Tamil Nadu/Kerala

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.