After almost four years, Hyderabad’s real estate sector heaved a sigh of relief on Tuesday. With the commotion and chaos over separate statehood finally being given a burial and Telangana declared India’s 29th state, industry insiders said that their “long dry spell” was all set to come to an end now.
Amidst speculations about a short-term lull given the initial apprehensions of customers realty bigwigs maintained that the spilt would do the industry much-needed good. “From the beginning, we have been saying that we need clarity for the sector to bounce back. Now, we finally know where we are headed, the market is only likely to look up,” said Anand Reddy, executive director, PBEL Property Development Pvt Ltd.
The city’s booming real sector that suffered its first blow in 2008, following the global meltdown, was pushed into a coma as the T-movement gained momentum in 2009. Ever since, the industry has failed to recover despite repeated attempts. While the market has, over the last few months, managed to stabilize to some extent, it is still a far cry from restoring its past glory. “That getting back to what it was during the boom time might take at least another six-seven months. But for now, the sector can be sure of no other southward movement,” asserted city realtor B V P Raju.
What’s likely to bring the industry a great respite is the announcement about Hyderabad retaining its capital city status (for both states) for a good 10 years. “This is a very good sign as it ensures that investments will continue to flow into Hyderabad uninterrupted.
“Also, it will give people who have already invested here a sense of security,” said Ashwin Rao, director, Manbhum Construction Company, adding, “Due to the recent uncertainty a lot of money was being diverted to other small destinations. That is likely to come back to the city now.”
But this upward growth will only follow a brief stagnation, observers said, explaining how buyers would take a while to ‘warm up’ to the new arrangement.”
Given the current scenario, uncertainty in the short-run is natural. But here on, Hyderabad’s realty future is definitely set to shine as bright as ever,” said an optimistic P Prem Kumar, managing director, Doyen Constructions (P) Ltd.
Home-grown developers apart, even the ‘migrant’ group of companies seemed only too glad about Tuesday’s announcement. “The bifurcation does not upset us in any which way. In fact, it has put an end to the unrest and that’s good news for the sector. We will not only continue our business here and but even go ahead with our expansion plans in the city,” said R Suresh Kumar, heading the Hyderabad operations of the Bangalore-based Prestige Group.
Via : TOI