As 'high rise style of living' grips city, real estate developers deliver according to demand this year; over 6 high-rise residential complexes open to public and sell out
The latest trend, which gripped almost 65 per cent of Bangalore, is the 'high rise style of living', and real estate developers have delivered just that this year. In 2011, over six high rise residential complexes were opened to the public and realtors claim with pride that all are packed with customers.
Even projects that have been announced for the next financial year are receiving pre-booking orders
So much so that even projects that have been announced for the next financial year are receiving pre-booking orders. Real estate experts dub the trend as a positive one and claim that city developers have risen to the occasion and supplied enough choice in tandem with the demand.
While areas like Sarjapura Road, Whitefield and Tanisandra Road emerged as top priority places for high-rise residential complexes, realtors delivering projects in these areas have tasted much success. Further, Bannerghatta Road has also emerged as an area with increasing demand.
"To understand the increasing demand for high rises in the city, we should look at the customer profile. Most are young professionals preparing to live in nuclear families. Their main priority when it comes to choosing a house is having a few amenities in the same complex and also safety.
They want to live a life that matches their earnings and they do not mind spending slightly more to get everything in the same complex.
Jobs are becoming mobile, families are becoming nuclear and they can afford the extra amenities, which makes life easier for them," said Karun Varma, managing director, Jones Lang LaSalle India (Bangalore).
Overwhelming For developers, who have come up with projects in the same segment, the response they claim has been overwhelming.
"We came up with two projects and both were an instant success. We have managed to sell all the houses. I believe that there is a demand in this segment because people want a good view, natural lighting, no noise, less pollution and all of this at an affordable price.
From our point of view, as we rise vertically, the price falls which helps us sell better and also helps attract more customers," said a senior official from DLF. When a high rise residential complex is compared to other potential residential options in the city, many customers are opting for the former.
"You get a convenient shopping center in the complex, health facility including a chemist, round the clock security, underground parking, health clubs and some of these projects even have playhouses.
For a potential customer who wants all these facilities, instead of spending separately on each of these at different locations, which would involve travel and other expenses, they are more than happy to invest all in one place to avail all amenities," said the official.
Balancing act Further, the Bengaluru wing of the Confederation of Real Estate Developers' Associations of India (CREDAI) has recorded a balance in the demand and supply in this segment of housing.
"We have noticed a significant rise in the demand for luxury residences in the city. The main reason for such an increase in demand is the comparative cost advantage, which Bangalore enjoys in comparison to cities like Mumbai and Delhi.
Also, Bangalore is a preferred destination for several established corporates, both from India and abroad and this has definitely contributed to the increasing demand for high luxury houses here," asserted Sushil Mantri, president, CREDAI Karnataka.
When realtors were questioned about the target audiences for this segment, most said that 75 per cent of customers were from the IT sector. Almost 15 per cent customers came from private sectors like banking and medical fields.
Cities differs "Unlike customers from Mumbai and Delhi, Bangaloreans prefer to spend time alone or with family at the end of the day or with like-minded people. A high rise complex gives them a choice of both requirements.
When compared to houses available in the same segment in other cities, Bangalore provides excellent quality and is priced well. It is value for money.
Mumbai is extremely expensive and rose vertically for the lack of space, Gurgaon rose vertically for other reasons. But apart from a certain part of Pune, I would say that Bangalore has proved to be the best in this segment," said Varma.
Experts further assert that the next year would prove to be equally fruitful for developers are demand would only rise further with jobs that are being created in the Bangalore market and due to the constant influx of people from different parts of the world.