Meerut real estate prices set to soar along RRTS alignment

‘Harbinger of change’

The 82-km RRTS corridor being implemented by National Capital Region Transport Corporation (NCRTC) will connect Sarai Kale Khan in Delhi to Modipuram in Meerut in less than one hour. Within Meerut, the system’s infrastructure will be used to provide metro services with an additional eight stations. Thus, the RRTS will have a total of 25 stations, including three depots at Jangpura in Delhi, Duhai in Ghaziabad and Modipuram in Meerut. While the 17-km priority section is scheduled for commissioning in 2023, the full 82km stretch will be open for commuters by 2025.

“RRTS is going to be the harbinger of change in the NCR. Such high-speed seamless connectivity will drive balanced and sustainable urban development in the region,” said Puneet Vats, chief public relations officer, NCRTC.

Businesses lose lustre

The corridor may be beneficial in the long run for businessmen and officegoers who travel frequently between Delhi and Meerut, but in the near term, businesses along the RRTS alignment are taking a hit.

Pawan Kansal, a resident of Meerut and owner of a tyre shop, said sales are down due to congestion and accessibility issues because of the ongoing construction work and attendant barricades. But they soldier on in the hopes of a better tomorrow.

Sunil Verma, president of Rithani Vyapar Sangh, a regional traders’ body, said, “Shopkeepers are facing losses due to the RRTS construction barricading. However, we expect a revival once the system becomes operational.”

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Verma cited the example of the Delhi-Meerut Expressway, which has benefited local businesses, besides saving travel time. “Earlier, we used to reach Delhi or (its suburb) Noida in three hours. Today it takes around just one hour,” he said.

Vats said that RRTS will reduce travel time at an affordable price. “The people of Meerut will have improved access to better healthcare, education and employment opportunities and ease of doing business. It will also translate into increased savings in terms of money, effort and time, improving the overall quality of life of the people,” he added.

Property prices, demand up

Moneycontrol spoke with several property developers, real estate brokers as well as locals and all claimed that the prices of the properties alongside or within a 2-km radius of the RRTS alignments have gone up by almost 30-50 per cent.

Ashok Garg, president, Real Estate Developers Association of Meerut (REDAM), said that growth looks promising in the city. “Prices have gone up by 50 percent in the last two years due to this infrastructure project. Earlier, connectivity with Delhi was a problem. That has changed due to the expressway and RRTS. A dedicated freight corridor is also coming up. All the six roads that primarily connect to Meerut have been converted into national highways and most of them have either been developed or are under development. Also, the cost of living in Meerut is very low compared to Delhi and Noida,” said Garg.

The REDAM president added that many industries stayed away from Meerut because suitable land parcels were not available but added that the situation is set to change with 350 acres dedicated to industrial use being developed near the under-construction Ganga Expressway that aims to connect Meerut and Allahabad districts. The government is also developing a special development area near Modipuram that will also give a boost to businesses.

Garg said that land prices in Meerut are low compared to Delhi or Noida, but that may not hold true for long.

Karan Walia (name changed), who recently purchased a 130 square yard home in New Friends Colony, a Meerut locality, said he had to pay Rs 72 lakh for the home which was going for less than Rs 50 lakh two years ago when he first inquired about it. A property dealer told Moneycontrol that a 300 square yard duplex villa which was being offered for Rs 1.8 crore two years ago is now for sale at Rs 3.2 crore in Sheel Kunj Enclave in the city.

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There are around 50 small and big developers in Meerut including Indus Valley, Sikka Group, A2Z Builders & Developers and Alpha Corp.

Arjun Chopra, who deals in property and construction work in Meerut, claimed prices have shot up for properties located along the RRTS route. “The flats that were earlier priced at Rs 20-25 lakh are now priced at around Rs 35 lakh. Those in the outskirts but easily accessible areas like near the bypass have witnessed an increase of around 20 per cent. The market which was dull for the last four years is now on reviving. Developers are now able to sell their stuck inventories and will launch new projects by next year,” said Chopra.

Santosh Agarwal, CFO and executive director, Alpha Corp, said that the upcoming infrastructure developments are expected to change the entire landscape of Meerut. “RRTS, being the modern public transport mode in the region, will help prices of real estate to appreciate in the region. Due to this, newer developments are commanding a premium, more so if it lies along the planned route,” he said.