Residential Projects in Pune - Pune has emerged as a major industrial hub with defence, automobile and engineering giants setting up their offices and factories in the city. Pune was earlier known as the 'Oxford of the West' with its plethora of excellent educational institutions including the Pune University, Bhandarkar Oriental Research Institute, Fergusson College and College of Engineering as well as the National Defence Academy. Slowly with the increase in the automobile industry and the presence of IT and software companies, Pune is now being called the Detroit of India. Due to high demand from these sectors the residential Property in Pune has stood resilient even when real estate market is seeing a slow down overall.
In addition the prices of the residential property in Pune are relatively more 'affordable' in comparison with other markets such as MMR and NCR. The city has witness demand from cities around its periphery including 30% from Mumbai, 20% demand from cities within 300 - 350 kms from Pune and the rest 50% is from within the city.
Current circumstances involving residential projects in Pune
Residential Property in Pune is largely dominated by small and mid-sized projects with less than 500 units each. There accounted for almost 90 per cent of the total project supply. Many of the projects started in the last 2-3 years are nearing completion and the city will have ample supply of ready-to-move-in property in 2016. The city has seen the highest absorption in the mid-range segment.
The prices of the Residential Projects in Pune will reportedly see an appreciation of 10 - 12% in the long run owing to increasing input costs to the developers and demand from the peripheral cities of Pune. NRI investments in the city have also increased over the years. In the long run, Pune will continue to see positive growth as it remains an IT, education and manufacturing hub and continues to offer employment opportunities.
Pune which as emerged as an IT hub, has people primarily in the age group of 25-35 years and 2BHK are the most preferred apartments by these professionals. Over 52% of the apartments sold in the city comprise of 2BHK flats.
East Pune has a mix of BFSI, IT and BPO companies, as well as major retail stores, leading malls and hospitals. In this part areas like Viman Nagar have seen an increased interest due to the connectivity to the upcoming Pune Airport. West Pune sees more investments from Mumbai and peripheral cities due to the easy access from Mumbai-Pune Expressway.
Residential Property Price Structure in Pune
Developers in Pune have introduced many offers to attract buyers who want a flexible payment scheme to buy a property. In addition the projects come with the latest amenities, like swimming pool, cub house, air-conditioned floors, state of the art gymnasiums making it more attractive and value for money deals for buyers. These strategies have boosted the sales in the region. Overall, the residential projects in Pune are expected to register a positive growth over the long run driven by reforms and infrastructure developments.
The IT industry supported by the automobile industry in Pune is driving the growth in the city. With more manufacturing units coming up in Chakan and Talegaon, Pune will grow further as an IT, automobile and manufacturing hub. All these factors make Residential projects in Pune as attractive investment opportunities for buyers. Demand form nearby cities including Mumbai and the NRI market is expected to keep the real estate buoyant in this market. With all the infrastructure changes coming up, the support of the state government and the increased investor interest, Pune is ready to emerge as the mega city of the future!
