Delhi NCR
Recent MCD demolitions drive has sparked off a demand for alternative commercial space

This one's a red-hot property mart. And most of the big constructions in the region are actually taking place on the city's fringes and satellite towns. Gurgaon, Noida, Faridabad, Gaziabad are scripting golden histories for realty developers and speculators in the region. Just in the past two years, prices in Gurgaon and Noida have zoomed almost 200%.

Even in adjoining area like Sohna Road and Manesar, property prices have jumped by a whopping 30-60%. What's more, previously passé localities like Greater Noida and Gaziabad are metamorphosing into lucrative hubs for realty opportunists. "Now it is the turn of satellite towns like Gaziabad (Bahmada) to boom where prices will rise almost 50% by the year end," says Piyush Narang of Jaipuria Infrastructure.

Residential Space

Thanks to a strong MNC and IT/ ITeS industry presence , Gurgaon's legendary rise and rise in real estate prices have scripted history. Residential property rates even in Noida have jumped more than 100% over the last two years. Today, on an average, a return of 9 to 10% can be expected in Noida's residential sector, which has already skyrocketed to booming price levels over the past one year.

The Delhi-Noida Direct flyover, development of Sector-18 into a South Extension look-alike posh market agog with the who's who of Indian and foreign brands, Center Stage mall, Elevate and the Wave & PVR multiplexes in Noida are just the icings on the cake.

Another hub is Indirapuram which has also experienced a 40-50% hike in realty prices, thanks to a slew of malls, multiplexes, entertainment parks and office-spaces, besides the completion of the sandstone inspired sprawling Akshardham temple. Jasola and Dwarka are other areas in the capital that were earlier unexplored for residential purposes due to a run down infrastructure. But the Delhi Metro in Dwarka, improved infrastructure and new malls in the region are reasons for property cheer.

Commercial Space

With the retail sector revamping its traditional model and giving way to spanking new malls and departmental stores. combined with the spiral effect of the booming Indian economy, is fuelling commercial realty in the NCR. Indeed by 2010, the region is all set to witness the completion of at least 60 malls.

Industry analysts say that over the last year, more than 75% of the commercial Grade A space in the NCR was occupied by IT Corporates, of which 70% was in Gurgaon. As the Indian economy continues on its northward curve, the industrial hub has expanded to include Greater Noida, which boasts heavy industrial investment and activity, an education park, connectivity via an Expressway, besides rumours of an airport coming up.

The last quarter saw nearly 700,000 sq ft of office space being transacted in the region, of which two-third was in Gurgaon. Sources say that about 23.2 million sq ft of total retail space is expected to enter the market by end-2007. Moreover, the recent MCD demolishing drive has sparked off a booming demand for alternative commercial space, not just for the already demolished shops, but also for fearful others.

Mumbai
Is repositioning itself by bringing down its old fashioned buildings in favour of modern ones

Every year, the 'city of dreams' Mumbai, beckons millions of people from across India into its welcoming folds. Home to the biggest stars of Bollywood as well as Corporate India, the city's property mart attracts the best of the best. King Khan's villa Mannat in Bandstand, Anil & Mukesh Ambani's towering Sea Wind and Ratan Tata's palatial flat in Colaba and others\ are now tourist attractions.

A potpourri of myriad cultures, Mumbai has an estimated population of nearly 12 million (as of 2005) and has the distinction of being the most populous city of India. Real estate prices in Mumbai have seen an almost 70% increase over the last couple of years. Moreover, Mumbai is looking to reposition itself by bringing down its old fashioned buildings in favour of modern ones: a big reason for a flourishing property mart.

Residential Space

Good infrastructure, thriving financial & entertainment sectors, professional work culture, provide sound basics for a booming residential real estate mart. And, as the city itself gets congested, it is accommodating new additions at its seams viz. the fast-developing suburbs. More and more professionals are seeking out spacious (and cheaper) housing options in Malad, Borivalli, Thane and New Bombay. Away from the crowded interiors and yet well connected to the city, the suburbs are the areas where departmental stores and multiplexes are literally climbing out of the woods. Bandra, Santa-Cruz, Malabar Hills, Worli, to name a few are the localities where rates of approx. 70% are being ploughed back.

Commercial Space

If the residential sector is booming, commercial real estate cannot be far behind. India's financial nerve centre, the city boasts of corporate head offices viz. Reliance, Godrej, Tata, et al, apart from apex institutions like the RBI, BSE and the NSE. In Mumbai, the regions experiencing high growth curves in commercial spaces are Lower Parel & the Bandra-Kurla Complex (BKC), where buyers who invested in real estate in 2004 have seen their investments literally double.

In the Grade-A office buildings in these areas, the demand has climbed to record highs. For example, just the to record highs. For example, just the Ambanis have made an investment of over a thousand crores in BKC alone. By 2007, over 28 upcoming malls are looking to dazzle the city's population and here too the focus is on the suburbs.

In areas like Borivalli, the rates may vary from Rs.3,500 to 7,000 per sq ft, depending on the location of the office or mall, while in New Bombay, prices range from Rs.2,000 to 5,500 per sq ft. Other areas on a high are Nariman Point and even Andheri East, with a whopping 30% appreciation in real estate capital values over the last few years. Some analysts opine that these areas as have now reached saturation levels in terms of property prices and realty speculators are scouting for other unexplored areas around Mumbai.