Wednesday December 31, 09:18 AM

Source: Indian Express Finance

A well thought-out city

By Poorna Bhattacharjee
Negative consumer sentiment and a relatively inconvenient location have reduced rates even more in Greater Noida. However, if one is willing to make the long trip from Delhi, homes of good sizes can be acquired at very affordable rates. Plots in Sectors Alpha, Beta, Gamma and Delta were in the market at a rate of Rs 31-33,000 per square meter, a year back. Those rates have now reduced to Rs 24-26,000 per square meter. In Sector Chi Phi, the price was Rs 25-28,000 per square meter last year, which has now fallen to Rs 16 - 18, 000. Government authorities in Greater Noida have developed these sectors and these rates can be taken as a benchmark for the rest of the sectors. Apartment rates have also seen a similar decline. A year back, the price was Rs 28 - 3200 per square foot, which has now reduced to Rs 2200-2500 per square foot. The rental rates have remained fairly stable over the past year and are very affordable. For instance, in sector Chi 1 Pocket 5, a four bedroom home spanning 2100 square feet can be rented at the rate of Rs. 10, 000 per month. A five- bedroom home on a 100 square meter plot can be rented for Rs 14, 000 per month while the rate for a two bedroom home on a 100 square meter plot is Rs 5000. Average rental rates for 2 BHK apartments are Rs 6 - 7000 and Rs. 10-15,000 for a 3 BHK apartment. With demand for housing having gone down drastically over the last few months, area such as Greater Noida, where prices were already low, have seen a further fall in prices, according to Pradeep Mishra, a broker with Sainik Estates. Distance from Delhi appears to be the biggest drawback of Greater Noida. It is a 33-34 km drive from Kalindi Kunj, even if one travels on the Noida-Greater Noida Expressway. The popular malls in Sector 18 of neighboring Noida are also about 30 kms away. Greater Noida will be more self-sufficient in the near future with more shopping areas but it currently remains cut off from the hub of Delhi and Noida. Market sentiment is low anyway, making it difficult for prospective buyers, who are not willing to make an investment in Greater Noida at such uncertain times. However, the prices are undoubtedly attractive and residents who live around the area will be able to find well-sized homes at bargain prices. If the distance from Delhi is not of utmost concern to a consumer, then Greater Noida can be seriously considered. Once the overall market shows signs of improvement and consumer sentiment picks up, there will be good demand for homes in this area.