Sector emerges as new engine of growth; 91% rise in buyers: Report
Published Date – 25 May 2023, 08:00 AM
Hyderabad: As a result of the state government’s efforts aimed at decongesting Hyderabad by spreading development in all directions of the city, changes, albeit subtle, are being witnessed in the real estate dynamics.
The ambitious Look East Policy (LEAP) spearheaded by MA&UD Minister KT Rama Rao is now becoming a reality, with East Hyderabad emerging as a new engine of growth for real estate investors.
According to a recent report by real estate platform NoBroker, the IT hub located near East Hyderabad is already home to major companies such as Tech Mahindra and TCS, making it an attractive destination for investors. Moreover, the appeal of the region goes beyond the IT sector, as several pharma companies are also setting up their businesses in the region.
The report estimates that the government’s development plans, which involve development of 14,000 acres in the first phase and an additional 5,000 acres in the second phase, will create an estimated 3.5 lakh jobs, further boosting the growth of the real estate market.
Data from NoBroker shows that buyers looking to purchase property in the region during 2023 have increased by almost 91 per cent as compared to the previous year. Over 50 new projects have been launched recently in the top localities of Uppal, Nagole, LB Nagar and Pocharam, establishing this part of the city as a real estate hotspot.
Moreover, high net worth individuals (HNIs) are showing keen interest in commercial properties in these locations. NoBroker claims to have witnessed an 80 per cent rise in queries related to commercial properties by HNIs during FY23 as compared to the previous year.
“HNIs are mainly looking to invest in multi-purpose commercial buildings that can house small offices, clinics, showrooms and restaurants,” Amit Agarwal, CEO and co-founder, NoBroker.com, told Telangana Today.
It is this mix of interested buyers that is fuelling the rise in demand for properties in East Hyderabad. Amit Agarwal said investors are recognising the investment potential in the region and first-time buyers are attracted by the more affordable cost of living and excellent connectivity compared to other parts of the city.
One of the key advantages driving the growth of East Hyderabad is its high occupancy rate. NoBroker estimates show that the occupancy rate in East Hyderabad is generally a commendable 85 per cent. This reflects the attractiveness of these parts of the city as a residential and business destination, with people actively seeking to live and work in the area.