Bullish on Dwarka Expressway

The area around the proposed Dwarka Expressway is free from land acquisition hassles and the easy connectivity to Delhi is driving up demand

Both property buyers and developers have seemingly changed their focus to Dwarka Expressway,ever since the Allahabad High Court struck down acquisition of over 150 hectares of land in Chak-Sahberi village at Greater Noida (dubbed Noida Extension by builders). Since there seems to be no end to the uncertainty looming over the fate of these projects,developers feel that the entire community of investors will change their focus to Dwarka Expressway. The going rates here are up to three times more than Noida Extension. This is reflected in the price levels. Land prices have risen more than 50 per cent and are now in the range of Rs 47,000 per square yard from Rs 31,000 per square yard a year ago. Home prices are in the range of Rs 3,300-Rs 3,550 per square feet,up from Rs 2,300-Rs 2,400 per square feet a year ago.

The proposed Dwarka Expressway,also known as the Northern Peripheral Road (NPR) Expressway,is a part of the Gurgaon-Manesar Urban Complex proposed in the Gurgaon-Manesar Master Plan 2021. It would connect Dwarka to NH-8 and will have 30 metres of green belt on both sides. The Expressway is an 18 kilometre stretch of 150 metre-wide road,starting from Dwarka and connecting Palam Vihar and the planned SEZs in Gurgaon to join the NH 8 near Kherki Dhaula.

Free from legal tangles over land acquisition,construction has already begun near the Basai road. Dwarka is now mushrooming as the hub of commercial and entertainment activities and is amongst the most preferred locations to reside,in the NCR region.

The expressway,developed by the Haryana Urban Development Authority (HUDA) at a cost of Rs 120 crore,would bring around 1,200-1,300 acres of land in the mainstream of development. Real estate developers and agents across the capital are pinning their hopes on this big link that would be established between Delhi and Gurgaon. Builders such as BPTP,DLF,Uppals,Mahindra Life Spaces,Spire Edge,Vatika,Ramaprastha and Raheja have projects in this stretch.

The expressway is significant from an investors perspective. If one has an investment vision of 5 years or more,this is certainly a good investment avenue,which can assure good appreciation. By providing a faster access to the Indira Gandhi International Airport,the expressway becomes a permanent source of attraction for NRI investors too.

The biggest risk,however,facing investment in this area is the likely delay in development of sector roads,water,sewerage,electric sub-stations and other amenities. Any delay in the construction of the expressway would further lead to delay in the whole process of development of other infrastructure in the surrounding area. Notwithstanding this risk factor,the outlook for the area remains bullish.

It is only the timeliness of the expressway construction that will determine the premium the area can command as regards connectivity to Delhi.

Author is MD,Bajaj Capital