The corridor boasts of quality infrastructure
Golf Course Extension Road and New Gurgaon are the top real estate destinations in the NCR as they are likely to see a price appreciation of 42% and 47%, respectively, by 2020, says a new report launched by Knight Frank India titled Residential Investment Advisory Report 2016 for the NCR market. The report identifies top investment destinations in NCR for the next five years (till 2020) and also reviews the performance of the previously recommended destinations.
“Going forward, we have i dentified new i nvestment destinations, namely Golf Course Extension Road and New Gurgaon (sectors 81–95), which are likely to hold better investment potential in NCR, benefiting from the foreseeable infrastructure developments and incremental office supply in Gurgaon. These locations are expected to experience a price appreciation in the range of 42% to 47% till 2020,” says Dr Samantak Das, chief economist and national director, research, Knight Frank India.
Why Golf Course Road
Golf Course Road is the most premium residential area in Gurgaon, with current prices between ₹ 12,500 to ₹ 14,800 per sq ft. Factors such as faster connectivity and proximity to DLF Cyber City, well- established social and physical infrastructure, limited availability of land for further development and upcoming infrastructure, such as the extension of the RMRG to the 16-lane expressway have made this location a prime address in Gurgaon. A ripple effect of this development will be seen on the markets close to Golf Course Road.
Golf Course Extension i ncludes sectors 58- 67 and runs from Ghata village to Badshahpur village. By virtue of being close to Golf Course Road, a rub-off effect in prices will be witnessed by Golf Course Extension Road.
Golf Course Extension is a 15– 20 minute drive from the employment hubs of Sohna Road and Golf Course Road. The upcoming 8.3-km, 16-lane expressway that joins NH-8 to sectors 55- 56 on Golf Course Road will not only connect Golf Course Extension to Golf Course Road and DLF CyberCity but also provide speedy connectivity between these corridors. Another important infrastructure push for Golf Course Extension is the linking of the rapid metro to sectors 55-56.
Not only does Golf Course Extension have a robust, vis- ible infrastructure pipeline that will get delivered in the next two years, it also boasts of strong, planned infrastructure developments such as the proposal of extending the existing DelhiGurgaon Metro link to Manesar, which will pass through Golf Course Extension Road. This corridor will also be the next commercial corridor, after DLF CyberCity and Golf Course Road, in terms of good quality commercial spaces. Gurgaon has a tenant mix of IT/ITeS and corporate occupiers; however, the demand for commercial office space has picked up recently. This corridor is not only close to the employment hubs of Gurgaon, such as Sohna Road and DLF Cyber City but also has approximately three million sq ft of ready office space of its own, with another 5-6 million sq ft under construction.
Thus, infrastructure push, reduction in travel time and a strong, existing office space pipeline make Golf Course Extension an alternative residential destination for homebuyers who cannot afford the residential prices in Golf Course Road.
How would the drivers pan out on residential property prices Golf Course Extension?
Golf Course Road has been considered a benchmark location for Golf Course Extension Road. As a residential catchment, Golf Course Road has now stabilised, with prices in the range of ₹ 12,500 to ₹ 14,800 per sq ft. In the selected destination of Golf Course Extension, prices are in the range of ₹ 6,800 to ₹ 9,800 per sq ft, depending on the type of project, location and frontage along the road. At an average price of ₹ 8,300 per sq ft, residential property in selected corridor trades at a discount of 39% from the average price of ₹ 13,600 per sq ft price prevailing in the benchmark location.
With the infrastructure push via the completion of the 16-lane expressway by the end of 2016, and the movement of offices towards Golf Course Extension, the discount is estimated to narrow down from 39% to 27%. For Golf Course Extension, this will translate into a price movement from the current ₹ 8,300 per sq ft to ₹ 11,800 per sq ft during the next five years, says the report.