Enough demand and enough capital, but not enough land to develop enough projects - this has been the scenario of real estate in Surat for the last few years. City developers are looking beyond city limits at Bamroli, Khajod, Sachin, Palsana, Puna Kumbharia Road and Mota Varachha, for residential and commercial projects.
The Surat Municipal Corporation has provided for requisite infrastructure which would help connect these suburbs with the core of the city. Real estate activity has been brisk in Vesu, Piplod, Pal, Adajan and Varachha Road, where prices have appreciated considerably. However, more realistic rates prevail now, as builders in Surat, like the Rajhans group with projects in Mota Varachha and Sarthana Road, Vesu, Piplod and Pal are offering residential projects at affordable rates.
Property developers in Surat are working around costs in Mota Varachha and Sarthana Road. Abama Road, Puna Gam, and the upcoming Kamrej Kadodara cross road are also being scouted by developers for residential projects in Surat.
An attempt is underway to make Surat as the trading hub for diamonds in India, with the upcoming Ichhapore Gems and Jewellery SEZ. Improved infrastructure would put it at par with Mumbai as a diamond trading hub.
Appreciation
Infrastructure is currently weak in the cheaper localities like Bamroli, Khajod, Palsana Road, Puna Kumbharia Road, Dumbhal and Amroli. From an investor’s point of view, it would be an ideal time to pick up property in these areas. The government is determined to strengthen the links and civic amenities of these suburbs, and property prices are expected to appreciate in the long term. Currently rates prevail at 4 lakhs per bigha
At the Surat Economic Zone, capital values are quoted at Rs.4100 per sq. m, whereas rentals are around Rs. 1000 per annum.
NRI Real Estate Trends
Residential Property: Surat’s strong economic base has seen national level real estate developers joining a posse of successful local builders in Surat. Amongst the established local builders, Pooja Corporation has executed a number of residential projects like Aagam Apartments and Row Houses, La Heights, Siddhi Complex, Tower Abrar, Govindji Park and Faruquee.
Sargam, Rishikesh and Oscar are other builders operating in the diamond city, while Sunderdeep builders of Ahmedabad, Krishna Constructions, Vadodara based Ashok Geelani and the Raiyani group are also exploring real estate projects in Surat. Jaybharat Textiles and Sumeet Industries are diversifying into the lucrative real estate market in Surat, as is Infiniti Consulting Corporation of HongKong.
