Whatis ail­ing Gurugram’s af­ford­able hous­ing seg­ment?

MANY CHOICES The de­mand for af­ford­able hous­ing in Gurugram is quite healthy, owing to the cur­rently at­trac­tive prices which fit the bud­gets of most of in­di­vid­u­als look­ing for op­tions in this seg­ment

HT Estates - - FRONT PAGE - Ash­winder Raj Singh ht­es­[email protected]­dus­tan­times.com

The real es­tate mar­ket of Gurugram - pre­vi­ously called Gur­gaon - is pri­mar­ily known for its glitzy of­fice build­ings and­lux­ury hous­ing projects which ac­com­mo­date the C Suite and up­per man­age­ment cat­e­gory buy­ers who work in th­ese build­ings. A fact that is not so of­ten talked about is that Gurugram, like any other modern city, de­pends on the ser­vices of blue col­lar and even EWS cat­e­gory cit­i­zens to stay vi­able. Un­for­tu­nately, Gurugram’s per­for­mance in terms of pro­vid­ing hous­ing which is af­ford­able to such peo­ple has been less than stel­lar in the past.

Ap­prox­i­mately 30,000-36,000 af­ford­able hous­ing units are under con­struc­tion in Gurugram, and it is ex­pected that 55,000-57,000 units will be up for sale by the end of 2017, in­clud­ing units close to com­ple­tion. The de­mand for af­ford­able hous­ing in Gurugram is ob­vi­ously quite healthy, owing to the cur­rently at­trac­tive prices which fit the bud­gets of most of in­di­vid­u­als look­ing for op­tions in this seg­ment. Also, builders are now of­fer­ing as­sured qual­ity, timely de­liv­ery and fea­tures such a free main­te­nance for 5 years.

Nev­er­the­less, there is no deny­ing that ayawn­ingde­mand­sup­ply gap in EWS cat­e­gory hous­ing con­tin­ues to plague the city. The rea­son for this is not hard to iden­tify - for a long time, de­vel­op­ers were in­vest­ing solely in projects where apart­ments where the price bracket ranged from Rs. 60 lakh up­wards to Rs. 1 crore, thanks to the at­trac­tive mar­gins in this bracket. How­ever, the high­est de­mand has been in the af­ford­able hous­ing seg­men­twithin the price bracket of Rs. 20-50 lakh, and EWS hous- ing ac­tu­ally per­tains to units priced be­tween Rs. 3.5-12 lakh (de­pend­ing on lo­ca­tion and unit sizes).

It is only in re­cent times that de­vel­op­ers have aban­doned the elu­sive fat mar­gins dream and be­gun launch­ing projects cater­ing to the af­ford­able hous­ing de­mand in the city. This will even­tu­ally re­sult in a nar­row­ing of the de­mand-sup­ply gap in Gurugram. How­ever, the EWS cat­e­gory of hous­ing has its own dy­nam­ics.

RERA WHICH PUTS THE ONUS OF TIMELY PRO­JECT COM­PLE­TION ON DE­VEL­OP­ERS HAS NOT SHOWN AN IM­PACT IN THIS AREA YET

Newspapers in English

Newspapers from India

© PressReader. All rights reserved.