Interview with Tejinder Pal Setia, Chairman, Mona Townships Pvt Ltd
Chandigarh Capital Region Realty
The current realty market expansion across Chandigarh Capital Region and roadmap for developing Ludhiana, Jalandhar and Amritsar into Smart Cities will improve the real-estate landscape of the region. Tejinder Pal Setia, Chairman, Mona Townships Pvt Ltd elaborates.
What is the current residential properties demand and supply scenario in Chandigarh & around?
The real estate scenario in Chandigarh is in stark contrast to its surrounding locations with property prices skyrocketing in the city as a result of the demand-supply mismatch. While supply in Chandigarh has nearly reached a saturation point in view of paucity of space, the demand never ceases to grow as Chandigarh has always been the first choice of home buyers. Investors and end-users are now exploring pocket-friendly locations in the adjoining Mohali district, where the newly opened international airport, Aero City and the upcoming IT Park have emerged as major propellers of realty growth in the region.
Realtors are majorly focusing on Mohali district, where Zirakpur, Gazipur, Kharar-Landran road and upcoming areas of Mohali city like the airport road, 200-ft ring road and the places in the vicinity of the new district administrative complex have immense growth potential.
Strategically connecting Panchkula, Zirakpur, Mohali and Kharar from the business point of view, this area provides excellent connectivity and direct access to Punjab to people travelling from Delhi without having to pass through Chandigarh, thus offering a unique advantage to enterprises for setting up regional offices and distribution centres for their logistics.
Consequently, the entire stretch has become a preferred base for NRIs as well as commercial establishments, business houses, cargo-related businesses and the hospitality industry. Going by these developments and the visible trends, the demand and supply of property prices in Mohali and adjoining areas are expected to go up by 20-30% in the next three years.
The current residential demand in the Chandigarh Capital Region (CCR) consisting of Chandigarh, Mohali, Panchkula, Zirakpur and Khararis particularly for units in the range of Rs. 25-40 lakh. The pace of launching new projects has been slow in the higher price segment in the wake of demonetisation and implementation of RERA.
The affordable housing push by the government through the Pradhan Mantri Awas Yojana, which offers interest subsidy of around 3 percent to the affordable sector, and the revision of GST rate on work contracts for affordable housing from 18% – 12% is also helping boost demand in this bracket.Also, with the policy getting implemented both at the Central and state levels, the interest rates for affordable housing will come down to 5%, which will be on a par with developed countries like Australia