Covid-19 makes property owners, tenants gloomy

● ANOTHER REASON is that those working in IT sector belonging to other states have returned to their native places.

Whether it is property owners or tenants, both are facing a gloomy situation due to loss of income because of continuing Coronavirus crisis in the state.

Many house owners have reduced their rents to retain their tenants. But most of them have been unable to pay their rents for over four months now. In the IT zones, apartments, which used to fetch a rent of `40,000–50,000 rent per month, are now available for 25,000. Yet there are not many takers and many apartments are lying vacant.

Another reason is that those working in IT sector belonging to other states have returned to their native places with the work from home option made available to them. Premises rented by them too have fallen vacant.

Situation with regard to commercial properties is also dismal, as sales or services have dropped drastically. Business establishments are unable to pay their rents and are winding up shop.

Management of a budget school in Gandhi Nagar has made it clear to the building owner that they cannot pay the rent as most students have not paid their fees. Understanding the situation, the building owner is not taking rent.

Worst hit are the lower middle class families, which depend on day-today earnings or on lowpaying small private jobs. Damodar, an electrician, whose earning used to be `600–800 per day, has hardly any regular work, “I am able to work only once or twice in a week. My rents are due for the past five months,” he stated.

Altaf Baig of Marvel Enterprises in Rethibowli, which sells batteries and engine oil, said, “After 2020 lockdown, my business had dropped by 50 percent. Now, it has gone down to 80 percent. For me, paying the monthly rental is a big task. But I am still paying the rent just to retain this commercial spot.”

Surender Reddy, a property manager who deals in commercial and residential properties, said rentals have gone down in IT zones of Gachibowl, Madhapur, Hi-Tech City and Financial District. “Many commercial establishments and shops keepers are not able to pay even the lowered rents,” he pointed out.

Shek Hussain, a resident of Purani Haveli, said “We have a couple of portions given on rent. They have failed to pay the rent, some for three months. We are also not being strict, as we know they have no earnings.”