One of the fastest-growing cities in India, Ahmedabad has plenty to offer discerning investors.
Often named one of the best places to buy property in India, Ahmedabad is a city in which there is a high demand for properties, and a steady supply of new developments on the market. When looking at this vast metropolis, choosing the ideal locale may seem difficult, as property prices remain strong throughout. According to figures released in the end of Q1/2104 PropIndex, there are a couple of neighbourhoods that stand apart from the crowd.
What can Mani Nagar and Satellite offer investors?
For the past six months, Satellite has topped the list of the 10 favoured rental areas in Ahmedabad.
This locale connects the inner, developed city centre to new areas of development on the outskirts, and has proved to be a consistently popular destination for renters and investors alike. Superior public transit links run by Ahmedabad Municipal Transport Services and the Bus Rapid Transit System contribute to Satellite’s popularity, along with the developed road system that makes it easy to access nearby commercial centres. Prahlad Nagar is a central employment hub of Ahmedabad, but due to the high cost of renting here, many people working in Prahlad Nagar opt to rent in Satellite instead. Property values are in the range of Rs 4,300 and 5,600 per sq. ft., and real estate investors can expect to earn a strong rental income from a two-bedroom investment property.
Maninagar has also made the list of top 10 preferred rental locations, appearing for the first time on the results posted this quarter. Upon examining the market fundamentals, it’s easy to see why. The property prices are affordable, and there is already an abundance of schools, hospitals and employment centres attracting renters to the area. Some realtors point to the extensive transit and infrastructure as being a key growth driver, while others believe the proximity to Gujarat Industrial Development Corporation (GIDC) is behind the boost in popularity.
Analysts at Jones La Salle have projected a 10-15 per cent rise in property rates throughout Ahmedabad. With an investment property in either Satellite or Maninagar, real estate investors can expect an exceptional rate of return based on the affordable prices and strong forecast for economic development in these areas.
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