Will Smart Cities change the Investment Landscape in India?
The Smartphone revolution has changed the fabric of Indian cities for good. With a single tap on the screen of your phone, you can just about find, sell, and rent or buy anything. You can pay bills online and even buy groceries, book a cab from an application of your phone. Residents of big cities like Mumbai, Delhi, Bangalore and Gurgaon have paucity of time and fast internet and smartphone have definitely made urban living easy and convenient.
Wide-spread internet access has also facilitated the growth of young entrepreneurs, who are using the medium of World Wide Web to sell homemade food, art, and merchandise among many other things. The way the online world has shaped up the lives of urban centers, the Government of India seeks to develop Smart Cities as part of- Atal Mission for Rejuvenation and Urban Transformation or AMRUT.
Smart cities are conceived on the backdrop of making Indian cities better equipped with good infrastructure and high quality of life. A solid waste management, sanitation and uninterrupted supply of water and power will be the four pillars of smart cities. The city will also have adequate public transport and IT connectivity and e-governance that will facilitate citizen participation towards making cities safe and secured.
The Government has identified at least 98 cities under the proposed scheme including the north-east cities of Kohima, Aizawl, Shillong and Agartala. As a potential investor it’s only natural for your expectation to run high in terms of where to buy property, and how the emerging trends are going to impact the property prices in new and upcoming centers.
The Government is also expected to streamline the real estate sector with the real estate bill being underway. In addition to that, efforts are being made towards the introduction of REIT or the real estate investment trust that will boost investor confidence and permeate the much needed transparency in the real estate market. Keeping these change and trends in mind here are some of the hot destinations from India’s North, South, Central, West and East for property investment in coming years, as some of the top builders in India like Unitech Group, DLF, Oberoi Reality and Raheja Corp. etc. have gear up to forward the cause of smart cities in the country.
Ghaziabad–Laying with close quarters of cities like Delhi and Noida, the Ghaziabad region of NCR has witnessed a “significant real estate activity” last year across three prominent markets along NH-24 namely Rajnagar Extension and Krishna Vihar. Incidentally this is not surprising for many, as Ghaziabad features in the proposed list of smart cities.
Jigani, South Bangalore– Located South of Bangalore, the area has experienced tremendous improvements in recent years. Connected with State Highway 87 and National Highway 7, Jigani is close to important centers in Bangalore such as the Electronic city. It is a sound investment at the moment as the prices of property especially land is reasonable if compared to other parts in the city.
Indore – Indore is one of the major cities in central India that is under the smart city radar. Just recently, the municipal corporation of Indore drafted a plan to raise Rs 7,940 crore for the smart city project. Under the scheme of things, an area of nearly 300 acres of the Indore special economic zone will provide foundation to the proposed smart city. The city is expected to be a self-sufficient town with all the basic amenities and infrastructure.
Since the inception of IIT and IIM in Indore, the city has transformed into a center of higher education. The prospective of jobs in the cities are also expected to increase with companies like Infosys and TCS expecting to set up campuses. In a decade, the city is likely to transform into a major center of business, trade and education in central India.
Rajarhat New Town, Kolkata- In recent years, Rajarhat has picked up a drive in real estate investment, wherein some top builders in India have launched new projects that has escalated the property prices and development in the area. There are several valid reasons why Rajarhat is a favourable investment destination. It enjoys excellent road connectivity Eastern Metropolitan bypass and Belgharia expressway. The place is perfect for both commercial and residential investment and it close to Netaji Subhash Chandra Bose International Airport.
Ahmedabad, Gujrat – One of the major cities in the state of Gujrat, Ahmedabad is already an established trading and business center. The major growth drivers of the city is the Gujarat International Finance Tec-City or GIFT and the proposed metro rail project that will connect affordable parts of the city and reduce travel time to densely populated side of the town. Industry experts reveal that it is perfect time to invest in a house for self- consumption; however, those seeking an investment opportunity should be wary as the prices are not likely to escalate for the next few years.