Investment Opportunities in Gurgaon Real Estate

The exponentially escalating property prices in other regions of the country are making property investors turn their heads towards Gurgaon. The burgeoning city in the Delhi-NCR region, undisputedly, offers the best perks to real estate investors at this moment. The increasingly growing investor interest is primarily being driven by a number of reasons. The first and foremost is obviously the high-quality infrastructure that this well-planned city offers. However, according to experts, the most significant factor that is attracting investors to Gurgaon is its reasonably priced real estate offerings. These fairly moderate price points are assuring the best returns on investment with a predictable average appreciation of 10-15% annually. Moreover, the added advantage of commercial investment in Gurgaon is that the projects here offer a varied range of options, starting from small-to-mid-to-mega-sized real estate units.

This provides the opportunity to enter an emerging investment zone with a relatively low budget. According to a survey by the industry body PHDCCI, Gurgaon has emerged as the most lucrative destination for real estate investment in the Delhi-NCR. The happening metro, often called the ‘Millennium City’, has witnessed rental values dramatically skyrocketing in recent times. Now, with the Prime Minister of the country endorsing Gurgaon as a model for smart city projects, things are only going to get better from here onwards.

Infrastructure of Gurgaon in a Brief The major infrastructure of Gurgaon city comprises of well-connected road networks, the Delhi Metro, and the Rapid Metro System. The Indira Gandhi International Airport, situated just outside the city limits, provides international as well as domestic air connectivity. Gurgaon’s continually expanding infrastructure, connectivity to the national capital, and large-scale development of civic amenities in and around Golf Course Road, the NH8, and Dwarka Expressway are providing a solid stimulus to the real estate market. The city’s state-of-the-art infrastructure is, in fact, helping to pull a significant amount of investments into the real estate segment.

The Hub of Corporate Affairs Gurgaon, over the last decade or so, has seen rapid urban development and industrialization. At present, the city is an abode to global heavyweights like Agilent Technologies, Pepsi, BMW, Coca-Cola, and 500 other MNCs. Gurgaon also holds the rare distinction of being the home to 250 of the Fortune 500 companies and several budding startups. Today, the city, being an IT hub of the country, is attracting a plethora of multinational companies and domestic conglomerates, which are showing great interest in new launch commercial projects in Gurgaon. This has helped the Gurgaon real estate market to hold on to a robust demand for commercial spaces, even when real estate in other parts of the country was sinking in red. The Delhi NCR, during the period April-to-June this year, witnessed an office space take-up of near about 2 million square feet. A majority of this absorption was registered in the Gurgaon micro-market. Due to increased occupier interest, commercial investment on Dwarka Expressway, the NH8, and Golf Course Road contributed to more than 50% of the leasing activity.

Institutional investors continue to remain bullish on the Gurgaon real estate market, thanks to the commercial segment, which is surely on an overdrive. Real estate pundits reveal, there are some great investment pockets on the Dwarka Expressway that can help investors generate a good return on investments. For the last two years, the entire real-estate community is keeping a close watch on these pockets, as the present circumstances offer great opportunities for rapid development and growth. Dwarka Expressway —The Rising Sun Emerging as one of the prime real estate destinations in the Delhi-NCR region, Dwarka Expressway opens up great opportunities for investors. The beauty of this area is that investors have the option of choosing from a variety of asset classes, ranging from independent plots, affordable housing, flats, studio apartments, independent floors, villas, retail shops, offices spaces, and other commercial real estates.

There is a good supply of new launches, which have enough steam to push the return on investments to a great extent over mid-to-long term. The Expressway, officially known as Northern Peripheral Road, is an 18-km-long, 150-meters-wide, high-speed link road that connects Gurgaon to Dwarka and rest of Delhi. It is the third direct connection between Gurgaon and the national capital, after Mehrauli-Gurgaon road and the NH-8. Recently, a series of development activities are happening along the Dwarka Expressway corridor between sectors 81 to 115, with regards to infrastructures like road networks, public utilities, underpasses, and flyovers.

The area’s connectivity to Delhi and proximity to the Indira Gandhi international airport are strong growth drivers, pushing the real estate demand for this micro-market. The places alongside Dwarka Expressway have been developed in accordance with the Gurgaon-Manesar Master-plan 2031. The master-plan has been carefully prepared, keeping in mind the future needs – such as a rise in the population – which will require wider roads, space for residential apartments, and public utilities. Most of the Dwarka Expressway area is well-planned, with roads engineered to take care of future demands. Very recently, the central government has approved the development of a Southern Peripheral Road, as well as a Metro Rail project alongside Dwarka Expressway. The Expressway is also an elemental part of the Delhi-Mumbai industrial Link Corridor, which increases the national significance of the area. The area, like any other modern city, hosts top-class facilities such as super-specialty hospitals, private healthcare, international hotels, restaurant chains, number of schools, colleges, banks, and brand retail outlets.

Due to all these reasons combined together, retail investors, as well as institutional investors are seeing the Dwarka Expressway Corridor as a lucrative destination for real estate investment. On the other hand, the demand dynamics of real estate for Gurgaon as a whole will continue to remain strong, especially because of the increasing wave of domestic and international migration, a continuously growing local population, and a diversified industrial market.