Home to many corporate houses, this stretch of the Outer Ring Road holds promise of good growth resulting in high capital value appreciation and rental returns.
The approximately 14-km stretch of the Outer Ring Road (ORR) connecting Marathahalli and HSR Layout has turned out to be one of the busiest commercial destinations in the city. With a concentration of large tech parks and ITITeS Special Economic Zones (SEZs) in this belt, it has emerged as one of the prominent residential property markets in the east south.
While many first-time buyers are looking at new residential locations around this stretch to stay close to workplaces, with access to good social infrastructure, these areas work well for investors too, with their ability to draw those looking for a home close by. This ensures good capital appreciation and assured rental yields.
Locations to consider for investors
According to Idirees Chenakkal, Head Research and Consulting, L J Hooker India, investors should consider two and three bedroom apartments as the location is potential for good rental income as well as capital value appreciation.
"Investors can consider properties coming upon along Panathur Main Road and Doddakanelli-Kadubeesanahalli Road. These are two of the most potential locations in this belt. The main factor that fuels the growth of these localities is the easy accessibility from the Central Business District (CBD) and major IT hubs such as Whitefield, Sarjapur Road and the ORR," he says.
On locations and price range that investors should target in this belt, Naveen Nandwani, Executive Director, Cushman and Wakefield, explains, "Sarjapur Road, Panathur Road, Hosa Road and Haralur Road are some of the primary locations where new residential development is visible along this belt. At least 24,000 apartment units are currently under construction, with a majority comprising the mid-segment. Close proximity to office locations along the ORR and Sarjapur is an advantage. Further, office spaces located in Whitefield and Electronics City are easily accessible via Varthur Road and Hosur Road respectively. The northern section of the ORR is linked to the airport via K R Puram, Hebbal and Yelahanka."
The ORR offers enhanced connectivity to key destinations (both residential and commercial) in the city. "Additionally, this belt has good social infrastructure, including education institutions, malls, hospitals, and restaurants, within a 2-km radius of the ORR. The capital values in this market have witnessed an appreciation of 5-10 percent over the last one year, which makes it attractive for both investors and end-users," Naveen says.
Configuration and pricing
According to data with Cushman and Wakefield, residential options are primarily located on Sarjapur Road, Hosa Road, Haralur Road and Panathur Road. Most of the mid-segment apartment units are available in two-bedroom and three-bedroom configurations with an average unit size of 1,000-1,500 sqft and 1,300-1,800 sqft respectively. Overall, the average capital values in the belt range between Rs 4,200-6,300 per sqft for mid-segment apartment units.
Long-term market potential
HSR Layout-Marathahalli stretch of the ORR has evolved into a preferred residential belt owing to its well-developed infrastructure, efficient connectivity to different parts of the city, and proximity to education institutions, shopping malls, restaurants, hospitals and bus terminals, and hence holds good growth potential.
Satish B N, Executive Director South, Knight Frank India, points out, "The proposed 15-km elevated corridor connecting Central Silk Board junction to Jayamahal Road is envisaged to ease the traffic flow between north and south Bengaluru. This will also facilitate a much faster commute to the international airport. The residential markets along this belt will continue to witness demand for housing in the coming years, primarily owing to the growth of the IT sector in the region, good social infrastructure and connectivity."
Source - TOI
No comments:
Post a Comment