Pune's Top 5 Residential Localities In 2015
Flourishing of the IT industry has made Pune one of the hottest real estate markets in India. According to PropTiger Datalabs' report for third quarter of financial year 2016, Pune has the highest liquidity among the real estate markets surveyed. Inventory overhang and age of unsold units in Pune is low. Largely the prices at city level have remained unchanged, fell by -0.4 per cent in Pune, year-on-year. Here are the top five residential localities in Pune, according to the Realty Snapshot, Pune: Top Micro Markets 2015, in order:
Wagholi is the most sought after residential locality in Pune. The demand for residential real estate is driven by its proximity to the IT/ITeS hubs of Hadapsar and Kharadi coupled with sound physical and social infrastructure comprising of schools, hospitals, highways and upcoming flyovers. With a weighted average price of Rs 3,899 per sq ft and livability score of 70, on a scale of 100, the locality is liquid and the unsold inventory is estimated to take 17 months to liquidate at the current pace.
This locality is witnessing a rising demand from IT professionals. This has driven up the price of residential real estate in Wakad. Property prices have risen by three per cent year-on-year in Wakad, and by 12 per cent in the past 10 quarters. Real estate in Wakad is much sought after also because of the admirable civic infrastructure mainly comprising of well-constructed roads, drainage systems, water supply and its proximity to InfoTech Park in Hinjewadi and Biotech Park. The locality is liquid with inventory overhang of 16 months. The weighted average absorption price of the locality is Rs 5,666 per sq ft and livability score of 92.
Hinjewadi is a popular residential real estate hotspot because of employment generating pockets like Hinjewadi IT Park, connectivity to Mumbai through the Mumbai-Pune Expressway and other localities of the city. It is the rise of Hinjewadi as a prominent IT hub that raised real estate prices in neighbouring areas by 35 per cent in the past 10 quarters. The largest IT companies in India have offices in Hinjewadi. The renowned hospitality group, Taj Hotels Resorts & Palaces, will soon come up with a business-cum-leisure hotel in Hinjewadi, which is expected to add value to the real estate market here. The inventory overhang in this area stood at 20 months in Q3 FY16, with a weighted average absorption price of Rs 5,016 per sq ft. Hinjewadi's livability score is 73, and has an inventory overhang of 13 months.
Kondhwa is a growing real estate market in Pune on account of ever rising demand for residential, commercial and industrial real estate is high. The Pune Municipal Corporation had recently decided to widen the Kondhwa-Katraj road, which is likely to have a positive impact the real estate ecosystem in this locality. In Kondhwa, inventory overhang was 16 months in Q3 FY16 and the livability score stood at 87 with a weighted average absorption price of Rs 4,877 per sq ft.
Residential real estate in Baner had seen a capital appreciation of 11 per cent in the past 10 quarters, owing to its demand for high-end apartments. Being well-connected to Mumbai through Ganeshkindh road, this location is capable of generating great interest from the residents of Mumbai who are looking for high-end property at rates that are significantly lower than Mumbai. In Baner, inventory overhang was 14 months in Q3 FY16, with a weighted average absorption price of Rs 6,719 per sq ft. On a scale of 100, Baner's livability score is 91.
The top of the peck localities above has shown strong resilience and have been growing steady on back of good livability quotient, healthy absorption to launch ratio, attractive price point and a health offtake of inventory. These localities should be on radar of buyers of real estate for 2016 as well.
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