HYDERABAD: The impact of Hyderabad Metro rail is already being felt by the real estate sector in the capital city which has a young workforce. While the Metro rail is expected to ease the congestion on roads, it is also encouraging people to buy houses in areas which are away from the IT Zone and along the metro corridor. There is an increase in real estate activity in the residential space along the metro corridor, especially if the land is located within the walking distance of the metro station. The first escalation of real estate prices in these areas was seen when the pillars were first constructed.
However, with the date of commencement of Metro rail operations nearing, there is a marked increase in real estate prices in the metro rail corridor. According to Former National President of Confederation of Real Estate Developers Association of India (CREDAI), Mr C Shekar Reddy, “Real estate in Hyderabad will soon be classified as ‘before and after metro’. With Metro connectivity, people are eyeing affordable housing options away from the IT region towards the Northern and Eastern part of Hyderabad.”
The building of apartment complexes has started in a big way along the corridor and it is expected that land prices will rise and so will the density of people along the Metro Rail corridor, Mr Reddy said. Meanwhile, since the availability of land around the metro corridor is relatively le-ss, realtors are suggesting a change in the Transit Oriented Deve-lopment (TOD) policy. TOD allows people to live within walking or cycling distance from transit corridors like the Metro Rail.
As densification along the corridor will increase, the government should revise the policy that promotes high-rise housing in the areas closer to the metro station, to meet the demand and supply needs, suggested Mr Reddy. On the other hand, the impact of metro rail on leasing apartments is already being felt. Landlords with houses and apartments along the metro corridor have started increasing rents. Mr. P.Sharma resident of Nagole was taken aback when his landlord suddenly sought a hike in the rent of his 2BHK apartment.
This surge was observed in Ameerpet area as well. A resident Mr. K. Srinivas said, "It's not just my apartment, but even my neighbours were informed about the increase in rent. We knew there would be some rise after metro starts but did not anticipate this to happen so soon." According to Mr.Reddy, it is natural that the rent of apartments will see an upward swing after metro rail starts operations. While the city might witness a uniform change, experts are predicting even more realty activity once metro commences operations. Retailers will flourish due to the floating population, said Mr. Reddy.
