
set up their business units in different parts of Tamilnadu. The reason is
that here the potential of property sector expansion is very high. The
prices of the residential, commercial and industrial spaces are rising very
rapidly. The price of the residential lands has become so high during last
few years that it becomes very tough for the common people to buy
residential plots for themselves.
Chennai is the city in Tamilnadu, where the effect of real estate price
appreciation is maximum. Even though, people of Tamilnadu and from other
places investing their money for residential spaces as they hope that the
price of their plots will be largely appreciated in the near future and
their thinking is also correct. As a result of this much appreciation in the
cost of residential real estate, other two real estates, namely the
residential and industrial real estate are also being appreciated. To
cultivate the benefit from this recent trend of Tamilnadu's real estate
industry, many construction companies and real estate builders are entering
in the states real estate market.
Commercial Real Estate
The mushrooming of BPOs and IT industries is believed to be the driver of
the commercial real estate market of the entire Tamilnadu state.
Consequently, this trend is also increasing the demand of residential as
well as commercial real estates in a rapid way. Chennai and other major
cities and towns of this state are feeling the thrive of booming real estate
every now and then. The capital city of Tamilnadu state, Chennai is going to
receive a bulk commercial space of 12 million sq ft. Out of this entire
supply of commercial space, about 10 million sq ft space will be utilized
for the central and suburban locations of the city. Some recognized and
organized retail players of India and abroad, like Spencer Plaza, Shopper
Stop, West Side, Globus, Landmark etc are showing immense interests in
opening and operation big malls in some selective cities and towns of
Tamilnadu. Madurai has emerged as one of the fastest developing town in
Tamilnadu in commercial real estate sector within last couple of years. The
basic reason is due to the establishment of big IT projects and other
industrial projects here.
Residential Real Estate
With the trend of rapid urbanization and faster growth of industrialization
in different parts of Tamilnadu, the rate of residential spaces are floating
up. A lot of residential projects, which either have been completed or are
in the ongoing process, have made different towns of this state as lucrative
destinations for the property buyers. To attract more and more common
people, the real estate developers are also giving some additional
facilities to them along with the fundamental amenities . These additional
facilities include health clubs, swimming pools etc. Another segment of
residential real estate, which is passing through the flourishing phase in
Tamilnadu, is the retail residential real estate. People are investing their
money in this retail sector with the hope of getting a handsome return in
the coming future.
Industrial Real Estate
With the progressive condition of industrialization in Tamilnadu state, it
is becoming an attractive destination of FDI in India.. The suburban areas
of Chennai city including Old Mahabalipuram Road, Perungudi and Guindy are
expecting to become fast flourishing IT destinations. Madurai is the second
fastest growing city in Tamilnadu in term of industrial real estate growth.
Major IT companies are showing much more interest in building IT businesses
in this particular town.
Role of NRIs in the Real Estate Industry of Tamilnadu
Few years back, Tamilnadu was considered not as an attractive destination
for the NRIs in term of investment in real estate, but the trend has been
changed drastically in the recent period. Especially, this changing trend is
more prominent in the residential real estate. NRIs from different countries
are continuously investing funds in residential real estate and in other
real estates also. The reasons for this increasing demand of real estate to
the NRIs are: the political condition is conducive here, the state
government has been playing a supportive role in this sector, the investment
made in other industrial sectors by different companies is also good, rapid
urbanization etc.
Future Real Estate Trend in Tamilnadu
Many residential real estate projects are waiting to be completed in
different parts of Tamilnadu. Hopefully, within next few years all these
residential projects will be completed in this state and consequently, these
will lead down a new paradigm shift in the history of the state's real
estate industry. Some of the burning examples of upcoming residential real
estate projects of the state are: The Vijay Shanthi Group has offered a
project which comprises of 15 apartments and each apartment will take a cost
of Rs. 40.25 million. The proposed location of this project will be in South
Chennei.
The Alliance Group is emerging in the booming market of real estate with a
project of 300 villas in the western part of Chennei. The approximate cost
of all these villas will be around of Rs 6 million to Rs. 50 million.
Introduction of Kerala
Like Tamilnadu, Kerala is also situated in the Southern part of India. It
is situated in the Western coast of India. The climate of the state is hot
and humid. The sea coast of this state is formed by The Arabian sea and by
The Indian ocean. Thiruvananthapuram is the capital city of Kerala. Other
important cities/towns of Kerala are Kochi, Kozhikode, Alleppy, Idukki,
Kottayam, Palakkad, Ponnani, Thrissur and Trichur.
Real estate scenario
It has been observed that from last few years, the life style of the
Malayalees has been changing towards the process of modernization. As a
result of this great shifting, the Kerala real estate business is witnessing
many major developments and growth. Getting a definite cue from the ongoing
changing trend in the state, many famous property developers have turned
their attention towards Kerala's real estate industry. They are adding new
innovative transformations in the fundamental structure of the states real
estate industry. The people of this state have better living of standard
rather than the average living of standard of whole nation and they have a
desire to do something best for themselves. To cater these facts, most of
the real estate developers are categorizing their real estate products into
three groups: economical, luxury and premium. While building up of villas
and apartments, the same categorization is applied.
Residential Real Estate
The residential real estate business in passing through a booming phase in
the entire state. The price of the residential spaces in Kerala is also
shooting up rapidly. But, the demand for more residential spaces is also
growing up in the urban areas of this state. Especially in Kadavanthra,
Edappally, Kakkanad, Panampilly Nagar, Thevara etc are the hot places in
respect of residential real estate business. In these places, the demand and
value of residential space is booming up. Multiple residential real estate
projects have already been taken place in these places. For constructing
residential real estate structures, the builders use high qualitative raw
materials. In most of these structures, the presence of granite flooring,
decent bathrooms and modular kitchens is very common.
Industrial Real Estate
Kochi and Thiruvananthapuram are the two hottest destinations for the
growth of Kerala's real estate industry. The recent privatization of
international airport and up-gradation of many seaports of this state, have
opened many windows of new prospects for the industrial real estate. The
growth, which has been taking place in the infrastructural sector of Kerala,
also pushing up the prospect of industrial real estate of this state.
Commercial Real estate
The commercial real estate industry of Kerala is mainly based on the
tourism industry. There are many wonderful tourism destinations, which are
located on the coastal areas of this state. Based on this tourism industry,
several luxurious hotels are opening in Ernakulam, Mararikulam etc. For many
other proposed projects of luxurious hotels, commercial spaces in different
towns of Kerala has already been acquired The commercial real estate
scenario in Kerala has been changing due to the booming industrial sectors
and the arrival of event management companies in this state.
Role of NRIs in Kerala's Real Estate
Like in some other states of India, in Kerala also, the role played by the
NRIs is very significant. They are investing their money in different
projects of real estate. They are mainly concentrating on those projects,
which are concerned to residential apartments and complexes. They are also
showing great interests on such projects, which are related to the tourism
industry of the state.
Future Trend of Real Estate in Kerala
The various real estate builders in the state are fully dedicated of offer
exclusive range of residential apartments and commercial infrastructures to
the Keralites. The upcoming commercial projects of multi-star hotels will
comprise of versatile facilities, like landscaped gardens, parking
facilities, high-speed lifts, health clubs, swimming pools etc. these
builders are also focusing on qualitative aspect of constructions.
The future investment in the state's real estate is very promising from
returns point of view. In the world of real estate, Kerala is emerging as a
powerful place of real estate investment. This emergence is enticing the
potential investors from every respect of life.
FDI
in Real Estate
Selling
Property