Sunday 11 September 2011

Moving to the Suburbs

With Residential space at a premium in the city, consumers are looking at renting property in the suburbs.

Residential Housing in Chennai has seen a rental spike by 10percent to 15percent over the last few years. But rentals in the suburban areas have gone up more slowly, with accommodation available from anything between Rs.8 per sq.ft to Rs.25 per sq.ft a month.

This hike began with the IT BOOM in 2000 which boosted demand for residential space within the city.
The city's population almost doubled and individual houses began to give way to multistory apartments.
The Demand pushed up prices of both land for construction, and of apartments for end-users.

The Increased demand for housing saw the city expanding towards the suburbs. The primary reason for this was the shortage of land within the city.

With the Land prices in the city shooting up, developers had to look to the suburbs to come up with viable residential projects, according to Sivaramakrishnan A.S.,  VICE President (Residential Services).

Though Chennai City sees a huge demand for rental housing, the supply is minimal, But it is the reverse in the case of the suburbs . The demand is due to availability of public transport, water and other infrastructural facilities, which are not found in certain suburbs.

 With consumers balancing their budgets in line with lifestyle expectations, suburbs seem to provide the right solution. Hence, consumers choose to live in an apartment based on affordability, which also meets the basic requirements of the family , says Jeyakumar Ramasamy, - Director JVS Real Estates.

This move to the suburbs is aided by the fact that the work place is not in the city any longer - it is in the IT Corridor or industrial corridor.






3 comments:

  1. verry true. moving to suburbs is the best option nowadays cos its very hard to survive in the city with pollution and traffic congestion.

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  3. I think, this is thank to providing information about Depreciating rupee attracts NRIs to invest in Chennai properties. Thanks again.
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