Hyderabad – India’s Pearl City, has become one of the most popular investments and property-buying/renting destinations today. The real estate market in Hyderabad is robust and clocked a 32% growth in sales in the third quarter of 2022 and a 19% growth in new projects. Additionally, it is also one of the most sought-after office destinations in the country, and as of September 2022, over 104 million sq.ft of office stock was available in the city. Let us understand this turnaround in Hyderabad’s real estate market in detail!
A report by a leading real estate market researcher has highlighted that the strong momentum in demand has generated an uptick in the supply of new residential projects in the city. Around 11,000 housing units were launched, which in turn registered 19% YoY growth during the quarter. Hyderabad also witnessed a healthy surge in price growth, with aggregate residential value moving up by 6% YoY during Q3 of 2022.
Simultaneously, Hyderabad witnessed office space transactions of eight lakh square feet in the commercial market during Quarter 3 of 2022. The report states that the city witnessed new office completions of 33 lakh square feet during the quarter. At an average rent increase of 7% YoY, Hyderabad recorded the third-highest 12 months office rental value growth across the eight leading cities of India during Q3 of 2022.
With a booming real estate market, the peripheries of the city centre have now expanded. Also, new urban projects in the city’s eastern part have contributed to the increase in the real estate market. The growth of Hyderabad as a major employment hub has, no doubt, fuelled this growth.
The IT industry in Hyderabad is one of the most significant global IT/ITES presence. Amazon, Google, Microsoft, and other giants, along with a number of unicorns and start-ups, all call this city their base. With Hyderabad Pharma City in the pipeline, it has grown into a major pharmaceutical and biotechnology powerhouse in India.
The report highlights the Telangana government’s policies have a big impact on real estate in Telangana and the trends across all real estate segments in the state. Various policies of the State government have led to a remarkable turnaround in Hyderabad’s real estate growth over the last few years, apart from aiding in the overall development of the State.
Experts say that this business environment, led by a stable political dispensation, focused policy initiatives, widening infrastructure bases, positive stakeholder sentiments, and availability of a large talent pool is expected to continue to improve in the State.
The boost in real estate is expected to trigger ‘return to office’ sentiments as the effects of the pandemic lessen in the coming years. As such, high-quality institutional supply in the IT corridors would also boost the creation of smarter developments in the city as well as encourage the launch of new projects. Delivery timelines, however, may get impacted as mid and high-end properties will continue to drive the demand is what experts predict for the upcoming year.
Telangana currently accounts for 5% of India’s GDP. The adoption of global and domestic business-focused policies almost immediately after the State’s formation in 2014 has given the state’s economy a boost. Hyderabad continues to rank high on the global standards of living parameters and is the best city to live in India, beating Delhi, Bengaluru, Mumbai, or Chennai.
With unlimited job opportunities and infrastructural advancement, Hyderabad is experiencing a boom and will be the hub of development in the coming years. With TMR Group, invest in plots in the hotspots of growth around Hyderabad today for a flourishing future. Visit https://tmrinfra.com/ today to know more!
References:
https://telanganatoday.com/remarkable-turnaround-in-hyderabad-realty