Housing projects dropped by half in Chennai
The real estate sector, which had been sinking since the 2012 slowdown, witnessed one of the worst years in 2016. These are mostly due to multiple reasons such as the devastation wreaked by last year’s floods, assembly election and demonetisation.
Realtors recorded a dras tic 50% drop in the number of new launches in the residential segment and the floods in December 2015 doomed the real estate market in the southern suburbs.
“It was one more uneventful year for the city’s real estate market. There was no great activity as far as residential sector was concerned,” Ajit Chordia, former president of Confederation of Real Estate Developers Association of India (Credai) Chennai chapter said. However, the office space market hit the roof breaking new records. “The silver lining has been a record absorption of office space, which would take all the analysts by surprise,” he said adding that almost 5.8 million sqft of office space was absorbed this year, which is an all-time high.