June 17, 2021 1:36:14 am
Covid-driven need for social distancing is luring people to invest in residential plot schemes that have cropped up in the city outskirts. Riding on healthy purchase volumes during the last one year, the prices of residential plots in and around Ahmedabad have witnessed a three-fold jump.
“The trend in real-estate market has changed during the Covid-19 pandemic. Before the pandemic, developers who had launched residential plots projects were finding it difficult to sell. Today, the prices of these schemes on the outskirts of Ahmedabad city have almost tripled,” said Praveen Bavadiya, president of Ahmedabad Realtors Association (ARA), a body of real-estate brokers and agents.
Residential plot schemes on Sanand-Nalsarovar road, Agol, Shela, Thol and Bagodara have all seen prices jump since March 2020 from Rs 5,000 per square yard (one square yard is equal to nine square feet) to Rs 15,000 per square yard, say real estate experts and developers.
In these real-estate schemes, developers build the internal infrastructure which includes club house, gymnasium, landscaping, roads, drainage and water supply on a land parcel that has been sub-divided into plots or various sizes, while buyers have the option of building a home of their choice as per the plot they purchase.
“The mindset of people have changed due to Covid. Now people are looking for open spaces as they no more want to live in crowded locations. Secondly, investors who exited from low performing commercial real-estate are parking their money in residential plotting schemes,” Bavadiya said.
Arvind SmartSpaces Ltd, a real-estate arm of textile conglomerate Arvind Ltd launched a second phase of residential plot scheme “Arvind High Grove” near the auto hub of Sanand, after the first phase consisting of 300-odd plots was sold off within seven months after launch in 2020.
“There is a lot of demand for plotting schemes in the outskirts of Ahmedabad. Covid is helping the sales. People want to have a second home in crisis like Covid where they can stay isolated. We have launched 100 more plots,” said Kamal Singal, MD and CEO of Arvind SmartSpaces Ltd (formerly Arvind Infrastructure Ltd). The prices of the newly launched residential plots vary from Rs 50 lakh to Rs 2 crore.
Dipak Patel, former president of GIHED-CREDAI (Gujarat Institute of Housing and Estate Developers) and head of Siddhi Developers feels that the schemes offering residential plots are doing well compared to other real-estate sub-segments like residential and commercial where builders have struggled to sell during the pandemic.
“After the pandemic, people living in apartment in the city has started purchasing plots which are outside the AUDA limits and are comparatively cheaper,” Patel added.
📣 The Indian Express is now on Telegram. Click here to join our channel (@indianexpress) and stay updated with the latest headlines
- The Indian Express website has been rated GREEN for its credibility and trustworthiness by Newsguard, a global service that rates news sources for their journalistic standards.