Nagawara in Bangalore attracts buyers

Sale price of multi-storey apartments in Nagawara has increased by 20 per cent in October-December 2012 quarter.

Nagawara in North Bangalore is fast becoming a one-stop destination for people looking for a peaceful backdrop. The growing popularity of Nagawara can be credited to its close proximity to schools, hospitals and IT companies.

As per the data, sale price of multi-storey apartments in Nagawara has increased by 20 per cent in October-December 2012 quarter.

“The sale prices of multi-storey apartments in Nagawara have increased by Rs 10 lakh approximately due to several reasons. The area is peaceful with good security measures. There is ample parking space and the area is also well-connected,” said an official.

The airport is just 30 minutes away. Nagawara is attracting IT professionals and emerging as a popular IT hub. “It is also near to the Railway Station and Ring Road. It is close to offices like IBN software, BHEL, Manyata Tech Park and many other MNC offices also which is making it a hot locality,” added the official.

Experts in the industry said that Nagawara is accessible to all important places of the city and its value has the potential to increase further with time. Lumbini Gardens is a famous tourist attraction and Karle Technology Park is expected to come here soon. 1, 2 and 3 BHK apartments are much in demand.

The cost of 1 BHK in 600-800 square feet area is Rs 30-40 lakh, for 2 BHK in 1100-1200 square feet area one will have to pay around Rs 50-60 lakh. Whereas a 3 BHK flat is in Rs 70-80 lakh price bracket which is spread in 1500-1600 square feet area.

The buyers mostly are IT professionals and businessmen. The user- investor ratio is 75:25. Experts also hint that a metro station is in the pipeline. Shobha Developers have a lot of under construction projects in the area.

Demand for property growing in and around Whitefield

The suburb of Whitefield in Bangalore works as a good bet for many in the city due to various factors. These include connectivity, the creation of a micro-market, proximity to workplaces and other social infrastructure. Here are some of the most prominent infrastructure projects that give a head start to this locality.

Metro connectivity

The most ambitious project in the city, the Metro Rail network, will reinforce the alreadyexcellent connectivity to Whitefield. The operational phase of the Metro till Baiyappanhalli provides a glimpse into what a mass transit system like this can do for the realty segment. With the extension of the Metro up to Whitefield and stations at Kundalahalli, ITPL and Kadugodi Industrial Area, residential and IT belts will be hugely benefitted.

Road connectivity

In addition to the Outer Ring Road (ORR) becoming a signal-free corridor, the eight-lane Peripheral Ring Road (PRR) will be connecting Tumkur Road, Hessargatta Road, DB Pura Road, Bellary Road, Hennur Road, Old Madras Road, Whitefield Road, Anekal Road, Sarjapur Road and Hosur Road. This proposed infrastructure corridor will further give rise to extensions and layouts around them. Residential belts will spread along its length as is already seen along the ORR.

IT and industrial belts

The IT sector is spearheading growth in this region resulting in the development of residential and retail spaces too. The presence of industries and IT Special Economic Zones has ensured that many employees prefer to either rent or buy homes close to where they live. This has in turn led to the rise of social amenities. Whitefield has many good schools, hospitals and malls and most residents in this area very rarely find the need to travel into the city, as most of their shopping needs are taken care of.

The Karnataka Industrial Areas Development Board (KIADB) has given a significant boost to industrial growth and this has spread beyond Kolar. The Malur Phase IV and Narsapura Industrial Belts are well-connected with access to rail and road networks. Residential catchments too can be seen till Kolar.

Supply of premium housing

A vital factor pushing demand for residential property in this region is the supply of top grade housing to suit every budget. From gated communities to villas and high-end apartments Whitefield offers a host of options for investors to choose from.

Bangalore north is hot spot for retailers

In the past few years, Bangalore’s retail journey has been growing with several international and national brands setting up their retail stores in the City.

Robust economy, rising per capita income, development of IT sector, migration of middle class earning families, and large scale retail development have fuelled the growth of the Silicon Valley of India.

Previously, shopping malls across the city were essentially anchored around a department store or more often a hyper/super-market area chain however; this is project to change soon, according to a report “Bangalore: Retail Real Estate Market Report 2013 brought out by Vestian Global Workplace Services, a fully owned subsidiary of Vestian.

High-street locations 

With the spatial expansion of Bangalore, the high-street locations are no longer confined to the Central Business District (CBD) area. High-street locations of Brigade Road and Commercial Street have been in existence since 1950s are located in close proximity to the CBD.

Now, Bangalore North witnessing increased retail activities. Bangalore North include Kamanahalli Main Raod, Sahakarnagar while Marenhalli Road (JP Nagar – Outer Ring Road stretch) towards south-west of the City is gaining prominence as a result of high-street mainly due to limited shopping mall space in the vicinity.

Despite commercial activity in Bangalore North being nascent stage, this region has witnessed increased residential supply. Shift in the developers’ interest towards this location has made way for many planned retail projects. Key developers including Brigade Group, MFAR Holdings, Century Group and Ozone Group have planned shopping malls in the north region.

One of the key finding of the report is that ORR-Sarjapur will be the most attractive micro market for retail development due to lack of existing and under construction mall space.  Meanwhile, Bangalore North and Old Madras Road have potential for development of malls within next 3-5 years.  Old Madras Road, of late has witnessed increased residential activity with major Class A developers launching their residential projects.

 Currently, not many retail activities across this micro-market is anticipated to gain momentum in the medium to long-term. Salapuria Sattva Group is set to launch the World Market (1.0 million sqft) in this location. The report said the city is likely to witness a hike in mall rentals owing primarily to a healthy increase in the metropolitan population and anticipated relaxation in FDI in multi-brand retail.

Tenants’ preference

Noting high demand for space in high street locations, it said these locations are preferred mainly by apparel and footwear tenants (54%), followed by food and beverages (16%), electronic goods (9%), personal  care, watches and jewellery (7%) and books, stationery and gifts (4) and automobiles (3%).

Rental value

During 2009-12, rental values across high-street locations of the city grew annually in the range of 5-9 per cent mainly due to limited upcoming supply and lower vacancy rates. Average annual rental appreciation in high street location in Brigade Road is 9 per cent, Commercial Street – 9 per cent, Lavelle Road and Vittal Mallya Road – 6 per cent and Indirangar 100 feet Road – 5 per cent, the report said.

The City’s high- street locations continue to attract national and global retail brands regardless of increased mall space in the city due to higher brand visibility and considerable footfalls. However, traffic congestion, lack of unobstructed pedestrian walkways and limited parking space facilities are some of the basic concerns that require improvement, the report said.