Indore Real Estate
Real Estate Developments in Indore
A 47% increase in population over the last decade has created an annual demand for 1,00,000 apartments in Indore, and almost 20 integrated townships are in the process of construction or in the planning stages to meet the need for homes.
Indore’s MG Road houses the city’s banking, insurance and telecom companies, and AB Road is emerging as the new business district. The eastern fringes of Indore near the bypass have witnessed brisk construction activity from established real estate houses like Satya, Ansals, Parsvnath and Omaxe, speculating on the IT SEZ and the proposed international airport in the vicinity.
The city’s innate prosperity has fuelled the consumer and real estate boom which crept in with the liberalisation wave in the 1990s. Traditional markets are sharing their popularity with shopping malls which have sprung up in the heart of Indore near the up market neighbourhoods of Palasia, Race Course, Saket and Gulmohar. Tapping new locations like Vijaynagar and MR 10, new mall complexes are also emerging. Treasure Island, Mangal City, Orbit-the real mall, Mega Mall and Cine Mall have added an interesting variant to the shopping experience in Indore.
K Raheja Developers of Mumbai are developing a hypermarket on 11 acres near the bypass. Knight Frank has projected Indore’s retail market to cover 3 million sq ft from the existing 0.86 million sq ft with 4-5 malls being added to the city by 2009.
Land prices have shot past realistic levels, growing up to 300 times in some locations. Matching the rates of metros and Tier I cities, NTC’s defunct property measuring 3.12 acres fetched Rs.90 crore recently. Land rates in Indore presently range between Rs 30 lakh to Rs 1 crore an acre, depending on the location.
Capital values of commercial property in Indore are around Rs.5000 to Rs.5,500 per sq. ft, having doubled over the last 12-18 months. Rentals are charged at a rate of Rs.20 to Rs.22 per sq. ft per month.Retail spaces in Indore could cost anywhere between Rs.40 to Rs.80 per sq.ft per month on M.G.Road. Prices of apartments in Indore have risen from Rs.1012 – 1350 at the upper end of the market since 2005 to Rs.1300- Rs.2000 per sq. ft by June 2007.
NRI Real Estate Trends in Indore
For NRI investors seeking quick capital appreciation, properties in Indore are a good avenue for investment.
EWDL is also planning a 100 acre township at Bijalpur, off the main Agra-Bombay National Highway. The 89 acre Omaxe City at Mayakhari on NH-3, Agra-Bombay bypass will develop a range of homes, from duplex villas and independent floors to terrace apartments in a township equipped with recreational and wellness facilities. With the average rate of apartments ranging from Rs. 1,200 to Rs.1, 500 per sq ft, three bedroom flats are priced around Rs 22 lakh. Sporting a contemporary look, it offers unique recreational facilities and an open, green cover using environment friendly water and waste management systems.
Sahara India Infrastructure and Housing and Suncity have also pitched for Indore with township projects. Sahara City Homes on the bypass at Bicholi Mardana on 89 acres of and Suncity over 150 acres on the Agra-Bombay bypass will incorporate commercial spaces, hotels and shopping centres within their townships.