Over the last few years Gujarat has become a cynosure of the eyes of investors. The government, with its investor friendly policies, has been successful in attracting new investments. To be city specific, Surat has emerged as the biggest attraction in real estate space of the state.
The country is still dealing with economic slumber and most of the sectors are working hard to stay afloat. However, the same cannot be said about the Indian realty, which has miraculously managed to outshine its growth estimates. The recent policy initiatives and softening of interest rates have played an important role in improving the investment climate and business environment for Indian realty. However, more than the metropolitan cities like Bangalore, Delhi and Chennai, it is the Tier 2 cities which are driving real estate growth. Surat is an important link in this connection.
The commercial capital of Gujarat, Surat has been a favorite of businesspersons and salaried professionals alike. Surat’s credit to fame is its ever flourishing diamond industry, which has earned it the sobriquet, The Diamond Capital of World. It’s 4.9 million population can bask in the glory of having one of the highest GDP growth rate in the country, at around 11%. People here have money to spend and neither do they shy from spending it. This might be the reason that real estate stalwarts are now betting on Surat as the next hotspot. As an investment destinations Surat promises good returns with its fare share of risks.
NRI promoting commercial real estate in Surat
Surat is famous for its textile and diamond industry. Most of the industries here belong to these two sectors. However, the commercial real estate portfolio of Surat is planning on expansion. Kandla Port is an important project that will be built over 1 million square feet of area and will have rippling effect throughout the real estate scenario of the city. Surat’s commercial realty has another taker in the form of Non Resident Indians. The NRIs are promoting good growth by buying considerable commercial land. Most of this buying is for investment purpose rather than end use.
Housing for everyone
Most of the real estate activity is happening in the residential sector. Leading property developers are now coming up with all kinds of housing projects. These new projects in Surat target a wide market that comprises affluent businesspersons, well-paid salaried professionals, middle income group population and last but not the least NRIs.
Regional builders are lapping up the benefit of increased spotlight on the city and also since they have a better grip on the pulse of the local population, they are in a better position to gain than their national counterparts. Pooja Corporation is one such local real estate player which is coming up with a mega township named, “La Heights” in Surat. National players in real estate like DLF, Godrej, Omaxe and others are realigning their business strategy to leverage the immense potential of the Tier2/Tier 3 cities.
Retail coming up in a big way in Surat
A city’s true face is its retail sector. When the city of Surat witnessed the launch of its first true shopping mall in June 2005, few had imagined that the retail would come up in such a big way here. Following its success, many bigger malls are now in various stages of construction. Virtous Retail, a real estate company having collaboration with global investment firm, The XAnder Group have announced their shopping center in Surat which will sit over an area of 600,000 square feet. The retail center will have 125 brands under its roof.
Delhi born Saurabh Tyagi has a penchant for writing, which he discovered early on in life. He likes to put pen to paper every now and then for topics such as selling and buying apartments, serviced apartments for sale and commercial real estate property. . Currently he writes on behalf of a leading real estate site.