Is Greater Noida Losing Its Charm in Election Season?

Online, May 1, 2014 (Newswire.com) - Few days back, Greater Noida use to be considered as one of the most sought after locations in terms of real estate market is now appears to be under a spell of slow demand. Though affordability, sound infrastructure and proximity to Noida and Yamuna Expressway are its key strengths, the scarcity of arterial connectivity, over supply and better residential options in neighborhood are equally strong to oppose the location.

Experts of the real estate market believe that the prices and demand in Greater Noida are reeling under the pressures of overall market slowdown and expects that situation will improve post-election results. As per the reports, the residential prices across various sectors in Greater Noida have been either increased marginally or declined in the Jan-Mar 2014 quarter in comparison to the same quarter a year ago. Sector Zeta of Greater Noida witnessed a decline of 11 percent in capital values in Q1 2014 as compared to the same quarter last year whereas Sector 1 has reported the downfall of 14 percent. In the meanwhile, the sectors Chi, Pi and and Pi-II has witnessed the marginal growth of 1, 2 and 3 percent respectively.

According to the experts, the major reason for Greater Noida to watch declined price levels is availability is more than the demand. From end user's point of view, Greater Noida is a last option as Yamuna Expressway and Noida Extension are becoming more popular with their easy accessibility and innumerable living options. The lack of connectivity via transport route has emerged as another reason behind the downfall of Greater Noida.

The city has been under development since last 10 years and up to 60 percent of the micro city is already mobilized. However, the connectivity to the interior sectors of Greater Noida has been a concern for prospective buyers.

Yamuna Expressway and Noida Extension, the neighboring locations of the city are offering better connectivity and transport facility thus resulting in a further suffering of holdup in Greater Noida. The selected physical patches of development in the city had led to additional congestion. Some of the development patches are posh whereas others are middle class. Some properties are selling at Rs 1 lakh per sq. yd. while others are at Rs. 15,000 per sq. yd.

It is expected that there will an appreciation in residential prices once the unsold inventory clears up and the election results are announced. Also, there is a proposal of launching hi-tech city bus service in the few months which will ultimately fuel the demand that has presently been focused on the neighboring locations.