Kishor Pate, CMD – Amit Enterprises Housing Ltd
Pune’s real estate market held its own in 2014 and its residential sector in fact out-performed most other markets in India. Appreciation in both mid-range and high-end properties was in excess of 30%, which was much higher than Bangalore, Delhi and Mumbai. However, it was not all smooth sailing. For instance, there was an increase of unauthorized construction on the city’s peripheries, which the city authorities have to begin clamping down on earnestly. However, the fact that the authorities are taking such action is a good thing for the market in general and has added to Pune’s credibility quotient.
We saw rapid development of the city’s suburban and even peri-urban markets. More national-level players launched projects in these areas, which were previously the stronghold of local builders. Another interesting trend in 2014 was that some established areas like Koregaon Park and Sahakarnagar, which had next to no new options for luxury home buyers, saw new augmentation of supply once more.
There will be a bit of a shake-up on the Pune real estate market in 2015 as it aligns itself to various new regulations, but this is a necessary process which will be seen in most cities of Maharashtra. The benefits given to both developers and buyers in the last Union Budget will kick in during the upcoming fiscal, and this will add to the already positive sentiment. We will see increased purchasing activity in areas like Undri, Wagholi and Ambegaon, where affordability is driving demand. Most of the city’s rapidly developing areas will see healthy appreciation in residential values.