How real estate in Horamavu defied all logic and turned profitable
In Bangalore, the year 2015 ended with hopes and expectations rising that the New Year would bring fresh impetus to the flagging real estate sector. The real estate sector in the city was a bit of a mixed bag with the demand for commercial real estate in the city being the highest in India while the demand for new housing remaining low.
Research shows that the demand for Grade A office space all over India rose by 18% which means about 38 million sq ft was being spoken for in 2015. All this bodes well for the residential sector, as it means companies will be hiring, which would also translate into demand for new housing-both in terms of new buys as well as rentals. Most of the demand for space came from Information Technology companies as well as the new e-commerce companies which also have a demand for warehousing space.
Most of the space which has been absorbed has been close to the peripheral business districts of Electronic City, JP Nagar, Whitefield and Jaynagar, as well as the Outer Ring Road. Residential micro markets close to these business hubs are also slated to do well.
Horamavu is one such locality in north Bangalore and is close to Banaswadi, Kalkere and Ramamurthi Nagar. The Krishnarajapuram railway station is about 3 km from Horamavu. This area is also close to KR Puram, Banaswadi and Bangalore East railway stations. There are many layouts in these areas such as Ashirwad Colony, Brindavan, Bank Avenue Colony, Coconut Grove Layout, Sai Sankalpa Layout, P&T Layout, Nandanam Colony, Papaiya Layout, Kenchappa Garden and so on.
One of the major problems in this area is the traffic congestion during peak hours, caused by the three level crossings which are generally closed for half an hour during the rush hour in the morning and the evening. There are plans to provide over bridges as well as under bridges to ease the traffic congestion but when these plans would become a reality is anybody’s guess.
Horamavu has a large number of Raja Kaluves or storm water drains and lakes; many of these storm water drains and lakes have been encroached upon by developers. However, if you are on the lookout for a property in Horamavu it would be advisable to check online on landrecords.karnataka.gov.in and verify if the property is on a Raja Kaluve or a lake bed. This information is provided by the Survey, Settlement and Land Records Department of the Government of Karnataka.
Another issue with Horamavu is that there is no metro water or sewerage connection in the locality. Most of the apartments in the locality buy water which is delivered by tankers and the household sludge is removed by sanitation vacuum trucks otherwise known as honey suckers. Borewell water is also available in some areas, but the water in the bore wells is at 600 ft down and in some others it is available below 1000ft.
Despite the obvious odds, Horamavu is one of the most populous wards in Bangalore city. The number of people who have moved to this area has gone up drastically in the last decade. Urban planners are flummoxed at the growth seen in the outer peripheries of the city as people don’t seem to bother about basic necessities such as water supply and sewerage connections.
Property pricing trends in the area also indicate that it is popular by choice. The prices in the locality have gone up by an average of 1% in the quarter falling between January and March 2016. During this quarter, the price of an apartment in Horamavu, stood at INR 4300 per square feet on average.
Nina Varghese for IndiaProperty.com
Image: By Suresh.vinay (Own work) [CC BY-SA 4.0 (http://creativecommons.org/licenses/by-sa/4.0)], via Wikimedia Commons