Bangalore (SBC): The realty market seems to thriving around the metro corridor. The latest to benefit are the suburbs around Peenya-Nagasandra in the north, which are seeing a 15 per cent increase in prices.
Suresh Hari, Secretary, CREDAI, Bengaluru said residential and commercial property prices have risen by around 35 per cent since 2011 while rentals have gone up by around 50 per cent. This rise seems to coincide with the inauguration of each Metro line.
Nearly 15 months ago, Manohar Rao bought a house around one km from Byappanahalli at Rs. 9,500 per sq.ft. “I was able to sell it recently for 12,800 per sq ft,” he said. Along the north-western side, a resident who sold a 1,000 sq ft plot says that proximity to Mahalakshmi Layout Station saw the price rise from Rs. 90 lakh two years ago to Rs. 1.21 crore.
“Prices in Yeshwantpur are range from Rs 6,000-Rs 8,000 per sq ft. These are expected to reach an upper limit of Rs. 10,000 in the next one year,” says Mr. Hari, saying that the “industrial region” is transforming into a commercial and residential region.
Coupled with this, the Floor-Area-Ratio (FAR) in commercial and residential developments around a 3 km radius of metro stations has been increased from 3.2 to 4.
Market expert Shrinivas Rao of Vestian-Global believes prices can go higher. “With value additions, such as parking facilities and last-mile connectivity around stations, one can even expect a 50 per cent increase.”
3 functional Metro lines
– Byappanahalli to M.G. Road
– Sampige Road to Peenya
– Peenya to Nagasandra
Stations: 20 – Cover nearly 60 localities
* Maximum price impact in 3 km radius of stations
* Price rise ranges from 15 per cent to 35 per cent
* Indiranagar CMH Road residential plots quoted for 20,000 per sq ft
* Plots in the vicinity of Sampige Road demand Rs. 13,000 per sq ft