Top two hotspots for buying property in Chennai

Wed, 09/21/2022 - 11:53

Author: JLL

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Chennai has engraved its space in India’s real estate market. From the commercial to residential segment, Chennai is growing rapidly, hosting renowned IT companies and notable startups. It is the SAAS capital and the Detroit of India. So, if you are wondering or have ever thought about which city to choose for an investment that gives the best return, this is it! Let’s understand two hotspots that can convert your money into a lucrative investment.

Guindy-Mount Poonamalle High Road

Guindy, one of the greenest locations in Chennai, is a fast-emerging location due to good connectivity through MPR extending towards suburban areas through Guindy railway station and Guindy metro station. It attracts young people with social infrastructure like schools, colleges, shopping malls, etc., fulfilling residential requirements. It is one of the key locations for IT hubs in Chennai and is considered a Grade A office market. It accounts for the total stock of 11.16 million sq. ft in MPR and Porur, with a capital value of between INR 9000 - 12000 per sq. ft in Q2 2022. Companies like NielsonIQ, R1, MAERSK, Olympia Square, and Prestige Cosmopolitan have a huge share in the MPR.

With corporates increasing the value of MPR, the government too is united in the mission to make Chennai a growing city by launching the upcoming FinTech city in Chennai with a built-up area of 1 million sq. ft. in two phases—Nandambakkam and Kavanur. This will attract talent from all over the country, allowing MPR's housing demand to rise. Not only commercial, but social and civic infrastructure too are driving and appreciating the housing demand for MPR with an annual average price of 5%-7% in Guindy city. The rental return ranges between INR 15000–20000 and INR 25000–40000 for 2bhk and 3bhk, respectively. With the available land and the upcoming growth corridor, OMR and GST will enhance the commute, fostering new launches in the next five years on Mount Poonamalle High Road.

Pallavaram Thoraipakkam Road (PTR Road)

PTR is emerging as one of the affordable places for homebuyers as it is the home to big conglomerates such as Wells Fargo, TATA, DHL, and COMCAST. This location came into demand due to its proximity to OMR, the IT hub, which hosts many reputed large IT parks and standalone buildings with easy access from Pallilaranai-Medavakkam-PTR Road. PTR is self-sustaining in terms of social infrastructure, with schools, shopping malls, restaurants, cafes, hospitals, and other requisite facilities in the surrounding areas, making it an ideal location for residential projects. As a result, PTR saw a massive demand from employees working in these IT and business parks.

With commercial and social infrastructure, the civic infrastructure too is contributing to the residential segment. The new metro line proposed and ongoing civic project of the bridge in Medavakkam, on Medavakkam-Velachery Road, will enhance the accessibility and commute of Pallikaranai-Medavakkam-PTR. The combination of good civic, social, and commercial infrastructure means that the prices of the location will continue to appreciate in Pallikaranai–Medavakkam–PTR and neighbouring locations. PTR was a marshy area that had low-density residential development. On the other hand, Purvankaara and Landmark Construction have launched projects with more than 200 units. The rental return in this location is 2bhk and 3bhk, ranging between INR 18000–25000 and INR 25000–40000, respectively. It has been noted that annual launches are outpaced by annual sales in the Pallikaranai-Medavakkam and nearby areas of PTR Road. In the pre-toll OMR, an additional 4.3 million square feet of office space is operational, which will immediately raise the bar for residential properties in the PTR.

Make your dream home a reality! Meet our real estate experts and find out what projects you can choose to invest in on Mount Poonamalle High Road and Pallavaram Thoraipakkam Road.

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