Is It The Right Time For Property Investors To Invest In Kolkata?

The value of real estate never undergoes depreciation. While most of the metropolises in India are suffering adversely due to the pilling real estate stock and weak customer demands, Kolkata is soaring high in the infrastructure business. One of the reasons for this is the rise of improved transportation and communication systems in the last few decades. Kolkata is probably the only metro city in India that provides such diverse yet cheap means of transportation that connect the suburbs as well as the extreme outskirts to the heart of the city and its other important locations. Perhaps it is due to this reason that the real estate developers in Kolkata have got over their inhibitions and are now investing in constructing low cost housing in areas which are even outside the city limits. Previously this wouldn’t have drawn much attention, but since middle class people now have the opportunity to stay in the suburbs and yet stay well connected to the city; low cost housing has become a successful scheme.

Many good projects have started to develop in the suburban regions like BT Road, Baruipur, Howrah, and Chandpur etc. The prices in these areas are generally kept low, keeping in mind the land values in these areas as well as the economic conditions. This makes it possible for the people to invest in real estate. So for anybody looking for investing in real estate now would be a great time to invest in Kolkata.

The top developers in Kolkata have also started following the pattern followed in Mumbai, Chennai or Bangalore. They try to draw in customers using incentives like modular kitchens, free cars for the first few customers etc. This is usually done in cases when the developers are unable to sell the real estate due to improper designing. And since investing in real estate is a lucrative business, people generally tend to fall for it.

Also, several housing projects have been initiated due to investments from NRIs or people from other states since real estate is a profitable market in Kolkata. This in turn leads to the development of middle range and luxury homes to draw in more and more customers from outside the state as well as outside India, especially those who want to settle in a metro but at a considerably lower rate than other metropolitan cities. Hence a number of housing projects have been initiated in Kolkata.

According to the quarter-on-quarter trends, Kolkata’s residential market is consistently rising. Expert opinion holds that Kolkata’s real estate market is less susceptible to market changes due to its end-user driven nature. Furthermore the opening of the Amritsar-Delhi-Kolkata Industrial Corridor has increased the prospects of industrial growth in the city. This would mean the construction of better roads, railways and airways. This would in turn give a thrust to the real estate market as people would want to settle in and around the city even more. Of late, the city has seen a gush of residential projects especially in the price range of 25-60 lakhs. This gives the end users and buyers to opportunity to choose from a wide range of options making the business an even greater success.

Hence if you are a potential buyer and are looking to investing in real estate; Kolkata would be a great option right now. Investing in Kolkata now would prove to be profitable cause as the name suggests it is indeed a ‘city of joy’. Happy Investing!

Urbana is a joint enterprise of the government of West Bengal with the Shrachi, Emami, Sureka, MKJ, JB and Nahata Groups. Over the last couple of decades, these names have been associated with most of the city’s landmark buildings and complexes.