Hyderabad all set on growth trajectory again HYDERABAD: Hyderabad is ranked third in the Liveability Index 2013 after Mumbai and Chennai. The Liveability Index gauges quality of life based on many critical parameters essential for citizens. The cost of living is also lower in Hyderabad compared to cities such as Pune and Chennai.
In a bid to improve the brand value of Hyderabad and enhance its growth trajectory, Jones Lang LaSalle (JLL), a professional services firm in the real estate, released 'White Paper', a comprehensive study on the real estate sector in the city, during the 5th TREDA Property Show 2014 on Friday.
The study touches upon all aspects of the real estate industry such as housing, office space, malls, retail hubs, manufacturing and the key infrastructure developments in the city. It also chalked out a road map of development to bring about growth trajectory of Hyderabad by 2022.
'Almost half of the population of Hyderabad is workforce and the city population has been witnessing an annual growth of 3.3 per cent. Although Hyderabad has faced many challenges that hindered its growth for the past few years due to the global financial crisis and political uncertainty, it is now slowly setting its path towards growth again,' the study stated.
'Hyderabad has all the qualities needed for strong development. All it needs at this point of time is an improvement in business and investor confidence in the city. Proactive support from the state government can bring back investor confidence into the city and give a push to the development,' the study pointed out.
When it comes to housing, it revealed that the residential sector was one of the worst hit realty sectors by political instability of the past few years. While other Indian metro cities witnessed improvement in demand and appreciation in residential units' prices from 2010 onwards, Hyderabad struggled to recover due to political instability.
However, after the formation of a new state, it is likely that prices are going to look up, with increase in demand with more employment opportunities in the city.
'New developments such as the Information Technology Investment Region (ITIR), Pharma City and the Education Hub, are being planned for the city. These developments are expected to improve the employment opportunities in the city.
Moreover, with the increase in demand and the improvement of infrastructure, the prices of residential units in Hyderabad are likely to double by 2022,' the study revealed.
Also shedding light on office spaces, it stated that the demand for office space in Hyderabad can be improved by attracting new companies in the city by sorting out infrastructure challenges such as availability of adequate power supply, improving public transport, etc.
'Once operational, new developments such as the ITIR are likely to increase office space demand and supply in the city by attracting IT investments.
Apart from this, Hyderabad is likely to witness another 32 million sq ft of new office space supply by 2022. Rents and capital values are also likely to appreciate at the rate of 5 per cent annually,' the study stated.
When it comes to malls, the study revealed that by 2022, Hyderabad shall require a mall space of about 8-10 million sq ft out of which about 5 million sq ft of malls are already under planning.
It also revealed key infrastructure developments in the city such as Airports, ORRs, PVNR Expressway, MMTS and Hyderabad Metro Rail, among others.
News Posted: 19 October, 2014
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