Chennai is one of India’s premier metros, known for its developed infrastructure, connectivity, commercial progress, and rapid residential real estate growth over the years. There is steady demand for apartments for sale in Chennai, with buyers preferring both mid-range and luxurious apartments at varying price points. This is vindicated by recent reports that testify to the city’s excellent performance as far as the property market is concerned, while a wave of fresh developments are expected to keep it chugging along successfully in future years.
Chennai Real Estate Market Posts Handsome Growth for H1 2023
Several studies have indicated higher demand for new apartments for sale in Chennai, with the city’s residential market posting 3% growth in H1 2023 (compared to the year-ago period). This is a clear indicator of positive growth momentum in the realty sector throughout Chennai. Commercial transactions also saw heartening growth of 107% to stand at 4.5 million sq. ft. in all. 7,150 housing units were sold in this period, as compared to 6,951 units sold in the year-ago period.
New launches by developers went up by 7% (year-on-year) to stand at 8,122 units for the period. The average prices of residential properties also went up by 3% on the back of steady demand from buyers. Sales of real estate along the city’s western and southern areas comprised 89% of total sales. The most popular areas included the GST (Grand Southern Trunk) Road and the Old Mahabalipuram Road (OMR). Development activity also went up considerably throughout Thoraipakkam, Siruseri, Navalur, and Medavakkam for H1 2023.
New Airport and Metro Railway Expansion to Boost Realty Growth
While growth in the property market has been steady throughout Chennai, there are several new developments that can propel it to greater heights in the near future. Some of them include the following:
• The new integrated terminal building (NITB) at the airport will be expanded to cater to 35 million passengers.
• A new terminal will be built by 2025 for international departures with another terminal for domestic flights.
• This will lead to higher property values in surrounding zones due to better connectivity and accompanying commercial development. More shopping centres, restaurants, hotels, institutions, and office spaces are expected to develop near the airport as a result of these developments.
• Thirumangalam and other areas are already seeing land value increases by 15-35% due to the metro expansion. This will also keep the markets ticking along handsomely in several other areas.
• The Phase II project covering 118.9 kilometres of the Chennai Metro Rail network will spark another burst of development. It will encompass another 93 kilometers in the future years, going till Parandur where a new Greenfield airport has also been proposed.
• This will have a huge impact on the positive growth of the real estate market, particularly within 300-500 meters on each side of the metro line, with more office spaces and housing projects to be built accordingly.
Chennai will continue soaring over the next few years due to these infrastructural developments and better connectivity. Several leading developers are already coming up with premium housing projects throughout the city and its surrounding areas. This is arguably the best time to invest in Chennai.
