Current Sq Ft rates at chennai

Beena,

Welcome with constructive arguments. You are right about adayar and velachery gaining. new chennai is also touted as greater chennai and now it extends upto chengelpet.

If you notice the development it is happening in segments as
GST,
GST-Sriperumbudur,
OMR
OMR-ECR
ECR
the whole stretch beyond the airport has new developments coming up...upto Mahindra World city and beyond
There is the vandalur - kelambakkam road adjacent to the Crescent Engineering , the road that used to be so lonely to travel is buzzing and you have a Sushil Harividyalaya also there...so that is one more hub for the people who have to travel into mwc, ecr...
There is thiruporur road that links at guduvanchery and ecr....this on the belt has kayirambedu which was selling at 10rs /sq.ft in 95...now at 600/650.
Coming to medavakkam high road that connects from guindy/alandur/adambakkam (All are forks from the GST) it goes through adambakkam,ullagaram,puzhuthivakkam,madipakkam,kee lkattalai,kovilambakkam,vellaikal,medavakkam and touches the velachery tambaram fork on one side and the sholingar road on the other fork hence the area around this road is going beyond the reach slowly..add to that the mrts ring from velachery,through puzhuthivakkam and into mount station..(for an idea check my attachment on the new mrts in one of the posts in this thread.)

As per us recession, people are going to push the money into indian real estate and banks..where the lending rates and returns are better.

There is nothing called slowing as per as chennai is concerned. the drainage, the roads are being planned to be done systematically. what we hear is that the labour is in shortage....

anyway they will do half before the election, and half after the election after what bigger seller than the the infrastruction for an election....

My

Vidya,

I cannot believe that we could pullout 100 post on this subjects not bad...a topic that looked male oriented..this is a success to our gals who are showing interest...

Don't mislead people by giving me such titles yaar. I just give my ideas , based on what i see, hear and read and ofcourse discuss with people around sometimes it my 70 year old neighbour, and to parents who are looking out for their nri kids...we discuss and break a new project....

Dear shanvy and all,

We 4 of our friends are looking for 1 gnd plot aound 60L near to palavakkam , kottivakkam upto neelangarai. in the ECR , OMR stretch to buid a flat ourselves , Pls help us to find ..

Regards
Suganthi

Dear Shanvy,
It is always interesting to speculate on the trends of development which major infrastructure brings about. If you observe, one fashionable trend was the OMR.Did you notice how much it got built up? So much so that every developer worth his salt took up positions in that road, either in the form of IT Parks,or Hotels,or malls or residential developments.Interestingly the Government DID NOT get enthused.Mostly the reasons seem political.If you want an idea of what Governments are capable of, remember the speed with which they completed the Chennai Trade Center?Remember their take on the Golden Quadrilateral?
So my arguement is that we should look at locations where the Government Machinery is visibly getting involved. The trick is to observe which infrastructure gets moving and how fast the work gets completed.
A case in point is the Grade Separator at Kathipara Junction.See the speed at which this is now being completed.Also do you know how many businress and economic announcements were there in the news papers on Sriperumbudur, Oragadam etc. Compare with `Governmental Announcements' on OMR.You will be surprised to note that there are precious few announcements on OMR. (You should ignore the odd developer announcing his projects in the press.) while Sriperumbudur was hitting the front page quite regularly.
Now putting two and two together, ( Kathipara development and Sriperumbudur Announcements) you may deduce that the area to be watched is the Mount Poonamallee Road which connects Kathipara with Sriperumbudur.Since this location will get connected to the city immediately when the Grade Separators start functioning, quite a few businesses are scouting space here. Witness the rapidity with which IT Space gets gobbled up in the DLF SEZ near Ramapuram.

I request others to add their valuble comments...

Beena

beena,

I agree with you on the development on the sriperumbudur, orgadam, poonamallee belt.

I am not for omr- looks more like bangalore repeating.... I think GST is a safer bet.

Have watched the it space on kathipara - ramapuram.
yes, there is a definite pattern to development. both on omr, gst, sriperumbudur belt. the concentration of automobile industry is more towards sriperumbudur.
On the same note, the ambattur area also has lot of ITES coming up.
The pattern is definitely in the interest of the political leaders....

Shanvy,
Let us continue our discussions on the Chennai real estate market by also looking at some of the emerging trends thrown up by Budget 2008
Here are my observations:-
Income Tax Exemption limits increased. Tax slabs modified.
More money in people`s hands. Someone earning Rs 5 lakhs per annum could see a savings of Rs 44,000/-.More money for EMIs.
CENVAT reduced from 16% to 14 %
Construction raw materials to cost less. With increased competition, some of this may be passed on to home buyers.
Tax Exemptions for IT Companies occupying stand alone IT Parks withdrawn.
More IT Companies will now opt for SEZs. Run from locations populated by stand alone IT Companies.
Fiscal deficit brought down to 2.5% from 3.1% of GDSP.
Foreign funds are delighted with the fiscal prudence. More FDI funds will flow into the country.
Increasing outlay for National Highways Development Program to 129.7 billion rupees. Urban infrastructure spending to rise to 68.7 billion rupees.[/font]
More highways,expressways, grade seperators, by passes etc will be built.
Double taxation of dividends in subsidiary companies and holding companies abolished
More and more developers will form subsidiary companies. They may look at floating different brands for different market segments like affordable housing, seniors housing …each under different subsidiaries.Wec as consumers will have many more choices.
Over all a not-so-bad budget for the real estate markets. Since the present TN Government is part of the UPA, in the Centre,we may expect faster allocation of funds to Tamil Nadfu. Real estate prices unfortunately are not going to come down in a hurry.
Look at locations like Mount Poonamallee Road and GST Road which will benefit from the IT &ITES seZS.Those of you with with bigger outlays may invest in Mount Poonamallee and others with smaller budgets may look to pockets on and away from GST Road. My only disconnect with GST Road development is that it is happening quite far away.
Beena

Beenas64,

Looks like you have a experience in the real estate scene. I am just looking it at from the investor point..and just answer any queries or projects that are discussed...

I never encourage any pocket. i have already told that you have to be be very very careful when you buy in layouts as an investment..for the far off future. Sometimes we expect a dominoes effect, and buy in very far off location from the actual buzzing scenario..we can always give examples...

The budget 4000/m looks very nice, only glitch is the expenses are also on the rise.
yes cenvat, the construction cost could reductions could come to the prospective buyer...but it is a maybe....
As for as I heard very few builders have been willing to reduce the price of a project even in the slump...
If there are subsidaries, and if it benefits the common man it is good..and already we are spoiled for choice....

I am against buying land in far off places without any person in india to manage it or take care of it. and if at all possible they should have a arrangement with the promoter for a maintenance contract for a period..which is now becoming an incentive that is provided by most promoters....

I have already mentioned that with the election next year, there is a chance of Tamilnadu getting lot of incentives...let us wait and see...

and you are right about all the activities in GST is on far places...but that way it will eventually look distributed..but that will take a long time....

and to quote a source..all these pockets have very big shots at the helm...

Dear Shanvy,
My purpose of posting elaborate messages, touching on various aspects is the same as yours.. To throw more light on the discussions…
I am only trying to add to the good work you have been doing in these pages...of bringing in more clarity…
If you notice I am approaching the real estate discussion from a trend point of view… because,
Unless you understand the broad trends of development, how will you decide on the locations?
Unless you decide on locations how will you decide on the developers in the locations?
Unless you analyze the developers from various points of view, price, quality, service levels..How can we grade them.. Rate them...so that people can make informed decisions?
In the process if I have repeated your observations of the past, I am sorry please...it was not intentional...
Then, looking at budgetary trends is to anticipate the future directions of the market..
Isn`t it important to have newer perspectives?
I was trying to tell that we should look at the way the infrastructure is developing…the behavior of the Government in development, rather than media hype or developer hype…because it is possible to make correct decisions 3 out of 5 times..
And you are right…I have some experience in real estate...I did my first investment in 1984, when I was 24… All I only want is to share some of my thoughts and experiences so that at least some people benefit by it...
Shanvy, you had welcomed me for my constructive arguments…possibly you should have said discussions...
No offence meant…let us have more constructive discussions..we buy houses or apartments only once or twice in our life times…

Beena

Shanthi,
You are getting company here . Thanks to you, it hit 100. Looks like it's moving fast to 200. And google search gives this thread as first result. ..Popular ladies of IL ..

Welcome Beena and Beena64. I am enjoying reading your posts in this thread. Keep it up.

IT/ITES is witnessing a downward trend. Wondering how will they maintain their competitiveness. Lot of money flow in dependent and other sectors though.

Beenas64 dear,

I was never arguing, infact i was trying to answer your each point from my perspective. I welcome a constructive discussion where more people join. I always think as a learner not as a teacher.
If this is going to help others well and good.

I am also cautious ...

this is a public forum..and also because as vidhya mentions this thread gets listed in the google search, I don't want to misguide anybody or give pointers. as you said it is everybody's hard earned money and investment only done once or twice.
I understand your approaching the RE from a particular trend. I just wanted to give my explanations as no one should think these discussion as tips..yes they can do their own analysis and then proceed further, and I am happy if these discussions have helped somebody.

Beena we will discuss each pocket separately as we go ahead. since lot of the people who had requested were looking at omr, omr got lot of credit. now we can look at poonamallee as you say...

When we talk of infrastructure and road development, you can never say, that it is going to click because of a builder or developer. there are lot of other factors. but yes we could rate developers and builders for future references.

Velachery is getting lift as stalin has one of his residences there.Poonamallee the marans have a great pocket. thiruporur and nearby pockets..you should be aware..I was avoiding to bring the political angle into the picture...

I have invested in RE. I think i have exhausted my investments.and i not quite ready to go further..Coincidence our first investment was when i was 25,then 26...then in 29...(though there is not much to be talked about...)then now in 2007.though there is nothing great in my investment... pattern will show I am mediocre risk taker.

But to be frank I had not done too much study till 2006/ 2007. I zeroed in the properties,and then went ahead.

Let us discuss...more.......


(I hope you don't think it is arguments again....)