With the
BJP taking charge in Maharashtra and Haryana, the real estate industry is expecting revival of the realty market in these states. According to industry players, the revival in the markets will be driven by a rise in the investment inflow in real estate projects through public private partnership (PPP) model.
“Mumbai and
Gurgaon have the lion’s share of the pie when it comes to the Indian realty market, and both these cities have been witnessing tremendous growth in absorption of commercial spaces over the past couple of years. With the burgeoning growth in population and migration of people from smaller cities to these areas, there is huge requirement of residential spaces as well,” said Santhosh Kumar, CEO of operations and international director of Jones Lang LaSalle India.
He further added that with BJP at the centre focusing on developing the infrastructure in the country, both Maharashtra and Haryana can expect the maximum infrastructural growth as the states will now be governed by BJP at the state level as well.
“The ensuing boost to growth will not be limited to just
Mumbai and Gurgaon. Given the limited land available for development in the two cities and factoring in the BJP's strong focus on faster and more holistic growth, there is now added impetus for development in their peripheral areas on the charts, as well. Infrastructure such as highways and MRTS projects which will connect these areas to their parent cities will automatically boost their real estate markets,” noted Kumar.
Currently, both the states collectively comprise of nearly 35% of the total real estate market in the country. At present, there are three major PPP Infrastructure PPP projects in pipeline in Mumbai, which includes the Navi Mumbai International Airport at Panvel, the Mumbai Trans Harbour Link that has been delayed since 2004 and the expansion of Mumbai Metro.
