Real Estate in Chennai

Chennai is currently witnessing a stunning growth in the Real Estate Market.
Chennai has a diversified economic base. The main industries are software services,hardware manufacturing, automobile and financial services.

Chennai has emerged as the top candidate for 'Location Ranking Survey' among the other three Indian metros - Delhi, Mumbai and Kolkata.

Software services and Business Process Outsourcing (BPO) has emerged as major contributors to Chennai's economy.

Chennai is experiencing a major real estate boom. The primary cause of this is the rapid development of the Information Technology in the city.

This has attracted young professionals with considerable disposable income and a consequent consumerist mindset. The consumerist culture has also encouraged the growth of organized retailing. International automobile manufacturers like Ford and Hyundai has also set base in the city.

In order to attract the business traveler several up-market hotels have been established at Chennai in the last decade. International hotel chains like JW Marriott, Radisson has constructed hotels in Chennai.

The prospective property buyer in Chennai is highly fragmented; the majority work in the I.T sector followed by Financial Services.

There is also another segment- the NRI's or the Non Resident Indians who usually buys high value 'cream' properties in Chennai.

Land prices in Chennai has showed an upward trend in the last few years; this has led to an active demand for flats or apartments. For the well heeled there is the choice of purchasing independent houses like villas and semi detached cottages. These high value properties usually come with other 'frills' like swimming pools, gymnasium and exclusive club memberships. The unique feature of such properties is that they are usually located on the I.T corridor (old Mahabalipuram Road)- making the daily commuting of residents easier to the office.

The promotion of Chennai as an investment destination has resulted in developers promoting I.T Parks. Commercial and Industrial land is getting costlier every passing day. The old industrial heartland of Chennai situated in the western part of the city has attracted commercial developers.

The increase in property prices has also been a boon to the government authorities; higher property prices mean higher revenue collections! There has been a 40% increase in revenue collection compared to the previous years.

Last Updated on 11/2/2011