March 06, 2006

Velachery - real estate prices aim the stars

GOSH! I couldnt believe my ears, when I heard the price quoted for the latest project of Ceebros in Velachery - The price was Rs.3000 per Square Feet, mind you this is for a apartment not independent house. A decent two bedroom apartment in half a ground - 1200 sqft would cost a whopping 36 lakhs.
THIS IS TOO MUCH FOR VELACHERY!

There are uptown areas in Chennai like Adaya, Nungambakkam which quote almost the same prices or a little more.

I stayed in velachery for nearly three years and except for the fact that my office was nearby, there was simply no reason why I should have been there.
Velachery was once a lake, now you have huge apartments coming up everythere with simply no basic facility.

Ground water has depleted completely and the residents are at the mercy of Water Tankers. (The recent rains has eased the situation a bit). You dont have decent hotels, hospitals, schools, entertainment avenues etc.,
BUT the land prices are rising up like there is no tomorrow. From Rs.800-1000 per sqt three years back, it has zoomed to Rs. 3000 per Sqt.

The rise in price has been attributed to the IT corridor that is coming up parallely. Sure...only software guys can afford soo much for soo little.

Missed an investment opportunity!

update: couldnt post this link in the comments:

"the real estate is acting crazy. just yesterday, I enquired the price of new apartment that was coming up near our office..he quoted the same 3000 per sqt. Have a look at the place - hindu report
(the apt is coming up near the parked tvs 50)..Mind u this photo was taken some 10 days after the rains had stopped."

Another Update:
The Hindu has an elaborate article on the Paradox that is Velachery

39 comments:

born_in_the_woods said...

thanks to IT,
real state is sky rocketing in many places. I personally have seen hyderabad, and ofcourse not to talk about bangalore..

Anonymous said...

Suganthi ,

On one of my conversation yesterday, my friend stated that Velachery is growing and will go beyond anyother place in chennai due to the OMR approach and the City approach of the place.

Dont panic now itself u have lot more to hear in future.

Ranjith

Anonymous said...

With so many IT people around, we should work to get basic facilities up and running. How bad is the situation really.. the way you describe seems very bad, but indeed there are so many apartments coming up. You can still invest now and if you look back in 10 years when price/sq ft is Rs. 6000, will look small. The IT work is coming to India, and be sure to read Thomas Friedman's book The World is Flat.

sugan said...
This comment has been removed by a blog administrator.
sugan said...

the situation is very bad during the rains..my friends were awake the entire night to see if water entered their houses. quite a few had vacated to safer places..
the real estate is acting crazy. just yesterday, I enquired the price of new apartment that was coming up near our office..he quoted the same 3000 per sqt. Have a look at the place
http://www.hindu.com/2005/12/09/stories/2005120917390400.htm (the apt is coming up near the parked tvs 50)..Mind u this photo was taken some 10 days after the rains had stopped.

Anonymous said...

I dont know whether I can say - I am one of proud(!) owners of apts in Ceebros Orchid in Velachery. I think the price is worth due to 2 reasons - one - as everybody said it is close IT corridor, second - CEEBROS is a trusted builder. Now if you want to book an apartment, it is 3500 per sqft. That is an appreciation of Rs.500 per sqft within 3 months.

Anonymous said...

Pallikarani real estage prices aim the stars:
after velachery it is pallikaranai.. chettinadd builders is building "Independent Villas at Chettinadd Enclave(www.chettinaddhousing.com) - Pallikaranai"(behind balaji dental college right next to kolathur lake". They have three types of houses what they call as deluxe, classic and premium and the classic house on 2400 sqrt costs 62 lakhs... and the fact is people are buying it!.

Anonymous said...

http://groups.msn.com/CeebrosOrchid/messages.msnw

Anonymous said...

My friend had recently bought a 3-BR apartment in velachery for Rs1500 per sq.ft about 6 months back.. Now it is painfully hard to believe the new prices being quoted these days.

There is new housing by Chettinaad which is actually Rs5000 per sq.ft...(1200sq.ft Villa for 65Lacs) ---> gone beyond redemption.. God help Chennai...

Even more worse..land in Sriperumpudur - 11 Lacs per ground..used to be 3L in the beginning of the year.. Even the IT boom will not help the way real estate prices are going up..

Anonymous said...

Mr Bala_fiasco

It is true that the IT people are paid crazy money but please dont be abusive about IT people being crazy. It is not that IT people really want to pay Rs 3000/- per square feet.
The truth is that the Builders are the ones who are really greedy who have seen that this section of the working class has started getting paid exorbitantly and lets jack up the price within a short period of time to suck the money out of the IT folks buying houses.
This is my observation btw.

Cheers

Anonymous said...

yes..obviously true..nobody should buy the house ..the real estate business should come down..!!

The real estate guys are total
money grabbers !!

Anonymous said...

My friend who purchased a 1700 sq ft Ceebros Orchid over a year ago (initial) paid around 52 Lakhs. After contruction and elaborate woodwork, he sold it for 78 L. Thats almost 4500 per sq ft. Go Figure.. Vhennai is still way cheaper than Bombay, Tokyo or New York where I am investing currently, but looking at Chennai soon.

sri8686 said...

hi guys only one thing either IT field should come down or people should not buy more number of proprties in ONE name that is only one property for
one Citizen. only this can help every body.

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