Bangalore:
With the inauguration date of the Metro Reach I inching closer, rates of properties along the 6.7-km stretch of the mass transit system have shot up significantly, much to the pleasant surprise of realtors.
According to real estate experts, the metro project has jacked up rates by at least 20 per cent from Rs 7,000 per square feet to Rs 8,500 in the past.
When the demand for properties -- land, office space and even residential space -- along the stretch between MG Road and Byppanahalli has increased manifold, experts say, there are fewer plots or premises on offer.
"The demand has shot up dramatically, we are completely baffled. Though we had heard of success stories of realtors benefitting from Metros in other cities, little did we know the Metro project will jack up the property rates here too. With connectivity and convenience topping the priority list of Bangaloreans, they are looking for houses and business premises along the metro route. While the demand has shot up, the supply is still very low.
For, there were a few builders who started their projects on the stretch after the mass transit system was kicked off in 2006," said C M Jagadish, real estate expert, Aaaj Marketing Consulting Pvt. Ltd.
However, those builders who started construction on the stretch anticipating a real estate boom when Metro becomes operational are now reaping the benefits.
Mathew Abraham, Senior DGM (Corporate Communications), Brigade Group, said, "We are reaping the benefits of being the early birds on the Metro route. Now, we have an office property near the MG Road Metro Station and have several other properties along the stretch too. However, all the projects are completed and sold out.
Now, there is no space left to lease out. The prices of land, property, residences and office space are bound to rise on the stretches along Metro Reach 2 and 3 also."
New hot spots
Moreover, areas such as CMH Road, Banaswadi, Kasturinagar, Old Madras Road and Ulsoor, that did not interest realtors a couple of years ago, have suddenly become premium pockets for both commercial and residential properties. "There were shopkeepers and traders along CMH Road who had conducted protests and created a huge hue and cry when the Metro started its work in their area a few years ago. Now, the same shopkeepers are smiling ear to ear as the market value of their area has shot up. They are sure to reap the benefits in a few years to come," said Jagadish.