Improved Infrastructure may resuscitate Bengaluru’s Realty Market

Admin August 16, 2016, 18:14 PM Bengaluru Infrastructure
 infrastructure development in bangalore to lessen the traffic in and around bangalore

Infrastructure projects, whether proposed or ongoing, plays a vital role in ameliorating the economy of a city. Bengaluru is one of the cities that has been witnessing sound development for the past few years. The fast-paced developments have benefitted the potential of nearby residential pockets in terms of growing capital and rental values. Though the city has not witnessed any substantial growth in the last few quarters and housing prices have rather plateaued or declined, realty stalwarts believe that constant infrastructure achievements in the form of connectivity links mentioned above would help the market revive fast. These upgrades would particularly help the office space and commercial hubs in the city by reducing the travel time, thus, increasing the housing demand in the neighboring belts.

The infrastructure upgrades improve the intra-city connectivity and rapid transport system such as metro. The metro rail services provide swift access to different parts of the city. This swift and improved connectivity links impact both capital and rental values of the localities falling in the impact zone. For instance, Sarjapur road, is still bearing the fruits of the first phase of metro.

Following are the infrastructure projects that are expected to impact capital and rental potential in various micro-markets of Bengaluru:

  • Bengaluru-Chennai six-lane expressway
    Biggest expressways connecting banaglore to chennai and constructed by national highways authority of india for bettering infrastructure in india

    Construction of the proposed six-lane Bengaluru-Chennai expressway is one of the biggest projects in the city. The 260 km expressway will be constructed by NHAI (National Highways Authority of India) to reduce travel time, save fuel and trigger economic growth. The stretch having six lanes will connect Hoskote to Sriperumbudur. Several industries have already planned up their operations near Banavaram. Realtors too are investing in places near Walajapet due to their close proximity to the industrial hubs on the upcoming expressway.
    The stretch has already started garnering eyeballs of international players. A few Japanese real estate companies such as Nippon Expressway Limited have conducted detailed studies on an area like Panniyur and Keezhveeranam village and encouraged investors to focus on these areas.

  • North-South Metro corridor
    residential areas witnessing increase in capital and rental values Metro connectivity include Nagarbhavi, CV Raman Nagar, Magadi Road and Shivaji Nagar

    One of the major infrastructure projects in the city is the 23 km long North-South Metro corridor, connecting Nagasandra and Puttenahalli. The 13 km route from Mantri square to Sampige road to Nagasandra is currently operational but the underground route from Chickpet towards Kempegowda interchange station is under-construction. However, the city will see the prolongation of Phase-I of Namma Metro and the construction of Phase-II in the years to come. The North-South Metro corridor that comes under Phase-I is expected to be completed by the end of 2016, while the construction of Phase-II is scheduled to get completed by the year 2018. Some of the major residential areas that are already witnessing an increase in their capital and rental values on the back of Metro connectivity include Nagarbhavi, CV Raman Nagar, Magadi Road and Shivaji Nagar.

  • Peripheral Ring Road (PRR)
    Fast paced construction of commercial and residential projects on nice road connecting Bangalore and mysore

    In order to cater to the persistent issues of traffic congestion on the Outer Ring Road (ORR) and the other main road networks in the city, a Peripheral Ring Road (PRP) is planned outside the ORR. This road will connect Tumkur Road with Hosur Road due to which city’s traffic will reduce.This stretch will not only improve the connectivity of areas beyond ORR, but will also ease the congestion on the ORR. The PRR will connect main highways and the district roads from Hosur Road, Old Madras Road, Mysore Road and Tumkur Road.

  • Sarjapur Outer Ring Road
    Peripheral Ring Road will connect main highways and the district roads from Hosur Road Old Madras Road Mysore Road and Tumkur Road

    Due to Sarjapur’s connectivity to the IT centres and its strategic location along the ORR, it is one of the most prospering commercial and residential destination in the city of Bengaluru. The stretch of Sarjapur originates from the ORR intersection and spreads up to Sarjapur Town. However, traffic jams at iblur junction are very common. Daily commuters have to face this traffic problem while coming from or going towards Sarjapur. The development authority has planned to broaden the Sarjapur Outer Ring Road and to further connect it with the proposed PRR.

Improving connectivity is a mark of an economically viable city, opening up new places for office, commercial, retail and residential expansion. With so many connectivity links under construction in Bengaluru, the city is expected to perform well on ROI charts in the time to come. Currently, however, it first needs to cater to the issue of demand supply gap that is plaguing its growth prospect.

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