The Chennai Metro Rail has become a buzzword not only among people awaiting to commute in the comfort of the air-conditioned trains, but also amidst the real estate sector, which pins its hope on this multi-crore project for a revival. Real estate developers reeling under the pressure of the global recession, confirm that the Metro Rail project has become a determining factor in the escalation of real estate prices in the city.
Land prices around the Chennai Metro Rail project skyrocketed as developers flocked in to invest in these prime locations. Buyers are finding it a lucrative option owing to easy accessibility and development that is expected to take place once the project materialises. “The Metro rail project has given a new lease of life to the real estate sector, which has been experiencing a lull due to the recession. It has generated lot of interest among the developers and buyers. Despite the project being in the initial stages of construction, the land prices have considerably gone up since the works began,” said S Vasudevan, Chairman, Ozonegroup.
With the Metro project connecting places like Chennai Central, EVR Periyar Salai, Vepery, Aminjikarai, Shenoy Nagar, Anna Nagar, Tirumangalam, Koyambedu, Vadapalani, Ashok Nagar Alandur, St. Thomas Mount the land prices in these regions were going up.
“These are already prime areas sought after for both commercial and residential purposes. The services of suburban trains or MRTS are not available in these areas and this has always been a negative factor for developers,” he added. Sohail Sarooshi, member of the Chennai Rail Estate Agents Association (CREAA) said: “Connectivity is a main factor in real estate. The projects on OMR or the six lane IT Corridor failed to be a hit with people, as there are no train services and proper public transportation.”
According to him, there is a big demand for flats and refurbished flats in the city. The developers would focus on where the Metro stations would come up. The project has just begun. “The real estate sector is waiting to get a better picture of the route and the stations of the Metro trains and also the accessibility to these places,” he added.
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